Singapore Property News This Week #196

Residential

Developer sales increase 62 percent to 372 units in January due to increase in launches

The sale of private homes by developers had increased by 62 percent to 372 units in January from 230 units in the previous month. According to the Business Times, this increase in sales transactions was due to an increase in property launches. These launches include the Marine Blue at Marine Parade, and the Symphony Suites at Yishun. 50 out of the 124 units at Marine Blue had been launched for sale. Thus far, 32 units have been sold at a median price of $1,829 psf. On the other hand, 54 units at the Symphony Suites have been sold at $1,010 psf. Nonetheless, the number of transactions in January this year is still 35 percent less than in January last year. The implementation of the cooling measures and loan curbs have curbed demand, said market experts. Ong Teck Hui from JLL believes that it is more challenging to launch projects during the festivities when demand is usually low. However, Desmond Sim from CBRE Research believes that demand may be picking up.

(Source: Business Times)

Luxury home prices down by 6% in 2014

Singapore’s luxury home prices fell by 6 percent in 2014. This is the highest drop in Asia, according to Jones Lang LaSalle. This decrease in prices is likely to have been a result of cooling measures and loan curbs that were implemented to keep property prices in check. According to Keppel Land, new home sales have halved in 2014 and residential prices have also remained weak. Market experts believe that the growth in Singapore’s residential market may stagnate in 2015 as Singapore’s economy is expected to be affected by slow growth in China. Furthermore, a report by Knight Frank suggests that Singapore will remain a high-end housing market as it is one of the most expensive cities to buy a luxury home in. Demand for luxury homes may also be affected by the increase in property taxes, said market experts.

(Source: Business Times)

Kingsford Waterbay opens for viewing

Located near Hougang MRT Station, Kingsford Waterbay has been launched for viewing. The 99-year leasehold private residential project comprises of 1,157 residential units. This includes one to five-bedroom apartments; strata terrace houses and strata semi-detached houses. Not only so, the riverfront residential project will include six commercial shops and a childcare centre. The project was built on two adjoining government land sales plots. Both plots account for a total of 27,292 square metres. According to Cui Zhengfeng from Kingsford Development, there will be water-themed recreational facilities within the riverfront development. The development will begin sales in early March. Market experts predict that the project will sell for between $1000 per square foot and $1050 per square foot.

(Source: Business Times)

Khaw: Supply-demand rebalancing

According to Minister for National Development Khaw Boon Wan, supply and demand for residential property is recalibrating. Khaw said that with an increase supply of residential units, prices have gone down for a full year in 2014. This move has helped to regulate the number of buyers and sellers in the property market. Previously, 200,034 new homes were expected to be built from 2014 to 2017. However, Khaw said that as the Housing Development Board eases supply for Build-To-Order flats, a total of 195,788 new homes are expected to be constructed during the same time period instead. Khaw added that the stock of housing units would have increased from 1.28 million this year to 1.43 million in 2018. This would be an 11 percent increase in the stock of housing units. Currently, 960,000 residential units have been developed by HDB while 320,000 are supplied by private developers.

(Source: Business Times)

Commercial

Frasers Tower along Cecil Street to be completed in 2018

Frasers Tower, a 38-storey Grade A office tower, will be completed in 2018. This development will be located at Cecil Street. It will have a total net lettable area of about 690,000 square feet, an open-space terrace and a roof garden. Not only so, the development will comprise of a 17,200 square feet park and a restaurant. The office tower itself will make up 664,000 square feet of net lettable area. This area will have column-free floor plates that are between 19,000 square feet to 21,000 square feet. According to a spokesperson from Frasers Centrepoint Limited, the office tower is expected to be the only CBD Grade A office development that will be completed in 2018. Its marketing efforts will begin by the end of this year.

(Source: The Straits Times)