HONG KONG movie superstar Jackie Chan’s love affair with Singapore property continues with his latest purchase - the former Jinriksha Station at 1 Neil Road.
He fell in love with the historic building - once the central depot for rickshaw drivers in Singapore - and bought it for $11 million.
The three-storey corner building in Tanjong Pagar now houses a music lounge called EZ50 on the ground floor. Its sale price works out to $818 per sq ft (psf).
‘It’s a good price because the individual shophouses there are about $1,000 over psf on average,’ said Mr Simon Kwan, who helped broker the deal about a fortnight back. ‘As long as he purchases it at or below the market price, he will be comfortable,’ he said, of Chan.
Mr Kwan, who is the star’s property agent, also runs EZ50 and The 50s pubs, as well as the recently opened Jackie Chan’s Cafe Coffee and Tea at 1 Nassim Road.
The star purchased 1 Neil Road from a firm owned by Mr S. L. Cheong, which also owns the 1 Nassim Road property leased to Chan.
Mr Cheong, the uncle of SC Global chief Simon Cheong, also sold Chan The 50s entertainment complex on Tanjong Pagar Road for $8.8 million in 1996.
Both the Tanjong Pagar buildings are in the Neil Road conservation area.
‘You can’t find buildings like this anywhere else,’ said Mr Kwan. ‘These are the two most outstanding buildings in Tanjong Pagar.’
The former Jinriksha station was built in 1903.
It is a commercial building with space for rent. The One Family KTV karaoke lounge used to occupy the second and third floors, but it had since closed down, according to Mr Kwan, who is managing the building on behalf of Chan.
Mr Kwan has plans for a piano bar, a foot reflexology business or offices for the 8,500 sq ft of space on the second and third floors.
‘The highest possibility is to have offices,’ he said, explaining that this plan would leave him time to concentrate on running Chan’s new restaurant business in Singapore.
Also, office rents are currently strong, supported by tight supply.
Rents at the nearby Red Dot Traffic Building are at $6 psf a month, while those at International Plaza next to the Tanjong Pagar MRT station are going for $7.50 to $8 psf.
Mr Kwan said they could have seven to eight office units.
A decision will be made after a trip to Hong Kong to meet up with Chan and firm up plans, he said.
Apart from commercial buildings, the movie star also owns a few condominium units in the Orchard Road area, including a three-bedroom unit in The Grangeford condo on Leonie Hill Road.
The 99-year leasehold Grangeford is by now known for the property that sold en bloc for more than half of Horizon Towers’ price on a psf basis.
Chan bought his Grangeford apartment, which is being rented out, for only $1.3 million back in 1996.
He will stand to reap about $3.4 million from the collective sale, which he was originally not keen on joining.
Another Hong Kong superstar, Andy Lau, also used to own an apartment at Grangeford, as well as a unit at the UE Square condo.
Mr Kwan said he had since sold these off for Andy Lau. He also used to manage the Singapore properties of the late Teresa Teng and Anita Mui.
Savills Singapore’s director of business development and marketing, Mr Ku Swee Yong, said there would be more celebrities entering Singapore’s property market.
‘For one, the Formula One event will bring in a lot of celebrities.’
Source : Straits Times - 12 Dec 2007
Showing posts with label high end property. Show all posts
Showing posts with label high end property. Show all posts
Wednesday, December 12, 2007
Investment sales of property have hit an all-time record of $50.8 billion so far this year - up 66 per cent from the whole of last year.
Goldman Sachs, Europe’s SEB and Dubai World also make big purchases.
Investment sales of property have hit an all-time record of $50.8 billion so far this year - up 66 per cent from the whole of last year.
And for the first time, a foreign player has emerged as the biggest buyer - Macquarie Global Property Advisors (MGPA) with $4.3 billion of purchases.
In fact, foreign institutional investors/property funds have been a dominant buying force this year, especially in the office sector, notes CB Richard Ellis executive director Jeremy Lake.
Besides MGPA, other big foreign investors in Singapore’s property market in 2007 include US heavyweight Goldman Sachs (with an investment of over $800 million), European pension fund manager SEB, which bought SIA Building and 12 floors at Springleaf Tower for a total $751 million, and Dubai World Group, with a total investment of over $500 million.
US-based Wachovia Development Corporation also entered the Singapore property market this year, with more than $700 million invested so far in the Farrer Court and Char Yong Gardens collective sale sites, and apartments at a new condo, Cliveden at Grange.
‘The Singapore property market has become much more appealing to global buyers over the last two to three years. In a reversal of the perfect storm, a series of factors have combined to create a sweet spot for Singapore: including the Integrated Resorts and F1 attractions, Singapore emerging as a wealth management hub and financial centre, the whole remaking of Singapore story, and an oversold property market, which made Singapore relatively attractive to global players,’ Mr Lake explains.
CBRE’s investment sales figures include land deals, collective sales, and transactions of entire office blocks and other buildings, as well as strata-titled units of at least $5 million.
The strong level of investment sales reflects major property players’ continued confidence in the mid to long-term prospects for the Singapore real estate sector.
With $50.8 billion done so far this year and another three more weeks to go, CBRE reckons the full-year figure may be about $52 billion.
The firm attributes the big jump over last year’s $30.6 billion to ‘the meteoric performance of the collective sales market in the first-half and the very strong office market’.
The residential and office sectors combined to account for about 90 per cent of the total value of investment sales so far this year.
Office investment sales more than doubled, from $4.4 billion in first-half 2007 to around $10.5 billion in the second half.
However, residential deals halved from $20.3 billion in H1 to $10.3 billion in H2, on the back of a drastic slowdown in collective sales.
With the current en bloc sales slowdown expected to continue, next year’s overall investment sales of property is likely to be lower, probably reverting to the 2006 level of around $30 billion, Mr Lake reckons.
‘However, the office market is likely to remain strong. We’ve not seen the pool of buyers diminish in the past few months,’ he added.
Jones Lang LaSalle’s regional director and head of investments Lui Seng Fatt too reckons 2008 will be a more stable year for investment sales.
He also projects that the public sector, comprising primarily Government Land Sales, will account for a bigger slice of total investment sales in 2008, at about 40 per cent - up from a share of about 22 per cent so far this year.
‘For the private sector, the strong en bloc sale performance seen in the first seven months of this year is unlikely to be repeated, but we still expect to see healthy land prices being maintained,’ Mr Lui suggests.
CBRE’s data shows that the biggest property deal in the public sector so far this year has been the $2.02 billion sale of Marina View Parcel A to MGPA, followed by the $1.69 billion sale of the former NCO Club and Beach Road camp grounds to a consortium comprising City Developments, Dubai World and Elad Group.
In the private sector, the top deal has been Farrer Court, which was sold for $1.34 billion to a consortium including CapitaLand, Hotel Properties, Wachovia and a foreign fund. The next biggest transaction was MGPA’s $1.04 billion purchase of Temasek Tower.
Mr Lake also observed that the $50.8 billion overall investment sales figure this year was close to the $54.9 billion in the eight years from 1996 to 2003.
Source : Business Times - 11 Dec 2007
Investment sales of property have hit an all-time record of $50.8 billion so far this year - up 66 per cent from the whole of last year.
And for the first time, a foreign player has emerged as the biggest buyer - Macquarie Global Property Advisors (MGPA) with $4.3 billion of purchases.
In fact, foreign institutional investors/property funds have been a dominant buying force this year, especially in the office sector, notes CB Richard Ellis executive director Jeremy Lake.
Besides MGPA, other big foreign investors in Singapore’s property market in 2007 include US heavyweight Goldman Sachs (with an investment of over $800 million), European pension fund manager SEB, which bought SIA Building and 12 floors at Springleaf Tower for a total $751 million, and Dubai World Group, with a total investment of over $500 million.
US-based Wachovia Development Corporation also entered the Singapore property market this year, with more than $700 million invested so far in the Farrer Court and Char Yong Gardens collective sale sites, and apartments at a new condo, Cliveden at Grange.
‘The Singapore property market has become much more appealing to global buyers over the last two to three years. In a reversal of the perfect storm, a series of factors have combined to create a sweet spot for Singapore: including the Integrated Resorts and F1 attractions, Singapore emerging as a wealth management hub and financial centre, the whole remaking of Singapore story, and an oversold property market, which made Singapore relatively attractive to global players,’ Mr Lake explains.
CBRE’s investment sales figures include land deals, collective sales, and transactions of entire office blocks and other buildings, as well as strata-titled units of at least $5 million.
The strong level of investment sales reflects major property players’ continued confidence in the mid to long-term prospects for the Singapore real estate sector.
With $50.8 billion done so far this year and another three more weeks to go, CBRE reckons the full-year figure may be about $52 billion.
The firm attributes the big jump over last year’s $30.6 billion to ‘the meteoric performance of the collective sales market in the first-half and the very strong office market’.
The residential and office sectors combined to account for about 90 per cent of the total value of investment sales so far this year.
Office investment sales more than doubled, from $4.4 billion in first-half 2007 to around $10.5 billion in the second half.
However, residential deals halved from $20.3 billion in H1 to $10.3 billion in H2, on the back of a drastic slowdown in collective sales.
With the current en bloc sales slowdown expected to continue, next year’s overall investment sales of property is likely to be lower, probably reverting to the 2006 level of around $30 billion, Mr Lake reckons.
‘However, the office market is likely to remain strong. We’ve not seen the pool of buyers diminish in the past few months,’ he added.
Jones Lang LaSalle’s regional director and head of investments Lui Seng Fatt too reckons 2008 will be a more stable year for investment sales.
He also projects that the public sector, comprising primarily Government Land Sales, will account for a bigger slice of total investment sales in 2008, at about 40 per cent - up from a share of about 22 per cent so far this year.
‘For the private sector, the strong en bloc sale performance seen in the first seven months of this year is unlikely to be repeated, but we still expect to see healthy land prices being maintained,’ Mr Lui suggests.
CBRE’s data shows that the biggest property deal in the public sector so far this year has been the $2.02 billion sale of Marina View Parcel A to MGPA, followed by the $1.69 billion sale of the former NCO Club and Beach Road camp grounds to a consortium comprising City Developments, Dubai World and Elad Group.
In the private sector, the top deal has been Farrer Court, which was sold for $1.34 billion to a consortium including CapitaLand, Hotel Properties, Wachovia and a foreign fund. The next biggest transaction was MGPA’s $1.04 billion purchase of Temasek Tower.
Mr Lake also observed that the $50.8 billion overall investment sales figure this year was close to the $54.9 billion in the eight years from 1996 to 2003.
Source : Business Times - 11 Dec 2007
2,687 sq m site at King Albert Park, also set a new benchmark rent of $23,222 a month for a state-owned residential property.
Now, you too can live like the colonial sahibs of old, as long as you are prepared to make the highest offer for monthly rental in an open bid.
But be warned, rents of homes under the Singapore Land Authority’s (SLA) first bidding exercise held recently, increased by between 40 to 230 per cent over previous rents.
Before the open bidding system, the allocation of homes was done through a balloting exercise or on a first-come-first-serve basis.
But in October and November, SLA piloted the new open bidding system of allocating homes to make the process fairer and more transparent with five homes awarded so far. One of these, a bungalow on a 2,687 sq m site at King Albert Park, also set a new benchmark rent of $23,222 a month for a state-owned residential property.
On the new system, SLA deputy director of land lease private Teo Cher Hian said: ‘This way, market forces decide the rental that can be fetched for the state properties.’
The new system appears to be popular with 84 bids received for the first five properties. Of these bidders, 64.3 per cent were locals, with companies and foreigners making up 22.6 per cent and 13.1 per cent of the bids respectively.
Mr Teo also said that many of the bids were higher than the guide rents set by SLA.
Although the widely held perception is that these state-owned properties are cheap to rent, SLA says that guide rents are determined by an independent valuer based on the size, condition, location and proposed tenure of each property.
The properties are also let in their existing condition, usually unfurnished with rents starting as low as $400 per month for a small flat. Enhancement of these properties is also not a primary objective as some of these units sit on sites that could eventually be redeveloped.
SLA has a total stock of 2,360 homes comprising landed and non-landed properties, representing about 19 per cent of the total estimated gross floor area of state properties it manages.
SLA’s rental homes have an occupancy rate of about 91 per cent. But existing tenants are usually allowed to directly renew their leases although the rents may be increased.
In its last financial year (April 1, 2006 - March 31, 2007) SLA says that its residential rental revenue was $78 million, up 2.6 per cent or $2 million from the previous year. SLA added that rents increased by an average of 5 per cent in this period with the highest increase of 23 per cent recorded for just one property.
Previously, rents for apartments ranged between $400-$3,800. Terrace, semi-detached and bungalow rents ranged between $600-$3,333, $800- $11,500, and $1,100- $23,222 respectively.
But the impact of the new bidding system to SLA’s rental revenue is, however, not likely to show any immediate significant increase, as so few of these properties actually come up for rent. For the first half 2008, SLA expects only about 36 homes to be made available for rent - upon being vacated - with six homes expected in January followed by seven in February and six in March.
Those interested in bidding for these can submit their bids to SLA at a stipulated time and date. The bidding period will be six days. More details will be available on SLA’s website www.spio.sla.gov.sg from Dec 14.
But do take note that for a bid to qualify, the bidder’s average monthly income has to generally be at least three times the monthly rental bid so only those earning over $60,000 a month need bother looking at those grand old black and white bungalows.
