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Surbana Jurong has won the HDB Design Award 2019 with City Vue@Henderson, in the Completed Projects (Housing) Category
As the debate continues on whether The Pinnacle at Duxton's 5 room HDB flats are worth more than $1.3 million, the recent sale of a 1,216 sq ft, five-room HDB flat at City Vue @ Henderson is the latest HDB flat to have clinched the record as the most expensive resale to date, according to data from Huttons Asia. Resale data from HDB shows that this 41st floor unit was sold for $1.4 million in May.
Prices for Housing Board resale flats edged up for the 22nd straight month in April, as demand continues to outstrip supply. A four room HDB flat at Pinnacle@Duxton was resold for $1.228 million, setting the record for the highest transacted price for a four room HDB flat and a five room HDB flat at Pinnacle@Duxton was resold at $1.39 million in March 2022 setting the record for the highest transacted price for a five room HDB flat.
City Vue @ Henderson was built with respect for the memories the residents have for the Redhill area the project is located in. The design idea was to retain the trees, reduce the feel of concreteness and optimise the space with greenery – while going for close to 50 stories.
Prices for Housing Board resale flats edged up for the 22nd straight month in April, as demand continues to outstrip supply. A four room HDB flat at Pinnacle@Duxton was resold for $1.228 million, setting the record for the highest transacted price for a four room HDB flat and a five room HDB flat at Pinnacle@Duxton was resold at $1.39 million in March 2022 setting the record for the highest transacted price for a five room HDB flat.
City Vue @ Henderson was built with respect for the memories the residents have for the Redhill area the project is located in. The design idea was to retain the trees, reduce the feel of concreteness and optimise the space with greenery – while going for close to 50 stories.
The sale of the $1.4 million HDB flat is the first resale at that block this year. Previously, the most expensive transaction recorded at that block was for the sale of another 1,216 sq ft, five-room flat that fetched $1.256 million when it was sold last November.
“With construction delays due to Covid-19, this almost new flat offers the opportunity for buyers to move in fast. It is also rare to have new five-room flats in mature estates,” says Lee Sze Teck, senior director (research) at Huttons Asia. He adds that residents in the area benefit from the amenities and transportation choices nearby. For example, Tiong Bahru and Redhill MRT Stations — which are on the East-West Line — are close to the property.
“With construction delays due to Covid-19, this almost new flat offers the opportunity for buyers to move in fast. It is also rare to have new five-room flats in mature estates,” says Lee Sze Teck, senior director (research) at Huttons Asia. He adds that residents in the area benefit from the amenities and transportation choices nearby. For example, Tiong Bahru and Redhill MRT Stations — which are on the East-West Line — are close to the property.
Real estate professional Kiwi Lim from Huttons Asia believe there is great potential for City Vue @ Henderson's HDB flats to sell beyond $1.4 mil as other sellers are listing theirs for higher as City Vue @ Henderson is meticulously created with spacious parks and terraces on rooftop gardens for the 1,232 units and play spaces linked by skybridges connecting 5 blocks at the 28th floor, in 2 clusters, for the project that spans 27, 40 and 48 stories with seats and tables placed amidst the lush greenery to allow residents to still feel a sense of restful shelter despite the height of the 48 and 40-storey blocks.
To date, the most expensive resale HDB flats have been sold within the past two years. Previously, the record was held by the sale of a 1,151 sq ft, five-room flat on Cantonment Road for $1.388 million in March. Before that, a 1,291 sq ft, five-room DBSS unit on Bishan Street 24 was sold for $1.36 million last December.
To date, the most expensive resale HDB flats have been sold within the past two years. Previously, the record was held by the sale of a 1,151 sq ft, five-room flat on Cantonment Road for $1.388 million in March. Before that, a 1,291 sq ft, five-room DBSS unit on Bishan Street 24 was sold for $1.36 million last December.
According to consolidated resale data from HDB by EdgeProp Singapore, units at Blk 96A Henderson Road have set strong resale prices over the past two years. (Source: EdgeProp Singapore/HDB/URA)
Edgeprop online news on 19 May 2022
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From 9 May 2022, Additional Buyer’s Stamp duty (ABSD) of 35 per cent now will apply on any transfer of residential property into a living trust occurring on or after May 9, the Ministry of Finance (MOF) announced on 8 May 2022 (Sunday) just a few minutes before midnight.
ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust, MOF said in a media release late on Sunday.
An identifiable beneficial owner of a trust residential property refers to a person identified in the trust deed or document as a beneficiary of the residential property and who, because of the trust, has beneficial ownership of the residential property that is not, under the terms of the trust, revocable, variable, or subject to any condition subsequent.
ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust, MOF said in a media release late on Sunday.
An identifiable beneficial owner of a trust residential property refers to a person identified in the trust deed or document as a beneficiary of the residential property and who, because of the trust, has beneficial ownership of the residential property that is not, under the terms of the trust, revocable, variable, or subject to any condition subsequent.
Currently, when a residential property is transferred into a living trust, Buyer’s Stamp Duty (BSD) is payable. ABSD may also be payable, depending on the profile of the beneficial owner(s) of the residential property transferred into the trust.
Where the living trust is structured such that there is no identifiable beneficial owner at the time when the residential property is transferred into the trust, ABSD currently does not apply. ABSD may also be payable, depending on the profile of the beneficial owners of the residential property transferred into the trust.
The Ministry of Finance while conducting its periodic policy review, will now introduce ABSD (Trust) at 35%, to address and close this gap. With this change, ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust.
ABSD aims to promote a stable and sustainable residential property market, and as such, it should apply to transfers of residential properties into all living trusts, irrespective of whether there are identifiable beneficial owners of the residential properties transferred into such trusts. ABSD (Trust) is to be payable upfront, when the residential property is transferred into any living trust.
Where the living trust is structured such that there is no identifiable beneficial owner at the time when the residential property is transferred into the trust, ABSD currently does not apply. ABSD may also be payable, depending on the profile of the beneficial owners of the residential property transferred into the trust.
The Ministry of Finance while conducting its periodic policy review, will now introduce ABSD (Trust) at 35%, to address and close this gap. With this change, ABSD will be payable even if there is no identifiable beneficial owner at the time the residential property is transferred into a trust.
ABSD aims to promote a stable and sustainable residential property market, and as such, it should apply to transfers of residential properties into all living trusts, irrespective of whether there are identifiable beneficial owners of the residential properties transferred into such trusts. ABSD (Trust) is to be payable upfront, when the residential property is transferred into any living trust.
Concession:
As a concession, a trustee may apply to IRAS for a refund of ABSD (Trust), provided that the following conditions are met:
a) All beneficial owners of the residential property are identifiable individuals;
b) Beneficial ownership of the residential property has vested in all of these beneficial owners at the time of property transfer into the trust; and
c) The beneficial ownership cannot be varied or revoked, or be subject to any condition subsequent, under the terms of the trust.
