Property News & Market Trends

Singapore property news in a nutshell

Dark clouds over Horizon Towers deal for HPL or Owners?
Horizon Towers condominium $500m deal could be off if the objectors have it their way. However, the Strata Titles Board brought the hearing forward after an appeal to stop the delay. The date for the tribunal to hear the objectors to the sale was moved from initial tentative dates of July 25-29 to September.

It would be disastrous for Hotel Properties Ltd’s (HPL) and other partners Morgan Stanley and the Qatari government with a Aug 11 deadline. HPL stand to make $500m profit as neighbouring Grangeford Apt is asking for $2000psf compared to the January deal at $800psf for Horizon.

Of course, the 210 owners stand to lose another $500m or approximately $2m each if the deal proceed as signed.

Pacific Mansions owners likely to pocket $2,400psf ppr
That’s an amazing 140% from current market prices. With a $1.18b price tag, it rivals Farrer Court’s $1.5b asking price. If the developer builds a 130-unit luxury development of more than 3,000sft, the eventual launch price will likely surpass $3,500psf. Each of the 290 owners will pocket from $3 - $4m each. If the price meets the developers, the River Valley area will see a flurry of new interest and an escalation of prices not less than 20%. Overnight boom? Let’s watch the final result in August.

"8" is a lucky number for Capitaland
No 8 Tong Watt Road had been bought at an auction last week for $9m by Capitaland. With this acquisition, Capitaland had effectively line up earlier purchase from No.1 to 17 along Tong Watt. That's almost 300,000sft potential. However, the facade of the properties needs to be preserved but the rear of the shophouses could be redeveloped up to 10 storeys high.

Anson Road commercial site up for grabs
The reserve list of the Government Land Sales programme, Anson Road commercial site, has a minimum committed bid of $116.2 million or about $460psf ppr. The tender closes next month. With the commercial supplies still way below current demand, bids will likely surpass $800psf ppr. The site has a maximum permissible gross floor area of 252,069sft and a building height restriction of 50 storeys with a possible floor plate of 18,000sqf.

Singapore is the Asia’s 5th costliest place for expats
Mercer Human Resource Consulting’s latest Cost of Living Survey measured the comparative cost of over 200 items in each location, including housing, transport, food, clothing, household goods and entertainment.

Singapore is now the fifth most expensive city for expatriates in Asia and 14th most expensive in the world. Is that a joy we should jump for? Unlikely. That would drive MNCs to relocate to cheaper cities. Eight Asian cities in the global top 50, Seoul, Tokyo and Hong Kong coming in respectively at third, fourth and fifth positions globally. Moscow is the world’s most expensive city.

Lippo needs to market at $1900psf to breakeven on Aura Park site
Lippo Realty bought the Holland Rd site at $55.5m, estimated at $1,200psf gross floor area. A luxury boutique development was planned. Tuan Sing’s Botanika development, which is opposite Aura, sold 12 units in April, from $1,710psf to $2,420psf. Next to Aura Park is Carlton Terrace, which Bukit Sembawang bought in late 2005 for $541psf ppr. Recent transaction of Leedon Heights was sold in April for $835 million or $1,062psf ppr. Another nearby collective sale was that of Holland Crest, which was bought by BBR Holdings for $70.6 million or $837psf ppr in March.

More ...

	Is the sub-prime financial breakdown in US giving us a warning? Stocks bore the brunt of it all, banks, especially. In US & Europe, fears of the sub-prime markets sent sirens the world over. Asia, at its strongest growth was not spared. Miraculously, Singapore escaped the massacre. No doubt it fall by almost 4% in a day, confidence in our economy regain some ... 12 Aug 2007 - Read Details
	Can the Government's hike on Development Charge stem the rise of En Bloc sales? Property stocks got hit by a 2% drop. I say you should buy them. Seriously, what the Government did by introducing a back to normal DC is basically a gear shift. It will not impact any big developers as they can easily pass the buck, about an increase of 2-3% of the cost to the end buyers. ... 20 Jul 2007 - Read Details
	Do you know the current supplies of properties? We know about caveats(property sold & price) but who knows the supplies, really? The government will always supply back-dated figures of new project sales, office vacancy but not the number of residential properties on the market. Is that important? If so, why is there no such mechanism in place ... 13 Jul 2007 - Read Details
	Speculators, take heed. The Government is monitoring closely. The last time the Government is a "little bit" concern, anti-speculation was introduced within 5 months in 1996. Though illy-timed, the market make a very sudden correction and history was made. Will it happen again? Unlikely. The last correction wipe off billions of dollars worth of assets of ... 3 Jul 2007 - Read Details
	Singapore property news in a nutshell Dreadful envy for Horizon Towers if Grangeford goes for $592m!Still unclear on who the final winner is over Horizon Tower surely make some people loses sleep the last 2 weeks. OUE, controlled by Lippo, went for a put-and-call option to acquire The Grangeford for $592 million or $1,810psf. The breake ... 26 Jun 2007 - Read Details
	Why 90% of us failed to Succeed? The property market is hot yet there are still many who don't seem to make more than they could. In this kind of market, making $2-3k pm is considered way below par. If you are one of those who don't seem to cut it, did you ask yourself why? Some men have thousands of reasons why they can't do what ... 19 Jun 2007 - Read Details
	Singapore property news in a nutshell. Supplies pouring in from GovernmentGovernment Land Sales (GLS) programme confirmed list of site to sustain building pace in Bay area. Marina view, to be open for tender in July, could provide more than 900,000 sqft of commercial space and the government is hoping this would ease the supply for prime ... 18 Jun 2007 - Read Details
	Back with a Vengence! Agents are raking in fast & furious! Just 2 years back, agents are complaining about everything. From cost to economy and government. Now, they don't complain - no time to, that is. Instead of only having top 5% earning 5 figure incomes, now 20% hits that figure, at least 2 to 3 times over the last 6 months! So, when will all these gl ... 18 Jun 2007 - Read Details
	Singapore property news in a nutshell $885.5m foreign investments in just 6 months!Compared to $651.84m in 2006! That's 20% more at half time. That's what drives the prices of enbloc in all areas. Just a peep into the crystal ball will tell us that 2007 will be the greatest enbloc sales ever to occur in Singapore! With such massive ... 14 Jun 2007 - Read Details
	Co-broking? What for? That's what I heard from 70% of the agents I come into contact with! That's incredible. These agents will advertise either as "Already Co-broke" for the courteous ones or "No Agents pls" for the blunt brush off. Will co-broking help you make more money? Think again. Fiduciary duty can cost you more! ... 12 Jun 2007 - Read Details