Source : Business Times - 10 Dec 2007
But be warned, rents of homes under the Singapore Land Authority’s (SLA) first bidding exercise held recently, increased by between 40 to 230 per cent over previous rents.
Before the open bidding system, the allocation of homes was done through a balloting exercise or on a first-come-first-serve basis.
But in October and November, SLA piloted the new open bidding system of allocating homes to make the process fairer and more transparent with five homes awarded so far. One of these, a bungalow on a 2,687 sq m site at King Albert Park, also set a new benchmark rent of $23,222 a month for a state-owned residential property.
On the new system, SLA deputy director of land lease private Teo Cher Hian said: ‘This way, market forces decide the rental that can be fetched for the state properties.’
The new system appears to be popular with 84 bids received for the first five properties. Of these bidders, 64.3 per cent were locals, with companies and foreigners making up 22.6 per cent and 13.1 per cent of the bids respectively.
Mr Teo also said that many of the bids were higher than the guide rents set by SLA.
Although the widely held perception is that these state-owned properties are cheap to rent, SLA says that guide rents are determined by an independent valuer based on the size, condition, location and proposed tenure of each property.
The properties are also let in their existing condition, usually unfurnished with rents starting as low as $400 per month for a small flat. Enhancement of these properties is also not a primary objective as some of these units sit on sites that could eventually be redeveloped.
SLA has a total stock of 2,360 homes comprising landed and non-landed properties, representing about 19 per cent of the total estimated gross floor area of state properties it manages.
SLA’s rental homes have an occupancy rate of about 91 per cent. But existing tenants are usually allowed to directly renew their leases although the rents may be increased.
In its last financial year (April 1, 2006 - March 31, 2007) SLA says that its residential rental revenue was $78 million, up 2.6 per cent or $2 million from the previous year. SLA added that rents increased by an average of 5 per cent in this period with the highest increase of 23 per cent recorded for just one property.
Previously, rents for apartments ranged between $400-$3,800. Terrace, semi-detached and bungalow rents ranged between $600-$3,333, $800- $11,500, and $1,100- $23,222 respectively.
But the impact of the new bidding system to SLA’s rental revenue is, however, not likely to show any immediate significant increase, as so few of these properties actually come up for rent. For the first half 2008, SLA expects only about 36 homes to be made available for rent - upon being vacated - with six homes expected in January followed by seven in February and six in March.
Those interested in bidding for these can submit their bids to SLA at a stipulated time and date. The bidding period will be six days. More details will be available on SLA’s website www.spio.sla.gov.sg from Dec 14.
But do take note that for a bid to qualify, the bidder’s average monthly income has to generally be at least three times the monthly rental bid so only those earning over $60,000 a month need bother looking at those grand old black and white bungalows.
Source : Business Times - 10 Dec 2007
SLA has 2,360 units available for rent and the occupancy rate is 91 per cent.
RENTERS who have long hankered after that state-owned black-and-white colonial bungalow but are put off by the long waiting list can now bid for their dream home.
State landlord Singapore Land Authority (SLA) said it is opening up its properties for bidding to make their allocation more transparent.
Currently, tenants check SLA’s portal www.spio.sla.gov.sg for information on available properties and then register their interest with SLA-appointed agents.
There is usually a long waiting list for these properties as demand is high. State properties can be 5 to 50 per cent cheaper than properties in the private market.
Renters have said that getting one is like winning the lottery - a tenant is selected either on a first-come, first-served basis or through a balloting exercise when a property is released.
Under the new scheme, anyone interested in these properties will be invited to view them during open houses. They then have up to one week to submit a private bid to the SLA. Bidding will close the following Friday and results will be announced the same day.
The new system will allow these buildings to be secured within a week or so of their being made available.
All in, SLA has 2,360 units available for rent and the occupancy rate is 91 per cent. However, not all of them will come under the bidding scheme.
An SLA spokesman said the new method ‘encourages a fairer allocation process’. The bidding system also allows market forces to decide the value of the properties, ensuring a ‘more accurate market value’.
At least 36 houses in popular locations - ranging from terraced and semi-detached houses to bungalows - will be open for bidding in the first half of next year.
Mr Kevin Barrios, 29, a postgraduate student from the United States due to start work in Singapore, expressed concern that the new procedure will drive up rents. He pays $700 for a one-bedroom apartment in the Portsdown Road area.
But Mr Eric Cheng, executive director of property agency HSR Property Group, said the bidding system is fairer.
He said many of his clients faced months, or even years, of waiting for such properties to become available.
‘If someone really needs a house and is willing to pay for it, it’s fair that he should get it,’ said Mr Cheng.
SLA held a pilot bidding exercise for five of its properties last month and Belgian pilot Bernard Latierre was one of the successful bidders.
The price he paid - $6,550 a month for a semi-detached house in Seletar with a land area of 738 sq m - is reasonable, he said.
He had waited more than eight months for it. ‘It’s near my children’s school, has lush greenery and lovely architecture. We wouldn’t have got to live here if not for this new bidding system,’ he said.
SLA said properties that have a two-year tenure and are in popular locations will be selected for bidding. Wherever possible, SLA will also allow existing tenants to renew their tenancies directly, provided the rental is adjusted to the market rate.
List of estates and price range The SLA manages more than 2,300 residential state properties and has a 91 per cent occupancy rate.
Range of properties:
Flat/Apartment - 1,090 units; rental from $400-$3,800
Terrace - 340 units; rental from $600-$3,333
Semi-detached - 390 units; rental from $800-$11,500
Bungalow - 540 units; rental from $1,100-$23,222
Some of their locations:
Alexandra Park
Seletar Airbase
Telok Blangah
Scotts Road
Malcolm Park
Medway Park
Goodwood Hill
Bukit Timah
Woodleigh Park
Most of the black-and-white bungalows are in Sembawang, Alexandra Park and Adams Park.
The next list of properties available for rental will be on the SLA portal, www.spio.sla.gov.sg, from Dec 14.
They include a bungalow in Hyderabad Road, three two-room apartments in Clemenceau Avenue North and a two-storey bungalow in Maidstone Road.
Source : Sunday Times - 9 Dec 2007
State landlord Singapore Land Authority (SLA) said it is opening up its properties for bidding to make their allocation more transparent.
Currently, tenants check SLA’s portal www.spio.sla.gov.sg for information on available properties and then register their interest with SLA-appointed agents.
There is usually a long waiting list for these properties as demand is high. State properties can be 5 to 50 per cent cheaper than properties in the private market.
Renters have said that getting one is like winning the lottery - a tenant is selected either on a first-come, first-served basis or through a balloting exercise when a property is released.
Under the new scheme, anyone interested in these properties will be invited to view them during open houses. They then have up to one week to submit a private bid to the SLA. Bidding will close the following Friday and results will be announced the same day.
The new system will allow these buildings to be secured within a week or so of their being made available.
All in, SLA has 2,360 units available for rent and the occupancy rate is 91 per cent. However, not all of them will come under the bidding scheme.
An SLA spokesman said the new method ‘encourages a fairer allocation process’. The bidding system also allows market forces to decide the value of the properties, ensuring a ‘more accurate market value’.
At least 36 houses in popular locations - ranging from terraced and semi-detached houses to bungalows - will be open for bidding in the first half of next year.
Mr Kevin Barrios, 29, a postgraduate student from the United States due to start work in Singapore, expressed concern that the new procedure will drive up rents. He pays $700 for a one-bedroom apartment in the Portsdown Road area.
But Mr Eric Cheng, executive director of property agency HSR Property Group, said the bidding system is fairer.
He said many of his clients faced months, or even years, of waiting for such properties to become available.
‘If someone really needs a house and is willing to pay for it, it’s fair that he should get it,’ said Mr Cheng.
SLA held a pilot bidding exercise for five of its properties last month and Belgian pilot Bernard Latierre was one of the successful bidders.
The price he paid - $6,550 a month for a semi-detached house in Seletar with a land area of 738 sq m - is reasonable, he said.
He had waited more than eight months for it. ‘It’s near my children’s school, has lush greenery and lovely architecture. We wouldn’t have got to live here if not for this new bidding system,’ he said.
SLA said properties that have a two-year tenure and are in popular locations will be selected for bidding. Wherever possible, SLA will also allow existing tenants to renew their tenancies directly, provided the rental is adjusted to the market rate.
List of estates and price range The SLA manages more than 2,300 residential state properties and has a 91 per cent occupancy rate.
Range of properties:
Flat/Apartment - 1,090 units; rental from $400-$3,800
Terrace - 340 units; rental from $600-$3,333
Semi-detached - 390 units; rental from $800-$11,500
Bungalow - 540 units; rental from $1,100-$23,222
Some of their locations:
Alexandra Park
Seletar Airbase
Telok Blangah
Scotts Road
Malcolm Park
Medway Park
Goodwood Hill
Bukit Timah
Woodleigh Park
Most of the black-and-white bungalows are in Sembawang, Alexandra Park and Adams Park.
The next list of properties available for rental will be on the SLA portal, www.spio.sla.gov.sg, from Dec 14.
They include a bungalow in Hyderabad Road, three two-room apartments in Clemenceau Avenue North and a two-storey bungalow in Maidstone Road.
Source : Sunday Times - 9 Dec 2007
Sunday, December 9, 2007
FORGET the Central Business District.
FORGET the Central Business District. Property investors priced out of prime zones but still hunting for a good buy should look to downtown’s upcoming hot spot - the Beach Road, Ophir-Rochor district.
This hotchpotch of an area - with old shophouses dotting its landscape, juxtaposed with towering modern office blocks - is set for a snazzy makeover, as announced by the Government this week.
Already, property experts have identified strong potential upside for properties in the district.
Minister of State for National Development Grace Fu said it would be ‘an extension of Bugis’, complementing the Marina Bay financial district.
Although most major buildings, including The Gateway, Shaw Towers and the Bugis Junction office tower, are owned by single developers, there is a good mix of shophouses and strata-titled commercial and residential units on the market for the average investor.
The 101, Premier Centre and The Plaza, for example, are all strata-titled properties with a mix of commercial and residential units.
One shop owner, Mr Thomas Tan, who purchased a 1,300 sq ft unit on the ground floor of The 101 for $1.4 million - or $1,077 per sq ft (psf) - in April, told The Sunday Times he was glad he had taken the bold move to buy earlier this year.
The same unit now costs more than $2 million - or $1,539 psf - on the market, said the 61-year-old retiree.
Over at The Plaza, residential units are currently priced at around $933 to $1,222 psf.
While Singapore’s property bull run seems to be taking a breather, prices in the Beach Road, Ophir-Rochor area are likely to stay strong and move upwards in the long run with new developments, said Savills Singapore’s director of business development and marketing, Mr Ku Swee Yong.
Beach Road already has its own crown jewel in South Beach - an eco-friendly, $2.5 billion mixed project developed by a City Developments consortium. By 2012, South Beach will boast two towers of up to 45 storeys, two luxury hotels, service apartments and conserved military buildings of the old Beach Road camp.
On Thursday, the Government said it would release one more 2.74ha plot - between Rochor and Ophir Roads, surrounding Parkview Square - as a multi-use ‘white site’ next year, yielding 495 hotel rooms and 139,740 sq m of commercial space.
CBRE Research executive director Li Hiaw Ho said the new projects would complement each other and add much vibrancy to the area.
‘A mini-Raffles City on the white site is likely to do very well,’ added Mr Ku.
Shophouses are now particularly attractive, especially those facing the new plot, he said.
Currently, trendy eateries and drinking spots occupy shop houses along Haji Lane and Tan Quee Lan Street.
The area, with its proximity to Bugis Junction, has, in recent years, developed into a fashionable hang-out famed for good food and cheap beer.
Shophouses in the area have been going for $800 to $1,000 psf, and other surrounding commercial units have been sold for about $1,600 psf, said Mr Ku.
Considering that just across the street, Suntec is commanding up to $2,500 psf, there is much potential for capital values of properties in the area to appreciate.
Still, before that can happen, certain parts of the district have to be ’spruced up’ and polished, added Mr Ku.
Some small commercial buildings, shophouses and independent hotels there are old and shoddy and will need facelifts to match the area’s new trendy image.
Although the area does not command Grade A rents or tenants, it still gets a good mix of quality tenants with occupancy rates at a high 95 per cent, Savills director of commercial services June Chua said.
Office rents are now in the range of $9 to $11 psf a month, up from $4 to $5 psf more than a year ago. This translates into good rental yields for owners.
Mr James Smith, managing director of a media company based at the Evershine & Century Complex, is one tenant who has had his rent doubled in the last six months, and he may consider investing.
While the latest news will likely translate into higher rents in the future, Mr Smith says the upside is that more quality offices will sprout in the area, and this will have a good ‘trickle-down effect’.
‘This district will remain attractive, especially to us, as it’s a creative hub with lots of knowledge-driven businesses and schools in the vicinity,’ he said. ‘It’s got a good vibe.’
Mr Tan recalled that the old Beach Road, in the 1950s to 1960s, was ‘the’ entertainment hub, with good food from the old Satay Club, and two cinema houses lining the road.
‘Perhaps in the next decade, the hustle and bustle of the old Beach Road will be revived and it will regain its old glory,’ he said.
Source : Sunday Times - 9 Dec 2007
This hotchpotch of an area - with old shophouses dotting its landscape, juxtaposed with towering modern office blocks - is set for a snazzy makeover, as announced by the Government this week.
