On the first day of the preview, about 3,000 people come to see Sceneca Residence

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Read more: To 259 units, new home sales fell 17% month over month in November

To 259 units, new home sales fell 17% month over month in November

On the very first day of previews, Sceneca Residence at Tanah Merah Kechil Link was able to draw more than 3,000 people into its gallery for sales. The project was visited by a variety of foreigners and locals such as people who came from China According to a statement released from joint developers, MCC Singapore, Ekovest Development and The Place Holdings.

“We are pleased with the high participation on the opening day of the Sceneca Residence preview, which coincides with the first day of the year 2023.” states Tan Zhiyong the MCC Singapore’s CEO. MCC Singapore. “This is in spite of the busy peak holiday season, when many buyers, potential buyers, as well as housing agents are traveling abroad. The launch of the preview is scheduled because of the reopening of borders in a number of nations including China this month. This is why we have seen more foreign visitors during our preview.”

Two-68 units Sceneca Residence The 268-unit Sceneca Residence is part of the Sceneca mixed-use development. It includes the 20,000 sq feet Sceneca Square retail mall that has a direct connection directly to Tanah Merah’s MRT station. The development will include an area of 10,000 square feet as well as a public plaza that will host special events, pop-up shops and bazaars.

The residential towers consist of a 14 and 15-storey block. It has an assortment of one-to-four-bedroom apartments, and four penthouses with four bedrooms. Sizes vary from 463 square feet for a one-bedroom , to 538 sq feet of space for one-bedroom with study and 678 sq feet for a two-bedroom and study.

Sceneca Residence comprises a 14and a 15-storey tower with units with 1-to-4 bedrooms (including penthouses with four bedrooms) and the totality of 48 facilities. One-storey Sceneca Square will feature a variety of restaurants, cafes and shops, including the 10,000 sq ft market-ready supermarket. In front of Sceneca Square are Oasis Plaza and Event Plaza which can host events, pop-up stalls, and bazaars. special events.

Prices start from $958,000 ($2,069 psf) for a 463 sq ft one-bedroom unit; from $1.085 million ($2,017 psf) for a 538 sq sq ft one-bedroom-plus-study; $1.33 million ($1,962 psf) for a 678 sq ft two-bedroom unit; $1.48 million ($1,965 psf) for a two-bedroom-plus-study; $1.765 million for a 904 sq ft three-bedroom; and from $2.985 million ($1,966 psf) for a 1,518 sq ft four-bedroom unit.

Sceneca Residence will be open for reservations from January 14 2023. The project is expected to receive a Temporary Occupation Permits in 2Q2026. The chosen marketing agencies include PropNex, ERA Realty Network and Huttons Asia.

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Mercatus sells two retail properties in Singapore to Link REIT for $2.16 billion

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GLS site at Marina Gardens Lane A gamble or an advantage for becoming first

The affiliates of Mercatus Co-Operative, a unit of NTUC Enterprise Co-operative, have entered into a sale purchase agreement with a variety of affiliates from Link REIT to divest Mercatus 100% stake of Jurong Point as well as Swing By at Thomson Plaza for $2.16 billion.

The divestment is an outcome of a strategic analysis conducted by Mercatus is scheduled to be completed by March 31st 2023.

Mercatus will remain in the ownership of assets significant for NTUC, NTUC Enterprise and its social enterprises portfolio. Jurong Point, and Swing By @ Thomson Plaza will be sold as they are considered to be non-core.

Hong Kong listed Link REIT has been ranked as the biggest REIT in Asia that is managed through Link Asset Management Ltd (Link). As part of this divestment Link is committed to hiring all employees affected by Mercatus.

Mercatus Vice Chairman Seah Kian Peng and group CEO of NTUC Enterprise says the divestment lets the company make some money and to redeploy capital in specific areas where it could help improve the lives of families living in Singapore for example, by enhancing the provision of healthcare and education.

“We applaud Link’s efforts to keep talent in the company and will partner along with Singapore’s Industrial and Service Employees’ Union in assisting Mercatus employees during this process,” he adds.

In connection with the acquisition, Link will also enter into an property and asset property management agreement that will be at the market-standard price to AMK Hub, which will remain under Mercatus the ownership of Mercatus. Link will pay for the acquisition using its cash reserves and loans.

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Sloane Residences, which was jointly constructed by Tiong Seng and sells over 90% of its units, earns TOP

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Opening in 4Q2023 is the lifestyle district at Tun Razak Exchange

Sloane Residences A development of TSky Development, has achieved its temporary occupation permit (TOP) on November 18.

