Tag Archives: Landed Property

Wing Tai boss puts home on market for record S$300m

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Wing Tai Holdings Chairman Cheng Wai Keung is selling a good class bungalow near the Botanic Gardens for as much as S$300 million, which would make it a record price for a single residential property in Singapore.

The 85,000-square-foot site at 33 Nassim Road includes a two-storey home, swimming pool and tennis court, according to Jones Lang LaSalle, the sole marketing agent.

Mr Cheng, 62, is also Managing Director of Wing Tai, a property developer and retailer listed on the Singapore Exchange with a market capitalisation of about S$1.5 billion.

Mr Karamjit Singh, head of Investments and Residential at Jones Lang LaSalle, estimated that the property, which is located in an area that includes the residence of the British High Commissioner and the embassies of Japan and Russia, could fetch between S$250 million and S$300 million.

“Nassim Road is, undoubtedly, the most coveted of bungalow addresses in Singapore … It may be likened to Severn Road in Hong Kong or Kensington Palace Gardens in London, where the homes command record-breaking prices and every resident represents the respective society’s top brass,” he said.

The highest price paid for a home in Singapore was S$87.5 million in 2001 for a bungalow on Swettenham Road, also close to the Botanic Gardens, a 154-year-old park that is eyeing UNESCO World Heritage status.

The tender for the property closes on May 16.

Source : Today – 10 Apr 2013

GCBs still hot despite cooling measures

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A good class bungalow (GCB) at 8 Chee Hoon Avenue will be auctioned next month and is expected to fetch S$23 million, said marketing agent Savills.

With a land area of 15,184 sq ft, the elevated site offers a 37m frontage. It is within close proximity to various amenities like the Botanic Gardens, Cluny Court and Serene Centre, as well as reputable schools.

The bungalow will be put under the hammer on 27 February.

“I am expecting this property to be well received. It’s difficult to find a good class bungalow that ticks all the boxes. With this property, one gets regular shaped, well elevated land with a wide frontage; a north-south orientation and best of all, a prized address. This is an ideal site for someone who desires a beautiful piece of GCB land to build their dream home on,” noted Samuel Eyo, Director of Savills Prestige Homes.

Steven Ming, Deputy Managing Director of Savills, said GCBs usually appeal to end-users.

“Although they own multiple properties and would incur additional stamp duties in their purchase, the extra costs when averaged out over the period of stay would be insignificant.”

Meanwhile, Savills said that GCBs remain prized property despite market curbs and slower sales.

“Despite the ongoing economic turmoil, the scarcity factor of GCB properties will continue to shore up prices. After skyrocketing over the past three years, we expect a more moderate growth in GCB prices this year with much of it likely (to) be driven by properties in ultra-prime locations.”

Source : PropertyGuru – 21 Jan 2013

Bungalow sales heat up at Sentosa Cove

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Sales of bungalows at Sentosa Cove have picked up significantly in recent weeks, rebounding from the effects of the additional buyer’s stamp duty (ABSD), reported The Business Times.

Owners of around 12 bungalows issued options to potential buyers in the past two months, with interest coming mostly from foreigners, especially China nationals.

For instance, two homes on Pearl Island were reportedly sold for S$2,200-plus psf on land area. One bungalow at Paradise Island was said to have been sold for around S$22 million or just over S$2,380 psf on the 9,236 sq ft land area, while another property at Coral Island was sold for S$16.5 million or S$1,743 psf on the 9,464 sq ft land area.

In addition, a sea-fronting home at Cove Grove is said to have changed hands for around S$26 million or S$2,600 psf.

Over at Cove Drive, it was reported that two bungalows facing the waterway and Tanjong Golf Course were sold for over S$15 million. Another unit slightly further away on the same stretch was sold for about S$16.8 million or S$2,308 psf.

According to market watchers, renewed interest for Sentosa Cove homes is due to the stock market run-up, QE3, and a narrowing gap between bid and ask prices.

However, not many caveats were lodged for the recent bungalow deals, with most options yet to be exercised by buyers. Compared to 25 caveats for the whole of 2011, only six caveats were lodged in 1H2012 for Sentosa Cove bungalow purchases and two more thereafter.