The refund amount will be based on the difference between the ABSD (Trust) rate of 35% and the ABSD rate corresponding to the profile of the beneficial owner with the highest applicable ABSD rate. The application for the refund must be made to IRAS within six months after the instrument is executed. For more information, please visit www.iras.gov.sg.
Real estate professional Kiwi Lim from Huttons Asia believe the coincidental timing of this piece of news may be the government's reaction to the huge success at the preview of Piccadilly Grand this weekend where an estimated 77% of the total number of units were sold in one weekend.
As a concession, a trustee may apply to IRAS for a refund of ABSD (Trust), provided that the following conditions are met:
a) All beneficial owners of the residential property are identifiable individuals;
b) Beneficial ownership of the residential property has vested in all of these beneficial owners at the time of property transfer into the trust; and
c) The beneficial ownership cannot be varied or revoked, or be subject to any condition subsequent, under the terms of the trust.
The refund amount will be based on the difference between the ABSD (Trust) rate of 35% and the ABSD rate corresponding to the profile of the beneficial owner with the highest applicable ABSD rate. The application for the refund must be made to IRAS within six months after the instrument is executed. For more information, please visit www.iras.gov.sg.
Real estate professional Kiwi Lim from Huttons Asia believe the coincidental timing of this piece of news may be the government's reaction to the huge success at the preview of Piccadilly Grand this weekend where an estimated 77% of the total number of units were sold in one weekend.
Ministry of Finance news article published on 8 May 2022 at 11:56pm
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CITY Developments Ltd (CDL) and MCL Land launched the preview sale for the 407-unit integrated city fringe condominium Piccadilly Grand on 7 May 2022 (Saturday) to a roaring success with 315 units out of the whole 407 unit project sold - making up approximately 77% of its total number of units. Piccadilly Grand is the first condo launch (developments with condo facilities) for 2022 and is expected to be closely watched by the market to gauge sentiment and demand from homebuyers.
Units sold ranged from $1.06 million ($2,190 psf) for a one-bedroom unit to $3.676 million ($1,798 psf) for a 2,045 sq ft, five-bedroom premium unit. The project achieved average prices of about $2,150 psf, which has set a new benchmark for District 8 with locals making up 90% of the buyers while the remaining 10% of buyers are Permanent Residents and foreigners from China, India, Malaysia, the USA, Hong Kong, and Indonesia.
Piccadilly Grand - a 99-year-leasehold project in the Farrer Park area would be the first major private residential development to come to market since cooling measures were introduced four months ago. Prices at Piccadilly Grand start at S$1.058 million for a one-bedroom apartment, which translates to about S$2,186 per square foot (psf), and go up to over S$3 million for 5-bedroom units ranging from 1,582 sq ft to 1,679 sq ft.
Piccadilly Grand’s attributes as a rare integrated development with direct access to Farrer Park MRT station and its excellent location so close to the city centre are keys to its success.
Units sold ranged from $1.06 million ($2,190 psf) for a one-bedroom unit to $3.676 million ($1,798 psf) for a 2,045 sq ft, five-bedroom premium unit. The project achieved average prices of about $2,150 psf, which has set a new benchmark for District 8 with locals making up 90% of the buyers while the remaining 10% of buyers are Permanent Residents and foreigners from China, India, Malaysia, the USA, Hong Kong, and Indonesia.
Piccadilly Grand - a 99-year-leasehold project in the Farrer Park area would be the first major private residential development to come to market since cooling measures were introduced four months ago. Prices at Piccadilly Grand start at S$1.058 million for a one-bedroom apartment, which translates to about S$2,186 per square foot (psf), and go up to over S$3 million for 5-bedroom units ranging from 1,582 sq ft to 1,679 sq ft.
Piccadilly Grand’s attributes as a rare integrated development with direct access to Farrer Park MRT station and its excellent location so close to the city centre are keys to its success.
The 10-ha redevelopment site, indicated in red, currently has a field, former boxing gym, Farrer Park Swimming Complex and Farrer Park Tennis Centre. (Image: Housing & Development Board)
On 25 April, the government announced a 10ha site in Farrer Park that will be redeveloped into a public housing estate with about 1,600 HDB flats, with about 20 per cent of the site set aside as open spaces for sports and recreational uses. This will include a 1.2ha central green space comprising a field and a park integrated with sports and recreational facilities including a new sports centre at the location of the Farrer Park Swimming Complex.
Real estate professional Kiwi Lim from Huttons Asia believe this timely news is beneficial for Piccadilly Grand as it enhances the Farrer Park estate with more facilities allowing future residents to enjoy access to a wider range of amenities within and beyond Piccadilly Grand including commercial shops and social communal facilities in the upcoming HDB estate with a jogging track weaving through the entire housing estate connecting various sports and recreational facilities. Other facilities around the estate such as three-generation playgrounds and fitness corners will create a seamless experience for the community to keep fit and stay active. These upcoming developments in Farrer Park with its proximity to the city centre will enhance its attractiveness for younger families looking for public housing with plenty of amenities and facilities that are near to their parents living in District 08 and District 07 with a shorter commute to workplaces in the city.
The BTO flats are slated to be launched for sale in the next three years and HDB did not reveal if these upcoming BTO flats will be under the PLH BTO model when they are launched within these three years.
The site - bounded by Dorset Road, Keng Lee Road, Hampshire Road and Race Course Road located near Little India and Farrer Park MRT stations has been earmarked for residential use since 1998 under URA's Master Plan, in line with the Government’s commitment to redevelop brownfield sites.
Real estate professional Kiwi Lim from Huttons Asia believe this timely news is beneficial for Piccadilly Grand as it enhances the Farrer Park estate with more facilities allowing future residents to enjoy access to a wider range of amenities within and beyond Piccadilly Grand including commercial shops and social communal facilities in the upcoming HDB estate with a jogging track weaving through the entire housing estate connecting various sports and recreational facilities. Other facilities around the estate such as three-generation playgrounds and fitness corners will create a seamless experience for the community to keep fit and stay active. These upcoming developments in Farrer Park with its proximity to the city centre will enhance its attractiveness for younger families looking for public housing with plenty of amenities and facilities that are near to their parents living in District 08 and District 07 with a shorter commute to workplaces in the city.
The BTO flats are slated to be launched for sale in the next three years and HDB did not reveal if these upcoming BTO flats will be under the PLH BTO model when they are launched within these three years.
The site - bounded by Dorset Road, Keng Lee Road, Hampshire Road and Race Course Road located near Little India and Farrer Park MRT stations has been earmarked for residential use since 1998 under URA's Master Plan, in line with the Government’s commitment to redevelop brownfield sites.