TSky Development is a joint venture (JV) that is an SGX-listed Tiong Seng and Ocean Sky International and Ocean Sky International, in the latter Tiong Seng holds a 60% stake.

The project was completed successfully by Tiong Seng’s wholly owned affiliate, Tiong Seng Contractors Pte Ltd (TSC).

Sloane Residences is a freehold, 12-storey condominium that is located on the 17 Balmoral Road in prime District 10.

The condo comprises of 52 units that range from two-bedroom apartments to four-bedders that range from 743 sq ft and 1,496 square feet. It is situated close to various public transportation systems, including Stevens MRT on the Downtown and Thomson-East Coast lines and Newton MRT on the Downtown and North South lines. Sloane Residences also enjoys close proximity to famous schools like Anglo Chinese School (Primary) and Singapore Chinese Girls School, that are located within 1km of the property.

Since the TOP, more than 90% from the units that have sold at prices that range between $2,677 and $3,366 per sq ft with a median of $2,907 per sq ft.

Of the buyers the majority (54% from them were Singaporean with foreigners accounting of the rest 46%.

“We are thrilled by the overwhelming response we to Sloane Residences; it is an affirmation of our brand of excellence and quality which has been a part of all of Tiong Sing’s projects over the past 63 years.” states Pek Zhi Kai, executive director of Tiong Seng Holdings Limited.

He continues: “Despite the difficult challenges of Covid-19 which have negatively impacting the industry of construction, we’ve worked to ensure high-quality construction and a well-thought out design for this project and we will work tirelessly to meet the deadlines of all current projects, and anticipate acquiring additional projects during the coming year.”

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Cooling measures lessen the enthusiasm of HDB house buyers

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Read more: The government announces the most housing units since the first half of 2014

The government announces the most housing units since the first half of 2014

HDB prices for resales continued to increase throughout 2022, despite concerns about affordability of housing as well as government interventions.

The biggest price and demand increases were observed in non-mature estates such as Bukit Batok Sembawang, Yishun, Woodlands as well as Jurong West, says Christine Sun who is senior vice-president of data and analysis of OrangeTee & Tie.

“There were buyers searching for affordable apartments within non-mature estates. Even though the costs for apartments in this area have gone up however, they are still cheaper when compared with resales of flats in mature estates” she adds.

An increasing acceptance of hybrid work arrangements due to the pandemic has meant that more workers are working at home remotely, according to Nicholas Mak, head of research and consulting of ERA Realty.

“As this is the case, some homeowners may want larger apartments, but the total availability of five-room flats on the market is still extremely low,” says Mak. At present, the government will not be offering 5 room BTO flats in estates that are mature Mak adds. “Hence those looking to purchase a five-room apartment in an older estate may look to the resale market, even if the prices are more expensive.”

BTO timelines delay buyers

The rise in resales of HDB prices in 2018 was also fueled by a surge in the demand of buyers who were dissuaded by the lengthy timelines for completion of projects for certain BTO projects.

Based on Ismail Gafoor, CEO of PropNex Realty, most first-time homeowners usually attempt to buy an BTO flat because they are subventioned. “The demand for BTO flats is generally hard and new flats can take between three and five years to finish,” Gafoor says.

That means only those with a compelling requirement for housing will keep applying for BTO flats to be their first home, according to Gafoor. People who fail repeatedly to get the BTO flat could decide to look at the resale market, he suggests.

Construction supply chain problems in the industry delayed the time to complete for a small number of BTO projects between the years 2020-2021. The government claims that the majority of these timeline issues were solved and the projects were on track by the beginning of the year.

Furthermore the government also has made it a priority to highlight during the BTO sales launch this year to emphasize the speedier waiting times for certain BTO projects that are not in mature estates, according to Mak.

In the end, there are signs that the efforts of the government to lure more buyers from market BTO market are beginning to pay off, according to Sun. “As prices for resales of flats have continued to increase while the authorities have announced new BTO projects to sell and we’ve observed more people turning towards the BTO market over the last one year,”” Sun says.

The times to finish certain BTO projects in certain non-mature estates has dipped to between three and 4 years. She states. This includes BTO project located in Bukit Batok as well as Tengah.

In a unique move, HDB responded to rising concerns about housing affordability with an announcement to the media this month. The company reiterated its position that BTO project prices are set to be affordable and has an approach to pricing that differs from private developers because HDB does not impose an additional profit margin on the top of the cost associated with BTO projects.

Buyers resist COVs with high levels

This year also saw a increasing amount of flats that are resold that have a high cash-over value (COV). It is the amount that is the difference between the selling price of the flat being resold and its HDB appraisal.