Source : PropertyGuru – 8 Oct 2012

Haus@Serangoon Garden: 70% of phase 1 sold at weekend

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The bar for landed living has been set a notch higher as City Developments Limited (CDL) and joint venture partner Hong Realty (Private) Limited unveiled its latest development, Haus@Serangoon Garden during the weekend.

The well-loved Serangoon Gardens residential enclave, long known for its quaint and tranquil surroundings, will house 97 terraces which offer homeowners the things that matter most – luxury, space and convenience. At the weekend preview, 28 out of 40 units launched (70%) in Phase 1 were sold.

Prices begin from S$2.4 million for a 1,615 sq ft land intermediate terrace unit, and start from S$2.8 million for a 2,284 sq ft land corner terrace. The profile of buyers comprised mainly professionals – 75% were aged 45 and above, while the rest were in their mid-30s to 40s. About 40% of the buyers already reside in the vicinity presently.

Haus@Serangoon Garden has the honour of being the first ever landed housing estate in Singapore to win the top-tier Building and Construction Authority (BCA) Green Mark Platinum award.

Mr Chia Ngiang Hong, CDL’s Group General Manager, said: “Landed housing space is becoming increasingly scarce; even more so in mature estates such as the popular Serangoon Gardens residential enclave. Buyers recognise that Haus@Serangoon Garden is not only attractive in terms of its location and convenience, but also in the tastefully finished branded interiors and choices for personal preferences that cater to different lifestyles. We are not just building another development, but are looking to raise the bar to redefine the charms and joys of landed living.”

With landed housing space becoming increasingly rare, and even more so in well-established neighbourhoods, Haus@Serangoon Garden is set to attract those who value the centricity and prestige of living in charming Serangoon Gardens.

Bungalow market gaining momentum

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Although the bungalow market opened the year on a quiet note, activity is now starting to look more favourable, according to a report by The Business Times.

In the GCBA (Good Class Bungalow Area) segment, a two-storey bungalow located at Bishopsgate was sold for S$27 million, which works out to around S$1,674 psf, based on the 16,124 sq ft freehold land area. The six-bedroom property was acquired four years ago for S$19.4 million.

Other deals include a property at Jalan Kampong Chantek, which was transacted for S$14.88 million or S$1,522 psf on a 9,774 sq ft land area. At the same time, a deal at Chestnut Crescent was sealed for S$12.08 million or S$990 psf on a 12,200 sq ft plot.

But the biggest transaction in Q1 was said to be a vacant freehold GCBA site at Nassim Road, which was sold for S$47.842 million or S$2,000 psf on a land area of 23,922 sq ft.

Both the Nassim Road and Bishopsgate deals were brokered by Newsman Realty.

Over the next few weeks, more caveats are expected to come in. Estimates show that total transactions for Q1 2012 will likely be under S$200 million for GCBA deals.

In comparison, Q4 2011 deals reached S$239.7 million while a total of 57 deals which hit S$1.16 billion were recorded for the whole of last year.

Outside the GCBA segment, one of the latest bungalow deals includes an old single-storey property at Jalan Tupai, which was sold for S$21 million, or around S$2,005 psf.

Source : PropertyGuru – 5 Apr 2012

Bungalow market picks up speed

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After several weeks of stagnation, the bungalow market is starting to move again, as the stock market becomes more solid and the Eurozone crisis has shown improvement of late.

“The market is surprisingly getting back its momentum and buyers are making offers for units which are reasonably priced,” said William Wong, Managing Director at RealStar Premier Group, which specialises in bungalows around Good Class Bungalow (GCB) areas and other locations in Singapore.

For instance, a GCB at Oei Tiong Ham Park, situated on 11,000 sq ft of land, was priced at S$20 million prior to the additional buyer’s stamp duty (ABSD). It is now going for S$19 million.

Over at Ford Avenue, the price of a GCB on a 20,000 sq ft plot was reduced from S$40 million to S$36 million.

“The quantum of price adjustment depends on the owner’s motivation, but they’re more receptive nowadays to granting viewing appointments and more prepared to listen to any offers,” noted Wong.

Although no caveats for transactions in GCB areas have been lodged this year as yet, RealStar has brokered two such deals.