A conceptual plan for the Farrer park site. (Image: Housing & Development Board)
Edgeprop online 8 May 2022
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A four-room unit at Pinnacle@Duxton fetched $1.228 million last month in April, setting the record for the highest transacted price for a four-room HDB flat among resale flats in Singapore.
The four-room unit at Pinnacle@Duxton set a new record, surpassing the previous record set in March, where another four-room flat in the same block but on a higher floor was sold for $1.21 million.
The number of million-dollar Housing Board flats tripled last year and resale prices climbed for 22 consecutive months even after new property cooling measures were introduced in Dec 2021.
Just what made these flats so attractive to their buyers? Typically, they are large units on high floors with unblocked views, in a convenient central location and not more than 20 years old. But not all fit this mould. Data shows that a number of older units or those on lower floors were transacted at high prices because they possessed desirable traits, such as prime location and larger-than-usual size.
The four-room unit at Pinnacle@Duxton set a new record, surpassing the previous record set in March, where another four-room flat in the same block but on a higher floor was sold for $1.21 million.
The number of million-dollar Housing Board flats tripled last year and resale prices climbed for 22 consecutive months even after new property cooling measures were introduced in Dec 2021.
Just what made these flats so attractive to their buyers? Typically, they are large units on high floors with unblocked views, in a convenient central location and not more than 20 years old. But not all fit this mould. Data shows that a number of older units or those on lower floors were transacted at high prices because they possessed desirable traits, such as prime location and larger-than-usual size.
Where Million Dollar Flats Were Located In 2021
HDB resale flat prices rose 1.1 per cent last month, a quicker pace compared with March's 0.7 per cent, according to flash data from real estate portals 99.co and SRX on Thursday (May 5).
Price hikes were seen in both mature and non-mature estates, with prices increasing by 1 per cent in mature estates and 1.2 per cent in non-mature ones, compared with March where prices rose by 0.7 per cent and 0.9 per cent respectively.
Meanwhile, resale volume climbed by 0.2 per cent, with an estimated 2,273 units changing hands last month, up from the 2,269 units the month before.
The month of April saw 22 HDB resale flats changed hands for at least $1 million, down from 27 in March. Of these, five each were in the central area and Clementi, four units in Bukit Merah, three in Serangoon, two each in Toa Payoh and Ang Mo Kio and one in Bishan.
The 22 million-dollar flats made up 1 per cent of last month's total resale transactions.
"With a limited supply of prime location flats for sale, resale flat prices in these areas may continue to climb" Kiwi Lim from Huttons Asia explained: "Many young couples who are intending to have kids are choosing to buy resale flats in matured estates as they are not willing to wait 6 years to endure the long construction periods for new BTO flats. Moreover, the restrictions of PLH BTO flats may also hamper their asset progression plans as they find the 10 year MOP for new BTO PLH flats unappealing."
Price hikes were seen in both mature and non-mature estates, with prices increasing by 1 per cent in mature estates and 1.2 per cent in non-mature ones, compared with March where prices rose by 0.7 per cent and 0.9 per cent respectively.
Meanwhile, resale volume climbed by 0.2 per cent, with an estimated 2,273 units changing hands last month, up from the 2,269 units the month before.
The month of April saw 22 HDB resale flats changed hands for at least $1 million, down from 27 in March. Of these, five each were in the central area and Clementi, four units in Bukit Merah, three in Serangoon, two each in Toa Payoh and Ang Mo Kio and one in Bishan.
The 22 million-dollar flats made up 1 per cent of last month's total resale transactions.
"With a limited supply of prime location flats for sale, resale flat prices in these areas may continue to climb" Kiwi Lim from Huttons Asia explained: "Many young couples who are intending to have kids are choosing to buy resale flats in matured estates as they are not willing to wait 6 years to endure the long construction periods for new BTO flats. Moreover, the restrictions of PLH BTO flats may also hamper their asset progression plans as they find the 10 year MOP for new BTO PLH flats unappealing."
Straits Times Online 5 May 2022
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The current supply of new condo units in 2022 and 2023 won't be enough to end the supply crunch and Singapore may continue to see a shortage of supply in new condo units all the way till 2024
The Singapore government introduced extreme new measures in mid-December last year with the sole purpose of cooling the private and public residential real estate market, which raised very high taxes on second and subsequent property purchases and tighter TDSR limits on loans.
The new cooling measures saw additional buyer's stamp duties (ABSD) taxes increased by up to 10% to a whopping 25% ABSD taxes in addition to the normal stamp duty payable by Singaporeans buying their 3rd property leading analysts to wonder if the government is dissuading citizens from buying any more property due to a lack of supply in the market.
Not only that, the new cooling measure also made the TDSR stress test tougher to pass by lowering the 60% TDSR to 55% TDSR effectively assuming that the buyer took a 45% pay cut when calculating their mortgage loans.
Kiwi Lim from Huttons Asia said developers braced themselves for a knee jerk reaction from the market sentiment after the cooling measure announcement by not increasing prices even as construction costs and manpower costs are mounting and hurting developers' bottom line.
The new cooling measures saw additional buyer's stamp duties (ABSD) taxes increased by up to 10% to a whopping 25% ABSD taxes in addition to the normal stamp duty payable by Singaporeans buying their 3rd property leading analysts to wonder if the government is dissuading citizens from buying any more property due to a lack of supply in the market.
Not only that, the new cooling measure also made the TDSR stress test tougher to pass by lowering the 60% TDSR to 55% TDSR effectively assuming that the buyer took a 45% pay cut when calculating their mortgage loans.
Kiwi Lim from Huttons Asia said developers braced themselves for a knee jerk reaction from the market sentiment after the cooling measure announcement by not increasing prices even as construction costs and manpower costs are mounting and hurting developers' bottom line.
On 1st April 2022, UOL decided to increase the price for Avenue South Residence by around 1% on the back of rising cost of construction materials, e.g. steel which almost doubled to $1,300 by the 1st qtr of this year, on the back of high energy prices, supply chain disruptions and the war in Ukraine.
Other developers are expected to follow suit to slowly increase prices of various new launch condo projects as the market faced a double whammy of record low supply of available new condo units in Singapore coupled with rising construction costs. For example, The Florence Residences in suburban Hougang sold 98% and currently see units priced at more than $1,9xx psf amidst higher building costs.
This year's upcoming mass market new condo launches are expected to sell from around $2,000 psf onwards even for those in the OCR districts (Outside Central Region) due to the higher land costs from the bidding of the Government Land Sale Parcels (GLS).
Early this year in January 2021, CDL successfully clinched a GLS land parcel in Tanjong Katong for more than $1,300 psf ppr leading analysts to estimate its possible launch next year around $2,3xx psf.
Other developers are expected to follow suit to slowly increase prices of various new launch condo projects as the market faced a double whammy of record low supply of available new condo units in Singapore coupled with rising construction costs. For example, The Florence Residences in suburban Hougang sold 98% and currently see units priced at more than $1,9xx psf amidst higher building costs.
