Developer hit with S$2 .7mil in extension prices

April 21, 2016

CapitaLand has received to pay $2.7 million to expand its deadline to sell the remaining units at The Interlace.

This works out to S$21,000 per 7 psf, reported $ unit or S TODAYonline.

Initially, the remaining flats at the 1,040-unit condominium on Depot Street should have been disposed by 13 March, but because paying the fees properties there’s to be sold by, CapitaLand’s deadline to sell been extended by another six months.

Nevertheless, the developer moved 222 residential units with a combined worth S$506 million in the city-state during the period under review, up from your S$197 million it gained for marketing 69 units per year past.

Last month, Property Developers’ Association of Singapore (REDAS) President Augustine Tan estimated that developers in Singapore could carry nearly S$100 million in extension costs for failing to promote their remaining inventory in 2016.

Its Cairnhill Nine development also posted strong sales, with 193 from the 268 units changing hands as of last Thursday (14 April).

Another reason for the lower sales is the lack of fair value New Launch Property gain of S$59.6 million arising from the usage change of Ascott Heng Shan Shanghai in Q1 2015. But the fall in revenue was partially offset by higher contributions from rents at its serviced residence business and CapitaGreen, as well as sales in China.

Despite the drop in earnings, CapitLand’s profit after tax and minority pursuits (PATMI) surged by 35.4 percent year-on-year to S$218.3 million in Q1 2016, thanks to the divestment of a house New Launch Property in China, Somerset ZhongGuanCun Beijing.

Aid minute- timers properties that are own

April 13, 2016

The Ministry of National Development (MND) revealed yesterday the details of the Fresh Start Housing Scheme, which intends to supply dwellings for second-timers, or households that formerly loved one home subsidy but currently live in public rental flats.

Underneath the scheme, eligible families with school-going children will each be able to obtain a two-room Flexi level in a Build to Order (BTO) or Sale of Equilibrium Flats (SBF) sales exercise.

These units should come with short rentals ranging from 45 to 65 years to keep prices affordable. They will also provide an extended Minimum Occupation Period (MOP) of 20 years to ensure their owners’ youngsters may have dwellings for a longer period.

Those who qualify will probably be given another HDB concessionary loan, no matter the amount of previous loans they have got in the Housing Board. They’ll also manage to make use of their CPF contributions as down payment, or to service the monthly mortgage instalments.

Furthermore, they’ll be provided applying for a 60-year or 65-year lease eligible for the maximum amount. on the property’s tenure, with those with a Fresh Start Home Grant of up to S$35,000, depending

The Fresh Start Housing Scheme, that will be implemented in late 2016, is open to married, divorced or widowed parents. To qualify, each home has to possess at the least one Singaporean parent, with at least one Singaporean child below age 16. Without amassing three or more months of rental arrears in addition, they must have resided in a public rental flat for at least two years.

Eventually, all such families must have the Ministry of Treasure Crest Social and Family Development’s Letter of Social Assessment (LSA), which demonstrates the parents are gainfully employed and manag(s) the home finances well, and the kids attend school regularly. For participating families to receive the annual portion of their grants’ equilibrium the LSA needs to be renewed.

Meanwhile, the Tenants’ Priority Scheme has been extended to second-timer families residing in public rental flats, in order to give them greater precedence when applying for a HDB flat.

Formerly, only first-timers dwelling in public rental units qualified.

Sim Lian Group {is one of the most established property developer

April 11, 2016

Sim Lian Group has been creating quality homes for Singaporeans manner back for over 35 years The Group’s expertise in developing quality houses in Singapore has enabled it to build award winning developments in real estate projects in Singapore for Sim Lian New EC in Sengkang.

Sim Lian Land varied interest in many Sim Lian Land Anchorvale EC makes it a natural course to enter the Singapore Exchange to gather capital resources to develop its interest in the Singapore housing marketplace. Sim Lian Land has many interest in industrial, commercial and residential developments in several locations in Singapore.