As an example at the beginning of the year, some buyers were paying COVs over $600,000 for extremely desirable flats in non-mature and mature estates. “Typically high COV is noticed in flats with several buyers who are competing for them,” Gafoor says. Gafoor.

Mak says that the majority of buyers willing to pay an expensive COV are likely to be condo downgraders who have greater cash reserves to bid higher than most first-time buyers.

However, by 2H2022, resistance to prices had been established for home buyers. In a letter to Parliament in 2018 Secretary in charge of National Development Desmond Lee shared the fact that between January and October, the percentage of homes sold with COV decreased to one-in-four flats and from one in three flats being sold in 2021.

Other market watchers are also in agreement. “In all, the buyers were less likely to pay a premium COV following Sept. 2022’s property chilling measures” Sun says. Sun. She also says that a small number of buyers might also be expecting prices to drop following the latest cycle of property market restrictions.

The September regulations included increased stress-test rates on loan applicants according to Mak. The new rules will begin to restrict the amount of home loan loans that homeowners can get, and they will have to pay the remainder from their savings, Mak says.

The September legislation included the introduction of an 15-month waiting period for private property homeowners who buy a resale flat. “These buyers who downgrade tend to have more money and are able to pay more and COV for flats of their choice. If this group of potential buyers being removed from this equation, I may expect COV to fall,” says Gafoor.

Influx of flats to MOP

An all-time high of 31,325 HDB flats are expected get to their minimum occupation time (MOP) next year. In the next year 15,784 flats are anticipated to hit MOP. This is a factor in the rise in the resales flat prices particularly with the increase in million-dollar flats being sold, according to Gafoor.

“Such MOP flats typically have higher prices due to their long balance leases and the better state in the apartment. The selling of these units has helped boost prices across the property,” Gafoor adds Gafoor.

For example, in Sembawang 3962 flats will be able to attain their MOP by close of the year. Based on the data collected by PropNex 35% of five-room and four-room flats that are resold within the estate are still under leases of over 94 years.

The average price for resales of five-room apartments in Sembawang is expected to rise to $583,000 by 2022, rising 20.4% 20.4% from that of 2021 ($484,000). The prices of four-room apartments in the area have increased to $502,000 in 2022, an increase of 20.1% from that of 2021 ($418,000) Based on the PropNex study.

Record-breaking the number of flats worth a million dollars

A greater number of resales flats were sold for over $1 million in the past few years. In 2021, 259 flats sold with a minimum value of $1,000,000the highest level since 2012.

“Most million-dollar flat transactions were through mature estates. Between January 2012 and September 2022, 13 flats purchased for at minimum one million dollars in estates that were not mature. This represents 1.6% of the total 838 million-dollar transactions that were recorded during the period.” Sun says. Sun.

The 2021 record was broken in the year that followed when 342 million dollar flats sold as of the end of November. Of the 342 units that were sold three23 flats (94.4%) are in the oldest estates, according to PropNex.

Based on HDB Resale statistics collected on December 11th, the most expensive HDB sales this year were for five- and four-room and bigger flats.

As an example, the highest expensive HDB resale of the last year came for 1,313 square feet five-room apartment located at Skyterrace at Dawson. The building, Block 92, is described as a luxury apartment loft and was sold for $1.42 million ($1,080 per square foot) in July of this year.

This price beats the previous record set in the same block. It involved a fifth-floor premium loft unit that purchased to the highest bidder for $1.33 million ($1,011 per square foot) in the month of December in 2021.

The second-highest resale took place in the adjacent City Vue @ Henderson which was one of the largest units, a 1,216 square foot five-room apartment. The flat, which is located in Block 96A, was purchased at $1.4 million ($1,151 per square foot) during May.

It was followed by a resale deal within the same block , where another 5,216 square feet was purchased at $1.38 million ($1,135 per square foot) during the same month.

While, desirable units in The Pinnacle at Duxton remain to draw some of the most expensive HDB price resales. The most expensive property was a 1,151 square foot five-room house located in Block 1F. It was worth $1.39 million ($1,206 per square foot) in March.

The block also witnessed an auction of 1000 square feet, four-room apartment in the amount of $1.23 million ($1,228 per square foot) in April of this year.

The sale of million-dollar flats aren’t the sole reason for the “unsustainable price rise” within the HDB resale marketplace in 2022, claims Lee Sze Teck, senior director of research at Huttons Asia. “But they did contribute to the perception that flats were becoming expensive.”

This could have influenced the government’s intervention by imposing property cooling plans in the month of September according to Lee.

Are the million-dollar flats worth it?

