He was the last one left in the 140-unit private estate, and property developer City Developments (CDL) - which bought over Lock Cho Apartments - wants to take legal action against him.
Mr Chan Kin Foo busted the original mid-May deadline - and an extension to May 25 - to move out of the estate at Jalan Raja Udang in Balestier.
Mr Chan, 63, however, is uncontactable now.
CDL said this is putting a strain on its redevelopment work. ‘Any further delay will result in an increase in our holding costs and an undue delay in executing redevelopment,’ said a CDL spokesman.
This is the second time in three months in which a property developer decided to take ex-owners to court for refusing to move out of their home after it was sold en bloc.
The first was in April - when a family of four refused to leave their unit at Lincolnsvale estate in Surrey Road, which was bought over by Sim Lian Land.
Lock Cho Apartments consists of two blocks of walk-up apartments and two blocks of high-rise units. The site was purchased in a collective sale with two other neighbouring sites - Comfort Mansion and an eight-unit apartment - on March 31 last year for $156.3 million.
Mr Chan and three other owners did not sign the collective sale agreement.
This sale was subject to the approval of the Strata Titles Board (STB), which was given on Nov 14 last year. CDL has paid out the sale amount in full.
Late last month, The Straits Times was able to speak to Mr Chan, who said he lived alone in his unit.
He had said he did not agree to the sale because he felt his walk-up apartment deserved more money than the apartments in the high-rise blocks.
According to Credo Real Estate, which handled the sale, Mr Chan received about $900,000.
Other residents received from $840,000 to $1.3 million, which is 60 to 90 per cent of their current market prices, Credo said.
Residents were also told to vacate by May 13, which they all did, except for Mr Chan.
He continued to return to his apartment - his home for the past 30 years - even though he was now trespassing.
He was finally barred from entering the premises - and his apartment - at about 2am on May 24 by the estate security guard.
Since then, he has not returned or contacted CDL.
The developer extended its deadline to May 25 for him to at least contact it for the handing over of his keys, which he did not do.
‘We are left with no choice but to refer this matter to our solicitors,’ said its spokesman.
CDL said it had sent adequate legal notices to inform Mr Chan that he had to leave and hand over his keys.
The law firm that handled the Lock Cho Apartments sale, Rodyk & Davidson, said that Mr Chan was a ‘passive objector’ to the sale: He did not sign the sale agreement or file an objection before the STB when he could do so.
The law firm said it had sent letters to persuade Mr Chan to sign title transfer documents but he failed to do so.
Further notices were sent informing him that it would be seeking an STB order to appoint a representative to sign the documents on his behalf. The law firm received no word from him and it went ahead with this move.
On Oct 23 last year, the STB authorised a representative to sign the documents for Mr Chan and the $900,000 from his unit was ‘paid into the High Court’, in accordance with the Strata Titles Act.
According to a property lawyer that The Straits Times spoke to, a possible legal action CDL might be taking is an eviction order to dispossess Mr Chan from the unit.
Mr Chan could also be liable for damages in the form of bank interest chalked up by CDL due to the delay.
Source: The Straits Times, 04 June 2007
Monday, June 4, 2007
Singapore East Coast properties
Amber Road
Sweeping away the old
A WAVE of collective sales is gradually sweeping old properties out of the area, to make room for high-style condos that will give the street a brand-new look.
This enclave is becoming the hottest on East Coast Road as buyers snap up units at yet-to-be-completed, relatively large condos, jacking up the area’s value.
Prices averaged $850 to $1,000 per sq ft (psf) in the first quarter, up 40 to 45 per cent from $600 to $700 psf a year ago, said consultancy CB Richard Ellis (CBRE).
Condos under construction include Wheelock Properties’ 546-unit The Sea View; MCL Land’s 400-unit The Esta; the 562-unit One Amber from United Industrial Corp and United Overseas Land; and Ho Bee’s 42-unit Vertis.
The three large freehold condos have seen active sub-sales, said CBRE. They are popular for the location, facilities and well-known developers, said a consultant. Recent deals for The Sea View were done near $1,000 psf on average.
Buyers will soon have more choices.
A new project is earmarked for the sites now housing Amber Lodge and Jin Fu Apartments. Voda Land bought these estates en bloc in a private treaty at an undisclosed price and aims to launch Amber Residences in about three months.
It will be an ‘upper mid-market’ condo with 114 units in one 21-storey block, said Savills Singapore.
More condos will come when Far East Organization redevelops Amberville and Rose Garden, which it bought in collective sales last year.
For now, while construction roars ahead, the existence of older estates like Rose Garden makes for a noisy juxtaposition of past and future.