Sim Lian Group is headed by a powerful team of property individuals that have varied experience in building quality projects in Singapore. The Group has also found many exciting phases in the Singapore Real Estate market and therefore could be sure of the qualities in property development locally. The solid reputation of the company also means that it’s rank amongst the TOP 100 brands in Singapore from 2009 to 2013 consecutively.

Sim Lian Group seeks to align their interest with stakeholders to reach both their aims coherently for Sim Lian Land Cheng Lim LRT EC and continues to build a trusting relationship with its principal contractors.

Sim Lian Group for Treasure Crest Sengkang EC additionally seek to give its stakeholders and clients with a price that is competitive by supplying highly synergistic platform which allow the sharing of resources to attain economy of scale. This has allow the group to provide better pricing for its Anchorvale Sim Lian EC home buyers and at the same time supplying gain for investors and its stakeholders in Sengkang MRT Station.

The work of Sim Lian Group will be to construct its name through strategic alliances with different companies so that there can be many more synergies in the team whereby owners of Sim Lian ECs can enjoy the new team located in Anchorvale Crescent EC. The spokes person for Sim Lian Land indicate that they’re able to streamline their building strategies to bring in less construction price for the development.

Sim Lian Group has also won numerous awards for the design of their condominiums and ECs as emphasis is placed a good deal on the landscaping along with the aesthetic attractiveness of the mindset of the development. There’s evidence that Sim Lian Group, based on its design strategies, will have the ability to continuing bagging these results to bring in more design appeals to its buyers.

Sim Treasure Crest Lian Land signify that they’re anticipating sales of the new EC as the location of the plot of land is strategically situated near to shopping centres as well as Sengkang Mall, to be robust. Sim Lian Group has a total of 90 building projects so far with many awarding winning layouts under its belt. Owners can therefore be certain of the grade of the development its subsidiary companies together with by Sim Lian Group.

Scaling towards great heights, Sim Lian Group will continue to stream line developing construction technologies to bringing worth that is continuing both to property buyers and its stakeholders and its operational efficiency.

Singapore property now less attractive to investors

April 5, 2016

Singapore’s acceptance with home investors has decreased while considered a protected industry.

Like a property investment destination for institutional investors has decreased in 2013, compared to other Asia Pacific towns, notably Singapore’s appeal.

This fall in popularity continues to be attributed to the house cooling measures, and also the glut in logistics and office area amid consumer sentiment that was softer, said UBS by The Straits Times in a report.

Actually, property prices, in addition to the amount of real estate deals and loans, when the chilling actions had not been introduced could have been higher by around 33 percent, stated the main bank in November 2015.

Nonetheless, some institutional investors see Singapore as a secure industry, and there’s been no exodus of property investors, according to UBS Property Management’s Brain of Global Property for Asia Pacific, Graham Mackie.

Inbound investment to Singapore also increased 157 percent to US$3.4 million in 2015 on a yearly basis, according to knowledge from Real Capital Analytics. But this really is still a cry from your outbound money people$28.7 billion, which submitted a progress of 49 percent.

Meanwhile, more cash is being pumped into Australia and Japan’s house sectors, in comparison to those in Singapore, Hongkong and China. Realestate yields in Australia will also be dramatically better compared to risk-free charges on Sturdee Residences the market.

“Australia is a relatively successful market with solid concept of law. Shareholders that are more affected by currency criteria discover Australia as reasonably cheaper, and the dollar has depreciated significantly from the USDollar,” included Mackie.

Rochor Centre to be demolished soon

April 1, 2016

The four brilliantly coloured housing blocks will likely be demolished to make way for a fresh expressway.

Rochor Centre, a public housing estate in the Bugis place dating back to the 1970s, is going to be demolished by the conclusion of this year to make way for the newest North-South Expressway.

Assembled in 1977, it consists Parc Riviera Price of four brightly coloured HDB blocks that originally placed 567 households and 183 shops. While 36 households have relocated as of January 2016 but because of the impending redevelopment, 106 stores have closed.

