Tag Archives: singapore luxury homes

Luxury home prices fall in Q1: JLL

Posted on by
Reply

Singapore’s luxury home prices have fallen, according to property consultant Jones Lang LaSalle.

Prices in the first quarter fell 0.6 per cent quarter-on-quarter, and 4.3 per cent year-on-year.

Jones Lang LaSalle said the price decline was partly due to government measures to cool the property market.

Latest measures introduced in January this year are the seventh round of property cooling measures.

“Policy effect coupled with slower population and economic growth are likely to continue to add downside pressure to capital values, albeit moderately,” said Dr Chua Yang Liang, head of Research, Singapore and South East Asia at Jones Lang LaSalle.

“Growth in prices of mass market homes (is) significantly slower while new sales volume has also dropped, as recent data released by the Urban Redevelopment Authority has shown,” he added.

Dr Chua said that as a result, the price gap between high and mass market homes is likely to narrow, lending price support to the high-end segment in the mid-term.

At the same time, a separate report by another property consultant, CBRE, showed that Singapore’s first-quarter luxury home prices had remained flat but sales had slowed on a quarterly basis.

The report added that “both prices and rents will come under pressure in the months ahead, especially for newly completed projects which have been selling slowly”.

Besides Singapore, luxury home sales also declined in Hong Kong and some Chinese cities, mainly due to property tightening measures.

But overall, luxury home prices across Asia rose in the first quarter of this year.

The CBRE Asia Luxury Residential Price Index rose by 1.5 per cent in the first quarter, driven by strong price growth in New Delhi, Mumbai, Manila and Kuala Lumpur.

The Jones Lang LaSalle Residential Index showed that average capital values across the nine Asian markets it tracked were up 2.2 per cent quarter-on-quarter and 6.1 per cent year-on-year.

Source : Channel NewsAsia – 13 May 2013

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

Posted on by
Reply

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

High-end housing worst hit by curbs

Posted on by
Reply

The high-end housing segment will be most affected by the recent property curbs, Mr Kwek Leng Beng, Executive Chairman of City Developments (CDL), said yesterday, adding that “some correction” would be needed for the overall market.

Responding to a question on Budget 2013 and measures to cool the property market at CDL’s results briefing, Mr Kwek said: “The current economic crisis in Europe and global uncertainty create challenges to many countries. Some countries are addressing the widening income and wealth gaps.

“Singapore has looked into this issue and has moved forward to restructure its economy, making it sustainable in the longer term. The strategies mapped out by the Government will cause some pain before gain and, with its proven record, the private sector must come forward to support this move.”

The property cooling measures unveiled on Jan 11 include additional buyer’s stamp duty (ABSD), tighter loan-to-value limits and higher minimum cash down payments.

CDL reported its fourth-quarter net profit rose 52.8 per cent from the corresponding period a year ago, mainly due to robust sales and one-off gains. Net profit for the three months ended Dec 31 was S$249.3 million as revenue grew 22.8 per cent to S$886.4 million.

The one-off gains included profit on the sale of some property and an insurance settlement its Millennium & Copthorne unit received for a hotel in New Zealand that was closed after the February 2011 earthquake.

Net profit for last year fell 15.1 per cent to S$678.3 million, as revenue rose 2.2 per cent to S$3.35 billion.

CDL announced a special dividend of 5 cents per share, taking the total dividend for 2012 to 13 cents.

Source : Today – 1 Mar 2013

Luxury developer says no to offering discounts

Posted on by
Reply

Following the latest round of property cooling measures in Singapore, many developers have been offering “incentives” to buyers in the form of discounts to offset the stamp duty hike.

But builders of super prime properties have resisted such sales tactics. According to Alain Fanaie, Group CEO of China Sonangol Group, developments on “prime” spots do not need to attract buyers through such discounts.

“We do not foresee developers who are holding very prime sites to discount as scarcity value will override other considerations and we certainly do not expect a compromise on the specifications to save on construction costs,” said Fanaie.

The developer recently launched 21 Angullia Park, a luxury condo project comprising 54 apartments with units averaging S$4,500 per sq ft. Designed by SCDA Architects, the development is located at the junction of Orchard Boulevard and Paterson Road.