Marine Parade
Heart of the district with sea-front housing
MARINE Parade is the heart of the entire East Coast Road district and is a textbook example of how to develop reclaimed land. It brings together a popular shopping mall, schools and sea-front housing all within a linear stretch.
Public housing dominates, though older, large condos such as Mandarin Gardens and Neptune Court also enjoy the sea breeze and East Coast Park is just a stroll away.
It is no wonder the HDB flats here, particularly those with sea views, have always commanded a premium. And recently, they have benefited further from the robust activity in the private residential market, said CBRE.
Prices of five-room flats hit $358 per sq ft (psf) or some $467,000 on average in the first quarter, up 13.5 per cent from a year ago. This compares with a 7 to 8 per cent rise in prices of three- and four-room flats in the same period.
A four-room flat costs about $334 or some $305,000 on average, up nearly 7 per cent from a year ago.
But when it comes to rental, the four-roomers seem to be the most sought after. Average monthly rents of four-roomers rose by a hefty 47 per cent to $1.47 psf in the first quarter. This compares with a 23 per cent rise to $1.62 psf for three-roomers and a 7 per cent rise to $1.19 psf for five-roomers, said CBRE.
Private home prices in the area have risen by 20 to 40 per cent to $700 to $800 psf over a 12-month period as of the first quarter, said CBRE.
The area’s newest large condo is the 99-year leasehold Cote D’Azur.
Katong
Oozing old-world charm
RUSTIC shophouses, good food and a strong Peranakan heritage make Katong a real gem in the East Coast area.
The housing developments are mostly low-rise, with shophouses and boutique condominiums the mainstay, although there are quaint colonial houses for lease along Kuo Chuan Avenue.
Apart from the old-world charm, there is 24/7 shopping at Cold Storage in Katong Mall.
There are few new developments, though more may come as there have been several collective sale targets.
Sea Breeze Apartments was sold en bloc and should become an 88-unit project while a 229-unit condo in Jago Close is also expected, said CBRE.
Most of the properties here are small and rather old, so interest has not been very strong, with prices done in the past year or so at between $400 and $787 psf, said CBRE.
Developments such as Ceylon Crest and Katong Gardens transacted recently at about $540 to $550 psf on average.
Others such as East Galleria and Bellezza @ Katong go for about $650 psf on average.
St Patrick’s
Sleepy stretch enjoys new lease of life
IF YOU are looking for some peace and quiet in the East Coast locale, then the St Patrick’s area might be just your cup of tea.
The many boutique apartments, nestled alongside schools including St Patrick’s Secondary School and CHIJ Katong Primary, enjoy a special serenity that even the construction work at Grand Duchess at St Patrick’s and St Patrick’s Loft cannot disrupt.
The sleepy area has seen three launches recently. One was the 37-unit St Patrick’s Loft - marketed late last year at over $600 per sq ft (psf). Then came the fast sell-out of the 121-unit Grand Duchess, which created a stir. This project, which sold at $740 psf on average, further raised the area’s value.
Just a year ago, average levels were at just below $500 psf. Five Grand Duchess sub-sales were done at $700 psf to $900 psf, said CB Richard Ellis (CBRE). MCL Land’s recently sold-out Tierra Vue rode on the success of Grand Duchess and started sales at $800 psf. One 1,270 sq ft unit was said to have been sold at $1,051 psf, a record for the area, said CBRE.
More new projects are expected for the area.
Joo Chiat / Telok Kurau
Steady stream of small projects
THE sleaze of Joo Chiat is often put in the spotlight but beyond the colourful nightspots, the area is a quiet residential zone dominated by low-rise boutique developments and terrace houses.
A sprinkling of amenities such as schools, a medical centre, a park and good food also make this a conducive residential district.
Home prices rose to $600 to $700 per sq ft (psf) on average in the first quarter of the year, up from $450 to $550 psf a year ago, said CBRE.
There has been a steady stream of small apartments launched, with projects like Le Merritt selling for $650 psf this year. Last month, a 1,626 sq ft terrace house went for $1.2 million while a 2,190 sq ft semi-detached home went for $1.51 million.
Sim Lian Land bought Wen Yuan Court, K Gardens and Leyuke Apartments last year, but will launch its new project for sale only next year.
Siglap / Frankel
Cafes give quiet area some buzz
THE hub of activity in the otherwise homogeneous area of bungalows and semi-detached houses is the Siglap Road and East Coast Road junction.
Siglap Shopping Centre and rows of cafes and eateries give the otherwise quiet area some buzz, upping the area’s hip quotient.