The majority of the flats which have gone over $1 million are in central areas close to amenities, specifically MRT stations.

“Dawson, Henderson, and Toa Payoh are in the city fringe. Duxton is located in the middle of the city close to the CBD. The flats have easy access to facilities and are easily accessible from The MRT station. They are a great locational advantage,” ERA’s Mak.

OrangeTee’s Sun is in the same vein and adds the fact that “many apartments could include high floor units which offer great views. Certain flats are quite spacious flats, and flats with these dimensions are not available anymore from HDB”.

Additionally projects such as The Pinnacle @ Duxton as well as Skyterrace @ Dawson have become iconic HDB developments that feature appealing design, urban planning and award-winning architecture Mak says. Mak. For instance, Skyterrace @ Dawson and its architect, SCDA Architects, won the President’s Design Award in the year 2016. Skyterrace @ Dawson was described as an example for future housing for the public in Singapore.

Similar to that, The Pinnacle @ Duxton is a well-known public housing project located in Singapore. “With the combination of attractive features, it’s not surprising that these homes have price tags of millions of dollars,” says Gafoor.

The predominance of million-dollar flats in these areas could be related to the dearth of private residential developments in the area. An investigation conducted by PropNex in September of this year revealed that certain buyers could not locate comparable alternatives on the market for private residential which met their needs and budget, so they decided to buy million-dollar flats.

“Given that the location is central and the size of the unit the private condos within the same neighborhood will be significantly more expensive than million-dollar flats. In addition to the appealing physical features of the million-dollar homes We believe that the absence of affordable residential housing in these communities could be one factor which drove the interest in these flats,” Gafoor explains. Gafoor.

Conservative attitude that home buyers have

HDB prices for resales are predicted to experience a more modest growth by 2023.

“Due to the rising rates of interest, a more hefty the stress test rate for loans, economic uncertainty in 2023 and the most recent cooling measures, buyers of homes could become less cautious” says the ERA’s Mak.

He also says that if resales of flat prices keep rising and home buyers are unable to afford the price, their monthly income might not be sufficient to be sufficient for a mortgage to purchase the flats they are looking to purchase. “The expectation of further rates of interest and economic uncertainty could trigger an increased degree of caution in buyers of homes,” he says.

Gafoor claims Gafoor says that PropNex anticipates HDB price increases for resales of by 6% to 8% for 2023. That’s which is down from its prediction of 10%-10% to 2022. In the same way, Sun of OrangeTee & Tie anticipates that price growth will slow to 5-8% next year.

For the November 2022 BTO launches, HDB released 9,655 flats. The March 2023, and the May 2023 exercise are expected to release approximately 8,200 to 9,200 flats being released.

This increased supply might assist in cooling HDB flat demand for resales but it’s unlikely to drastically alter the development of the resale marketplace in 2023, according to Gafoor. “We are still expecting HDB prices for resales to show some slight gains in 2023, aided by the demand from first-time buyers who have urgent needs for housing and buyers who want to upgrade to a larger flat or move.”

Sun states that other elements tend to reduce demand for housing in the public sector like the local average unemployment rate, growth in income as well as economic growth and the global economic outlook. “For for instance, should the employment rate remains high and income growth is strong, the increasing quantity of BTO flats might not lower prices in the coming this year.” Sun believes.

In the future the future, buyers will be more careful when it comes to home purchases in light of the rising rates of interest in mortgage loan, the rise of inflation and economic headwinds, according to Gafoor. According to Mak that the property cooling measures announced in the months of December 2021 and September this year could impact the market.

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Vicom obtains the $7 million lease contract for the land block at Jalan Papan

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According to ECA International, Singapore is the eighth-most expensive place for expats to live in the world

Vicom Singapore, the country’s biggest vehicle inspection firm is given a contract for the lease of a parcel of land located in Jalan Papan (Plot 2) at a cost that is $7.6 million.

The contract, which has a an lease period for 20 years was granted to Jurong Town Corporation (JTC). Jurong Town Corporation (JTC).

The site parcel parcel is 12,400.4 square meters (133,476.8 sq feet) The land is being zoned to industrial use.

Vicom’s wholly owned subsidiary, Setsco Services, will develop the land parcel. When the development is completed, development, the land will be utilized to test, inspect and certification. It is also expected to be replaced by Pioneer’s JIC Inspection Centre at Pioneer which lease is ending in November 2024.

JIC Inspection Centre JIC Inspection Centre is owned and operated by Vicom’s 78% owned company, JIC Inspection Services Pte Ltd.

