The Ministry of Trade and Industry (MTI) today launched its Industrial Government Land Sales (IGLS) Programme for the second half of 2012. To continue to meet potential demand for industrial land, there are 16 sites in the Confirmed List and 3 sites in the Reserve List, with a total site area of 23.72 ha.
The proposed land quantum for the second half of 2012 is comparable to that of the first half of 2012. Altogether, 47.69 ha of land will be issued in 2012, which is 1.4 times more than that in 2011. The Government will continue its efforts to release sufficient land through the IGLS programme, to moderate industrial land prices and provide adequate space for industrialists.
Similar to the first half of 2012, more sites of smaller size and shorter tenure will be released. This will help to meet the demand of industrialists who prefer to build their own customised facilities. With shorter tenure, the sites are expected to be more affordable to industrialists.
The Government has also shortened the tenure for all recommended sites in the IGLS programme for the second half of 2012 to a maximum term of 30 years, down from 60 years. The tenure reduction increases the Government’s flexibility for land redevelopment and would help to make industrial property more affordable for industrialists. To ensure consistency, the tenure of all unsold sites1 under the Confirmed and Reserve Lists in 1H 2012 IGLS programme are also capped at 30 years tenure.
In addition, the new set of requirements for all Business 1 and Business 2 sites in the IGLS programme effective from 1 January 2012 will continue to ensure that the new industrial space built by developers on IGLS parcels can better meet the industrialists’ needs for ready-built industrial space.