Chee Hoon Ave GCB site sold for $22.9m

The 15,184 sq ft GCB plot located at 8 Chee Hoon Ave had been sold for $22.9 million or $1,508 psf of land area. It has a square shape and a frontage of around 37m along Chee Hoon Avenue. It is located near Botanic Gardens, Cluny Court and Serene Centre, and schools such Anglo-Chinese School, Nanyang Primary and Raffles Girls’ Primary.

(Source: Business Times)

Private home sales driven by HDB upgraders

48% or 17,590 of the 36,887 home sales were made by HDB upgraders in 2012, a 17% increase from 2011’s figure. This was largely driven by sales in the primary market. The increase in private home sales was despite loan curbs in October 2011 and mainly a result of the low interest rates and the demand for private homes by HDB upgraders.

Looking ahead, transaction volume is likely to fall in the short term as a result of the latest cooling measures, but will likely moderate in the short term. Nevertheless, transaction volumes is expected to hold since demand is likely to remain strong as Singaporeans are currently allowed to own both HDB flat and private residential property, a policy which may change in the future. While mass-market private homes are likely to remain affordable, rental yields may fall by 2-3% which may result in a fall in demand from buyers looking for a high-yield investment.

(Source: Business Times)

Two 99-year confirmed list residential sites yielding 1,100 homes released

The first, a site at Kim Tian Road near Tiong Bahru MRT station, can yield a potential of 500 units on its 473,000 sq ft maximum GFA. The site with a maximum GPR of 4.0 is likely to see five to 10 bids given its location, with a top bid of $870-920 psf ppr or $411-435 million.

The second is a site with a maximum GPR of 3.0 at Sengkang West Way. It can potentially yield 555 units on its 536,000 sq ft maximum GFA. It is located along Sungei Punggol and near Layar and Fernvale LRT stations, and enjoys a waterfront location. Four to eight bids are expected for the site, with a top bid of $400-450 psf ppr, or $214-241 million.

The tenders for the sites close on April 18 and April 11 respectively.

(Source: Business Times)

Prices of non-landed private homes rise in January

According to NUS’s Singapore Residential Price Index (SRPI), prices of non-landed private homes saw a 0.3% increase in January from December, with the prices of small units (up to 506 sq ft) islandwide increasing the most by 2.6%, compared to a 0.7% in December. This is likely a result of the recent cooling measures, which may have led to an increase preference for the more affordable small units. Resale prices of homes (excluding small units) in the Central Region saw a 0.7% increase in January, while the resale prices in the Non-Central Region (excluding small units) fell by 0.1%. The RPI is expected to fall by 1-3% in 2013 as a result of the cooling measures and weaker demand. Nevertheless, the sub-index for the Non-Central Region is likely to increase in the next few months given the strong demand and demand for resale homes will be supported by the low interest rates and price gap between resale homes and new homes.

(Source: Business Times)

Shoebox units to benefit from new tax policy

The latest tax structure announced on Feb 25 could benefit shoebox units. Under the new structure, the first $8,000 annual value (AV) will not be subject to taxes compared to the current threshold of $6,000 AV and the tax rate for the next $47,000 AV will remain at 4%. Since most such shoebox units have annual gross rental of less than $55,000, they are likely to be subject to lower taxes under the new policy. However, homes bought for investment purposes will see higher taxes imposed since the property tax rate for non-owner-occupied residential properties and vacant residential properties is now more than twice the rate for owner-occupied properties, assuming similar AV. High-end homes will see not only higher property tax rates since most have a gross annual income exceeding $55,000 but also the increased ABSD rates. Most HDB flats however, are unlikely to be affected by the new tax rules given that gross annual rental income are usually under $30,000.

(Source: Business Times)


Four more strata office units in Samsung Hub up for sale

Following Church Street Holdings offer of six strata units recently, four more strata office units on the 14th floor of 999-year leasehold 30-storey Samsung Hub in Raffles Place have been put up for sale at $3,300 psf or $43.3 million, a gross yield of more than 3% per annum. The strata area of these four units ranges from 2,906 sq ft to 3,875 sq ft, with a total of 13,110 sq ft. The tender will close on March 28.

(Source: Business Times)

Punggol F&B site attracts nine bids

The 15-year leasehold 11,606.6 sq m site at Punggol Point zoned for food and beverage (F&B) use has attracted a total of nine bids, with the top bid of $11.4 million or $352 psf ppr or $3,789.6 per sq m of GFA from Fragrance Group. Its maximum permissible GFA which includes the outdoor refreshment area is 3,000 sq m.

(Source: Business Times)

Yio Chu Kang Rd Freehold space up for sale

The 13,394 sq ft freehold space at 158 Yio Chu Kang Road which can be used for transport facilities and parking of vehicles such as transport depots, carparks and petrol kiosks has been put up for sale. The owner is also willing to consider the sale on a 30-year leasehold basis. It has a frontage located on a main arterial road between Serangoon Gardens and Serangoon Central. It could potentially be developed for other usage but that would require approval from the authorities. The EOI exercise ends on March 27 at 4pm.

(Source: Business Times)

Hotel and Commercial DC rates saw highest increase in recent revision

In the latest revision of development charge (DC) rates, the average DC rate for residential landed use increased by 4% while the rate for non-landed use remained unchanged. The average DC rate for industrial use increased 0.6%. The highest increase came from the 26% increase in the average DC rate for commercial use, followed by 26% for hotel use, likely in response to strong land bids at state tenders in the past half year.

Specifically, the highest increase in commercial DC rate of 39% was in geographical sectors 114 and 115 (which include Yishun, Sembawang, Woodlands, Choa Chu Kang and Jurong West), followed by a 33% increase in sector 60 (which includes Thomson Road, Irrawaddy Road and Moulmein Road), sector 106 (which includes Seletar) and sector 107 (which includes Upper Thomson and Sembawang Hills). The smallest increase of 9% came from Sector 42 (near Orchard MRT Station). 116 of the 118 geographical sectors saw an increase in DC rates while the two remaining sectors had DC rates left unchanged.

The highest increase of 46% for the hotel DC rate was in Sector 112 (which includes the Jurong Lake District), followed by 42% in Sector 60. Sectors 58, 61 and 62 each saw a 34% increase in DC rates. Like the above, 116 sectors saw an increase in the DC rates while the remaining two sectors were left unchanged.

4 sectors had their industrial DC rates changed; of which there are sector 115 (26%) and sector 114 (16%). The rest were unchanged. For the landed residential DC rates, there were increases of 7-15% in 41 sectors with no changes in the rest. The highest increase of 15 per cent was in Sectors 92, 93, 95, 96 and 97.

(Source: Business Times)

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