Already, property experts have identified strong potential upside for properties in the district.
Minister of State for National Development Grace Fu said it would be ‘an extension of Bugis’, complementing the Marina Bay financial district.
Although most major buildings, including The Gateway, Shaw Towers and the Bugis Junction office tower, are owned by single developers, there is a good mix of shophouses and strata-titled commercial and residential units on the market for the average investor.
The 101, Premier Centre and The Plaza, for example, are all strata-titled properties with a mix of commercial and residential units.
One shop owner, Mr Thomas Tan, who purchased a 1,300 sq ft unit on the ground floor of The 101 for $1.4 million - or $1,077 per sq ft (psf) - in April, told The Sunday Times he was glad he had taken the bold move to buy earlier this year.
The same unit now costs more than $2 million - or $1,539 psf - on the market, said the 61-year-old retiree.
Over at The Plaza, residential units are currently priced at around $933 to $1,222 psf.
While Singapore’s property bull run seems to be taking a breather, prices in the Beach Road, Ophir-Rochor area are likely to stay strong and move upwards in the long run with new developments, said Savills Singapore’s director of business development and marketing, Mr Ku Swee Yong.
Beach Road already has its own crown jewel in South Beach - an eco-friendly, $2.5 billion mixed project developed by a City Developments consortium. By 2012, South Beach will boast two towers of up to 45 storeys, two luxury hotels, service apartments and conserved military buildings of the old Beach Road camp.
On Thursday, the Government said it would release one more 2.74ha plot - between Rochor and Ophir Roads, surrounding Parkview Square - as a multi-use ‘white site’ next year, yielding 495 hotel rooms and 139,740 sq m of commercial space.
CBRE Research executive director Li Hiaw Ho said the new projects would complement each other and add much vibrancy to the area.
‘A mini-Raffles City on the white site is likely to do very well,’ added Mr Ku.
Shophouses are now particularly attractive, especially those facing the new plot, he said.
Currently, trendy eateries and drinking spots occupy shop houses along Haji Lane and Tan Quee Lan Street.
The area, with its proximity to Bugis Junction, has, in recent years, developed into a fashionable hang-out famed for good food and cheap beer.
Shophouses in the area have been going for $800 to $1,000 psf, and other surrounding commercial units have been sold for about $1,600 psf, said Mr Ku.
Considering that just across the street, Suntec is commanding up to $2,500 psf, there is much potential for capital values of properties in the area to appreciate.
Still, before that can happen, certain parts of the district have to be ’spruced up’ and polished, added Mr Ku.
Some small commercial buildings, shophouses and independent hotels there are old and shoddy and will need facelifts to match the area’s new trendy image.
Although the area does not command Grade A rents or tenants, it still gets a good mix of quality tenants with occupancy rates at a high 95 per cent, Savills director of commercial services June Chua said.
Office rents are now in the range of $9 to $11 psf a month, up from $4 to $5 psf more than a year ago. This translates into good rental yields for owners.
Mr James Smith, managing director of a media company based at the Evershine & Century Complex, is one tenant who has had his rent doubled in the last six months, and he may consider investing.
While the latest news will likely translate into higher rents in the future, Mr Smith says the upside is that more quality offices will sprout in the area, and this will have a good ‘trickle-down effect’.
‘This district will remain attractive, especially to us, as it’s a creative hub with lots of knowledge-driven businesses and schools in the vicinity,’ he said. ‘It’s got a good vibe.’
Mr Tan recalled that the old Beach Road, in the 1950s to 1960s, was ‘the’ entertainment hub, with good food from the old Satay Club, and two cinema houses lining the road.
‘Perhaps in the next decade, the hustle and bustle of the old Beach Road will be revived and it will regain its old glory,’ he said.
Source : Sunday Times - 9 Dec 2007
Property players are likely to zoom straight in on the handful of land parcels that are more centrally located
DEVELOPERS, and eventually homebuyers, can take their pick from 21 plots that the Government will release for private housing between now and June.
Property players, however, are likely to zoom straight in on the handful of land parcels that are more centrally located, industry experts say.
At the top of the list is the multi-use ‘white site’ bounded by Ophir Road, Beach Road and Rochor Road. The property sits next to Parkview Square and is a stone’s throw from Raffles Hospital and the Bugis MRT Station.
The sale of this 2.74ha plot will ‘kick-start the development of the… Rochor Road/
Ophir Road corridor’, linking Marina Centre to the Bugis area, the Ministry of National Development (MND) said yesterday.
The site, which will be launched for sale in June, must have some area set aside for offices and hotels, but the rest of the space can be put to other uses such as residential.
Bids will likely come in at $750 to $850 per sq ft per plot ratio (psf ppr) for this site, said Mr Nicholas Mak, the director of research and consultancy at Knight Frank.
Apart from this plum plot, there are a few other attractive residential sites, consultants say.
One is a new site at the corner of Woodleigh Close and Upper Serangoon Road, next to the Blossoms@Woodleigh condominium. It is near the yet-to-be-opened Woodleigh MRT Station on the North-East Line.
About 270 homes can be built on the 1.07ha plot, to be launched for sale in April.
Another choice site is at the junction of Lorong 2 Toa Payoh and Lorong 3 Toa Payoh, within walking distance of the Braddell MRT Station.
This 1.4ha site can host 535 homes and will be put up for sale in February. It was previously on the reserve list for developers to indicate interest, but it saw no takers. It has now been moved to the confirmed list to be launched at a fixed date.
Mr Li Hiaw Ho, the executive director of CB Richard Ellis research, picked out two more sites as being among the ‘best of the crop’.
The first, at Bishan Street 14, has an area of 1.2ha and can host a 535-unit project.
The other is a 1.19ha site at New Upper Changi Road.
These four residential sites may fetch prices in the range of $400 to $600 psf of potential gross floor area, Mr Li estimated.
Mr Mak has noted, however, that apart from the Woodleigh Close site, which is new, the other plots have been available for some time on the Government’s reserve list.
Reserve list plots will not be launched for sale unless a developer comes forward to bid for them. Usually, choice plots on the reserve list will move quickly.
Those that remain to be ‘recycled’ for the next round of land sales are generally less attractive.
This time, however, the ‘recycled’ plots are quite plum, said Mr Mak.
If even these sites cannot find takers, ‘maybe developers already have enough on their plates’, he said.
In that case, perhaps the Government is offering more sites than the market is ready to absorb, he suggested.
For private housing alone, the MND has added 12 new sites to its land sales programme, including the Woodleigh Close plot.
Others include sites at Choa Chu Kang Drive, Tampines Avenue 1, Upper Changi Road North, Chestnut Avenue, Upper Thomson Road, Sengkang West Avenue and Sembawang Road.
There are also three executive condo sites, as well as a plot for landed homes at Sembawang Greenvale Phase 2. This landed parcel will be put up for auction in February to cater to smaller investors.
Outside land sales, the Government will also offer about 110 private housing units, including 90 service apartments at one-north. It will also provide 120,000 sq m of commercial space.
Source : Straits Times - 7 Dec 2007
Property players, however, are likely to zoom straight in on the handful of land parcels that are more centrally located, industry experts say.
At the top of the list is the multi-use ‘white site’ bounded by Ophir Road, Beach Road and Rochor Road. The property sits next to Parkview Square and is a stone’s throw from Raffles Hospital and the Bugis MRT Station.
The sale of this 2.74ha plot will ‘kick-start the development of the… Rochor Road/
Ophir Road corridor’, linking Marina Centre to the Bugis area, the Ministry of National Development (MND) said yesterday.
The site, which will be launched for sale in June, must have some area set aside for offices and hotels, but the rest of the space can be put to other uses such as residential.
Bids will likely come in at $750 to $850 per sq ft per plot ratio (psf ppr) for this site, said Mr Nicholas Mak, the director of research and consultancy at Knight Frank.
Apart from this plum plot, there are a few other attractive residential sites, consultants say.
One is a new site at the corner of Woodleigh Close and Upper Serangoon Road, next to the Blossoms@Woodleigh condominium. It is near the yet-to-be-opened Woodleigh MRT Station on the North-East Line.
About 270 homes can be built on the 1.07ha plot, to be launched for sale in April.
Another choice site is at the junction of Lorong 2 Toa Payoh and Lorong 3 Toa Payoh, within walking distance of the Braddell MRT Station.
This 1.4ha site can host 535 homes and will be put up for sale in February. It was previously on the reserve list for developers to indicate interest, but it saw no takers. It has now been moved to the confirmed list to be launched at a fixed date.
Mr Li Hiaw Ho, the executive director of CB Richard Ellis research, picked out two more sites as being among the ‘best of the crop’.
The first, at Bishan Street 14, has an area of 1.2ha and can host a 535-unit project.
The other is a 1.19ha site at New Upper Changi Road.
These four residential sites may fetch prices in the range of $400 to $600 psf of potential gross floor area, Mr Li estimated.
Mr Mak has noted, however, that apart from the Woodleigh Close site, which is new, the other plots have been available for some time on the Government’s reserve list.
Reserve list plots will not be launched for sale unless a developer comes forward to bid for them. Usually, choice plots on the reserve list will move quickly.
Those that remain to be ‘recycled’ for the next round of land sales are generally less attractive.
This time, however, the ‘recycled’ plots are quite plum, said Mr Mak.
If even these sites cannot find takers, ‘maybe developers already have enough on their plates’, he said.
In that case, perhaps the Government is offering more sites than the market is ready to absorb, he suggested.
For private housing alone, the MND has added 12 new sites to its land sales programme, including the Woodleigh Close plot.
Others include sites at Choa Chu Kang Drive, Tampines Avenue 1, Upper Changi Road North, Chestnut Avenue, Upper Thomson Road, Sengkang West Avenue and Sembawang Road.
There are also three executive condo sites, as well as a plot for landed homes at Sembawang Greenvale Phase 2. This landed parcel will be put up for auction in February to cater to smaller investors.
Outside land sales, the Government will also offer about 110 private housing units, including 90 service apartments at one-north. It will also provide 120,000 sq m of commercial space.
Source : Straits Times - 7 Dec 2007
Saturday, December 1, 2007
WATERFRONT-GARDEN living that’s just minutes away from the city.
WATERFRONT-GARDEN living that’s just minutes away from the city. That is what residents at the future Marina South Residential District can expect.
No date has been set for when people can move in.
The Urban Redevelopment Authority (URA) has set aside 60ha of land between Gardens at Marina South and the Straits of Singapore, which will host some 11,000 homes, with a mix of commercial, hotel and community facilities for all to enjoy.
To get ideas for this project, the URA and the Singapore Institute of Architects (SIA) held a competition in September.
Open to students and professionals in planning, architecture and landscape, both locally and internationally, it drew 30 entries.
Participants had to illustrate how high-density living can co-exist with a waterfront garden concept, and set a new landmark in residential development.
A five-member panel, including Mr Tai Lee Siang, SIA president, and Ms Fun Siew Leng, director of urban planning and design at URA, chose four winners who each won $10,000.
The winning ideas will serve as an inspiration and catalyst for the masterplan.
Tay Suan Chiang
The four winning and other entries are on display at City Hall, Level 3 Chambers, till Dec 8, from 10am to 10pm. Admission is free.
Design by Surbana, Singapore
THIS proposal adopts two broad housing strategies.
The first is the Blue strategy, where 30- to 50-storey-high residential towers sit directly on a vast expanse of water in a radial manner. This allows residential owners to have breathtaking views.
Carparks and vehicle movements will be limited to the basement levels, freeing up the ground level for water-themed playgrounds.
In the second Green strategy, most of the rooftop spaces will be semi-public gardens. Public gardens and spaces are also carved out between apartment blocks, creating a closeness to nature.
An internal canal system will allow residents to take boat rides around the area.
Design by Compass Studio Limited, Hong Kong
The overall design of this proposal resembles rolling hills - depicted by high- rise residential blocks of various heights - that overlook a low-rise village.
The towers are arranged such that they have views of the Gardens at Marina South and the seafront.
Connecting the buildings are several high-level terraces called ‘Sky Cloud Gardens’, and they will be used for leisure activities.
Nearer the waterfront will be a low-rise eco village. Traffic here is restricted to green means of transportation, preferably electric cars.
Design by SKPS Projects, Singapore
The focus here is on creating more open areas and creating a waterfront space for communal and commercial use. Garden decks will link this area to the Gardens at Marina South.
The residential buildings will be lifted 10 storeys above ground, so the space below can be used by the public. There are also plans to plant rainforest
Design by Khoo Teik Rong, Singapore
Khoo Teik Rong was inspired by the many canals he saw in Amsterdam and wanted to recreate the same atmosphere. His canals will be artificially created and connect the Gardens at Marina South to the sea.
There are also plans for the canals to be lined with street-level shops.
His residential blocks will consist of high-rise ones as well as townhouses and waterfront homes.
Source : Straits Times - 1 Dec 2007
No date has been set for when people can move in.
The Urban Redevelopment Authority (URA) has set aside 60ha of land between Gardens at Marina South and the Straits of Singapore, which will host some 11,000 homes, with a mix of commercial, hotel and community facilities for all to enjoy.
To get ideas for this project, the URA and the Singapore Institute of Architects (SIA) held a competition in September.
Open to students and professionals in planning, architecture and landscape, both locally and internationally, it drew 30 entries.
Participants had to illustrate how high-density living can co-exist with a waterfront garden concept, and set a new landmark in residential development.
