Auction sales in H1 down 20.4% to S$69.25m

Jones Lang LaSalle on Friday said Singapore’s auction sales in the first half of this year fell by 20.4 per cent to S$69.25 million, compared to about S$87 million a year ago.

The share of residential properties auctioned off also fell from about S$59 million to S$19.3 million for the same comparative period.

In comparison, non-residential properties were more sought after, with sales of commercial and industrial properties in the first half totalling S$49.97 million.

This is a significant increase from the previous year’s results of S$28.07 million.

Head of Auctions for Jones Lang LaSalle, Mok Sze Sze, said: “Enquiry level for non-residential properties is generally better than the residential properties as some residential property investors have decided to stay on the sidelines due to the recent cooling measures and announcements on the increased supply of HDB flats coming on-stream”.

Ms Mok added that the performance in the stock market and financial issues in Europe and US have also affected the buying mood of investors.

Commercial properties sold at Jones Lang LaSalle June’s auction include a shop unit at Fook Hai Building which attracted 23 bids, and was sold at S$6.6 million.

That was some 20 per cent above the opening bid of S$5.5 million.

A petrol station at Jalan Ahmad Ibrahim was also sold at S$9.61 million in the same auction.

Jones Lang added that it is the leader in the Singapore property auction market, with more than one-third of the market share.

In the first half of this year, the firm auctioned properties with a total value sold of S$25.16 million or 36.3 per cent of the market.

Source : Channel NewsAsia – 1 Jul 2011