This year's upcoming mass market new condo launches are expected to sell from around $2,000 psf onwards even for those in the OCR districts (Outside Central Region) due to the higher land costs from the bidding of the Government Land Sale Parcels (GLS).
Early this year in January 2021, CDL successfully clinched a GLS land parcel in Tanjong Katong for more than $1,300 psf ppr leading analysts to estimate its possible launch next year around $2,3xx psf.
ABSD for foreigners was significantly increased by 10% points to reach 30%. Some consider the increase in ABSD for foreigners to have limited effect as Singapore’s economy recovers and the government allows quarantine-free travel arrangements with more countries saw more enquiries for properties from foreigner buyers and expatriates. Most of these expatriates will help to support our rental market while a portion of them may be keen to buy city fringe (RCR) or core central region (CCR) properties despite the higher 30% ABSD for foreigners buying Singapore properties. The increase in ABSD is not expected to affect foreign buying demand much, especially when borders’ measures are gradually relaxed, leading to the return of overseas buyers.
"Low interest rates, limited supply and strong demand are some factors that have led to the increase in home prices last year leading to a 10.6% increase in private home prices in 2021. However, property prices is expected to climb at a slower pace due to rising home loan interest rates and the economic uncertainties brought about by rapidly rising fuel costs due to the Russian-Ukraine war. Therefore, I believe Singapore's residential property prices are expected to rise slower between 3% to 5% this year in 2022." said Kiwi Lim
"Low interest rates, limited supply and strong demand are some factors that have led to the increase in home prices last year leading to a 10.6% increase in private home prices in 2021. However, property prices is expected to climb at a slower pace due to rising home loan interest rates and the economic uncertainties brought about by rapidly rising fuel costs due to the Russian-Ukraine war. Therefore, I believe Singapore's residential property prices are expected to rise slower between 3% to 5% this year in 2022." said Kiwi Lim
Straits Times Online - 4 May 2022
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The first BTO project in the Greater Southern Waterfront is expected to be launched within the next three years, which will kickstart the transformation of the area into a mega waterfront development. This project is part of HDB flats that will be built on the 48ha site of the Keppel Club - which will be redeveloped for housing when Keppel Golf Club's lease expired on 31 Dec 2021. Another 3,000 units are expected to be private housing.
Measuring around 48 hectares – about the size of 86 football fields, this area will see about 6,000 Housing and Development Board (HDB) BTO flats built on the site of Keppel Club, with the first Build-to-Order (BTO) project expected to launch within three years announced Minister for National Development Desmond Lee on 12 April 2022 (Tuesday).
Being close to the coast as well as green spaces, the Keppel Club site will offer unique waterfront living, close to nature within a central location with Labrador Park MRT and Telok Blangah MRT stations nearby. This new town is expected to adopt a "car-lite” model in the estate, enabling residents to get around easily by walking or cycling. The housing estate will have new parks and open spaces which feature walking trails that connect to the MRT stations providing residents with easy access to transport nodes and new social and commercial facilities. Green roofs on lower rise blocks can also supplement the green spaces to serve as additional habitats for butterflies and smaller urban bird species.
HDB will also set aside close to 10 hectares or about 20 per cent of the site area for parks and open spaces to develop:
- The Central Corridor: a central green park running through the centre of the site
- Berlayer Corridor: a 30m-wide extension along Berlayer Creek protecting existing mangrove forest
- Henderson Corridor: a linear park along the eastern boundary of the Keppel Club site, which also serves as an avian connectivity path
- The Northern Corridor: a landscaped linear green connecting the other 3 corridors
The green corridors at Keppel Club will also be part of the new Labrador Nature Park Network to enhance greenery along the surrounding areas, the Labrador Nature Park Network will comprise more than 200 hectares of green spaces including the Labrador Nature Reserve, Labrador Nature Park, Berlayer Creek and Pasir Panjang Park, and the mature secondary forests along the Southern Ridges.
Measuring around 48 hectares – about the size of 86 football fields, this area will see about 6,000 Housing and Development Board (HDB) BTO flats built on the site of Keppel Club, with the first Build-to-Order (BTO) project expected to launch within three years announced Minister for National Development Desmond Lee on 12 April 2022 (Tuesday).
Being close to the coast as well as green spaces, the Keppel Club site will offer unique waterfront living, close to nature within a central location with Labrador Park MRT and Telok Blangah MRT stations nearby. This new town is expected to adopt a "car-lite” model in the estate, enabling residents to get around easily by walking or cycling. The housing estate will have new parks and open spaces which feature walking trails that connect to the MRT stations providing residents with easy access to transport nodes and new social and commercial facilities. Green roofs on lower rise blocks can also supplement the green spaces to serve as additional habitats for butterflies and smaller urban bird species.
HDB will also set aside close to 10 hectares or about 20 per cent of the site area for parks and open spaces to develop:
- The Central Corridor: a central green park running through the centre of the site
- Berlayer Corridor: a 30m-wide extension along Berlayer Creek protecting existing mangrove forest
- Henderson Corridor: a linear park along the eastern boundary of the Keppel Club site, which also serves as an avian connectivity path
- The Northern Corridor: a landscaped linear green connecting the other 3 corridors
The green corridors at Keppel Club will also be part of the new Labrador Nature Park Network to enhance greenery along the surrounding areas, the Labrador Nature Park Network will comprise more than 200 hectares of green spaces including the Labrador Nature Reserve, Labrador Nature Park, Berlayer Creek and Pasir Panjang Park, and the mature secondary forests along the Southern Ridges.
The 48-hectare site currently occupied by Keppel Club will be redeveloped to host about 6,000 public housing flats with the rest expected to be built up as private residential units. PHOTO: NPARKS, MND
The first build-to-order (BTO) HDB flats on the Keppel Club site, which are expected to be highly sought after, are slated to launch within the next 3 years. The remaining units are progressively scheduled for in the next 3 to 5 years, according to the Urban Redevelopment Authority (URA).
The housing developments will feature “sky rise greenery” and “landscaped terraces” allowing residents to live in an eco-friendly environment close to the city centre. This is part of the government's efforts to move towards having more housing options and mixed-use development in the central region bringing homes closer to jobs. There are also plans to transform the nearby Pasir Panjang Power Station buildings into a distinctive and vibrant mixed-use district characterised by its unique industrial heritage and waterfront. National Parks Board (NParks) will introduce several new green spaces along Alexanda Stream, at Berlayer Creek and at King's Dock. NParks is also adding a waterfront extension at Pasir Panjang Park. Together with the new parks at the Keppel Club site, there will be a total of more than 25 hectares of new green spaces.
HDB is still deciding whether these new flats will fall under the Housing and Development Board's Prime Location Public Housing (PLH) model as they will be considering factors such as the project's locational attributes and market values.
