Category Archives: Condos

Woodleigh site attracts top bid of $700M

A unit of Chip Eng Seng Corp and Unique Real Estate has put in the top bid for a plum site in Woodleigh Lane. Unique Real Estate is a joint venture of Heeton Holdings and KSH Holdings units.

The 99-year leasehold site launched on May 30 under the confirmed list for the first half of this year drew a top bid of $700.7 million from CEL Unique Development, which is 60 per cent owned by Chip Eng Seng Corp, and 40 per cent by Unique Real Estate.

The Government land sales site tender attracted 15 bidders. The land is next to Woodleigh MRT station, adjacent to Bidadari New Town and near amenities such as Nex shopping mall. The 19,547 sq m site has a maximum gross floor area of 58,641 sq m.

The selling price of the proposed development to expected to range from $1,720 psf to $1,800 psf and could face some competition from the mixed-use site in Bidadari estate linked to Singapore Press Holdings and Kajima Development.

Q1 Credit update: Mortgage loans up 20%

Credit Bureau just recently release a report on consumer credit behaviour and how people use credit balances, as well as their payment delinquency and default rates in both secured and unsecured credit facilities. Home loans are examples of secured facilities, while unsecured debt refers to loans with no collateral, like those racked up on credit cards or overdrafts.
The highlights are as follows:

1. Mortgage loan applications rose 20 % in the three months to March 31 from the preceding quarter. The average mortgage for people aged between 21 and 29 had the greatest quarter-on-quarter change among several age groups, rising 3.4 %.

Home loan applications could have been given a boost after the Government tweaked some property cooling measures in early March since the curbs were implemented in 2009. For example the seller’s stamp duty holding period for homes bought from March 11 was shortened to three years from four years. Subsequently the sales of new private homes surged to a near four-year high in March.

2. Motor vehicle loan applications rose 4.13 %. Consumers aged between 30 and 34 had the most significant change in motor vehicle loans, with average borrowings up 5.1 %.

3. Credit card applications fell 5.97 %, while those for personal loans dropped 5.94 %. Credit card applications still made up 72 % of about 331,600 new credit applications across all facilities in the first quarter, with home loans next on 14 %. People aged between 35 and 39 were doing better than others when it came to paying off debts, with their delinquency rate for credit cards falling 5.4 % quarter-on-quarter, while the personal loan rate dropped 8.74 %.

For more details the link to report is as follows
http://www.creditbureau.com.sg/sites/default/files/CBSConsumerCreditReportQ12017.pdf

The Albracca in Meyer Road cashing in on the hot collective sale market

Home owners at The Albracca in Meyer Road are hoping to cash in on the hot collective sale market. The property is up for sale for about $62 million to $65 million, which works out to about $1,262 to $1,323 per sq ft per plot ratio for the 11-unit freehold development near Tanjong Rhu, located opposite the upcoming Katong Park MRT station slated to be ready in 2023.

Apartment sizes at the 10-storey The Albracca range from 1,658 sq ft to 3,972 sq ft, thus each owner may get from $3 million to over $7 million from the enbloc sale.

The 23,400 sq ft Meyer Road site is zoned residential, with an allowable gross plot ratio of 2.1 under the 2014 Master Plan. The property’s prime location being near Katong Park MRT station, excellent views and a lower price quantum should attract to a wide pool of developers.

The site can potentially be redeveloped into a high-rise project, housing 65 apartments with an average size of 70 sq m or about 750 sq ft.

The four en bloc deals with a combined value of $1.5 billion sealed so far in 2017 were: One Tree Hill Gardens of District 9, Goh & Goh Building of Beauty World area as well as former HUDC estates Rio Casa and Eunosville.

The value so far has already surpassed the three deals worth $1 billion done for the whole of last year.

Make Singapore land Great again! Courtesy of 38 Oxley Road

38 Oxley Road is the top Singapore address in the media right now. What is the big deal about centre of dispute of Singapore’s first Family? How much does this plot of land worth?

More HUDC Estates in heat for enbloc sales

After the 2 recent enbloc deals involving HUDB estates being successfully sealed, namely Rio Casa and Eunosville, two more privatised HUDC estates are in the midst of launching tenders for collective sales process. Rio Casa in Hougang sold last month for $575 million and Eunosville in Sims Avenue sold for $765 million in a deal finalised this week.

The 560-unit Tampines Court may launch its tender in July, while 336-unit Florence Regency in Hougang is in the early stages. Tampines Court owners are seeking at least $960 million for the large Tampines Street 11 site, spanning over 702,000 sq ft.