It achieved a sales value of about S$60 million even before the official launch, with all the buyers so far being foreigners and permanent residents (PRs) from countries like Indonesia, Australia and Monaco.

Meanwhile, Fanaie noted that Singapore’s residential property market remains very attractive to “high-net-worth foreign and local investors for its robustness”.

“We feel that for the luxury segment buyers, an additional 5% ABSD (additional buyer’s stamp duty) on top of what was introduced earlier (15% in total) should still be palatable as Singapore remains very attractive for its political stability, quality of life and safety.”

Source : PropertyGuru – 13 Feb 2013

Three residential projects in Orchard Boulevard expected to be completed by 2015

Posted on by
Reply

Three new high-end residential projects in the prime Orchard Boulevard area are expected to be completed over the next two years.

They include luxury development 21 AngulliaPark – a Hong Kong-based China Sonangol’s first Singapore property project.

TwentyOne AngulliaPark and Skyline@Orchard Boulevard are expected to receive their temporary occupancy permits at around end 2013 and Boulevard Vue at around 2015.

Still, China Sonangol is confident that its targeted clientele will not be deterred by Singapore’s latest round of cooling measures.

Luxury property developer S.C. Global’s high-end development The Marq on Paterson Hill has been completed for more than a year, but nearly half of its units are still unsold.

But the developer of neighbouring project TwentyOne AngulliaPark is undaunted by the rising inventory levels in the Orchard area… even with the recent cooling measures in Singapore.

Hong Kong-based China Sonangol Group set up its Singapore property arm in 2008 and is currently developing two residential projects in Singapore.

The company says it may also be adding commercial properties to its portfolio.

Mr Alain Fanaie, CEO of China Sonangol Group, said: “We believe that they are going to be limited to time and there are temporary ones. We don’t believe it is going to affect substantially our types of clients we are targeting.”

The Sino-Angolan developer bought the the District 9 plot from Overseas Union Enterprise at S$283 million in December 2009.

Real estate analysts are expecting this development along Orchard Boulevard to fetch around S$,4000 to S$5,000 per square foot.

Mr Colin Tan, CEO of District 65 Pte Ltd, said: “We must always have a situation where there are more homes than people so that we can ease the population growth.That is something I believe will happen over time. So, I think this China developer is also predicting the same thing that this oversupply will ease as more and more super rich around the world come over.”

Experts say this niche group of buyers are not chasing investment yields, but are attracted by the opportunity to own a freehold property in Singapore’s prime Orchard Road shopping belt… much like how some investors are buying into the exclusivity of Sentosa Cove.

Mr Alan Cheong, Director of Research and Consultancy at Savills, said: “That’s the traditional playground for the Indonesians in Orchard Road – Districts 9, 10, 11. Sentosa Cove – because this is a leasehold – natural although the quantum of investment is large, but it appeals more to the first generation businessman where money is easily made and easily lost.”

Still, some analysts feel smaller units in business districts like Shenton Way may offer better rental yield and capital gains.

Source : Channel NewsAsia – 25 Jan 2013

Prices of luxury properties not expected to crash after latest measures: analysts

Posted on by
Reply

Luxury property prices in Singapore are not about to come crashing down following the latest government cooling measures.

With demand for high-end properties already depressed, experts said the new policies will unlikely drag prices lower.

Traditionally dominated by rich foreigners, the expected comeback of investors from China may prop up prices in this segment.

With 34 out of 66 units at The Marq on Paterson Hill left unsold, luxury property developer SC Global has to fork out another S$5.5 million for a six-month extension to keep selling the units.

This is because regulations require developers with non-Singaporean shareholders and directors to sell all the projects within seven years.

But this is not something most developers will lose sleep over.

Wilson Liew, analyst at Maybank-Kim Eng, said: “It is not a major problem for developers. There aren’t too many projects that would be hit immediately…for high-end projects are still within the construction phase, and they still have another two years after completion.”

Some analysts do not see the latest cooling measures as the straw that will break the camel’s back in the luxury property market.

Sales caveats analysed by DWG found that the number of China buyers has been on the rise.

In fact, out of foreign buyers, China buyers snapped up the most number of units in the fourth quarter of last year.

Experts have said Chinese investors are still attracted by the cheaper prices of Singapore’s luxury homes compared to Hong Kong.