The housing developments will feature “sky rise greenery” and “landscaped terraces” allowing residents to live in an eco-friendly environment close to the city centre. This is part of the government's efforts to move towards having more housing options and mixed-use development in the central region bringing homes closer to jobs. There are also plans to transform the nearby Pasir Panjang Power Station buildings into a distinctive and vibrant mixed-use district characterised by its unique industrial heritage and waterfront. National Parks Board (NParks) will introduce several new green spaces along Alexanda Stream, at Berlayer Creek and at King's Dock. NParks is also adding a waterfront extension at Pasir Panjang Park. Together with the new parks at the Keppel Club site, there will be a total of more than 25 hectares of new green spaces.
HDB is still deciding whether these new flats will fall under the Housing and Development Board's Prime Location Public Housing (PLH) model as they will be considering factors such as the project's locational attributes and market values.
Keppel Club’s 30-year lease on the land which ended Dec 31, 2021, has been granted several extensions, the latest till Mar 31, 2023, to facilitate its clearance and reinstatement of the site. The property was zoned Residential under the URA 2019 Master Plan - Straits Times
Developers who are keen to ballot for the GLS land plots there may need to wait a few more years as no timeframe was given on when the land plots might be parcelled out for tender for private residential development to allow URA to calibrate the pace of both residential and commercial space supply release carefully.
Keppel Club’s 30-year lease on the land which ended Dec 31, 2021, has been granted several extensions, the latest till Mar 31, 2023, to facilitate its clearance and reinstatement of the site. The property was zoned Residential under the URA 2019 Master Plan.
Nearby in Bukit Merah, the median resale prices of 5-room HDB flats was S$750,000 in March, while the median for 4-room flats in the resale market was S$735,000, according to latest data from SRX. In the private residential market, near the Greater Southern Waterfront - Avenue South Residence developed by UOL Group with 92% of the units already sold are seeing its available units selling above $2,300 per square foot (psf) according to data from URA's Realis platform.
Keppel Club’s 30-year lease on the land which ended Dec 31, 2021, has been granted several extensions, the latest till Mar 31, 2023, to facilitate its clearance and reinstatement of the site. The property was zoned Residential under the URA 2019 Master Plan.
Nearby in Bukit Merah, the median resale prices of 5-room HDB flats was S$750,000 in March, while the median for 4-room flats in the resale market was S$735,000, according to latest data from SRX. In the private residential market, near the Greater Southern Waterfront - Avenue South Residence developed by UOL Group with 92% of the units already sold are seeing its available units selling above $2,300 per square foot (psf) according to data from URA's Realis platform.
Kiwi Lim from Huttons Asia noted that just nearby in Telok Blangah, HDB launched Telok Blangah BTO flats in 2021 seeing 4 room BTO flats selling above S$700,000 with more than 3,000 applicants fighting for 70 four-room Build-To-Order (BTO) flats resulting in one of the highest application rates in history.
HDB recently announced to buyers at three BTO projects to expect further delays of at least 3 months to 6 months due to tight manpower shortage causing buyers of Tampines GreenCourt, Clementi NorthArc and Woodleigh Hillside BTO projects who were expecting their flats to be ready in the third quarter of this year - already a delayed completion date - to wait longer between three and six more months for their homes.
"I believe HDB may want to settle these construction delays that may last thru 2023 before launching the new BTO flats at Keppel Club. If HDB launch these BTO flats after 2023, I expect the 4 room flats to be priced around $850,000 and 5 room flats around S$1 million if these BTOs are not classified under the PLH model which has more restrictions on buyers. Keppel Club future development will integrate the best attributes the government has gathered from developing Punggol 21, Bidadari Town and Marina Bay coupled with the additional upside from The Greater Southern Waterfront." said Kiwi Lim.
HDB recently announced to buyers at three BTO projects to expect further delays of at least 3 months to 6 months due to tight manpower shortage causing buyers of Tampines GreenCourt, Clementi NorthArc and Woodleigh Hillside BTO projects who were expecting their flats to be ready in the third quarter of this year - already a delayed completion date - to wait longer between three and six more months for their homes.
"I believe HDB may want to settle these construction delays that may last thru 2023 before launching the new BTO flats at Keppel Club. If HDB launch these BTO flats after 2023, I expect the 4 room flats to be priced around $850,000 and 5 room flats around S$1 million if these BTOs are not classified under the PLH model which has more restrictions on buyers. Keppel Club future development will integrate the best attributes the government has gathered from developing Punggol 21, Bidadari Town and Marina Bay coupled with the additional upside from The Greater Southern Waterfront." said Kiwi Lim.
Extracted From Straits Times News On 12 April 2022
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A new record price was set for a 3,272 sq ft penthouse unit at Midtown Modern in downtown Bugis for $14 million
Singapore-listed property group GuocoLand's iconic integrated city fringe condo development - Midtown Modern has achieved a new record price for a private residential condo in District 07 when a buyer secured the 3,272 sq ft penthouse unit for $14 million last month or $4,278 psf.
This is the last of two penthouses in the 558-unit development to be sold. The first penthouse unit was sold during the project’s initial launch in March last year. That 3,520 sq ft unit was sold for $14.83 million ($4,213 psf) in March 2021.
Till today, 74% of the total units in the whole Midtown Modern integrated development has been sold. Current avail units at Midtown Modern consists of one bedroom units priced from $3,6xx psf onwards, last unit of two bedroom at nearly $3,300 psf, three bedroom units from $2,6xx psf onwards and four bedroom units from $2,5xx psf onwards.
The 99-year leasehold condominium is a joint venture between GuocoLand and Hong Leong and comprises two 30-storey towers and a retail podium, will feature around 10 thematic gardens and landscaped areas, a 50m swimming pool, clubhouse, tennis court, hot spring and tea house, among others.
This is the last of two penthouses in the 558-unit development to be sold. The first penthouse unit was sold during the project’s initial launch in March last year. That 3,520 sq ft unit was sold for $14.83 million ($4,213 psf) in March 2021.
Till today, 74% of the total units in the whole Midtown Modern integrated development has been sold. Current avail units at Midtown Modern consists of one bedroom units priced from $3,6xx psf onwards, last unit of two bedroom at nearly $3,300 psf, three bedroom units from $2,6xx psf onwards and four bedroom units from $2,5xx psf onwards.
The 99-year leasehold condominium is a joint venture between GuocoLand and Hong Leong and comprises two 30-storey towers and a retail podium, will feature around 10 thematic gardens and landscaped areas, a 50m swimming pool, clubhouse, tennis court, hot spring and tea house, among others.