Nonetheless, many longtime residents are saddened about having to move out of Rochor Centre.

Moving to a different home is debilitating as they’ve developed excellent relationships with their neighbours, added Devan, who’s affectionately called ‘orh hia’ (black brother) by neighbours and shopkeepers in the estate.

Based on Denise Phua, Member of Parliament for Jalan Besar GRC, which contains Bugis, life will not be the same for the residents, however they can look forward to a tranquil surroundings and more greenery compared to that in busy Rochor.

The Housing Board shown that 91 percent of the residents in Rochor Centre will move to HDB flats at Kallang Trivista that was nearby. Of this, 15 percent opted to relocate to units close to their relatives or former neighbours in Rochor Centre.

Rochor Centre is one of three historical public housing estates that will soon be torn down for redevelopment. The others are Dakota Crescent and four low rise HDB blocks in Siglap, that were built in 1958 and 1964 , respectively.

S P Setia Berhad – Firm Overview

March 29, 2016

S P Setia Berhad is recognised as Malaysia’s top listed real estate player with a proven history of innovation-driven and standard-setting developments. The Group’s strength lies in its art in creating environments that are meaningful based on its development doctrine of Live Learn Work Play.

The developer has constructed a solid base in Malaysia offering an extensive product range which includes eco refuges, townships, high-end residences, business parks, commercial and retail developments.

Incorporated in 1974, S P Setia started out as a construction company and was listed on the Kuala Lumpur Stock Exchange (now Bursa Malaysia) in 1993. In 1996 it refocused its core business to property development with encouraging businesses in infrastructure construction and wood -based production.

Award winning Developer

S P Setia is the only Malaysian developer to be recognised six times by the International Real Estate Federation (FIABCI) for three Best Master Plan Developments, one Finest Residential (Low-Rise) Development, a Specialised Job (Purpose-Built) and a Best Retail Development award. The Group has garnered eight FIABCI Malaysia Property Awards.

S P Setia’s merchandise and service quality is recognised by the industry and attested by its No.1 ranking in The Edge Malaysia Top Property Developers Awards which it won for the 8th time in 2013. This feat has not been achieved by any other developer since the inception of the awards.

A Growing International Existence

In the last seven years, the Group has spread its wings to Vietnam, Singapore, Australia and more recently the United Kingdom.

In 2009, S P Setia created an office in Singapore and two years afterwards, the Group obtained a 29,440 sq ft site to develop a high-rise condominium called 18 Woodsville. The successful launch of the project spurred the developer to get another parcel of land for the high-end high-rise project of Eco Sanctuary.

In June 2011, the Group previewed its first project in KL Eco City Price Melbourne called Fulton Lane, a high-rise condominium with identifying architecture given by the acclaimed Karl Fender of Fender Katsalidis Architects.

The successful start of Fulton Lane spurred S P Setia to look at more opportunities in Melbourne as well as the Group got another piece of land, this time on the upmarket St Kilda Road, also in the City of Melbourne for its Parque project.

In April 2012, S P Setia was invited by the Malaysian Authorities to lead the Malaysian association formed to collectively develop the China-Malaysia Qinzhou Industrial Park (QIP). In September Battersea Power Station was obtained by S P Setia via a joint venture consortium together with the Employees Provident Fund as well as Sime Darby.

Driving the Malaysian Property Sector

S P Setia appreciates a solid presence in the state of Selangor, Malaysia through its flagship projects, the 2,525-acre Setia Alam and 791-acre Setia Eco Park. In the city of Kuala Lumpur, the developer has constructed three high end projects which are Duta Tropika, Duta Nusantara and Setiahills.

Leveraging on the strong need for investment and commercial grade properties, S P Setia has also grown to the commercial sector with projects including SetiaWalk, the Group’s first maiden retail mall project, Setia Avenue called the forthcoming KL Eco City along with Setia City Mall. The futuristic KL Eco City with its focus on sustainable development will function as a nexus of residential, commercial and recreational interests for the estimated six million inhabitants of Kuala Lumpur and Selangor.

