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CONTENTS p2 Singapore Property News This Week
p7 Developer Sentiment on Property
Market Unexpectedly Improves
p10 Resale Property Transactions
(May 16 – May 22)
Welcome to the 54th edition of the Singapore Property Weekly. Hope you like it! Mr. Propwise
FROM THE
EDITOR
SINGAPORE PROPERTY WEEKLY Issue 54
Singapore Property This Week
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Residential
Latest CBS figures reflects effective
cooling measures
58.3% of the 15,410 Singaporeans/PRs
granted private home mortgages (including
refinancing cases) in Q1 2012 did not have
any outstanding home loans either for a HDB
flat or private residential property, compared
to the 56.4% and 53% for the whole of 2011
and 2010 respectively. This may be due to
effects of ABSD in deterring property
investment.
However, the data may not be very accurate
since some banks classify ECs as private
homes while others classify it as HDB flats,
which are excluded in the analysis. Also, as
some borrowers could be joint applicants for a
single loan, the total number of private home
mortgages granted in Q1 2012 to
Singaporeans and PRs is 10,741 but if
individual applicants were looked at, the
number would be a higher 15,410.
Furthermore, the data includes both both new
home loan and refinancing cases since the
cases uploaded on the CBS database are not
differentiated. However, since refinancing
cases may be due to the lower interest rates
and more attractive loan terms, the inclusion
of such cases may not affect the analysis
significantly.
The proportion of first-loan cases for non-PR
foreigners increased from 77.8% in 2010 to
82.5% in 2011 before falling to 79.7% in Q1
SINGAPORE PROPERTY WEEKLY Issue 54
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2012, compared to the proportion for
Singaporeans/PRs, which is around 60%,
suggests that the non-PR foreigners are
mainly buying their first property.
NUS Singapore Residential Price Index
shows a fall in prices for small apartments
The NUS Singapore Residential Price Index
(SRPI) sub-index for small apartments (up to
506 sq ft) fell by 1.2% in April while the overall
SRPI for April increased by 0.8%. The SRPI
sub-index for the Central Region (excluding
small units) increased by 1.6% but the sub-
index for the Non-Central Region (excluding
small units) remained unchanged. The
increase in the sub-index for the Central
Region was predicted since there was more
higher value transactions in April with a
median price for properties in the region at
$1,580 psf and 36 transactions of $2,000 psf
or higher, compared to a median price was
$1,500 psf and 20 transactions of $2,000 psf
or higher in March.
99-year leasehold Jurong Gateway condo
site draws 12 bids
The 99-year private residential site located
near Jurong East MRT Station attracted a
total of 12 bids, with the top bid from MCL
Land at $369.388 million or $705.10 psf ppr, a
mere 0.08% above the second highest bid of
$369.1 million or $704.55 psf ppr. The 12 bids
reflects the potential of the site, which is
located in the Jurong Gateway precinct, near
Jurong East MRT Station and bus
interchange and the upcoming malls Jem and
Westgate as well as the upcoming Ng Teng
Fong Hospital and Ng Teng Fong Community
Hospital. MCL plans to develop the site into a
part 25-storey and part 38-storey
SINGAPORE PROPERTY WEEKLY Issue 54
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development with almost 600 residential units
that comprises mainly one and two-bedroom
units with some three-bedroom and four-
bedroom units. The expected breakeven cost
is around $1,100 psf while the expecting
average selling price is around $1,300-1,500
psf.
4,627 new flats launched with six new BTO
projects
HDB is launching six BTO projects with 4,627
flats ranging from studio apartments to five-
room flats in three non-mature towns (Choa
Chu Kang, Punggol, and Sengkang), and one
mature town (Kallang/Whampoa). At least
95% and 85% of the flats (excluding studio
apartments) in mature towns and non-mature
towns respectively are reserved for first
timers and additional balloting chances for the
BTO projects at Compassvale Boardwalk in
Sengkang, Keat Hong Pride in Choa Chu
Kang, Punggol Edge and Waterway SunDew
(in Punggol Town) will be given to first-timers
who had been unsuccessful in previous
applications for two or more BTOs in non-
mature towns/estates.