The first one is situated on a 19,100 sq ft freehold plot at Lornie Road and was sold for S$16.5 million (S$863.90 psf). The two-and-a-half storey property has a built-up area of around 8,700 sq ft, seven bedrooms and three small rooms. Meanwhile, the second bungalow sits on 11,000 sq ft of land close to the Coronation area and was sold for S$13 million.

Market watchers feel the ABSD does not have a direct impact on the GCB market on mainland Singapore, as buyers are locals and permanent residents (PRs).

Source : PropertyGuru – 13 Feb 2012

GCBs sold at surprisingly high prices

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Two good-class bungalows (GCBs), one in Tanglin Hill and the other in Victoria Park Road, have been sold for a total of S$105 million.

According to The Strait Times, both properties were acquired by Singaporeans. The two-storey Tanglin Hill bungalow was sold for S$57 million (approximately S$1,648 psf). It was completed in 1990 and is located on a 34,579 sq ft site with a built-up area of 8,000 sq ft.

Meanwhile, the bungalow at Victoria Park Road was sold for S$48 million (around S$1,496 psf).

The report said the high prices fetched for the two properties were surprising, as many had expected the property market to cool before the end of the year.

Source : PropertyGuru – 28 Nov 2011

Landed home prices to fall in some areas after new rules, say analysts

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Prices of landed homes in Telok Kurau, Kovan and Joo Chiat could fall by 10 to 20 per cent following the introduction of new rules by the Urban Redevelopment Authority (URA) to limit the number of apartments that can be built in low-density housing areas, property analysts said.

The rules, which kicked in on Thursday, are more likely to affect smaller developers, the analysts said. The plot size for all new flat developments in Singapore must now be at least 1,000 sq m and there is a cap on the number of units that can be built in a project in certain areas to prevent overcrowding.

Homeowners hoping to sell their plots for redevelopment in the areas identified by the URA as “problematic” will be particularly hit, analysts said. According to its circular to professional institutes, the URA named Telok Kurau, Kovan and Joo Chiat/Jalan Eunos estates.

Mr Eugene Lim, key executive officer at property consultancy ERA, said: “Developers are known to pay higher prices for land because they know they can build small units and they can price them at higher per square foot.

“There are now restrictions. You will see developers being less aggressive in their bids and we could possibly see prices for land in these areas coming down by as much as between 10 and 20 per cent.”

With the new requirements, developers will not be able to build as many units on the site. For instance, in the past, a 1,000-sq-m plot would yield about 20 units, but now the developers can build just over 10 units on the same plot.

Because the URA has limited the number of “shoebox” or small units that can be built in a project in order to improve the overall living environment, analysts said developers will now have to rethink their marketing strategy.

“If you are looking at a much larger unit, say about 1,200 sq ft and you are hoping to sell at the same unit price of S$1,000 psf, then you are talking about close to S$1.2 million, as opposed to less than a million kind of quantum. Therefore it may not be easy to sell,” said Ms Chia Siew Chuin, director of Research & Advisory at Colliers International.

But the upside of the new rules is that housing units will be better designed, more spacious and with larger areas for landscaping.

Source : Today – 25 Nov 2011

Higher prices for landed homes in Q3

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Landed home prices in Singapore grew at a faster pace than those of non-landed homes in the third quarter of this year, according to DTZ Research.

Average resale prices of leasehold landed homes in non-prime districts grew 3.8 percent quarter-on-quarter in Q3, while average resale prices of freehold landed homes in the prime districts of 9, 10 and 11 increased by 2.8 percent quarter-on-quarter.

In the non-landed sector, average resale prices of leasehold condominiums in suburban areas climbed at a slower rate of 2.5 percent quarter-on-quarter in Q3, while average resale prices of luxury condominiums in the prime districts of 9, 10 and 11 remained flat.

“Transactions in the high-end market have become more selective. Some projects still experience price increases. In a slower market, prices of the better designed and well-located projects will hold better,” said Margaret Thean, Executive Director for Residential at DTZ.

Meanwhile, the demand for private homes remains positive despite the volatility in the stock market and economic woes in the US and Europe.

Primary home sales averaged 1,373 units per month in July and August, while secondary home sales averaged 1,278 units per month in the same period.