With few new projects, Axis @ Siglap, a 40-unit boutique condo marketed earlier this year, sold out in a matter of weeks at an average price of nearly $800 per sq ft (psf). This was above the range of $600 to $700 psf for most properties in the area, Savills had said.
The strong demand is good news to developers who have bought sites in the area. Sing Holdings and a fund will redevelop Finland Gardens while Frasers Centrepoint will redevelop Flamingo Valley.
Prices for landed homes tend to vary widely, though they have moved up moderately. In May, a 4,700 sq ft bungalow on Siglap Road sold for $1.9 million while a 9,586 sq ft bungalow on the same stretch sold for $5 million.
Source: The Straits Times, 03 June 2007
Sweeping away the old
A WAVE of collective sales is gradually sweeping old properties out of the area, to make room for high-style condos that will give the street a brand-new look.
This enclave is becoming the hottest on East Coast Road as buyers snap up units at yet-to-be-completed, relatively large condos, jacking up the area’s value.
Prices averaged $850 to $1,000 per sq ft (psf) in the first quarter, up 40 to 45 per cent from $600 to $700 psf a year ago, said consultancy CB Richard Ellis (CBRE).
Condos under construction include Wheelock Properties’ 546-unit The Sea View; MCL Land’s 400-unit The Esta; the 562-unit One Amber from United Industrial Corp and United Overseas Land; and Ho Bee’s 42-unit Vertis.
The three large freehold condos have seen active sub-sales, said CBRE. They are popular for the location, facilities and well-known developers, said a consultant. Recent deals for The Sea View were done near $1,000 psf on average.
Buyers will soon have more choices.
A new project is earmarked for the sites now housing Amber Lodge and Jin Fu Apartments. Voda Land bought these estates en bloc in a private treaty at an undisclosed price and aims to launch Amber Residences in about three months.
It will be an ‘upper mid-market’ condo with 114 units in one 21-storey block, said Savills Singapore.
More condos will come when Far East Organization redevelops Amberville and Rose Garden, which it bought in collective sales last year.
For now, while construction roars ahead, the existence of older estates like Rose Garden makes for a noisy juxtaposition of past and future.
Marine Parade
Heart of the district with sea-front housing
MARINE Parade is the heart of the entire East Coast Road district and is a textbook example of how to develop reclaimed land. It brings together a popular shopping mall, schools and sea-front housing all within a linear stretch.
Public housing dominates, though older, large condos such as Mandarin Gardens and Neptune Court also enjoy the sea breeze and East Coast Park is just a stroll away.
It is no wonder the HDB flats here, particularly those with sea views, have always commanded a premium. And recently, they have benefited further from the robust activity in the private residential market, said CBRE.
Prices of five-room flats hit $358 per sq ft (psf) or some $467,000 on average in the first quarter, up 13.5 per cent from a year ago. This compares with a 7 to 8 per cent rise in prices of three- and four-room flats in the same period.
A four-room flat costs about $334 or some $305,000 on average, up nearly 7 per cent from a year ago.
But when it comes to rental, the four-roomers seem to be the most sought after. Average monthly rents of four-roomers rose by a hefty 47 per cent to $1.47 psf in the first quarter. This compares with a 23 per cent rise to $1.62 psf for three-roomers and a 7 per cent rise to $1.19 psf for five-roomers, said CBRE.
Private home prices in the area have risen by 20 to 40 per cent to $700 to $800 psf over a 12-month period as of the first quarter, said CBRE.
The area’s newest large condo is the 99-year leasehold Cote D’Azur.
Katong
Oozing old-world charm
RUSTIC shophouses, good food and a strong Peranakan heritage make Katong a real gem in the East Coast area.
The housing developments are mostly low-rise, with shophouses and boutique condominiums the mainstay, although there are quaint colonial houses for lease along Kuo Chuan Avenue.
Apart from the old-world charm, there is 24/7 shopping at Cold Storage in Katong Mall.
There are few new developments, though more may come as there have been several collective sale targets.
Sea Breeze Apartments was sold en bloc and should become an 88-unit project while a 229-unit condo in Jago Close is also expected, said CBRE.
Most of the properties here are small and rather old, so interest has not been very strong, with prices done in the past year or so at between $400 and $787 psf, said CBRE.
Developments such as Ceylon Crest and Katong Gardens transacted recently at about $540 to $550 psf on average.
Others such as East Galleria and Bellezza @ Katong go for about $650 psf on average.
St Patrick’s
Sleepy stretch enjoys new lease of life
IF YOU are looking for some peace and quiet in the East Coast locale, then the St Patrick’s area might be just your cup of tea.