Punggol Edge near Edgedale Plains and
Tampines Expressway consists of five blocks
making up 688 flats and one block of 446
rental units. Prices for a three-room flat at
Punggol Edge and Waterway SunDew start
from $163,000 while prices for a five-room
unit start from $326,000. In Choa Chu Kang,
a three-room flat in in Keat Hong Pride start
from $138,000 while prices for a five-room flat
start from $284,000. Prices for studio
apartments at Bendemeer Light and McNair
Towers start from $124,000 while a four-room
unit in the same town starts from $467,000.
SINGAPORE PROPERTY WEEKLY Issue 54
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Top bid for 99-year Sengkang condo site
at $383.333m
The 99-year leasehold site located near
Sengkang MRT Station and Compass Point
mall attracted a total of five bids, with the top
bid at $383.333 million or $527.65 psf ppr
from EL Development. While the five bids
reflect the expected competition in the region
from upcoming supply, the top bid, which was
10% higher than the next highest bid
suggests EL Development’s thirst for land. EL
Development’s plan for the project includes
14 15-storey blocks making up a total of more
than 800 units ranging from one-bedroom to
four-bedroom and dual-key units. There will
also be an Olympic-sized pool and at least
one tennis court and a clubhouse. The
project, which may be launched by Q! 2013,
have an estimated breakeven cost and
average selling price of $900 psf and $1,000-
1,050 psf, respectively.
Commercial
99-year leasehold hotel site in Jurong on
reserve list
A 97,166 sq ft hotel site along Jurong Town
Hall Road has been released under the
reserve list. The first hotel site released in the
Jurong Lake district, its 2.1 plot ratio means
that it can yield a maximum GFA of 204,051
sq ft or 500-530 hotel rooms. Some believe
that the site would not be triggered since
there is no established hotel market in
suburban areas and the proposed Jurong
Lake District commercial hub is not fully
developed, despite the site’s proximity to
Jurong East MRT station. However, if the site
is to be triggered, the site may fetch a top bid
SINGAPORE PROPERTY WEEKLY Issue 54
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of $170-185 million or $833-907psf ppr.
House of Tan Yeok Nee said to be sold to
ERC Holdings
Two-storey freehold House of Tan Yeok Nee,
a gazetted national monument, is said to be
in the process of being sold to private
commercial-school operator ERC Holdings for
around $60 million. Located at the corner of
Penang Road and Clemenceau Avenue, its
58,000 sq ft of strata area is currently
occupied by The University of Chicago Booth
School of Business, which will likely continue
to lease the space for a few years.
SINGAPORE PROPERTY WEEKLY Issue 54
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Developer Sentiment on Property Market Unexpectedly Improves
By Mr. Propwise
Many observers of the Singapore property
market believe that based on a host of local
and external factors, sentiment towards
buying real estate should be weak. Locally,
we have a large amount of upcoming supply
coming on to the market in the next few
years, and greater caution on the part of the
government in letting too many foreigners in
due to political pressure. Externally, we have
plummeting stock markets worldwide, weak
employment numbers in the United States
and an uncertain situation in Europe. If any
crisis happens, Singapore will certainly not be
spared given the open nature of our
economy.
SINGAPORE PROPERTY WEEKLY Issue 54
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Based on the above laundry list of worries, a
rational person could be expected to come to
the conclusion that property sentiment and
sales should thus be weakening. But he’d be
wrong. Strong demand at some mass market
condo launches have led to increased
optimism among developers and has in turn
supported developer demand for landbank
replenishment outside of the central areas.
And you can’t blame the developers – despite
all the things they should be worried about,
what they see is buyers lapping up projects
they put up for sale, and record prices being
achieved for certain areas.
Developer sentiment index finally rises
after four declining quarters
The 1Q12 REDAS-NUS sentiment index
(composite), a quarterly survey that senior
executives of most major developers
participate in to gauge their sentiment
towards the market, after four declining
quarters, finally increased to 4.6 in the first
quarter (versus the trough of 3.3 last quarter).
A score below 5 (out of 10) reflects a belief
that property market conditions are
worsening, but the change in the index over
time is reflective of the trend of developer
sentiment.