A five-member panel, including Mr Tai Lee Siang, SIA president, and Ms Fun Siew Leng, director of urban planning and design at URA, chose four winners who each won $10,000.
The winning ideas will serve as an inspiration and catalyst for the masterplan.
Tay Suan Chiang
The four winning and other entries are on display at City Hall, Level 3 Chambers, till Dec 8, from 10am to 10pm. Admission is free.
Design by Surbana, Singapore
THIS proposal adopts two broad housing strategies.
The first is the Blue strategy, where 30- to 50-storey-high residential towers sit directly on a vast expanse of water in a radial manner. This allows residential owners to have breathtaking views.
Carparks and vehicle movements will be limited to the basement levels, freeing up the ground level for water-themed playgrounds.
In the second Green strategy, most of the rooftop spaces will be semi-public gardens. Public gardens and spaces are also carved out between apartment blocks, creating a closeness to nature.
An internal canal system will allow residents to take boat rides around the area.
Design by Compass Studio Limited, Hong Kong
The overall design of this proposal resembles rolling hills - depicted by high- rise residential blocks of various heights - that overlook a low-rise village.
The towers are arranged such that they have views of the Gardens at Marina South and the seafront.
Connecting the buildings are several high-level terraces called ‘Sky Cloud Gardens’, and they will be used for leisure activities.
Nearer the waterfront will be a low-rise eco village. Traffic here is restricted to green means of transportation, preferably electric cars.
Design by SKPS Projects, Singapore
The focus here is on creating more open areas and creating a waterfront space for communal and commercial use. Garden decks will link this area to the Gardens at Marina South.
The residential buildings will be lifted 10 storeys above ground, so the space below can be used by the public. There are also plans to plant rainforest
Design by Khoo Teik Rong, Singapore
Khoo Teik Rong was inspired by the many canals he saw in Amsterdam and wanted to recreate the same atmosphere. His canals will be artificially created and connect the Gardens at Marina South to the sea.
There are also plans for the canals to be lined with street-level shops.
His residential blocks will consist of high-rise ones as well as townhouses and waterfront homes.
Source : Straits Times - 1 Dec 2007
Singapore Land Authority (SLA) yesterday auctioned off six 99-year leasehold residential land parcels for some $30.6 million
THE Singapore Land Authority (SLA) yesterday auctioned off six 99-year leasehold residential land parcels for some $30.6 million in all - but some of the sites went for bargain prices.
A 16,690 sq ft good class bungalow (GCB) site at Eng Neo Avenue was picked up by a buyer for at the starting auction price of $6 million - which works out to $360 per square foot (psf). The buyer, Foo Chee King John, said that he was lucky to have won the site at such a good price.
‘Leasehold land on Sentosa can go for over $1,000 psf,’ he pointed out. The land, he said, is for his own private use.
And another GCB plot, also on Eng Neo Avenue, was sold to individual buyer Hu Nan Lee for $12.1 million - significantly above the starting price of $9.5 million. But the 29,200 sq ft site was still considered a good buy as it went for $414 psf.
The auction was SLA’s first for infill sites, the government agency said. Over 120 individuals and companies turned up for the auction, including professionals, businessmen, construction companies and niche developers.
Other than the GCB sites, SLA also auctioned off one other site in one of Singapore’s prime districts - a 6,290 sq ft semi-detached housing plot Moonbeam Walk, which is in District 10. The site fetched $3.9 million (as compared to the starting bid of $3.3 million), which works out at $626 psf.
The three other sites, at Somme Road, Jalan Insaf and Bedok Close went for $3.8 million, $3.5 million and $1.3 million respectively. The price works out to $353 psf for the Somme Road site, $508 psf for the Jalan Insaf site and $307 psf for the land parcel on Bedok Close.
The Somme Road plot proved to be the most popular of the six land parcels on offer and there were altogether 64 bids before it was awarded to Sarda Pte Ltd.
‘We are very encouraged by the strong bids shown at this auction,’ said SLA chief executive Lam Joon Khoi. ‘We will consider releasing more infill sites to help meet the current market demand for high quality residential properties.’
Source : Business Times - 30 Nov 2007
A 16,690 sq ft good class bungalow (GCB) site at Eng Neo Avenue was picked up by a buyer for at the starting auction price of $6 million - which works out to $360 per square foot (psf). The buyer, Foo Chee King John, said that he was lucky to have won the site at such a good price.
‘Leasehold land on Sentosa can go for over $1,000 psf,’ he pointed out. The land, he said, is for his own private use.
And another GCB plot, also on Eng Neo Avenue, was sold to individual buyer Hu Nan Lee for $12.1 million - significantly above the starting price of $9.5 million. But the 29,200 sq ft site was still considered a good buy as it went for $414 psf.
The auction was SLA’s first for infill sites, the government agency said. Over 120 individuals and companies turned up for the auction, including professionals, businessmen, construction companies and niche developers.
Other than the GCB sites, SLA also auctioned off one other site in one of Singapore’s prime districts - a 6,290 sq ft semi-detached housing plot Moonbeam Walk, which is in District 10. The site fetched $3.9 million (as compared to the starting bid of $3.3 million), which works out at $626 psf.
The three other sites, at Somme Road, Jalan Insaf and Bedok Close went for $3.8 million, $3.5 million and $1.3 million respectively. The price works out to $353 psf for the Somme Road site, $508 psf for the Jalan Insaf site and $307 psf for the land parcel on Bedok Close.
The Somme Road plot proved to be the most popular of the six land parcels on offer and there were altogether 64 bids before it was awarded to Sarda Pte Ltd.
‘We are very encouraged by the strong bids shown at this auction,’ said SLA chief executive Lam Joon Khoi. ‘We will consider releasing more infill sites to help meet the current market demand for high quality residential properties.’
Source : Business Times - 30 Nov 2007
Marina Bay may be the next big thing.
TIRED of Orchard Road? Jaded by Clarke Quay? Finding Robertson Walk just a trifle same-old, same-old? For the Singapore consumer - probably among the most avid in the world - Marina Bay may be the next big thing.
The new downtown will be home to a casino, a financial centre and several sparkling condominiums, so not surprisingly, shops and restaurants are eager for a presence there.
‘The Marina Bay area presents many exciting opportunities for both the business and leisure market,’ said Sulian Tan-Wijaya, general manager of The Fullerton Heritage, which is developing a string of commercial properties along the waterfront.
‘Our development is at the heart of the Central Business District, the Marina Bay Sands casino, the Esplanade theatres, new high-end residences like The Sail and The Clift, and the nearby Civic District,’ she said.
Edgar Huang, manager of marketing services for Esplanade - Theatres on the Bay, said the arts-performance centre expects to see ‘even more buzz in the area, with more people coming to work and live and play here’. The theatres, open since 2002 and famous for their domes that have been likened to durians, are also adjacent to a shopping mall.
David Martin, general manager of Marina Bay Financial Centre (MBFC), which will consist of high-rise office towers as well as retail space, estimates there will be 50,000 people living and working in the ‘immediate vicinity’ of the financial hub from 2011.
Along with the visitors who are sure to flock to the adjacent Sands, ‘we believe this creates a compelling offer to potential retail tenants, and this is also the feedback we are getting from the market’, he said.
Events being held in and around the public areas of Marina Bay will also help draw in the crowds, said the Esplanade’s MrHuang.
‘Marina Bay is also currently host to many celebrations like National Day, the Fireworks Festival and the New Year’s Day celebrations,’ he said.
Upcoming events like the Chingay street parade and the Grand Prix Formula One race, which Singapore will host in September next year, will also attract visitors, he added.
To entice what promises to be a diverse range of consumers, each developer is adopting a slightly different marketing tack.
The Fullerton development, for example, is aiming to be high-end and historical.
‘In addition to the Fullerton Hotel and a new waterfront 100-room luxury hotel, the Fullerton Heritage Precinct will offer a range of chic, trendy and elegant retail and dining experiences,’ said Ms Tan-Wijaya.
‘These include conservation buildings such as The Fullerton Waterboat House, Clifford Pier and Customs House, as well as One Fullerton,’ she said.
One Fullerton will revamp its second floor and offer even more food and beverage outlets, which should attract tourists who visit the nearby Merlion Park, she said.
The Esplanade is pitching itself as a kind of natural retail extension for the arts lover. ‘It’s a lifestyle experience pegged to the arts,’ said Mr Huang.
‘Besides coming here for a show, you can start or end your evening with drinks and food,’ he added. ‘There are many shops closely related to the arts for art lovers, and those unfamiliar with the arts won’t feel out of place either.’
Mr Huang said that business at the Esplanade has been bustling since its inception.
‘It’s been positive here at Esplanade Mall,’ he said. ‘The Esplanade also presents over 70 per cent of our artistic programmes free, which means visitors will always have something to look forward to after a meal or a visit to the shops.’
He said that some of the main attractions of the mall are the food centre Makansutra Gluttons Bay, award-winning restaurant My Humble House and library@esplanade, Singapore’s first performing-arts library.
Not forgetting the small but unusual Tatami Shop - ‘the world’s first tatami furnishings retailer outside Japan’, said Mr Huang.
Suntec City Mall, which welcomed its first customers in 1997, says its retail concept is ‘a little something for everyone’. The shopping centre’s larger tenants include hypermarket Carrefour and fashion retailers Mango, La Senza and Lacoste. It also boasts the gigantic Fountain of Wealth, which attracts visitors from all over the world.
‘Also, Suntec City Mall houses the embarkation point for the many tourists going for the Duck Tours and Hippo tours,’ said Marilyn Tan, investor relations manager at ARA Trust Management (Suntec).
As for the MBFC, Mr Martin said the financial hub aims to be ‘a vibrant and prestigious, yet convenient, shopping and dining precinct for the internationally-minded’.
Retail in the MBFC would address a ‘market gap’ in the central business district for serving the needs of higher-income earners and residents, he said. ‘This group of customers wants much more than what a conventional mixed-use centre offers. MBFC is designed as a place where residents, the office population and visitors can satisfy their everyday needs without leaving the business and financial district.’
Of the development’s 160,000 sq ft of underground retail space, about half will be for shops and the other half for food and beverage, he said. In addition, there will be a restaurant on the 33rd floor of the Tower One office block.
‘MBFC is in talks with a number of leading retail interests to be located within the centre,’ he said. The development will offer dining and entertainment options for ‘a spectrum of tastes’.
Then, of course, there is Marina Bay Sands, which will open in 2009. Its developers, Las Vegas Sands, declined to comment at this stage on the specifics of upcoming shops and restaurants.
Besides the casino, the entire integrated resort, as it is called, will feature three 50-storey hotel towers, linked by a two-acre Sky Garden. Not to mention an Arts and Sciences Museum shaped like a welcoming gesture, and one-million square feet of ‘integrated waterside promenade and shopping arcade’, according to its website.
Clearly, there will be loads of shopping and dining opportunities there. So hang on to your hats, Singapore consumer - if not your purses.
Source : Business Times - 29 Nov 2007
The new downtown will be home to a casino, a financial centre and several sparkling condominiums, so not surprisingly, shops and restaurants are eager for a presence there.
‘The Marina Bay area presents many exciting opportunities for both the business and leisure market,’ said Sulian Tan-Wijaya, general manager of The Fullerton Heritage, which is developing a string of commercial properties along the waterfront.
‘Our development is at the heart of the Central Business District, the Marina Bay Sands casino, the Esplanade theatres, new high-end residences like The Sail and The Clift, and the nearby Civic District,’ she said.
Edgar Huang, manager of marketing services for Esplanade - Theatres on the Bay, said the arts-performance centre expects to see ‘even more buzz in the area, with more people coming to work and live and play here’. The theatres, open since 2002 and famous for their domes that have been likened to durians, are also adjacent to a shopping mall.
David Martin, general manager of Marina Bay Financial Centre (MBFC), which will consist of high-rise office towers as well as retail space, estimates there will be 50,000 people living and working in the ‘immediate vicinity’ of the financial hub from 2011.
Along with the visitors who are sure to flock to the adjacent Sands, ‘we believe this creates a compelling offer to potential retail tenants, and this is also the feedback we are getting from the market’, he said.
Events being held in and around the public areas of Marina Bay will also help draw in the crowds, said the Esplanade’s MrHuang.
‘Marina Bay is also currently host to many celebrations like National Day, the Fireworks Festival and the New Year’s Day celebrations,’ he said.
Upcoming events like the Chingay street parade and the Grand Prix Formula One race, which Singapore will host in September next year, will also attract visitors, he added.
To entice what promises to be a diverse range of consumers, each developer is adopting a slightly different marketing tack.
The Fullerton development, for example, is aiming to be high-end and historical.
‘In addition to the Fullerton Hotel and a new waterfront 100-room luxury hotel, the Fullerton Heritage Precinct will offer a range of chic, trendy and elegant retail and dining experiences,’ said Ms Tan-Wijaya.
‘These include conservation buildings such as The Fullerton Waterboat House, Clifford Pier and Customs House, as well as One Fullerton,’ she said.
One Fullerton will revamp its second floor and offer even more food and beverage outlets, which should attract tourists who visit the nearby Merlion Park, she said.
The Esplanade is pitching itself as a kind of natural retail extension for the arts lover. ‘It’s a lifestyle experience pegged to the arts,’ said Mr Huang.