The many boutique apartments, nestled alongside schools including St Patrick’s Secondary School and CHIJ Katong Primary, enjoy a special serenity that even the construction work at Grand Duchess at St Patrick’s and St Patrick’s Loft cannot disrupt.
The sleepy area has seen three launches recently. One was the 37-unit St Patrick’s Loft - marketed late last year at over $600 per sq ft (psf). Then came the fast sell-out of the 121-unit Grand Duchess, which created a stir. This project, which sold at $740 psf on average, further raised the area’s value.
Just a year ago, average levels were at just below $500 psf. Five Grand Duchess sub-sales were done at $700 psf to $900 psf, said CB Richard Ellis (CBRE). MCL Land’s recently sold-out Tierra Vue rode on the success of Grand Duchess and started sales at $800 psf. One 1,270 sq ft unit was said to have been sold at $1,051 psf, a record for the area, said CBRE.
More new projects are expected for the area.
Joo Chiat / Telok Kurau
Steady stream of small projects
THE sleaze of Joo Chiat is often put in the spotlight but beyond the colourful nightspots, the area is a quiet residential zone dominated by low-rise boutique developments and terrace houses.
A sprinkling of amenities such as schools, a medical centre, a park and good food also make this a conducive residential district.
Home prices rose to $600 to $700 per sq ft (psf) on average in the first quarter of the year, up from $450 to $550 psf a year ago, said CBRE.
There has been a steady stream of small apartments launched, with projects like Le Merritt selling for $650 psf this year. Last month, a 1,626 sq ft terrace house went for $1.2 million while a 2,190 sq ft semi-detached home went for $1.51 million.
Sim Lian Land bought Wen Yuan Court, K Gardens and Leyuke Apartments last year, but will launch its new project for sale only next year.
Siglap / Frankel
Cafes give quiet area some buzz
THE hub of activity in the otherwise homogeneous area of bungalows and semi-detached houses is the Siglap Road and East Coast Road junction.
Siglap Shopping Centre and rows of cafes and eateries give the otherwise quiet area some buzz, upping the area’s hip quotient.
With few new projects, Axis @ Siglap, a 40-unit boutique condo marketed earlier this year, sold out in a matter of weeks at an average price of nearly $800 per sq ft (psf). This was above the range of $600 to $700 psf for most properties in the area, Savills had said.
The strong demand is good news to developers who have bought sites in the area. Sing Holdings and a fund will redevelop Finland Gardens while Frasers Centrepoint will redevelop Flamingo Valley.
Prices for landed homes tend to vary widely, though they have moved up moderately. In May, a 4,700 sq ft bungalow on Siglap Road sold for $1.9 million while a 9,586 sq ft bungalow on the same stretch sold for $5 million.
Source: The Straits Times, 03 June 2007
Q If I buy a property with an existing tenancy, what are the legal implications, given all of the following circumstances:
Q If I buy a property with an existing tenancy, what are the legal implications, given all of the following circumstances:
1. The option specifies that the property is sold with an existing tenancy.
2. However, the existing tenancy agreement between tenant and property owner does not incorporate an explicit clause to allow the owner to transfer all rights and obligations under the tenancy agreement to the new owner or purchaser via a simple notification to the tenant of a change of ownership of property.
3. I had proposed to pay all legal costs in respect of a deed of assignment to be executed for the existing tenancy agreement so that I would assume all current rights and obligations of a landlord owner in the tenancy agreement.
This would have freed the existing landlord owner from the tenancy contract. But for some inexplicable reason, the seller does not regard this as necessary and refused to sell his property on that basis.
I had proposed that the deed of assignment be prepared by a lawyer. His estate agent advised him against this - even though I thought I was being fair to all parties: buyer, seller and tenant.
If I agree to buy his property on his terms, no deed of assignment will be executed between seller and buyer in respect of the tenancy agreement.
4. The seller is agreeable to transferring the balance of the rental deposit to me upon completion of the sale, after first deducting all dues owed by the tenant to him as the existing owner.
If the tenant refused to allow the transfer of deposit to me as the new owner, the balance would be transferred to my lawyer as stakeholder and it would be held till completion of the tenancy.
However, my lawyer does not want the responsibility of being the stakeholder.
Please advise me of the legal implications if I proceed with the purchase of the property under the vendor’s terms.
Is it implicit that all rights and obligations of a tenancy agreement are still binding between the property buyer and tenant even though there is no deed of assignment executed between buyer and seller in respect of the agreement?
Moreover, the existing tenancy agreement does not explicitly allow the transfer of tenancy contract to the new owner - it is silent on this point.
If there is a breach of the tenancy agreement, can I pursue legal action against the tenant?