The Composite Sentiment Index is made up
of the Current Sentiment Index and the
Future Sentiment Index. The Current
Sentiment Index, which asks survey
respondents to rate current conditions versus
six months ago, improved from 3.5 in 4Q11 to
4.8 in 1Q12. The Future Sentiment Index,
which asks survey respondents to rate their
expectations of market conditions over the
next six months, improved from 3.1 in 4Q11
SINGAPORE PROPERTY WEEKLY Issue 54
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to 4.4 in 1Q12.
Furthermore, 77% of developers surveyed
expected more residential property launches
over the next six months, up from 54% last
quarter. Only 35% of developers surveyed in
1Q12 expected moderately lower prices for
the next six months, versus 67% the last
quarter.
Strong demand for landbank remains
Developers’ optimism about the residential
market, and in particular the mass market
residential segment, has translated into
strong demand for suburban condo sites. The
recent tenders for condo plots in Jurong and
Sengkang, which were both sold for higher
PSF PPR prices than similar nearby plots
bought two years ago, show that developers
continue to believe in the strength of this
segment, and are betting with their wallets
that prices will not come down significantly (if
at all).
Are they justified in this belief? Only time will
tell…
SINGAPORE PROPERTY WEEKLY Issue 54
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Non-Landed Residential Resale Property Transactions for the Week of May 16 – May 22
Postal
DistrictProject Name
Area
(sqft)
Transacted
Price ($)
Price
($ psf)Tenure
3 THE REGENCY AT TIONG BAHRU 926 1,370,000 1,480 FH
4 HARBOURLIGHTS 829 1,265,000 1,526 FH
4 CARIBBEAN AT KEPPEL BAY 1,216 1,825,000 1,500 99
4 HARBOUR VIEW TOWERS 797 1,120,000 1,406 99
5 ONE-NORTH RESIDENCES 603 970,000 1,609 99
5 CLEMENTIWOODS CONDOMINIUM 1,001 1,210,000 1,209 99
5 KENTVIEW PARK 1,184 1,350,000 1,140 FH
5 TREASURE PLACE 1,356 1,500,000 1,106 FH
5 THE FOLIAGE 1,141 1,250,000 1,096 FH
5 THE FOLIAGE 1,690 1,600,000 947 FH
5 DOVER PARKVIEW 1,249 1,150,000 921 99
5 VARSITY PARK CONDOMINIUM 2,228 2,045,000 918 99
5 BUONA VISTA GARDENS 1,647 1,368,000 831 FH
7 TEXTILE CENTRE 883 795,000 901 99
7 TEXTILE CENTRE 883 795,000 901 99
8 KERRISDALE 1,259 1,354,000 1,075 99
8 RACE COURSE 138 1,184 1,160,320 980 FH
8 RACE COURSE 138 1,141 1,117,200 979 FH
9 VIDA 517 1,180,000 2,284 FH
9 RIVERGATE 1,023 2,030,000 1,985 FH
9 WATERMARK ROBERTSON QUAY 1,055 1,900,000 1,801 FH
9 ROBERTSON 100 883 1,470,000 1,665 FH
10 REGENCY PARK 3,649 6,700,000 1,836 FH
10 DUCHESS MANOR 990 1,633,000 1,649 999
10 DLV. 743 1,138,000 1,532 FH
Postal
DistrictProject Name
Area
(sqft)
Transacted
Price ($)
Price
($ psf)Tenure
10 THE TESSARINA 1,410 2,050,000 1,454 FH
10 VALLEY PARK 1,173 1,640,000 1,398 999
10 THE TESSARINA 1,324 1,850,000 1,397 FH
10 FAIRLODGE 1,313 1,630,000 1,241 FH
10 THE SERENADE @ HOLLAND 1,539 1,720,000 1,117 99
11 DUNEARN GARDENS 1,249 2,300,000 1,842 FH
11 MONTEBLEU 807 1,330,000 1,647 FH
11 NINETEEN SHELFORD ROAD 646 960,000 1,486 FH
11 M21 1,066 1,500,000 1,408 FH
11 THE ANSLEY 1,281 1,680,000 1,312 FH
11 PASADENA 1,410 1,850,000 1,312 FH
11 ADAM PARK CONDOMINIUM 1,109 1,365,000 1,231 FH
11 THE ARCADIA 3,735 4,200,000 1,124 99
12 TRELLIS TOWERS 549 850,000 1,548 FH
12 THE BELLEFORTE 1,023 1,250,000 1,222 FH
12 D'LOTUS 1,066 1,200,000 1,126 FH
13 MEYA LODGE 1,216 1,190,600 979 FH
14 ATRIUM RESIDENCES 947 940,000 992 FH
14 SIMSVILLE 980 865,000 883 99
15 THE SEA VIEW 1,647 2,650,000 1,609 FH
15 THE ATRIA AT MEYER 1,345 1,800,000 1,338 FH
15 HAWAII TOWER 2,239 2,860,000 1,277 FH
15 THE MEYER PLACE 1,367 1,728,888 1,265 FH
15 EASTERN LAGOON 753 940,000 1,248 FH
15 EAST VIEW 1,098 1,308,800 1,192 FH
SINGAPORE PROPERTY WEEKLY Issue 54
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NOTE: This data only covers non-landed residential resale property
transactions with caveats lodged with the Singapore Land
Authority. Typically, caveats are lodged at least 2-3 weeks after a
purchaser signs an OTP, hence the lagged nature of the data.