‘Besides coming here for a show, you can start or end your evening with drinks and food,’ he added. ‘There are many shops closely related to the arts for art lovers, and those unfamiliar with the arts won’t feel out of place either.’
Mr Huang said that business at the Esplanade has been bustling since its inception.
‘It’s been positive here at Esplanade Mall,’ he said. ‘The Esplanade also presents over 70 per cent of our artistic programmes free, which means visitors will always have something to look forward to after a meal or a visit to the shops.’
He said that some of the main attractions of the mall are the food centre Makansutra Gluttons Bay, award-winning restaurant My Humble House and library@esplanade, Singapore’s first performing-arts library.
Not forgetting the small but unusual Tatami Shop - ‘the world’s first tatami furnishings retailer outside Japan’, said Mr Huang.
Suntec City Mall, which welcomed its first customers in 1997, says its retail concept is ‘a little something for everyone’. The shopping centre’s larger tenants include hypermarket Carrefour and fashion retailers Mango, La Senza and Lacoste. It also boasts the gigantic Fountain of Wealth, which attracts visitors from all over the world.
‘Also, Suntec City Mall houses the embarkation point for the many tourists going for the Duck Tours and Hippo tours,’ said Marilyn Tan, investor relations manager at ARA Trust Management (Suntec).
As for the MBFC, Mr Martin said the financial hub aims to be ‘a vibrant and prestigious, yet convenient, shopping and dining precinct for the internationally-minded’.
Retail in the MBFC would address a ‘market gap’ in the central business district for serving the needs of higher-income earners and residents, he said. ‘This group of customers wants much more than what a conventional mixed-use centre offers. MBFC is designed as a place where residents, the office population and visitors can satisfy their everyday needs without leaving the business and financial district.’
Of the development’s 160,000 sq ft of underground retail space, about half will be for shops and the other half for food and beverage, he said. In addition, there will be a restaurant on the 33rd floor of the Tower One office block.
‘MBFC is in talks with a number of leading retail interests to be located within the centre,’ he said. The development will offer dining and entertainment options for ‘a spectrum of tastes’.
Then, of course, there is Marina Bay Sands, which will open in 2009. Its developers, Las Vegas Sands, declined to comment at this stage on the specifics of upcoming shops and restaurants.
Besides the casino, the entire integrated resort, as it is called, will feature three 50-storey hotel towers, linked by a two-acre Sky Garden. Not to mention an Arts and Sciences Museum shaped like a welcoming gesture, and one-million square feet of ‘integrated waterside promenade and shopping arcade’, according to its website.
Clearly, there will be loads of shopping and dining opportunities there. So hang on to your hats, Singapore consumer - if not your purses.
Source : Business Times - 29 Nov 2007
THE Lippo Group should be familiar to Singaporeans by now
CHOW PENN NEE speaks to Lippo Group’s Stephen Riady whose business acumen has led the firm make several strategic property investments.
THE Lippo Group should be familiar to Singaporeans by now, with its brand name plastered on more than a dozen property developments across the island, and less obviously, behind the ownership of retailers Robinsons and River Island.
At the helm of Indonesian conglomerate Lippo’s business empire in Singapore is Stephen Riady, whose entrepreneurial spirit is well known.
Mr Riady, executive director of Auric Pacific Group, clinched the Strategic Investment Entrepreneur of the Year award in Ernst & Young’s Entrepreneur of the Year Awards for Singapore this year. Among the criteria for the award are traits like strong financial performance, personal integrity and entrepreneurial spirit.
His group’s move into property has been strategic, given current, sky-high property prices, and the fact that he went into the market much earlier on.
‘We started off with the purchase of Lippo Centre on Shenton Way at the end of 2004,’ Mr Riady told BT in an earlier interview. ‘You think people come to us asking us to buy? No. We went out, and at that time, there were no bidders,’ he recounted.’Wise investors are those who have a vision, they are the ones who see something that other people have not seen … Then they start taking action, instead of just waiting there.’- Stephen Riady, Auric Pacific Group executive director
The building has since been sold for $350 million - or more than double the $151 million purchase price - earlier this year. ‘There were signs that the Singapore economy was in good shape in 2005 and 2006, so we continued buying,’ he said.
Citing the hallmarks of a good entrepreneur, he said one must have the ability to understand timing and be willing to invest and take risks. ‘We should be willing to go outside our comfort zone.’
Recounting how he started investing in Singapore, he said: ‘When the Singapore government talked about plans to remake this place, lots of people heard about it. But we believed in it and took action early.’ And that, he says differentiates the wise investors from the foolish ones.
‘Wise investors are those who have a vision, they are the ones who see something that other people have not seen,’ he says. ‘Then they start taking action, instead of just waiting.’
Foolish investors, on the other hand, wait for opportunities to come but they still don’t take it, he said. ‘The opportunity leaves and then they say they regret not having taken it.’ The Lippo group has so far amassed nine residential developments, five commercial properties and two retail brands, with a total value of $4 billion in Singapore.
The Lippo group has so far amassed nine residential developments, five commercial properties and two retail brands in Singapore, with a total value of $4 billion.
Mr Riady hopes to go further, increasing the value of the group’s portfolio from $7US billion in assets at present to $20US billion within five years.
The group’s retail arm is also expanding aggressively. The business includes Auric Pacific - a distributor of fast-moving consumer food and non-food products, Robinsons, and various clothing stores.
‘The plan for our retailing business is to grow turnover from the present $2US billion to $5US billion in five years’ time,’ said Mr Riady.
His entrepreneurial instincts showed up early. Every school holiday, Mr Riady would return to the family business - set up by his father Mochtar Riady - to learn the ropes. The elder Riady started the Lippo business with a bank and has since built up a vast conglomerate spanning property, banking, and retail.
‘My dad didn’t say that I had to join the business, but since we already had it, somehow in university you just naturally major in business. You don’t think about it.’
He considers working in a family business advantageous as there is a ‘consultative environment in which both timeliness and calculated risk-taking strategies can be explored, discussed and implemented’.
‘To any entrepreneur, these two elements are key to the success of a business,’ he said.
At 46, the businessman is at the top of his game, and continually trying to improve. ‘A lot of people have mid-life crises because they get stuck and they are not inclined to grow or learn anymore,’ he said.
‘I really believe in growing because without growth, we will have crises and problems. We must train ourselves to learn.’
Source : Business Times - 29 Nov 2007
THE Lippo Group should be familiar to Singaporeans by now, with its brand name plastered on more than a dozen property developments across the island, and less obviously, behind the ownership of retailers Robinsons and River Island.
At the helm of Indonesian conglomerate Lippo’s business empire in Singapore is Stephen Riady, whose entrepreneurial spirit is well known.
Mr Riady, executive director of Auric Pacific Group, clinched the Strategic Investment Entrepreneur of the Year award in Ernst & Young’s Entrepreneur of the Year Awards for Singapore this year. Among the criteria for the award are traits like strong financial performance, personal integrity and entrepreneurial spirit.
His group’s move into property has been strategic, given current, sky-high property prices, and the fact that he went into the market much earlier on.
‘We started off with the purchase of Lippo Centre on Shenton Way at the end of 2004,’ Mr Riady told BT in an earlier interview. ‘You think people come to us asking us to buy? No. We went out, and at that time, there were no bidders,’ he recounted.’Wise investors are those who have a vision, they are the ones who see something that other people have not seen … Then they start taking action, instead of just waiting there.’- Stephen Riady, Auric Pacific Group executive director
The building has since been sold for $350 million - or more than double the $151 million purchase price - earlier this year. ‘There were signs that the Singapore economy was in good shape in 2005 and 2006, so we continued buying,’ he said.
Citing the hallmarks of a good entrepreneur, he said one must have the ability to understand timing and be willing to invest and take risks. ‘We should be willing to go outside our comfort zone.’
Recounting how he started investing in Singapore, he said: ‘When the Singapore government talked about plans to remake this place, lots of people heard about it. But we believed in it and took action early.’ And that, he says differentiates the wise investors from the foolish ones.
‘Wise investors are those who have a vision, they are the ones who see something that other people have not seen,’ he says. ‘Then they start taking action, instead of just waiting.’
Foolish investors, on the other hand, wait for opportunities to come but they still don’t take it, he said. ‘The opportunity leaves and then they say they regret not having taken it.’ The Lippo group has so far amassed nine residential developments, five commercial properties and two retail brands, with a total value of $4 billion in Singapore.
The Lippo group has so far amassed nine residential developments, five commercial properties and two retail brands in Singapore, with a total value of $4 billion.
Mr Riady hopes to go further, increasing the value of the group’s portfolio from $7US billion in assets at present to $20US billion within five years.
The group’s retail arm is also expanding aggressively. The business includes Auric Pacific - a distributor of fast-moving consumer food and non-food products, Robinsons, and various clothing stores.
‘The plan for our retailing business is to grow turnover from the present $2US billion to $5US billion in five years’ time,’ said Mr Riady.
His entrepreneurial instincts showed up early. Every school holiday, Mr Riady would return to the family business - set up by his father Mochtar Riady - to learn the ropes. The elder Riady started the Lippo business with a bank and has since built up a vast conglomerate spanning property, banking, and retail.
‘My dad didn’t say that I had to join the business, but since we already had it, somehow in university you just naturally major in business. You don’t think about it.’
He considers working in a family business advantageous as there is a ‘consultative environment in which both timeliness and calculated risk-taking strategies can be explored, discussed and implemented’.
‘To any entrepreneur, these two elements are key to the success of a business,’ he said.
At 46, the businessman is at the top of his game, and continually trying to improve. ‘A lot of people have mid-life crises because they get stuck and they are not inclined to grow or learn anymore,’ he said.
‘I really believe in growing because without growth, we will have crises and problems. We must train ourselves to learn.’
Source : Business Times - 29 Nov 2007
POPULAR Holdings a winner?
POPULAR Holdings is best known for its bookstores and schoolbooks, but there is now more to it than meets the eye. For the household name has been making big bets on real estate in Singapore, and its fortunes going forward are likely to be driven more by property than by publishing.
It’s a shift that started just last year but has since picked up dramatically enough to alter the complexion of the group.
Last week alone, the group announced two new property investments. It purchased all the strata units at View Point at Jalan Datoh for $16.5 million and at Shiba Apartments at Jalan Raja Udang for $15.5 million.
Earlier in May this year, Popular bought 10 residential units at 18 Shelford Road for $27.2 million for redevelopment.
Its first major property foray was back in May last year, when the group bought eight residential units with a total land area of 15,070 sq ft at Robin Road, at a cost of $12.5 million. The company plans to sell the units once development is completed.
So in just over a year, the group has invested almost $72 million in the property business.
In sharp contrast, Popular’s investments in publishing-related businesses have been less eye-catching. It has made only two recent publishing-related announcements. This month, the group, through its subsidiaries in Hong Kong, raised the paid-up capital of eNet Digital Pacific Ltd from $2HK.00 to $10HK,000. In September, Popular acquired two ordinary shares of RM1 each in the capital of Seashore Publishing (M) Sdn Bhd, which is in the business of publishing and distributing books, articles and other printed materials.
Property, clearly, has become an area of major focus for Popular. In its announcements, the group had tended to characterise its property forays as opportunistic. ‘While retail, distribution and publishing will remain the group’s main business focus, property development will be a potential area of growth that the group is looking into, to capitalise on the potential and promising returns of the current property market,’ it said while making one of its property investments.
But it is clearly more than that. In its latest annual report, chairman Chou Cheng Ngok told shareholders that Popular is entering into a new business segment, property, through a new unit, Popular Land Pte Ltd. And its ambitions span beyond residential property. ‘We are also looking into commercial property business opportunities as well as for potential future self-use,’ Mr Chou said. ‘We will give the same passion for property development as we have shown for our book and publishing businesses. This ‘diversification’ will enhance our shareholders’ value in the long term.’
The question, of course, is whether this will really be the case. While one-off projects could well give a short-term fillip to earnings, going into property on the basis that Popular is thinking of entails more risks. The lessons from the past show clearly that it is very difficult for non-property players to play the real estate game well. Many will recall how many non-property companies all rushed into property during the property bull run in the mid-1990s, and got their fingers burnt when the bubble was pricked in 1996/97. While the current state of the property market is still bullish, several factors, such as overstretched valuations in some segments, the threat of more government intervention to cool prices, and concerns about the impact of a potential US recession on local sentiment, will make it challenging for property players.
So it is by no means certain, despite the company’s optimism, that Popular’s property ventures would achieve the results it is hoping for. It is also debatable if going the property route is the best way for Popular to increase shareholders’ value - it could have invested its surplus cash in its core business, or return it to shareholders if there are no suitable investments. What has clearly changed is that Popular is no longer just the stable, if rather staid, publisher and retailer of education staples. If the potential returns from property development are high, so will be the risks.
Source : Business Times - 29 Nov 2007
It’s a shift that started just last year but has since picked up dramatically enough to alter the complexion of the group.
Last week alone, the group announced two new property investments. It purchased all the strata units at View Point at Jalan Datoh for $16.5 million and at Shiba Apartments at Jalan Raja Udang for $15.5 million.
Earlier in May this year, Popular bought 10 residential units at 18 Shelford Road for $27.2 million for redevelopment.
Its first major property foray was back in May last year, when the group bought eight residential units with a total land area of 15,070 sq ft at Robin Road, at a cost of $12.5 million. The company plans to sell the units once development is completed.