In addition, the demand in the market was seen mostly in suburban areas. Sales in the Core Central Region (CCR) comprised 6.8 percent of total primary sales and 21.6 percent of total secondary sales in July and August.

“As many of these buyers are buying for owner-occupation and investment beyond four years due to the seller’s stamp duty (SSD) measure, they probably take a longer-term view and are thus less worried about the current global economic uncertainties,” said Chua Chor Hoon, Head of DTZ SEA Research.

“However, if the global outlook worsens and the economy continues to slow down, this will eventually affect buying sentiment and lead to less exuberant purchase activity.”

Source : PropertyGuru – 7 Oct 2011

GCB market continues slowdown

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Good Class Bungalow (GCB) deals have continued to dry up this month following the slowdown seen in the first half of 2011.

Just one caveat for a bungalow in a GCB area has been lodged for July so far, for a property at Andrew Road that sold for $8.88 million, or about $780 per square foot on land area.

There may be a few more caveats for deals sealed in July to trickle in over the next few weeks, say market watchers. Among them would be a bungalow at Coronation Road West that was just transacted for $12.6 million (about $1,140 psf).

Newsman Realty managing director KH Tan said: ‘We’ve seen more viewings for GCBs in July compared with June but these have yet to materialise into sales.’

Agents say the last major GCB deal was in June, when a bungalow at Dalvey Road fetched $34 million, or $1,688 psf. It sits on 20,139 sq ft of land.

The seller is understood to be Teng Ngiek Lian, founder of boutique fund manager Target Asset Management.

CB Richard Ellis’ analysis shows that a total 17 bungalows in GCB areas were sold in Q2 this year for $396.8 million. While the dollar quantum is 6.3 per cent higher than the $373.5 million done in Q1, the latest Q2 number is about half the $777.7 million achieved in Q2 last year.

The first half of this year has now seen $770.3 million of GCB deals, down 40 per cent from the nearly $1.3 billion in the same period last year.

However, transacted prices have appreciated. ‘While every GCB is unique, for a ballpark comparison based on per square foot of land area, the average price of GCBs sold in H1 2011 is $1,216 psf, an increase of 19.6 per cent over the $1,017 psf for GCB deals in H1 2010,’ says CBRE director (luxury homes) Douglas Wong, who specialises in GCB sales.

He attributes the slowdown in GCB deals in H1 2011 to the January 2011 property cooling measures, which introduced stiff seller’s stamp duty rates to discourage speculation and lower loan-to-value ratios for property investors.

Mr Wong expects the market to move along at a similar pace in the second half, resulting in a possible full-year 2011 tally of about 60-70 GCBs that may fetch about $1.4 billion-$1.5 billion. This would be a marked slowdown from last year’s record showing, when 121 deals were sealed for a total of nearly $2.3 billion.

‘Weaker market sentiment resulting from the debt crises in Europe and the US will overshadow the Singapore property market in the second half of this year,’ says CBRE’s Mr Wong.

RealStar Premier Group managing director William Wong suggests that the second-half figure may even fall below that of the first half. ‘This is due primarily to fears that the Singapore government may come up with further property cooling measures which, if implemented, may soften prices,’ he said.

Property agents also attribute the current paucity of GCB transactions to a standoff between potential buyers and sellers amid a widening price gap.

AC MacGyver managing director Alex Chua points to a lack of urgency among potential buyers to make a commitment, as most may already own a GCB and are looking for further properties just for investment. ‘We still receive offers but the prices are deemed conservative by the sellers,’ he said. The lack of urgency to purchase a GCB at this juncture is due to the view that the market may soften. ‘But even if the market does soften, most owners are likely to withdraw their properties from the market rather than sell them at lower prices, just like what we saw after Lehman’s collapse in late 2008,’ Mr Chua added.

RealStar’s Mr Wong adds that many GCBs on the market are being offered by parties who may already have sold some of their earlier GCB properties over the past two to three years. ‘For these owners, they will only divest any remaining GCBs if the price is irresistible as they don’t really need the cash from the sales.’

Market watchers say that another factors discouraging GCB investors from offloading their properties is the difficulty of finding replacement GCBs, given their limited supply, plus the January cooling measures on new purchase.