Postal
DistrictProject Name
Area
(sqft)
Transacted
Price ($)
Price
($ psf)Tenure
15 THE MAKENA 1,636 1,905,000 1,164 FH
15 FORTUNE JADE 1,087 1,150,000 1,058 FH
15 DE CASALLE 1,184 1,120,000 946 FH
15 LAGUNA PARK 1,615 1,520,000 941 99
15 MANDARIN GARDEN CONDOMINIUM 1,572 1,400,000 891 99
15 LEGENDA AT JOO CHIAT 1,238 1,080,000 872 99
15 THE PROMINENCE 1,970 1,480,000 751 FH
15 TELOK INDAH 1,399 975,000 697 99
16 COSTA DEL SOL 1,313 1,650,000 1,256 99
16 EAST MEADOWS 861 895,000 1,039 99
16 IDYLLIC EAST 1,033 998,000 966 FH
16 BAYSHORE PARK 1,292 1,230,000 952 99
16 CHANGI COURT 1,163 1,080,000 929 FH
16 PARBURY HILL CONDOMINIUM 1,206 1,060,000 879 FH
17 FERRARIA PARK CONDOMINIUM 883 860,000 974 FH
18 LIVIA 1,345 1,310,000 974 99
18 CHANGI RISE CONDOMINIUM 1,496 1,220,000 815 99
18 SAVANNAH CONDOPARK 1,733 1,230,000 710 99
18 MELVILLE PARK 1,335 920,000 689 99
18 MELVILLE PARK 1,399 959,000 685 99
19 KOVAN MELODY 904 1,065,000 1,178 99
19 THE SPRINGBLOOM 1,453 1,390,000 957 99
19 NOUVELLE PARK 1,173 1,085,000 925 FH
19 CHUAN PARK 1,528 1,340,168 877 99
19 ROSALIA PARK 1,690 1,380,000 817 FH
20 GOLDENHILL PARK CONDOMINIUM 1,561 1,980,000 1,269 FH
20 GRANDEUR 8 1,195 1,195,000 1,000 99
20 THE GARDENS AT BISHAN 2,411 2,000,000 829 99
Postal
DistrictProject Name
Area
(sqft)
Transacted
Price ($)
Price
($ psf)Tenure
21 THE CASCADIA 1,507 2,650,000 1,759 FH
21 PINE GROVE 1,744 1,550,000 889 99
21 PINE GROVE 1,755 1,500,000 855 99
21 SHERWOOD TOWER 1,485 995,000 670 99
23 HILLBROOKS 1,238 1,250,000 1,010 FH
23 HILLINGTON GREEN 1,528 1,528,000 1,000 999
23 HILLINGTON GREEN 2,669 2,120,000 794 999
23 PALM GARDENS 958 760,000 793 99
23 REGENT HEIGHTS 1,023 778,000 761 99
25 ROSEWOOD 1,023 820,000 802 99
26 SEASONS PARK 1,249 1,038,000 831 99
26 FOREST HILLS CONDOMINIUM 1,227 895,000 729 99
27 EUPHONY GARDENS 2,196 1,230,000 560 99