Built in the 1980s and privatised in 2002, Tampines Court has 14 blocks, with 432 maisonettes and 128 apartments. Its first try of $405 million was dismissed by the Strata Titles Board in 2008. In 2011, it failed to obtain the required level of approval from residents. This is its third bid for a collective sale.

Another privatised HUDC project, Florence Regency in Hougang Avenue 2, will also start its collective sale process soon. It is the first attempt for the development, with about 71 years left on the lease.

Since the 1970s, 18 projects were built under the HUDC or Housing and Urban Development Company scheme. All have since been privatised and nine have been sold, including Shunfu Ville and Raintree Gardens last year.

HUDC sites are said to appeal to developers owing to their location in mature estates and the potential to be further intensified, given their layout and the size of units. However, the huge size of their land plots may put off some bidders, owing to rules requiring developers to build and sell all units within a designated time frame or face huge fines.

Some other potential HUDC Estate for collective sales
1. Braddell View (618K sqft land, 918 units)
2. Chancery Court (123K sqft land. 136 units)
3. Ivory Heights (825K sqft land, 654 units)
4. Laguna Park (677K sqft land, 528 units)
5. Lakeview Estate (242K sqft land, 240 units)
6. Pine Grove (893K sqft land, 660 units)
7. Serangoon Ville (296K sqft land, 244 units)

Eunosville sold enbloc at a premium

The collective sale market here is powering ahead with the sale of privatised HUDC estate Eunosville for $765 million. The price of $765 million at a premium of more than 17 per cent over the $643 million to $653 million the owners had asked for when the site was launched for tender in April.

The 330-unit Eunosville, built in the 1980s, could make way for as many as 1,399 units in a new project. The site has been sold to a Jardine Matheson Group unit, MCL Land, at the second-highest price ever for former HUDC estates, after Farrer Court was sold for about $1.34 billion in 2007. It was the estate’s second try at a collective sale after an unsuccessful bid in 2013.

The purchase costs, which includes the sale price and an additional $194 million of government charges, works out to a land rate of $909 per sq ft per plot ratio. The charges are payable to the state to intensify land use to a gross plot ratio of 2.8 and to top up the lease to a fresh 99 years.

Built in the late 1980s, the project has about 71 years left on the lease. It has 255 maisonettes over six residential blocks and four walk-up apartment blocks with 75 units. Each owner stands to get about $2.25 million to $2.41 million upon completion of the deal, subject to sale conditions.

The site could be rebuilt into a 1,399-unit development with an average apartment size of 70 sq m. The new units could be sold for an average of about $1,700 to $1,750 psf.

The latest deal came after the recent sale of Rio Casa estate in Hougang and mixed-use development Goh & Goh Building in Upper Bukit Timah Road, and One Tree Hill Gardens in the prime District 10. It is the fourth successful collective sale this year amid recovering sentiment and developers’ optimism over residential property.

The four collective sales year to date total slightly over S$1.5 billion. For the whole of 2016, there were three collectives sales – Raintree Gardens in Potong Pasir, Shunfu Ville in Marymount area and Harbour View Gardens in the West Coast area. The total value added up to slightly over S$1 billion. In 2015, the solo collective sale transaction was the S$380 million sale of the commercial/residential Thong Sia Building in Bideford Road. The peak year for en bloc sales was 2007, with 88 deals amounting to S$11.5 billion.

The collective sale fever cooled when the property market tanked during the 2008 global financial crisis though things started to revive again in 2010, when there were 38 collective sales, followed by 51 transactions the following year before activity began to wane again amid a price gap between owners of en bloc properties and developers.

Between 2014 and 2016, only five sold during this period out of 25 collective sale sites launched; implying that the other 20 sites were priced above what the market could bear.

 

Private properties rose to 27% of total housing stock

THE number and proportion of private properties in Singapore grew in the decade between 2006 and last year. The total number of private condominium units and landed homes went up from 243,000 to 372,000 in that time, taking their share of the overall dwelling units from the 22 per cent in 2006 to 27 per cent last year.

Meanwhile, the number of Housing Development Board (HDB) flats grew from 880,000 units to 1,011,000 during the period. But despite this increase, the proportion of HDB flats out of the total housing stock went down from 78 per cent to 73 per cent.

National Development Minister Lawrence Wong unveiled these figures in Parliament. The ratio is “expected to remain stable” over the next few years, with 72 per cent of all dwelling units projected to be HDB flats in 2020.

However, he added, this proportion refers only to the housing stock in Singapore – not the total proportion of people living in flats, which remains at about 80 per cent.