S P Setia is also well established three other key economic regions in Malaysia, in the state of Penang, Johor and Sabah.

Do petroleum prices influence property costs?

March 28, 2016

The prices of oil and property may not be directly connected, but property prices could be still affected by the economical effect of falling oil prices.

Petroleum costs are always in the headlines. While other states have seen costs of fuel and oil -based products go down, costs in Singapore stay high. Alfred Chia explains how oil costs and property costs are joined.

Dropping oil prices have really been in the news for the last six months, and property costs will also be on the decline. Is there a link between the two?

Before we can understand petroleum prices, we have to first recognize how they can be computed. Generally speaking, when we talk about oil prices, we’re referring to the costs of Brent crude, a particular grade of oil pulled in the North Sea.

Figure 1 compares Brent oil prices with housing costs that are worldwide. Global housing costs are based on the Global Housing Price Index from the International Monetary Fund (IMF), which can be an aggregate of actual (i.e., inflation adjusted) house prices across countries.

At first, there appears to be little correlation between both of these asset groups. From 2005 to 2007, both assets appreciated as there is an overall international economic boom which pushed up prices of most asset classes, including bonds, equities and commodities.

Nevertheless, alongside the international ecoomy, petroleum prices recovered from 2009 onwards before dropping due to production outpacing international demand in mid 2014. International property costs failed to follow the oil price trend, demonstrating little correlation between both of these asset categories.

On a worldwide level at least, we don’t see a correlation between housing prices and oil prices.

Nonetheless, oil price movements happen to be more volatile, especially since June 2014, when it began to dive dramatically.

Though it’s on a downwards trend, the price index of uRA remains comparatively stable. Just like housing prices that are worldwide, there seems to be little correlation between Singapore property costs as well as the costs of petroleum.

However, while oil prices aren’t strongly correlated with property prices, it is an essential commodity that paints a picture of the worldwide economy, and could have an indirect impact on housing costs.

The most talked about reason for this extreme fall is overproduction and overcapacity since the beginning of 2014. Nevertheless, apart from supply side reasons, prices are additionally affected by international demand with this commodity. A world-wide economic slow down decreases the need for oil and areas downward pressure on costs. Given both supply- and demand-side pressures on the prices of petroleum, it’s no surprise that prices have dropped as sharply and quickly as Gem Residences they’ve, placing budgetary pressures on economies that rely strongly on income.

Now, with all the world confronting an international economy slowdown, especially in China, the International Energy Agency (IEA) has forecasted that global need for oil will drop in 2016. In the short run, low oil prices will put pressures on the oil and gas (O&G) sector, and related sectors. This could adversely impact the banks that have high exposures to the sector. Additionally, it is likely that volatility in the equities and commodities markets will continue.

It’s likely that property costs will adversely affect in Singapore. With banking and and companies already strike O&G laying off staff, property buyers might be more reluctant to enter the market, particularly if job security is a concern. Developers who have more exposure to markets, like China, that have been hit more severely by the global economic slowdown, might also feel bottom line pressures that could cause costs to be adjusted by them too.

In the long term, low oil prices will be a large boost to the general economy as the price of production has dropped. This could lead the next period of growth. Thus, low petroleum prices mightn’t function as the cause of doom and gloom that so many news reports mention.

Besides petroleum prices being a relevant indicator of international economc growth, there are several other indexes which have a direct impact on Singapore’s property market, including interest rate movements, the demand for and supply of properties, and government policies.

While cooling measures appear to have impacted the property market, they’re required to make sure that the marketplace continues to be sustainable, and doesn’t overheat. Nonetheless, having an imminent international economic slow down, it keeps steady growth, and is necessary to maintain a detailed eye available on the market, to be sure it isn’t too adversely strike.

With lowered prices in Singapore, and different indicators indicating a heavy thunderstorm on the way, property owners should review their financial predicament.