Midtown Modern begins at the arrival lounge. The mood in this high-ceilinged lobby is shaped by the light through the glass elevator shaft. Bright and cheery in the day, quieter and more intimate as dusk approaches
In total, around 90 per cent of all 1- and 2-bedroom units at Midtown Modern, and close to 50 per cent of all 3-bedroom units were sold. In addition, eight 4-bedroom units were also snapped up with the majority of buyers being Singaporeans. Current avail prices ranged from S$1.487 million for a one-bedroom unit, to S$6.86 million for a 4-bedroom unit.
Many owner-occupier buyers of Midtown Modern belong to younger age groups or smaller household sizes who loved the location and felt that the two and three-bedroom unit layouts are well designed for liveability.
Expected to be completed by 2024, Midtown Modern is surrounded by an amazing variety of eateries and range of amenities with direct connection to the Bugis MRT interchange station (served by the East-West and Downtown lines), 5 star hotels, grade A offices, entertainment venues, shopping malls, convention centres and more.
Many owner-occupier buyers of Midtown Modern belong to younger age groups or smaller household sizes who loved the location and felt that the two and three-bedroom unit layouts are well designed for liveability.
Expected to be completed by 2024, Midtown Modern is surrounded by an amazing variety of eateries and range of amenities with direct connection to the Bugis MRT interchange station (served by the East-West and Downtown lines), 5 star hotels, grade A offices, entertainment venues, shopping malls, convention centres and more.
Located in a vibrant neighbourhood in District 07, Piccadilly Grand - a joint development by both CDL and MCL Land - is the perfect home for residents who desire the ultimate convenience of an integrated condo lifestyle.
Real estate agency Huttons Asia's Kiwi Lim felt that Midtown Modern's latest record psf price for its penthouse is not surprising in today's property market because it is a rare brand new integrated condo development especially when its in the city fringe. There are only a handful of integrated condo projects - estimated less than 5% of all condo developments in Singapore offer such ultimate lifestyle convenience to its residents.
For investors or potential buyers who missed Midtown Modern's VIP preview launch, there is another rare upcoming integrated condo development in District 08 developed by two powerhouse developers CDL and MCL Land that will be expected to launch for preview soon next week - Piccadilly Grand.
For investors or potential buyers who missed Midtown Modern's VIP preview launch, there is another rare upcoming integrated condo development in District 08 developed by two powerhouse developers CDL and MCL Land that will be expected to launch for preview soon next week - Piccadilly Grand.
Edgeprop Singapore online article
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Map: STRAITS TIMES GRAPHICS Source: HDB
HDB just announced the selection of Blocks 562 to 565, comprising 606 units along Ang Mo Kio Avenue 3 is the latest site to be announced under the Selective En bloc Redevelopment Scheme (SERS) for redevelopment. Flat owners can look forward to moving to Ang Mo Kio Drive. The replacement site will offer about 1,065 new flats. This is the first SERS announcement in nearly four years.
The new flats will be sold at subsidised prices and frozen at the time of the SERS announcement. They are not subject to further market movements, thereby providing SERS flat owners with greater certainty.
SERS flat owners will be invited to register and choose their flats in this site first. Following that, any surplus flats could be offered to the public through a Sale of Balance Flats (SBF) exercise or open booking.
But while this means modern new amenities for residents, some are concerned about how the big move will disrupt long-time social support networks for elderly residents – and the impact this dislocation could have on their mental and physical well-being, if not properly managed.
The value of HDB flats in Ang Mo Kio is expected to go up after the announcement of the SERs and over time, the gap between prices of HDB flats and private property will narrow even further.
The new flats will be sold at subsidised prices and frozen at the time of the SERS announcement. They are not subject to further market movements, thereby providing SERS flat owners with greater certainty.
SERS flat owners will be invited to register and choose their flats in this site first. Following that, any surplus flats could be offered to the public through a Sale of Balance Flats (SBF) exercise or open booking.
But while this means modern new amenities for residents, some are concerned about how the big move will disrupt long-time social support networks for elderly residents – and the impact this dislocation could have on their mental and physical well-being, if not properly managed.
The value of HDB flats in Ang Mo Kio is expected to go up after the announcement of the SERs and over time, the gap between prices of HDB flats and private property will narrow even further.
Timeline for residents of Blocks 562 to 565 in Ang Mo Kio Avenue 3 under the SERs exercise. Credit: HDB Graphics
Besides choosing a flat in the new precinct offered, Ang Mo Kio SERS flat owners also have other rehousing options:
- Apply for a flat elsewhere with SERS rehousing benefits under Build-To-Order (BTO) or Sale of Balance Flats (SBF) exercise where there is a 10% priority allocation (excluding Community Care Apartments and Prime Location Public Housing flats, if applicable) or open booking.
- Notes:
- BTO, SBF or open booking application must be submitted by 31 May 2023.
- The Delivery Possession Date of the BTO or balance flat must not be later than 31 March 2029.
- Notes:
- Sell the existing SERS flat in the open market, where it is likely to command a premium above its market value at the time of the SERS announcement, due to the SERS rehousing benefits. Alternatively, SERS flat owners can transfer the flat with the rehousing benefits.
- Notes:
- There will be a 1-month freeze on resale or transfer of a SERS flat following the SERS announcement, to give flat owners more time before making a decision.
- Resale or transfer applications can only be submitted from 7 May 2022 onwards not later than 31 Mar 2023.
- Any Option to Purchase for resale applications can only be signed from 7 May 2022 onwards and not later than 31 Mar 2023.
- Notes:
- Receive an ex-gratia payment of $30,000 plus SERS grant, if eligible, on top of SERS compensation instead of the SERS rehousing benefits.
Artist's impression of replacement flats located at Ang Mo Kio Drive. (Image: HDB)
In 2017, then-Minister for National Development, Lawrence Wong said that not all old HDB flats will be eligible for SERS as under the government’s criteria, only about 5 per cent of all HDB flats are suitable for redevelopment under Sers and most of these projects with high redevelopment potential have already been announced. To date, more than 41,000 households in 82 sites, including the current Ang Mo Kio site, have benefited from the scheme.
The government has already stated that terms for VERS will be less generous than SERS, although details have not been confirmed yet. With VERS, homeowners in selected precincts where flats are aged 70 years and older, will get to decide if they want their flats to be taken back by the government before the lease runs out. This is unlike SERS where residents have to surrender their flats upon receiving the announcement.
For homeowners, SERS is preferred over VERS, but it’s also more to do with the government’s vision. Kiwi Lim from real estate agency Huttons Asia believe that the government may use SERS to acquire older HDB flats in city fringe areas such as the Greater Southern Waterfront because they need more space or they want to upgrade that development. The government is expected to be very selective of future SERs HDB blocks moving forward.
The government has already stated that terms for VERS will be less generous than SERS, although details have not been confirmed yet. With VERS, homeowners in selected precincts where flats are aged 70 years and older, will get to decide if they want their flats to be taken back by the government before the lease runs out. This is unlike SERS where residents have to surrender their flats upon receiving the announcement.