Lee Sze Teck, senior research manager at DWG, said: “If you compare Singapore to Hong Kong, the capital appreciation here and in Hong Kong as well, and the prices over here…we know that prices of homes in Singapore, even for luxury homes, are still lagging behind those in Hong Kong.”

DWG estimates property prices in the core central region to dip by at most 5 per cent in 2013.

Some other analysts said developers may also work with private bankers to push sales.

After all, properties still offer the better alternative than interests earned from bank deposits and volatile equity markets.

Source : Channel NewsAsia – 18 Jan 2013

Martin No.38 conferred fourth major accolade of the year with the Presidents Design Award 2012

Posted on by
Reply

The warehouse loft inspired development Martin No.38 by SC Global Developments has been conferred The Presidents Design Award 2012, Singapore’s most prestigious design award. This notable award is the development’s fourth major accolade since its completion earlier this year.

Martin NO. 38In June, the development was awarded both the prestigious ‘Building of the Year Award’ and the top Design Award within the residential category (apartments and condominiums) at the Singapore Institute of Architects (SIA) Architectural Design Awards 2012. The SIA ‘Building of the Year’ award is the highest accolade conferred by the Institute, awarded across all categories of developments.

In October 2012, the development went on to receive global recognition at ‘The World Architecture Festival’, the world’s largest architecture awards where it was conferred “Best Housing Project (Completed Developments)”.

Designed by Kerry Hill Architects, the industrial aestheticism of Martin No. 38 was inspired by the warehouse lofts of Lower Manhattan in New York and combines an urban architecture of raw concrete and base metal finishes celebrating the rich textures and unadorned beauty of materials in their natural form.

Martin No.38’s original architectural design, with its meticulous detailing standards and unconventional take on luxury within a contemporary environment has evoked much interest within the international architectural and design community since its completion earlier this year.

“To receive The Presidents Design Award is a wonderful end to an incredible year for Martin No.38. To receive four prestigious accolades in one year is testament to our commitment to create original lifestyles for our clients and it is gratifying to see the hard work of our architects, design team and project partners recognized in this way,” said Mr. Simon Cheong, SC Global Chairman and CEO.

“It is always a pleasure working together in a creative exchange with Kerry Hill Architects; they are extremely talented and share our constant pursuit for perfection and commitment to design excellence.”

Luxury properties continue to attract strong buying in Southeast Asia

Posted on by
Reply

Luxury properties continue to see high demand in South East Asia.

With global markets being flushed with cash, experts say more are looking at investing in high-end properties that’s worth more than US$5 million.

New luxury homes now come with an added touch of class and developers are introducing even more innovative features in such properties.

Costing an average of about S$3,500(US$2,800) per square foot, luxury property Helios Residences in central Singapore are for the well-heeled.

Over 75 percent of the development has been sold, with remaining units being 3- and 4-bedroom apartments.

Over 60 percent of the buyers are foreigners.

Its developer says Helios is particularly attractive to foreigners and PRs because of its location and investment value.

It has been designed to save energy.

It allows residents to enjoy the outdoors and possibly discourage them from reaching out for the air-conditioning button too often.

Its Sky Terrace at Level Four and buildings are covered with vine plants, allowing dwellers to stay cool without turning on the energy guzzling air-conditioner.

Glass materials made to allow light in while keeping heat out were also used.

Like many building technologies that have become more sophisticated, the glass panels lining the homes in Helios are now becoming more readily available with lower prices.

Architect of the development, Harold S Guida of Guida Moseley Brown Architects, says: “As we have seen the years past, technology has developed in sophisticated ways, particularly relating to the performance of buildings. And these kinds of technologies have become fairly well standardized now and available to developments of many economic levels.”

He adds: “What is innovative is that people are finally starting to realise this really wonderful environment…Architects are starting to design buildings that take into account the variations of heat, humidity, sunlight and South East Asians are making (many) good places to live in.”

One example is the ensuite sky garage at Hamilton Scotts.

It has a lift to park residents’ cars right at their doorstep – a feature its developers boast as a first in South East Asia.

Innovative features are now the new norm in luxury properties and standards are getting higher as well.

This is according to judges of the South East Asia Property Awards, which has received a third more entries this year.