Can the tenant pursue legal action against me as landlord if I fail to honour terms of the agreement?
A NORMALLY, the tenancy agreement does not incorporate an explicit clause to allow the owner to transfer all rights and obligations under the agreement to the new owner via a simple notification to the tenant of the change of ownership of property.
However, the law does recognise that with the transfer in ownership, all rights and obligations under the tenancy agreement will pass to and be binding on the new owner and the tenant.
There is therefore no need to execute a deed of assignment.
As the new landlord, you could pursue legal action against the tenant if he breached the terms of the tenancy agreement.
Similarly, the tenant could take action against you if you breached the terms.
However, the situation would be different for the rental deposit.
The court has held that the obligation in respect of the rental deposit does not pass as it is a personal contractual obligation.
Hence, the owner cannot transfer the rental deposit to the new owner unless he does so with the tenant’s consent.
In some cases, a three-party agreement called a Deed of Novation is executed by the previous owner, the new owner and the tenant to provide for the transfer of the rental deposit.
Again, this would require the consent of the tenant. The seller has suggested that your lawyer be the stakeholder for the rental deposit till completion of the tenancy.
This is one way to resolve the problem. If your lawyer refuses to be the stakeholder, you might want to suggest that the seller’s lawyer be the stakeholder instead.
Ang Kim Lan Director Goodwins Law Corporation
Advice provided in this column is not meant as a substitute for comprehensive professional advice.
Source: The Straits Times, 03 June 2007
1. The option specifies that the property is sold with an existing tenancy.
2. However, the existing tenancy agreement between tenant and property owner does not incorporate an explicit clause to allow the owner to transfer all rights and obligations under the tenancy agreement to the new owner or purchaser via a simple notification to the tenant of a change of ownership of property.
3. I had proposed to pay all legal costs in respect of a deed of assignment to be executed for the existing tenancy agreement so that I would assume all current rights and obligations of a landlord owner in the tenancy agreement.
This would have freed the existing landlord owner from the tenancy contract. But for some inexplicable reason, the seller does not regard this as necessary and refused to sell his property on that basis.
I had proposed that the deed of assignment be prepared by a lawyer. His estate agent advised him against this - even though I thought I was being fair to all parties: buyer, seller and tenant.
If I agree to buy his property on his terms, no deed of assignment will be executed between seller and buyer in respect of the tenancy agreement.
4. The seller is agreeable to transferring the balance of the rental deposit to me upon completion of the sale, after first deducting all dues owed by the tenant to him as the existing owner.
If the tenant refused to allow the transfer of deposit to me as the new owner, the balance would be transferred to my lawyer as stakeholder and it would be held till completion of the tenancy.
However, my lawyer does not want the responsibility of being the stakeholder.
Please advise me of the legal implications if I proceed with the purchase of the property under the vendor’s terms.
Is it implicit that all rights and obligations of a tenancy agreement are still binding between the property buyer and tenant even though there is no deed of assignment executed between buyer and seller in respect of the agreement?
Moreover, the existing tenancy agreement does not explicitly allow the transfer of tenancy contract to the new owner - it is silent on this point.
If there is a breach of the tenancy agreement, can I pursue legal action against the tenant?
Can the tenant pursue legal action against me as landlord if I fail to honour terms of the agreement?
A NORMALLY, the tenancy agreement does not incorporate an explicit clause to allow the owner to transfer all rights and obligations under the agreement to the new owner via a simple notification to the tenant of the change of ownership of property.
However, the law does recognise that with the transfer in ownership, all rights and obligations under the tenancy agreement will pass to and be binding on the new owner and the tenant.
There is therefore no need to execute a deed of assignment.
As the new landlord, you could pursue legal action against the tenant if he breached the terms of the tenancy agreement.
Similarly, the tenant could take action against you if you breached the terms.
However, the situation would be different for the rental deposit.
The court has held that the obligation in respect of the rental deposit does not pass as it is a personal contractual obligation.
Hence, the owner cannot transfer the rental deposit to the new owner unless he does so with the tenant’s consent.
In some cases, a three-party agreement called a Deed of Novation is executed by the previous owner, the new owner and the tenant to provide for the transfer of the rental deposit.
Again, this would require the consent of the tenant. The seller has suggested that your lawyer be the stakeholder for the rental deposit till completion of the tenancy.
This is one way to resolve the problem. If your lawyer refuses to be the stakeholder, you might want to suggest that the seller’s lawyer be the stakeholder instead.
Ang Kim Lan Director Goodwins Law Corporation
Advice provided in this column is not meant as a substitute for comprehensive professional advice.
Source: The Straits Times, 03 June 2007
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