For homeowners, SERS is preferred over VERS, but it’s also more to do with the government’s vision. Kiwi Lim from real estate agency Huttons Asia believe that the government may use SERS to acquire older HDB flats in city fringe areas such as the Greater Southern Waterfront because they need more space or they want to upgrade that development. The government is expected to be very selective of future SERs HDB blocks moving forward.
Four years ago, the last SERs exercise by HDB was announced in 2018 for three blocks of flats at Blocks 81 to 83 MacPherson Lane.A total of 313 residential units, most of which are two-room and three-room flats, will be affected, along with 27 shops and two eating houses. Residents of the 50-year-old flats will be offered replacement units in three brand-new 17-storey or 19-storey blocks of flats being built on Circuit Road, which will have an estimated 630 units expected to be completed in the second quarter of 2023 near MacPherson MRT station and the Pan-Island Expressway.
The new flats will have recreational and communal facilities, as well as a commercial block with a supermarket, shops and two eating houses. Elder and childcare centres will also be available. Affected residents will have to move out of their current flats between the fourth quarter of 2023 and first quarter of 2024.
Eight years ago, in 2014, the inclusion of Tanglin Halt – one of Singapore’s oldest estates – under the SERs scheme was one of the largest SERS exercises to date as 3,480 Tanglin Halt households had to be moved as part of the Selective En-Bloc Redevelopment Scheme (SERS) to rejuvenate older housing estates. Affected residents were allocated new flats at five nearby sites, and have already moved into finished units at Dawson Vista and Forfar Heights, etc.
The new flats will have recreational and communal facilities, as well as a commercial block with a supermarket, shops and two eating houses. Elder and childcare centres will also be available. Affected residents will have to move out of their current flats between the fourth quarter of 2023 and first quarter of 2024.
Eight years ago, in 2014, the inclusion of Tanglin Halt – one of Singapore’s oldest estates – under the SERs scheme was one of the largest SERS exercises to date as 3,480 Tanglin Halt households had to be moved as part of the Selective En-Bloc Redevelopment Scheme (SERS) to rejuvenate older housing estates. Affected residents were allocated new flats at five nearby sites, and have already moved into finished units at Dawson Vista and Forfar Heights, etc.
Straits Times online article on 7 April 2022
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Source: URA
An executive condominium (EC) site in Bukit Batok West Avenue 8 that was launched for sale via public tender in Dec last year saw it breaking all previous EC records with the top bid of $266 million among nine bidders, or $661.67 psf ppr, coming from a joint venture between Qingjian Realty and Santarli Construction beating their previous record bid of $659 psf ppr for the Tampines Street 62 EC site in July 2021.
The Bukit Batok executive condo land parcel is expected to yield 375 residential units. It has a site area of 12,449.30 square metres (sq m) and maximum gross floor area of 37,348 sq m, with maximum building height of 60-70 metres. Its top bid of $662 psf ppr is 9.8% higher than that of the nearby Tengah Garden Walk EC plot, which was awarded in June 2021 to a joint venture between City Developments and MCL Land for $603 psf ppr.
ECs have always been popular among home buyers due to their more affordable prices, and tend to appeal to some first-time home owners or HDB upgraders who are least affected by the recently announced property cooling measures. This upcoming Bukit Batok executive condo is in an area where private housing supply is fairly limited, with the last private residential project there being the nearby Le Quest - a nearby mixed use development also developed by Qingjian Realty.
The Bukit Batok executive condo land parcel is expected to yield 375 residential units. It has a site area of 12,449.30 square metres (sq m) and maximum gross floor area of 37,348 sq m, with maximum building height of 60-70 metres. Its top bid of $662 psf ppr is 9.8% higher than that of the nearby Tengah Garden Walk EC plot, which was awarded in June 2021 to a joint venture between City Developments and MCL Land for $603 psf ppr.
ECs have always been popular among home buyers due to their more affordable prices, and tend to appeal to some first-time home owners or HDB upgraders who are least affected by the recently announced property cooling measures. This upcoming Bukit Batok executive condo is in an area where private housing supply is fairly limited, with the last private residential project there being the nearby Le Quest - a nearby mixed use development also developed by Qingjian Realty.
Source: URA
In the second tender, a 99-year leasehold private housing site in Dairy Farm Walk in the Upper Bukit Timah area drew seven bids, with the highest at $347 million, or $980 per sq ft per plot ratio (psf ppr), coming from a partnership between Sim Lian Land and Sim Lian Development.
The site - spanning 15,663.2 sq m, the parcel has a maximum gross floor area of 32,893 sq m and an expected yield of about 385 units, was hotly contested with the top three bids within 3 per cent of each other. Developers remain confident in the suburban residential market which is likely to see sustained demand from first-time buyers and home upgraders.
Nearby, there's a 460-unit Dairy Farm Residences which is also 95 per cent sold, with 81 units going for an average price of 1,680 psf after the new curbs were introduced.
Unsold stock in the suburbs was at an estimated record low of 3,972 units as at the end of 2021, this balance inventory of unsold mass market homes could potentially be snapped up in less than a year, based on the annual average sales of about 4,900 new OCR units between 2017 and 2021.
The site - spanning 15,663.2 sq m, the parcel has a maximum gross floor area of 32,893 sq m and an expected yield of about 385 units, was hotly contested with the top three bids within 3 per cent of each other. Developers remain confident in the suburban residential market which is likely to see sustained demand from first-time buyers and home upgraders.
Nearby, there's a 460-unit Dairy Farm Residences which is also 95 per cent sold, with 81 units going for an average price of 1,680 psf after the new curbs were introduced.
Unsold stock in the suburbs was at an estimated record low of 3,972 units as at the end of 2021, this balance inventory of unsold mass market homes could potentially be snapped up in less than a year, based on the annual average sales of about 4,900 new OCR units between 2017 and 2021.
Executive condominiums are generally not as affected by property cooling measures and wealth real estate taxes as they are for owner-occupiers and first-time buyers. With the diminishing supply of new EC units in the market, it is no surprise that nine developers fought for this piece of land as developers seek a less risky executive condo land site to add to their land inventory.
Real estate consultant Kiwi Lim from Huttons Asia estimates that at the land rate of $662 psf ppr, next year's EC buyers may expect record prices from $1,350 psf onwards starting with this upcoming Bukit Batok West executive condominium.
Developers are still trying to replenish their land banks amid the latest round of property curbs in December 2021 through government land sales (GLS) land parcels as the momentum for en bloc market slowed after the recent cooling measure raised developer's ABSD from 25% to 35% when purchasing residential properties if they could not sell all their units within five years. Developers also face an additional 5% non-remittable ABSD. Kiwi Lim believe developers will still consider en bloc if a development's location and pricing are attractive and if Government Land Sale (GLS) sites are not suitable. The current available inventory of unsold private residential units in the property market have fallen to a record low never seen since 2006.