Alex Schlaen, Judge, South East Asia Property Awards 2012, said: “The countries around the region are maturing very nicely. They are becoming more attractive, they are coming up with much more exciting, attractive products – be it in Manila or KL. There are several very nice projects coming up in Bangkok. Of course Jakarta is coming up.”

Property investors are also zooming in on luxury brands.

For instance, Asia’s first Ritz Carlton Residences in Singapore was sold for S$4,128 (US$3370) per square foot in October.

Analysts say the price is a record high for a branded residence.

Buyers are usually owner-occupiers who want homes that comes with hotel services.

Nicholas Holt, Asia Pacific Research Director, Knight Frank, said: “This huge increase in demand for luxury properties…is pushing developers to innovate…to really grab that premium…that can increase their market share of this increased wealth. This concept of branded residences is now changing. Branded residences are not just about services, but it’s about the identity of the building. And these buyers can identify with…the building. And that’s why we are seeing this serious premium the developers can tap into in the luxury property market.”

And analysts say the premiums can be as high as 30 percent compared to a non-branded property in the same area.

Source : Channel NewsAsia – 19 Nov 2012

Big-ticket deals down in first 10 months of 2012

Posted on by
Reply

Only 33 luxury condos and apartments priced from S$10 million onwards changed hands in the first 10 months of the year, down from 57 units over the same period last year, reported The Business Times.

According to a URA data analysis by CBRE, the 33 units amounted to S$449.6 million, 44 percent less than S$797.5 million last year. Caveats lodged comprised both the primary and secondary markets and were downloaded on 7 November, with the most recent transaction dated 24 October.

The sharp decline in big-ticket flats sales is mainly due to the Additional Buyer’s Stamp Duty (ABSD) introduced in December, said market watchers.

This year’s most expensive deal so far was for an 18th floor unit at The Marq on Paterson Hill, sold in July for S$30.4 million, or S$4,820 psf on its 6,308 sq ft area. Additionally, a 64th-storey single-level penthouse at Marina Bay Suites changed hands last month for S$19.3 million or S$3,409 psf based on its strata area of 5,662 sq ft. Both were reportedly bought by Singaporeans.

URA Realis data also has revealed an interesting mix of buyers for a range of properties from S$5 million and above.

Non-PR foreigners bought 26.6 percent of the 282 units sold for S$5 million and above, down from 38.8 percent last year, while companies accounted for only 4.3 percent during the 10-month period, against 15.8 percent last year.

On the other hand, Singaporeans’ share of the market jumped to 36.9 percent from last year’s 23 percent and PRs’ share rose from 22.3 to 32.3 percent.

Nonetheless, foreign purchases in the luxury condo segment are expected to rise again next year, said Joseph Tan, Executive Director (Residential) at CBRE.

“Foreigners will probably come to see ABSD to a certain extent as part of life, as a form of acquisition cost. In addition, the high-end segment has shown to be more resilient actually. Volumes have dropped, but prices have generally remained stable.”

“At the end of the day, the stock of big-ticket apartments and penthouses is limited. If you look at the profile of owners, they have deep pockets,” added Tan.

Source : PropertyGuru – 12 Nov 2012

A new record psf price for Sentosa Cove bungalow

Posted on by
Reply

A new record price psf of land area has been set after a Sentosa Cove bungalow was sold for S$32.5 million, or S$3,214 psf on the land area of 10,111 sq ft.

The Ocean Drive property was reportedly bought by a Malaysian citizen from a Singaporean investor, noted The Business Times.

This latest deal breaks the record set by another Sentosa Cove home sold for S$28.2 million, or S$2,989 psf on a land area of 9,436 sq ft back in 2010.

The coveted Sentosa Cove (pictured) is the only area in Singapore where foreigners are allowed to buy homes offered on a 99-year lease term.

Meanwhile, the landed residential segment remained buoyant in Q3 with a 1.1 percent rise against 0.6 percent for overall home prices, according to data from the Urban Redevelopment Authority (URA).

The uptick is mainly attributed to detached homes which saw a two percent increase, compared to 0.6 and 0.8 percent respectively for semi-detached and terrace houses.

According to Knight Frank, this indicates on-going strong demand for luxurious homes that are scarce.

Source : PropertyGuru – 31 Oct 2012