So in just over a year, the group has invested almost $72 million in the property business.
In sharp contrast, Popular’s investments in publishing-related businesses have been less eye-catching. It has made only two recent publishing-related announcements. This month, the group, through its subsidiaries in Hong Kong, raised the paid-up capital of eNet Digital Pacific Ltd from $2HK.00 to $10HK,000. In September, Popular acquired two ordinary shares of RM1 each in the capital of Seashore Publishing (M) Sdn Bhd, which is in the business of publishing and distributing books, articles and other printed materials.
Property, clearly, has become an area of major focus for Popular. In its announcements, the group had tended to characterise its property forays as opportunistic. ‘While retail, distribution and publishing will remain the group’s main business focus, property development will be a potential area of growth that the group is looking into, to capitalise on the potential and promising returns of the current property market,’ it said while making one of its property investments.
But it is clearly more than that. In its latest annual report, chairman Chou Cheng Ngok told shareholders that Popular is entering into a new business segment, property, through a new unit, Popular Land Pte Ltd. And its ambitions span beyond residential property. ‘We are also looking into commercial property business opportunities as well as for potential future self-use,’ Mr Chou said. ‘We will give the same passion for property development as we have shown for our book and publishing businesses. This ‘diversification’ will enhance our shareholders’ value in the long term.’
The question, of course, is whether this will really be the case. While one-off projects could well give a short-term fillip to earnings, going into property on the basis that Popular is thinking of entails more risks. The lessons from the past show clearly that it is very difficult for non-property players to play the real estate game well. Many will recall how many non-property companies all rushed into property during the property bull run in the mid-1990s, and got their fingers burnt when the bubble was pricked in 1996/97. While the current state of the property market is still bullish, several factors, such as overstretched valuations in some segments, the threat of more government intervention to cool prices, and concerns about the impact of a potential US recession on local sentiment, will make it challenging for property players.
So it is by no means certain, despite the company’s optimism, that Popular’s property ventures would achieve the results it is hoping for. It is also debatable if going the property route is the best way for Popular to increase shareholders’ value - it could have invested its surplus cash in its core business, or return it to shareholders if there are no suitable investments. What has clearly changed is that Popular is no longer just the stable, if rather staid, publisher and retailer of education staples. If the potential returns from property development are high, so will be the risks.
Source : Business Times - 29 Nov 2007
Monday, November 26, 2007
99-year leasehold residential site in Woodlands was found to have drawn a surprising eight bidders
A 99-year leasehold residential site in Woodlands was found to have drawn a surprising eight bidders when the government tender closed yesterday, with the top bid coming to some $56 million - or $232 per square foot per plot ratio (psf ppr).
Recent government land tenders have drawn only a few bidders each, which market watchers said was a sign of the property market cooling off.
For the 172,200 sq ft site at Woodlands Avenue 2/Rosewood Drive, the top bid was put in by Evan Lim & Co Pte Ltd.
The company just pipped second highest bidder Frasers Centrepoint, which offered $55.5 million - or $230 psf ppr.
Other bidders include Wing Tai and Sim Lian Land. The site has a 1.4 plot ratio - giving it a maximum gross floor area of 241,100 sq ft.
Nicholas Mak, director of research and consultancy at Knight Frank, said that the price was ‘realistic’, although it came in below prior market expectations of $250-$280 psf ppr.
The number of bids was impressive, considering the recent market turbulence, experts said. ‘The bids show that developers are confident of healthy suburban buyer demand,’ said Mr Mak.
Ku Swee Yong, Savills Singapore’s director of marketing and business development, said: ‘Developers still see that there is good demand from the mass market, arising from job growth and rising wages.’
With construction costs for mass market condos estimated at about $300 psf, the break-even price for the site could be around $530 psf, experts said.
This means that apartments in the project could eventually be launched at about $700 psf - higher than what private homes in Woodlands are fetching at the moment.
Separately, the Urban Redevelopment Authority (URA) on Monday awarded a transitional office site at Tampines to City Developments’ unit Glades Properties.
The developer had put in the only bid for the site, offering $10 million, or $81 psf ppr - lower than the $100 psf ppr that most property consultants had expected the 15-year leasehold site to fetch. This led to market talk that the site might not be awarded.
Yesterday, URA also said that an unnamed developer has entered a bid of $187 million for a 3.2ha, 99-year leasehold residential site at Simei Street 4, triggering a public tender which will be launched in two weeks’ time.
The price offered by the developer works out to $235 psf ppr. The site has a 2.3 plot ratio - giving it a maximum gross floor area of 797,400 sq ft.
Market watchers, however, reckon that the plot could fetch more.
‘I think the winning bid could come to $350 psf ppr,’ said Ho Eng Joo, Colliers International’s executive director for investment sales. Apartments coming up on the site could be launched at about $800 psf, he said.
URA yesterday also awarded the tender for the 99-year leasehold condo site at Enggor Street (Land Parcel B) to Allgreen Properties, which had submitted the highest bid of $717 psf ppr in a public tender.
Source : Business Times - 21 Nov 2007
Recent government land tenders have drawn only a few bidders each, which market watchers said was a sign of the property market cooling off.
For the 172,200 sq ft site at Woodlands Avenue 2/Rosewood Drive, the top bid was put in by Evan Lim & Co Pte Ltd.
The company just pipped second highest bidder Frasers Centrepoint, which offered $55.5 million - or $230 psf ppr.
Other bidders include Wing Tai and Sim Lian Land. The site has a 1.4 plot ratio - giving it a maximum gross floor area of 241,100 sq ft.
Nicholas Mak, director of research and consultancy at Knight Frank, said that the price was ‘realistic’, although it came in below prior market expectations of $250-$280 psf ppr.
The number of bids was impressive, considering the recent market turbulence, experts said. ‘The bids show that developers are confident of healthy suburban buyer demand,’ said Mr Mak.
Ku Swee Yong, Savills Singapore’s director of marketing and business development, said: ‘Developers still see that there is good demand from the mass market, arising from job growth and rising wages.’
With construction costs for mass market condos estimated at about $300 psf, the break-even price for the site could be around $530 psf, experts said.
This means that apartments in the project could eventually be launched at about $700 psf - higher than what private homes in Woodlands are fetching at the moment.
Separately, the Urban Redevelopment Authority (URA) on Monday awarded a transitional office site at Tampines to City Developments’ unit Glades Properties.
The developer had put in the only bid for the site, offering $10 million, or $81 psf ppr - lower than the $100 psf ppr that most property consultants had expected the 15-year leasehold site to fetch. This led to market talk that the site might not be awarded.
Yesterday, URA also said that an unnamed developer has entered a bid of $187 million for a 3.2ha, 99-year leasehold residential site at Simei Street 4, triggering a public tender which will be launched in two weeks’ time.
The price offered by the developer works out to $235 psf ppr. The site has a 2.3 plot ratio - giving it a maximum gross floor area of 797,400 sq ft.
Market watchers, however, reckon that the plot could fetch more.
‘I think the winning bid could come to $350 psf ppr,’ said Ho Eng Joo, Colliers International’s executive director for investment sales. Apartments coming up on the site could be launched at about $800 psf, he said.
URA yesterday also awarded the tender for the 99-year leasehold condo site at Enggor Street (Land Parcel B) to Allgreen Properties, which had submitted the highest bid of $717 psf ppr in a public tender.
Source : Business Times - 21 Nov 2007
Wednesday, November 21, 2007
Singapore American School and right in the middle of the heartland, Singapore’s new real estate hot zone.
EIGHT bidders have put in tenders for a residential site near the Singapore American School and right in the middle of the heartland, Singapore’s new real estate hot zone.
Bids for the plot - located between Woodlands Avenue 2 and Rosewood Drive - ranged from $36.4 million to $56 million.
EL Development, a unit of Evan Lim, lodged the top bid.
Frasers Centrepoint came in just behind with $55.5 million, according to a Singapore Land Authority (SLA) statement yesterday.
The narrow gap between the top two bidders reflects the keen interest in the 172,223 sq ft site, which is near the American international school and, thus, in an area popular with expatriate families, said Mr Lui Seng Fatt, regional director and head of investments at Jones Lang LaSalle.
A condominium of up to five storeys with a gross floor area of 241,112 sq ft can be built on the 99-year lease site, which has a gross plot ratio of 1.4, the SLA said. This works out to about $232 per sq ft (psf) per plot ratio, which can translate into a break-even price of about $400 psf for the project, said Mr Lui, adding ‘the project may be able to sell for about $500 psf, depending on the circumstances’.
Analysts noted that the competitive bidding for the Woodlands site contrasted sharply with the lacklustre response to recent public tenders for sites at Enggor Street and Marina View, both located in the more central parts of Singapore.
This confirms ‘the trend that the focus has shifted to the outlying areas, now that the prices in the central districts, including districts 9, 10, 11, have risen significantly’, said Mr Lui.
That theory will get a further test in two weeks, when the Urban Redevelopment Authority (URA) launches a tender for a reserve site at Simei Street 4, which has an area of 3.22ha and is earmarked for residential development with a maximum gross floor area of 74,084 sq m.
The call for bidders was triggered by an application made by a developer who committed to bid at least $187 million for the land parcel.
Also, the URA has awarded the tender for a transitional office site between Tampines Concourse and Tampines Avenue 5 to Glades Properties, the sole bidder with a price of $10 million.
This works out to $868 per sq m for a site with a gross floor area of 11,520 sq m. The land parcel has a 15-year lease.
Source : Straits Times - 21 Nov 2007
Bids for the plot - located between Woodlands Avenue 2 and Rosewood Drive - ranged from $36.4 million to $56 million.
EL Development, a unit of Evan Lim, lodged the top bid.
Frasers Centrepoint came in just behind with $55.5 million, according to a Singapore Land Authority (SLA) statement yesterday.
The narrow gap between the top two bidders reflects the keen interest in the 172,223 sq ft site, which is near the American international school and, thus, in an area popular with expatriate families, said Mr Lui Seng Fatt, regional director and head of investments at Jones Lang LaSalle.
A condominium of up to five storeys with a gross floor area of 241,112 sq ft can be built on the 99-year lease site, which has a gross plot ratio of 1.4, the SLA said. This works out to about $232 per sq ft (psf) per plot ratio, which can translate into a break-even price of about $400 psf for the project, said Mr Lui, adding ‘the project may be able to sell for about $500 psf, depending on the circumstances’.
Analysts noted that the competitive bidding for the Woodlands site contrasted sharply with the lacklustre response to recent public tenders for sites at Enggor Street and Marina View, both located in the more central parts of Singapore.
This confirms ‘the trend that the focus has shifted to the outlying areas, now that the prices in the central districts, including districts 9, 10, 11, have risen significantly’, said Mr Lui.
That theory will get a further test in two weeks, when the Urban Redevelopment Authority (URA) launches a tender for a reserve site at Simei Street 4, which has an area of 3.22ha and is earmarked for residential development with a maximum gross floor area of 74,084 sq m.
The call for bidders was triggered by an application made by a developer who committed to bid at least $187 million for the land parcel.
Also, the URA has awarded the tender for a transitional office site between Tampines Concourse and Tampines Avenue 5 to Glades Properties, the sole bidder with a price of $10 million.
This works out to $868 per sq m for a site with a gross floor area of 11,520 sq m. The land parcel has a 15-year lease.
Source : Straits Times - 21 Nov 2007
Tuesday, November 20, 2007
70 of the 114 units at Voda Land’s Amber Residences in Amber Road were snapped up within hours
MORE than 70 of the 114 units at Voda Land’s Amber Residences in Amber Road were snapped up within hours during a private preview on Sunday at an average price of $1,650 per square foot (psf), the agency marketing the project said yesterday.
And elsewhere, about 70 per cent of units released at Sui Generis - a condominium in the Balmoral area being jointly developed by Singapore-listed United Engineers (UE) and Japan-based Kajima Corporation - have been sold at an average price of $2,500 per square foot (psf), UE said yesterday.
At the 40-unit Sui Generis, 17 units of the 23 released were sold through overseas previews during the past two months, UE said.
Prices fetched ranged from $2,300 psf to $2,580 psf. About 90 per cent of the units were bought by foreigners during roadshows in Indonesia and Hong Kong, UE said.
‘Given the continued foreign interest in Singapore properties, Sui Generis will tour various cities including Jakarta and Hong Kong,’ said Joseph Tan, executive director of residential at CB Richard Ellis (CBRE), which is marketing the project. Sui Generis will be launched in Singapore early next year.
CBRE said the average price of $2,500 psf is a benchmark for the Balmoral area.
‘Buyers are drawn by the good unit layout and quality of finishes, which explains why the project has achieved a benchmark sale price,’ Mr Tan said.
Sui Generis comprises mostly three and four-bedroom apartments. There are also four penthouses. The project’s name is a Latin expression that means ‘a person or thing that is unique and in a class of its own’.
At Amber Residences, the average price per unit came to $1,650 psf, with choice high-floor units being sold for more than $1,800 psf, said Savills Singapore, which is marketing the project.
‘Following the overwhelming success and strong demand for this unique development, we plan to release a few more units for this coming Sunday’s preview,’ said Phylicia Ang, senior associate director of Savills’ residential division. ‘It will then be followed by an official launch for the remaining units - including choice units - from Dec 1.’
The sales were done by private invitation only and most of the buyers were locals, Savills said.
Amber Residences is made up of a single 21-storey block with mostly two, three and four-bedroom apartments. There are also six penthouses.