Real estate consultant Kiwi Lim from Huttons Asia estimates that at the land rate of $662 psf ppr, next year's EC buyers may expect record prices from $1,350 psf onwards starting with this upcoming Bukit Batok West executive condominium.
Developers are still trying to replenish their land banks amid the latest round of property curbs in December 2021 through government land sales (GLS) land parcels as the momentum for en bloc market slowed after the recent cooling measure raised developer's ABSD from 25% to 35% when purchasing residential properties if they could not sell all their units within five years. Developers also face an additional 5% non-remittable ABSD. Kiwi Lim believe developers will still consider en bloc if a development's location and pricing are attractive and if Government Land Sale (GLS) sites are not suitable. The current available inventory of unsold private residential units in the property market have fallen to a record low never seen since 2006.
Source: Straits Times
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Nearly one-third of HDB blocks and 14% of HDB neighbourhoods have reached one or more of the EIP limits.
Housing and Development Board (HDB) announced on 8 March 2022 (Tuesday) that flat owners constrained by the Ethnic Integration Policy (EIP) who face “genuine difficulties” selling their homes will be able to sell them back to the Housing and Development Board (HDB) at “a fair price”.
Under the EIP, introduced in 1989, quotas are set for flats owned by each racial group in an HDB block or neighbourhood to avoid concentrations of any ethnic group. When a limit is reached, there can be no further sale of flats to the affected group, unless the seller and buyer are from the same ethnic group.
Minister for National Development Desmond Lee has repeated the need for the Ethnic Integration Policy (EIP) remaining an “important” part of combating racism and building racial harmony as it ensures “inclusive and diverse neighbourhoods” preventing ethnic concentrations to form in different areas, while noting that some owners may face difficulties selling their flats with these limits.
Under the EIP, introduced in 1989, quotas are set for flats owned by each racial group in an HDB block or neighbourhood to avoid concentrations of any ethnic group. When a limit is reached, there can be no further sale of flats to the affected group, unless the seller and buyer are from the same ethnic group.
Minister for National Development Desmond Lee has repeated the need for the Ethnic Integration Policy (EIP) remaining an “important” part of combating racism and building racial harmony as it ensures “inclusive and diverse neighbourhoods” preventing ethnic concentrations to form in different areas, while noting that some owners may face difficulties selling their flats with these limits.
Current assistance given to flat owners trying to sell their flat facing challenges due to the Ethnic Integration Policy (EIP) includes giving them more time to sell their flat, or waiving the EIP limits in “exceptional circumstances”. But it would not be sustainable to keep doing so as it would "erode the very objectives the EIP seeks to achieve".
After studying various ideas, including giving grants to households who have to sell their flats at significantly lower prices, he said the "most feasible" option would be to buy back the flats.
Minister for National Development Desmond Lee explained that this is not a decision the government make lightly, because it requires significant government resources. But the government believe it is the right thing to do, because the EIP is good for Singapore, helping to foster a more cohesive society.
After studying various ideas, including giving grants to households who have to sell their flats at significantly lower prices, he said the "most feasible" option would be to buy back the flats.
Minister for National Development Desmond Lee explained that this is not a decision the government make lightly, because it requires significant government resources. But the government believe it is the right thing to do, because the EIP is good for Singapore, helping to foster a more cohesive society.
From Mar 8, HDB will buy back flats from eligible EIP-constrained flat owners who are unable to sell their homes at a reasonable price.
This includes owners who bought their flats from HDB and the resale market, regardless of whether the flat was EIP-constrained at the time of purchase. HDB and the Ministry of National Development said requests will be assessed on a case-by-case basis, considering criteria such as whether they have fulfilled the Minimum Occupation Period and owned the flat for at least 10 years.
Owners should also have made regular genuine attempts to sell their flat over a continuous period of at least six months at a reasonable asking price while constrained by one or more EIP limits.
To set a “reasonable asking price”, sellers can take reference from recent transaction prices for flats located within 200m of theirs, and make adjustments to account for attributes such as storey height and orientation.
In addition, owners should keep monthly records of their marketing attempts throughout this period and submit them to HDB when seeking assistance. These records include online or print property listings detailing the asking price and listing date, and records of flat viewings.
“EIP-constrained flat owners who do not fulfil these criteria, but who face extenuating circumstances, may seek special consideration from HDB,” said the release.
This includes owners who bought their flats from HDB and the resale market, regardless of whether the flat was EIP-constrained at the time of purchase. HDB and the Ministry of National Development said requests will be assessed on a case-by-case basis, considering criteria such as whether they have fulfilled the Minimum Occupation Period and owned the flat for at least 10 years.
Owners should also have made regular genuine attempts to sell their flat over a continuous period of at least six months at a reasonable asking price while constrained by one or more EIP limits.
To set a “reasonable asking price”, sellers can take reference from recent transaction prices for flats located within 200m of theirs, and make adjustments to account for attributes such as storey height and orientation.
In addition, owners should keep monthly records of their marketing attempts throughout this period and submit them to HDB when seeking assistance. These records include online or print property listings detailing the asking price and listing date, and records of flat viewings.
“EIP-constrained flat owners who do not fulfil these criteria, but who face extenuating circumstances, may seek special consideration from HDB,” said the release.
For owners who are assessed to be eligible, HDB will appoint a professional licensed valuer to value their flat. The valuer will then make their assessment based on “established valuation principles”.
HDB will then determine the buyback price and make an offer for the flat at a fair price,” said the authorities. Flat owners have up to three months to decide if they want to accept the buyback offer. If they reject it, they will not be eligible for the assistance for 12 months after the offer lapses. The flats bought back by HDB will become part of its housing stock and be offered for public sale again through the Sale of Balance Flats exercises or open booking.
As with all flats sold through Sale of Balance Flats exercises or open booking, HDB will apply a significant subsidy to the assessed market value of the flat to determine the sale price. After that, a household’s eligibility to book the flat will depend on the prevailing ethnic proportions in the block and neighbourhood when they are invited to select a flat.
HDB will then determine the buyback price and make an offer for the flat at a fair price,” said the authorities. Flat owners have up to three months to decide if they want to accept the buyback offer. If they reject it, they will not be eligible for the assistance for 12 months after the offer lapses. The flats bought back by HDB will become part of its housing stock and be offered for public sale again through the Sale of Balance Flats exercises or open booking.
As with all flats sold through Sale of Balance Flats exercises or open booking, HDB will apply a significant subsidy to the assessed market value of the flat to determine the sale price. After that, a household’s eligibility to book the flat will depend on the prevailing ethnic proportions in the block and neighbourhood when they are invited to select a flat.
Above is extracted from Channelnewsasia 8 March 2022 online article
