Foreign interest seen returning to Singapore residential market

FOREIGN demand is expected to return to the Singapore residential property market this year, Bank of Singapore (BOS) believes.

This is backed by the prospects of a price recovery and better leasing environment, as well as the fact that home prices have fallen to a sweet spot after four years of decline to render the market more affordable compared to other global cities.

BOS head of strategy Eli Lee said in a report last Friday that the recent bullishness in the housing market has so far been largely driven by domestic buyers. But he expects foreign buyers seeking relative value to return and kick the upturn into higher gear, particularly in the prime residential segment. Continue reading

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18 New Futura units sold at $3,200 psf at launch

City Developments (CDL) moved 18 units of its high-end condominium project New Futura at an average selling price of $3,200 per sq ft (psf) on the first day of its launch last Thursday.

Market watchers deemed this a decent showing, given that most of the units sold were the four-bedroom and three-bedroom units.

The project has an army of five marketing agencies – PropNex Realty, ERA Realty, Huttons, OrangeTee & Tie and Savills. Continue reading

City Towers in Bukit Timah launched for collective sale

City Towers, a freehold property along Bukit Timah Road, will be launched for collective sale at an owners’ reserve price of $355 million. It represents the owners’ fourth attempt at a collective sale.

The marketing agent for the collective sale, Colliers International Group, said in a statement yesterday that the reserve price includes a development charge of $3.505 million to intensify land use.

This works out to a land rate of $1,633 per square foot per plot ratio (psf ppr), which compares favourably to the $1,840 psf ppr achieved for the collective sale of nearby Crystal Tower in December, the agent said. Continue reading

Property market finally on the upturn

After three years of falling prices, 2018 is looking like the year that the Singapore property market’s long-awaited turnaround finally gains traction. Analysts reckon that a trough has been reached though they are careful to tamp down excessive optimism.

While market watchers generally agree that prices will move up, their forecasts for the increases vary from as low as 3 per cent to a giddy 15 per cent. Most also agree that resales will drive transaction numbers higher this year than last year.

Sales of new homes, however, are expected to stay at 2017 levels as developers pace out their launches in anticipation of prices going up. Continue reading

Developers sell 785 private homes excluding ECs in Nov, up from 760 units in Oct: URA

SINGAPORE – Developers sold 785 private homes in November, slightly higher than the 760 units sold the previous month, but lower than the 860 units sold in November last year.

The above figures, released by the Urban Redevelopment Authority (URA) on Friday (Dec 15), exclude executive condominiums (ECs) – a public-private housing hybrid form.
The URA’s data, compiled from its survey of licensed housing developers, also showed that developers found buyers for 148 EC units last month, lower than the 211 units in October and the 251 units in November last year.
Last month’s top-selling private residential project was Parc Botannia along Fernvale Street in the Sengkang area, with 253 units sold at a median price of S$1,287 per sq ft (psf). The project, by Sing Holdings and Wee Hur, was launched during the month.
Developers also moved units in earlier launched projects. Hao Yuan Investment sold 71 units last month at the Queens Peak condo next to Queenstown MRT Station at a median price of S$1,694 psf.
Kingsford Property Development sold 38 units at its Upper Serangoon View project Kingsford Waterbay at a median price of S$1,346 psf.
GuocoLand moved 35 units at Sims Urban Oasis at a median price of S$1,508 psf.
In Lorong 5 Toa Payoh, the developers of Gem Residences transacted 34 units at a median price of S$1,517 psf.

Private home prices finally head north

The private residential market seems to have turned the corner in the third quarter, with prices heading higher after almost four years of decline.

Overall prices rose 0.7 per cent in the three months to Sept 30, compared with the previous quarter. This trumped earlier flash estimates of a 0.5 per cent rise and ended 15 quarters of decline, according to Urban Redevelopment Authority (URA) data out yesterday.

The agency also said that the recent flurry of collective sales could eventually deliver an additional 9,300 units to the market – the first time that it has publicly put a number to the impact of the deals. Continue reading

Lian Beng boosts land bank on strong financial position

Construction firm Lian Beng Group was hit by lower turnover from the building segment and higher finance costs for investments in the first quarter.

However, the firm has rebuilt its land bank with recent en bloc purchases by associate companies, it said yesterday.

In July, an Oxley Holdings-led consortium, which includes Lian Beng Group and others as partners, bought privatised HUDC estate Serangoon Ville in Serangoon North Avenue 1 for $499 million. Continue reading