The project is possibly the first on the East Coast where all units have a premium finish and fittings usually associated with high-end condominiums, Ms Ang said.
Source : Business Times - 20 Nov 2007
And elsewhere, about 70 per cent of units released at Sui Generis - a condominium in the Balmoral area being jointly developed by Singapore-listed United Engineers (UE) and Japan-based Kajima Corporation - have been sold at an average price of $2,500 per square foot (psf), UE said yesterday.
At the 40-unit Sui Generis, 17 units of the 23 released were sold through overseas previews during the past two months, UE said.
Prices fetched ranged from $2,300 psf to $2,580 psf. About 90 per cent of the units were bought by foreigners during roadshows in Indonesia and Hong Kong, UE said.
‘Given the continued foreign interest in Singapore properties, Sui Generis will tour various cities including Jakarta and Hong Kong,’ said Joseph Tan, executive director of residential at CB Richard Ellis (CBRE), which is marketing the project. Sui Generis will be launched in Singapore early next year.
CBRE said the average price of $2,500 psf is a benchmark for the Balmoral area.
‘Buyers are drawn by the good unit layout and quality of finishes, which explains why the project has achieved a benchmark sale price,’ Mr Tan said.
Sui Generis comprises mostly three and four-bedroom apartments. There are also four penthouses. The project’s name is a Latin expression that means ‘a person or thing that is unique and in a class of its own’.
At Amber Residences, the average price per unit came to $1,650 psf, with choice high-floor units being sold for more than $1,800 psf, said Savills Singapore, which is marketing the project.
‘Following the overwhelming success and strong demand for this unique development, we plan to release a few more units for this coming Sunday’s preview,’ said Phylicia Ang, senior associate director of Savills’ residential division. ‘It will then be followed by an official launch for the remaining units - including choice units - from Dec 1.’
The sales were done by private invitation only and most of the buyers were locals, Savills said.
Amber Residences is made up of a single 21-storey block with mostly two, three and four-bedroom apartments. There are also six penthouses.
The project is possibly the first on the East Coast where all units have a premium finish and fittings usually associated with high-end condominiums, Ms Ang said.
Source : Business Times - 20 Nov 2007
Friday, November 2, 2007
Westwood ends scheduling row
Westwood ends scheduling row
Friday, 02 Nov 2007 17:19
Lee Westwood is hoping for success in Singapore this week Printer friendly version
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Lee Westwood has said he wants to put an end to the controversy surrounding his comments about the 'poor scheduling' of the European Tour.
The English golfer was forced to miss the final event of the season at the Volvo Masters as the dates clashed with a rival Asian Tour tournament, the Singapore Masters.
Westwood was invited to the Singapore event last year before the European Tour released their schedule and was critical when he discovered the dates of the two competitions clashed, meaning he could not be present for both.
"I think that everybody wants it over and done with so this mistake doesn't happen again next year," he said.
"Both sponsors have suffered - Volvo and Barclays [sponsors in Singapore].
"Barclays also lost out on a couple of players that would have ordinarily been playing here in Sergio [Garcia] and Padraig [Harrington]."
Westwood stood by his criticism of the European Tour but called for a line to be drawn under the entire episode.
"The mismanagement on behalf of the tour is disappointing," he added.
"I'd like to have played in both tournaments and hopefully it will be corrected in years to come so I can play in the last couple of events of the European season."
The Englishman's complaints have been echoed by a number of players, including European Tour Order of Merit leader Ernie Els.
The South African stands to lose out at the top of the standings because he was also committed to playing in Singapore.
Els has since missed the cut at the Asian event and must now watch a number of players who are hoping to top him in the money list, including the current top two in Spain Harrington and Justin Rose, battle it out for the winner's cheque in Valderrama.
Friday, 02 Nov 2007 17:19
Lee Westwood is hoping for success in Singapore this week Printer friendly version
Sponsored Links Bioflex and You Helps with your aching bones, joints and muscles. For all ages.
www.bioceuticals.co.uk
Lee Westwood has said he wants to put an end to the controversy surrounding his comments about the 'poor scheduling' of the European Tour.
The English golfer was forced to miss the final event of the season at the Volvo Masters as the dates clashed with a rival Asian Tour tournament, the Singapore Masters.
Westwood was invited to the Singapore event last year before the European Tour released their schedule and was critical when he discovered the dates of the two competitions clashed, meaning he could not be present for both.
"I think that everybody wants it over and done with so this mistake doesn't happen again next year," he said.
"Both sponsors have suffered - Volvo and Barclays [sponsors in Singapore].
"Barclays also lost out on a couple of players that would have ordinarily been playing here in Sergio [Garcia] and Padraig [Harrington]."
Westwood stood by his criticism of the European Tour but called for a line to be drawn under the entire episode.
"The mismanagement on behalf of the tour is disappointing," he added.
"I'd like to have played in both tournaments and hopefully it will be corrected in years to come so I can play in the last couple of events of the European season."
The Englishman's complaints have been echoed by a number of players, including European Tour Order of Merit leader Ernie Els.
The South African stands to lose out at the top of the standings because he was also committed to playing in Singapore.
Els has since missed the cut at the Asian event and must now watch a number of players who are hoping to top him in the money list, including the current top two in Spain Harrington and Justin Rose, battle it out for the winner's cheque in Valderrama.
Monday, October 22, 2007
SINGAPORE’S first research and development (R&D) hub, the 25-year-old Singapore Science Park, is getting a $400 million makeover.
SINGAPORE’S first research and development (R&D) hub, the 25-year-old Singapore Science Park, is getting a $400 million makeover.
The renovations will create more space for the R&D companies there and improve access to greenery and recreational facilities.
The first phase of development, to cost half of the $400 million, will start next month. It will add 87,000 sq m of space, an increase of 14 per cent over the current built-up space of the hub.
Its developer, Ascendas, hopes the new look will help it to retain current tenants and attract new ones.
The makeover comprises:
A new access road;
New buildings, one of which will house recreational facilities under one roof; and
Footpaths leading to the Kent Ridge nature park.
The redevelopment, to take place in three phases over the next 10 years, largely affects Science Park I, which is near the National University Hospital.
Ascendas president and chief executive Chong Siak Ching told The Straits Times that this portion of the Science Park is older than Science Parks II and III, and most in need of a makeover.
Science Park II was completed in 2001 and the first building in Science Park III, in 2002. A new building will be added there next year, which still leaves land for future buildings.
The new access road to be built under Phase 1 of the redevelopment will extend from Normanton Park into Science Park I.
At the moment, the only way to get into the area is from South Buona Vista Road.
Work on the road will begin in the middle of next year, as four existing buildings in the centre of Science Park I are torn down and rebuilt as a single building, for now called the Central Plaza.
At six storeys high, it will house facilities such as a gym, restaurants, an auditorium, as well as R&D and IT firms.
Ms Chong noted that although each building has its own cafeteria now, most other recreational facilities are scattered throughout Science Park I.
The road and the building are expected to be completed in 2011, at about the time the MRT Circle Line construction in the area is ready, she added.
The construction of another building, Cintech 4, will start next month and will be completed in 2009.
Later phases of the makeover will see the redevelopment of another five buildings and the building of footpaths linking buildings in all three Science Parks to the greenery of Kent Ridge Park.
The Science Park, born as the first initiative to centralise R&D activities in Singapore, has been somewhat eclipsed in recent years by its more glamorous cousins - the life sciences hub Biopolis, and Fusionopolis, the infocommunications and media technologies research hub.
Ms Chong is not daunted by this. She sees the Science Park’s natural green setting as its selling point.
‘Researchers can take a walk in Kent Ridge Park or sit by the lake to take a break from work or to get inspiration for fresh ideas,’ she said in an interview at Science Park I last week.
Science Park tenants welcome the makeover.
Long-time tenant Seagate Technology’s senior vice-president of global disc storage operations, Mr David Mosley, said: ‘We expect the redevelopment…to not only positively impact our business operations, but also to enhance the work-life balance of our employees.’
Source : Straits Times - 22 Oct 2007
The renovations will create more space for the R&D companies there and improve access to greenery and recreational facilities.
The first phase of development, to cost half of the $400 million, will start next month. It will add 87,000 sq m of space, an increase of 14 per cent over the current built-up space of the hub.
Its developer, Ascendas, hopes the new look will help it to retain current tenants and attract new ones.
The makeover comprises:
A new access road;
New buildings, one of which will house recreational facilities under one roof; and
Footpaths leading to the Kent Ridge nature park.
The redevelopment, to take place in three phases over the next 10 years, largely affects Science Park I, which is near the National University Hospital.
Ascendas president and chief executive Chong Siak Ching told The Straits Times that this portion of the Science Park is older than Science Parks II and III, and most in need of a makeover.
Science Park II was completed in 2001 and the first building in Science Park III, in 2002. A new building will be added there next year, which still leaves land for future buildings.
The new access road to be built under Phase 1 of the redevelopment will extend from Normanton Park into Science Park I.
At the moment, the only way to get into the area is from South Buona Vista Road.
Work on the road will begin in the middle of next year, as four existing buildings in the centre of Science Park I are torn down and rebuilt as a single building, for now called the Central Plaza.
At six storeys high, it will house facilities such as a gym, restaurants, an auditorium, as well as R&D and IT firms.
Ms Chong noted that although each building has its own cafeteria now, most other recreational facilities are scattered throughout Science Park I.
The road and the building are expected to be completed in 2011, at about the time the MRT Circle Line construction in the area is ready, she added.
The construction of another building, Cintech 4, will start next month and will be completed in 2009.
Later phases of the makeover will see the redevelopment of another five buildings and the building of footpaths linking buildings in all three Science Parks to the greenery of Kent Ridge Park.
The Science Park, born as the first initiative to centralise R&D activities in Singapore, has been somewhat eclipsed in recent years by its more glamorous cousins - the life sciences hub Biopolis, and Fusionopolis, the infocommunications and media technologies research hub.
Ms Chong is not daunted by this. She sees the Science Park’s natural green setting as its selling point.
‘Researchers can take a walk in Kent Ridge Park or sit by the lake to take a break from work or to get inspiration for fresh ideas,’ she said in an interview at Science Park I last week.
Science Park tenants welcome the makeover.
Long-time tenant Seagate Technology’s senior vice-president of global disc storage operations, Mr David Mosley, said: ‘We expect the redevelopment…to not only positively impact our business operations, but also to enhance the work-life balance of our employees.’
Source : Straits Times - 22 Oct 2007
Sunday, October 14, 2007
$5,600 psf for penthouse new high in property price here
A NEW record property price for Singapore has been set, even though fewer sales are being made in high-end residential projects since the time of the US sub-prime mortgage crisis.
CapitaLand and Sun Hung Kai Properties are said to have sold earlier this week a penthouse on the 53rd storey of The Orchard Residences for about $5,600 per square foot (psf), or over $28 million. This surpasses the previous benchmark of $5,500 psf set in August when a 54th storey penthouse fetched about $27.8 million.
This means that all four penthouses in the 99-year leasehold development are now sold.
The developers are said to have sold about 73 per cent of the total 175 units in the condo. The buyer of the final penthouse sold this week is believed to be a foreigner. The 5,048 sq ft unit has five bedrooms, a study and a family room.
A stone’s throw away, Wheelock Properties (Singapore) is said to have sold more than 30 apartments at its freehold Scotts Square since the official launch of the project on Sept 28.
The developer is said to have largely maintained its average price at around the $4,000 psf mark from its preview in July, when it sold about half of the project’s 338 apartments.
Over in Sentosa Cove, Ho Bee has sold 38 of the 50 units it has released so far in its 91-unit condo, Turquoise, since late September. The units have been sold at prices ranging from nearly $2,500 psf to $2,770 psf.
The average price is about $2,600 psf, Ho Bee Investment executive director Ong Chong Hua said when contacted by BT yesterday. Buyers of the 38 units - which include four penthouses - were an equal mix of foreigners and Singaporeans, he said.
Apartments at the 99-year leasehold Turquoise typically cost around $5.3 million for a three-bedroom unit, $6.4 million for a four-bedder and around $9.3 million for a penthouse.
DTZ Debenham Tie Leung executive director (residential) Margaret Thean acknowledges that buyers, both local and foreign, have been more cautious after the stock market setback at the time of the US sub-prime mortgage crisis.
‘But we still see activity going on. For the high-end projects, we’ve not noticed any withdrawal of liquidity. The only difference is that prospective buyers are more cautious, doing more calculations and being more selective in their choice of investment before making a commitment,’ she said.
Market watchers also say that the recovery in the stock market in recent weeks has led to a return of confidence in the property market, as seen in a pick-up in subsales activity lately.
Over in the Seletar Hills area, Tong Eng Brothers unit Fairview Developments is launching two landed developments. One is the freehold 8 @ Stratton, comprising eight cluster semi-detached houses priced at $1.98 million to $2.2 million.
The houses have built-up areas ranging from 3,595 sq ft to 3,649 sq ft and strata areas of 4,930 sq ft to 5,145 sq ft.
The second project is Nim Green, a collection of just three terrace houses - a corner unit with an asking price of $2.5 million and two intermediate units with a price tag of about $2 million.
Source: Business Times 12 Oct 07
CapitaLand and Sun Hung Kai Properties are said to have sold earlier this week a penthouse on the 53rd storey of The Orchard Residences for about $5,600 per square foot (psf), or over $28 million. This surpasses the previous benchmark of $5,500 psf set in August when a 54th storey penthouse fetched about $27.8 million.