More importantly, property owners also must make sure they can manage their properties. For those people who are facing financial pressures, they may have to consider biting the bullet and downgrading. Nevertheless, property owners who are financially fit can consider taking advantage of lowered costs, and consider updating, or rearranging their property portfolios.

Specialists share ideas for Fresh Start Housing Scheme

March 23, 2016

Specialists discuss suggestions for Fresh Start Housing Scheme

Experts hope that the 2016 Budget, that’ll be announced this Thursday (24 March), will solve some current problems with the Fresh Start Housing Scheme, reported Channel NewsAsia.

This scheme helps HDB renters buy their very own flat, with those who previously owned a home, and a focus on families with young kids.

But a key dilemma is finetuning the qualification standards to hillview peak condo make sure that the beneficiaries actually deserve such help, said DTZ’s Research Head Lee Nai Jia.

“I believe this is a remarkable scheme. The crucial problem is how we’re going to identify this group and their income ceiling, and (how we are going to define) the kind of benefits to give this group.”

According to member of vision exchange jurong the Government Parliamentary Committee for National Development, Saktiandi Supaat, the system provides another opportunity to families now renting a HDB flat, particularly those who were made to sell their original unit because of an unavoidable dilemma.

Nevertheless, the support should take into consideration the different circumstances of each household.

“There might be more support in terms of grants and there could also be some states for the grants to be disbursed,” said Saktiandi. For example, families would need to demonstrate proof that they have the means to cover the new flats.

Aside from supplying grants as well as the genuine house, it is also significant to educate families about fiscal management responsible homeownership, and actions to keep their kids in school, explained the Fei Yue Family Service Centre.

“We don’t want to come to a point where they’re on the scheme, and then there is a setback, and they’re penalised or thrown out of the scheme,” said the centre’s principal social worker, Lilian Ong.

“We could introduce some kind of readiness or transitional programme to ready the whole family for this”, and this should run for six months, she said.

The Ministry of National Development as well as the Housing Board have held public consultations on implementing the scheme to gather ideas. The comments includes provision of shorter leases and more grants, in addition to concessionary loans.

Singapore’s home market continues to cool off

The property market in Singapore is still fighting, said a new report.

House costs in Singapore dropped by 0.49 percent in the fourth quarter of 2015, shown the latest survey from Global Property Guide.

For the whole year, costs dropped by 3.06 percent after falling by 3.97 percent in 2014, said the report, including that “Singapore’s home market continues to fight amidst a slowing economy”.

Nevertheless, home demand is apparently slowly improving.

On the other hand, supply continues to drop, noted Global Property Guide. “The variety of uncompleted private units found dropped by about 8.3 percent to 7,056 units in 2015.”

Check the upcoming commercial freehold at Serangoon, Centrium SquareGem Residences

 

Chinese nationals still buying their kids Singapore houses

March 21, 2016

Mainland Chinese and Malaysian buyers formed 54 percent of foreign home purchases in 2015.

Despite confronting weaker currencies and slowing markets, mainland Chinese and Malaysians remain the top foreign buyers disclosed DTZ, of Singapore property.

Collectively, they purchased homes in 2015, or 1,952 54 percent of total foreign purchases.

Specifically, sales to Chinese nationals fell slightly by 3.8 percent to 998 units, while Malaysian dwelling purchases stayed mostly unchanged at 954 units.

Still, both groups of foreign buyers posted healthy purchases last year compared to 2008, during the Worldwide Financial Crisis, when mainland Chinese just purchased 362 private homes, while 626 units were bought by Malaysians.

“Singapore’s political stability, clear real estate policies and strict rule of law places the city state ahead of a number of other countries as a place where investors enjoy a high degree of conviction on returns. Many mainland Chinese also bought homes for their children studying in Singapore,” included DTZ.

Meanwhile, the number of Indonesian house purchases dropped by 33.6 percent to 279 units, lower than the 618 dwellings bought in 2008.

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