This means that all four penthouses in the 99-year leasehold development are now sold.
The developers are said to have sold about 73 per cent of the total 175 units in the condo. The buyer of the final penthouse sold this week is believed to be a foreigner. The 5,048 sq ft unit has five bedrooms, a study and a family room.
A stone’s throw away, Wheelock Properties (Singapore) is said to have sold more than 30 apartments at its freehold Scotts Square since the official launch of the project on Sept 28.
The developer is said to have largely maintained its average price at around the $4,000 psf mark from its preview in July, when it sold about half of the project’s 338 apartments.
Over in Sentosa Cove, Ho Bee has sold 38 of the 50 units it has released so far in its 91-unit condo, Turquoise, since late September. The units have been sold at prices ranging from nearly $2,500 psf to $2,770 psf.
The average price is about $2,600 psf, Ho Bee Investment executive director Ong Chong Hua said when contacted by BT yesterday. Buyers of the 38 units - which include four penthouses - were an equal mix of foreigners and Singaporeans, he said.
Apartments at the 99-year leasehold Turquoise typically cost around $5.3 million for a three-bedroom unit, $6.4 million for a four-bedder and around $9.3 million for a penthouse.
DTZ Debenham Tie Leung executive director (residential) Margaret Thean acknowledges that buyers, both local and foreign, have been more cautious after the stock market setback at the time of the US sub-prime mortgage crisis.
‘But we still see activity going on. For the high-end projects, we’ve not noticed any withdrawal of liquidity. The only difference is that prospective buyers are more cautious, doing more calculations and being more selective in their choice of investment before making a commitment,’ she said.
Market watchers also say that the recovery in the stock market in recent weeks has led to a return of confidence in the property market, as seen in a pick-up in subsales activity lately.
Over in the Seletar Hills area, Tong Eng Brothers unit Fairview Developments is launching two landed developments. One is the freehold 8 @ Stratton, comprising eight cluster semi-detached houses priced at $1.98 million to $2.2 million.
The houses have built-up areas ranging from 3,595 sq ft to 3,649 sq ft and strata areas of 4,930 sq ft to 5,145 sq ft.
The second project is Nim Green, a collection of just three terrace houses - a corner unit with an asking price of $2.5 million and two intermediate units with a price tag of about $2 million.
Source: Business Times 12 Oct 07
Saturday, October 13, 2007
THE average capital value of luxury apartments in Singapore has risen 43.5 per cent in the first nine months of this year since the fourth quarter
THE average capital value of luxury apartments in Singapore has risen 43.5 per cent in the first nine months of this year since the fourth quarter of 2006. At $2,827 psf, the Q3 2007 average luxury apartment cap value has surpassed 1997’s peak level by 59 per cent, according to a report by Colliers International issued yesterday.
In the leasing market, average monthly gross rents of luxury apartments were up 27.9 per cent in the first nine months of the year. The increase was at a faster clip in the third quarter of this year, with a quarter-on-quarter gain of 10.2 per cent to $6.86 per square foot a month. This was higher than earlier rises of 7.9 per cent and 7.6 per cent in Q2 and Q1.
‘The supply crunch, coupled with strong demand, continued to contribute to escalating rental growth, a growing concern among the expatriate population in the Republic and the government,’ Colliers noted.
The average cap value of luxury apartments rose 13.3 per cent in Q3 over the preceding quarter to $2,827 psf.
The property consultancy firm predicts that average capital values and monthly gross rents of luxury apartments will rise by up to 10 per cent in the final quarter of the year. But it acknowledged the downside risks in the coming months, including the negative spillover from the US housing market and potential negative oil supply shocks.
‘Nevertheless, the strong economic and demand fundamentals in the Singapore market, coupled with the continuing commitment of the government to maintain Singapore’s attractiveness as a stable market for investments, should lend support to the private residential property market amid cautious sentiments,’ the report added.
Colliers also highlighted the government’s assurance that it would continue to monitor the market and ensure that prices do not run ahead because of a shortage of supply.
Earlier this month, the Urban Redevelopment Authority said that it was reviewing the Government Land Sales programme for the first half of next year and that the government would make available more sites for private residential development through the GLS programme next year if the demand continues to remain strong.
Source : Business Times - 13 Oct 2007
In the leasing market, average monthly gross rents of luxury apartments were up 27.9 per cent in the first nine months of the year. The increase was at a faster clip in the third quarter of this year, with a quarter-on-quarter gain of 10.2 per cent to $6.86 per square foot a month. This was higher than earlier rises of 7.9 per cent and 7.6 per cent in Q2 and Q1.
‘The supply crunch, coupled with strong demand, continued to contribute to escalating rental growth, a growing concern among the expatriate population in the Republic and the government,’ Colliers noted.
The average cap value of luxury apartments rose 13.3 per cent in Q3 over the preceding quarter to $2,827 psf.
The property consultancy firm predicts that average capital values and monthly gross rents of luxury apartments will rise by up to 10 per cent in the final quarter of the year. But it acknowledged the downside risks in the coming months, including the negative spillover from the US housing market and potential negative oil supply shocks.
‘Nevertheless, the strong economic and demand fundamentals in the Singapore market, coupled with the continuing commitment of the government to maintain Singapore’s attractiveness as a stable market for investments, should lend support to the private residential property market amid cautious sentiments,’ the report added.
Colliers also highlighted the government’s assurance that it would continue to monitor the market and ensure that prices do not run ahead because of a shortage of supply.
Earlier this month, the Urban Redevelopment Authority said that it was reviewing the Government Land Sales programme for the first half of next year and that the government would make available more sites for private residential development through the GLS programme next year if the demand continues to remain strong.
Source : Business Times - 13 Oct 2007
Saturday, October 6, 2007
BIG gun property developers who lined up for a prime residential site in the Kovan area were pipped in the bidding by a firm hardly heard of
BIG gun property developers who lined up for a prime residential site in the Kovan area were pipped in the bidding by a firm hardly anyone has heard of.
Duke Development placed the top bid of $290 million for the 190,000 sq ft site in Simon Road, trumping high-profile rivals Far East Organization, Hong Leong Holdings, Frasers Centrepoint and Allgreen Properties.
Duke is believed to be a group of private investors with a pair of top dealers as shareholders.
A company search turned up Mr Han Seng Juan and Mr David Loh as Duke shareholders. They are former executive directors at UOB Kay Hian, the brokerage arm of United Overseas Bank.
Both Mr Han and Mr Loh, who are believed to be related, also hold shares in Cybertech Communications and Healthstats International, among other companies.
Their winning bid works out to about $437 per sq ft (psf) per plot ratio, and is a ‘reasonable bid’, said CB Richard Ellis Research executive director Li Hiaw Ho.
Mr Li believes this offer can break even at about $800 psf for the finished condominium units, which are likely to sell at between $850 psf and $950 psf.
Nearby Kovan Melody has sold out all 778 units, a testament to the strong demand for homes in the area. The units are now being resold in the secondary market for more than $800 psf, said Mr Li.
He added that part of the area’s attraction are the good schools in the vicinity, such as Rosyth School and Maris Stella High School.
A condominium with about 555 units can be built on the Simon Road site, which has a maximum gross floor area of 664,337 sq ft.
Apart from homes, the plot can also host service apartments, said the Urban Redevelopment Authority.
Duke Development placed the top bid of $290 million for the 190,000 sq ft site in Simon Road, trumping high-profile rivals Far East Organization, Hong Leong Holdings, Frasers Centrepoint and Allgreen Properties.
Duke is believed to be a group of private investors with a pair of top dealers as shareholders.
A company search turned up Mr Han Seng Juan and Mr David Loh as Duke shareholders. They are former executive directors at UOB Kay Hian, the brokerage arm of United Overseas Bank.
Both Mr Han and Mr Loh, who are believed to be related, also hold shares in Cybertech Communications and Healthstats International, among other companies.
Their winning bid works out to about $437 per sq ft (psf) per plot ratio, and is a ‘reasonable bid’, said CB Richard Ellis Research executive director Li Hiaw Ho.
Mr Li believes this offer can break even at about $800 psf for the finished condominium units, which are likely to sell at between $850 psf and $950 psf.
Nearby Kovan Melody has sold out all 778 units, a testament to the strong demand for homes in the area. The units are now being resold in the secondary market for more than $800 psf, said Mr Li.
He added that part of the area’s attraction are the good schools in the vicinity, such as Rosyth School and Maris Stella High School.
A condominium with about 555 units can be built on the Simon Road site, which has a maximum gross floor area of 664,337 sq ft.
Apart from homes, the plot can also host service apartments, said the Urban Redevelopment Authority.
Singapore's Duke Development Pte Ltd, they bid $290.02 million or $436.55 psf per plot ratio (psf ppr) for the 99-year leasehold site
A COMPANY controlled by stockbrokers Han Seng Juan and David Loh Kim Kang of UOB Kay Hian yesterday emerged as the surprise top bidders for a 189,812 sq ft site next to Kovan MRT Station and the Kovan Melody condo.
Through Duke Development Pte Ltd, they bid $290.02 million or $436.55 psf per plot ratio (psf ppr) for the 99-year leasehold site, which can be developed into a condominium project with possibly about 600 units averaging 1,200 sq ft.
Duke Development outbid five other contenders at yesterday’s state tender conducted by Urban Redevelopment Authority. The others were:
Far East Organization’s Bishan Properties, which bid $280.1 million or about $422 psf ppr;
A tie-up between Hong Leong Holdings unit Kingston Development and ASPF II Delta GmbH ($273 million or $411 psf ppr);
Frasers Centrepoint ($262.4 million or $395 psf ppr); Allgreen Properties ($256.8 million or $387 psf ppr); and
GuocoLand unit GLL Ventures ($227 million or $342 psf ppr). Property market players were busy yesterday evening trying to find out just who Duke Development was. The company is a fully owned subsidiary of Duchess Development, whose shareholders are Mr Han, Mr Loh and Angela Loh Moo Cheng, a companies search showed.
Mr Han and Mr Loh, in addition to being prominent stockbrokers at UOB Kay Hian, are also known to be corporate investors, who control stakes in companies like Summit Holdings and Pine Agritech.
They are also well known for pre-IPO China investments, and are dubbed the ‘David and Han Team’ and ‘The Dream Team’, according to stockbroking circles.
Industry players believe that based on Duke Development’s top bid of $437 psf ppr at yesterday’s tender, its break-even cost for a new condo development on the site could be in around $730 to $750 psf.
CB Richard Ellis executive director Li Hiaw Ho said: ‘It is likely the selling price would range from about $850 to $950 psf. The 778-unit Kovan Melody has sold out and there could be pent-up demand for new homes in this location. Units in Kovan Melody in the secondary market were transacted recently in the low-$800 psf range.’
Prices of suburban condo sites have been rising as the residential recovery spreads to the mass-market. Last month, a plum 99-year condo site next to Ang Mo Kio MRT Station fetched a top bid of $601 psf ppr, a new record for a suburban condo plot.
Mr Han and Mr Loh are well known for pre-IPO China investments and are dubbed the ‘David and Han Team’ and ‘The Dream Team’, according to stockbroking circles.
Through Duke Development Pte Ltd, they bid $290.02 million or $436.55 psf per plot ratio (psf ppr) for the 99-year leasehold site, which can be developed into a condominium project with possibly about 600 units averaging 1,200 sq ft.
Duke Development outbid five other contenders at yesterday’s state tender conducted by Urban Redevelopment Authority. The others were:
Far East Organization’s Bishan Properties, which bid $280.1 million or about $422 psf ppr;
A tie-up between Hong Leong Holdings unit Kingston Development and ASPF II Delta GmbH ($273 million or $411 psf ppr);
Frasers Centrepoint ($262.4 million or $395 psf ppr); Allgreen Properties ($256.8 million or $387 psf ppr); and
GuocoLand unit GLL Ventures ($227 million or $342 psf ppr). Property market players were busy yesterday evening trying to find out just who Duke Development was. The company is a fully owned subsidiary of Duchess Development, whose shareholders are Mr Han, Mr Loh and Angela Loh Moo Cheng, a companies search showed.
Mr Han and Mr Loh, in addition to being prominent stockbrokers at UOB Kay Hian, are also known to be corporate investors, who control stakes in companies like Summit Holdings and Pine Agritech.
They are also well known for pre-IPO China investments, and are dubbed the ‘David and Han Team’ and ‘The Dream Team’, according to stockbroking circles.
Industry players believe that based on Duke Development’s top bid of $437 psf ppr at yesterday’s tender, its break-even cost for a new condo development on the site could be in around $730 to $750 psf.
CB Richard Ellis executive director Li Hiaw Ho said: ‘It is likely the selling price would range from about $850 to $950 psf. The 778-unit Kovan Melody has sold out and there could be pent-up demand for new homes in this location. Units in Kovan Melody in the secondary market were transacted recently in the low-$800 psf range.’
Prices of suburban condo sites have been rising as the residential recovery spreads to the mass-market. Last month, a plum 99-year condo site next to Ang Mo Kio MRT Station fetched a top bid of $601 psf ppr, a new record for a suburban condo plot.
Mr Han and Mr Loh are well known for pre-IPO China investments and are dubbed the ‘David and Han Team’ and ‘The Dream Team’, according to stockbroking circles.
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