From the price of tender 25% (minus the deposit for tender of $350,000, which was previously paid) must be paid by January 5th 2023. And the remainder of 75% remainder is due to be due by March 8, 2023.

According to Vicom the tender price was determined by weighing into the tender prices that were successful for the three previous lease tenders for parcels of land by JTC.

The tender price will be made via internal funds. It is unlikely to have a significant impact on Vicom’s net tangible asset (NTA) (EPS) or profits per share (EPS) for the fiscal year closing on Dec 31.

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2023 could see cautious investors and a 5–10% decline in investment volume

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Arena Esports Hotel signs a deal at Cuppage Terrace for 12,000 square feet

According to JLL JLL, property investment volume in Asia Pacific could fall 5 10-% during 2023. The trend is expected to continue in the same manner that was observed in 2022. It is anticipated to see an annual decrease of 25% year-over-year, the firm claims.

“Optimism caused by the thought of the pandemic coming an end has gradually been replaced by caution in the face of worries regarding inflation and interest rates as well as geopolitics. Although there is a good chance that the Asia Pacific region is likely to perform better because of stronger consumption, the region is not going to be immune to the wider problems,” says Roddy Allan Chief Research Officer, Asia Pacific, JLL.

He also says that this will increase demands on government officials to find a balance the support measures as uncertainty in the economy continues to plague the country next year.

But one area which is predicted to break the trend is the flow of capital towards the hotels real estate market. JLL expects that these hospitality assets will see an increase of 6% annual increase in investment over the course of 2023. This could increase the 10-15% annual increase.

The hotel industry benefited from an increase in travel to other countries this year.

In spite of headwinds, JLL declares that investors will be focusing on real estate markets that benefit from structural tailwinds as well as higher possible return. These include data centers as well as logistics assets and multi-family residential properties.

Office space upgrades will continue to increase the demand for top-quality commercial assets that are of the highest quality. This means that top-quality office space will be significantly more profitable than the other office market in major cities of the region’s gateway.

However the demand from e-commerce is driving up the demand for high-quality industrial and logistics assets. E-commerce demand is predicted to be a long-term factor in the demand for warehouse space, especially in those countries that have an extended runway.

Developers have already adapted to the demand, and 279 million square feet of brand new inventory is anticipated to go on sale in 2023, JLL says.

The firm believes that Japan will continue to be the most desirable investment option for investors by 2023. It is because of the appeal of the Yen and the country’s low interest rates.

In the meantime, Singapore’s status as an “safe refuge and solid property fundamentals” will continue to draw investors as will Australia’s “highly transparent framework and low beta characteristics are sure attract investors who are primarily core,” says JLL.

“The forecast for 2023 of the real estate market in Asia Pacific’s markets is dim as uncertainty persists. While the outlook for the near term for real estate is uncertain but it also provides a wealth of potential opportunities” declares Allan. He believes that the economic turmoil this year could be “relatively quick and thin” and he encourages investors to make the most of potential opportunities in the future.

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For $228.7 million, Keppel purchases an office building in the heart of Seoul

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Keong Saik Road conservation shophouse is for sale for $16 million

Keppel Corporation, on Dec 19th, announced it was planning to purchase Samhwan Building, a freehold 15-storey office tower within Seoul, South Korea, for a cost that is KRW220 billion ($228.7 million).

Keppel Land Limited, Keppel Asia Macro Trends Fund IV (KAMTF IV) and KB Bank Discretionary Fund, have signed shareholders’ contracts (SHA) in conjunction with the joint venture corporation (JVCo), Gaenari (IV) and Gaenari (IV) in connection with the acquisition plan.

KAMTF IV and KB Bank Discretionary Fund is managed through Alpha Investment Partners Limited and Keppel Investment Management Co., Ltd respectively. Alpha Investment Partners and Keppel Investment Management Co. are wholly owned affiliates that are part of Keppel Capital Holdings.

In the SHA, Keppel Land and KAMTF IV will subscribe for shares in the JVCo as well as have shares of 55.93% and 44.07% respectively. Each of Keppel Land as well as KAMTF IV will also extend shareholders’ loans totalling approximately US$113.2 millions ($153.8 millions) towards the JVCo and will make an additional commitment to fund approximately US$4.84 million, proportional to their shareholding in the purchase of the property.

Following the successful completion of the deal and is expected to take place at Christmas Keppel Land will hold a 39.5% effective interest in Samhwan Building, while the remaining 31.1% and 29.4% effective stakes will get acquired through KAMTF IV and KB Bank Discretionary Fund respectively.

After the property is acquired and the necessary regulatory approval has been obtained, Keppel will conduct asset enhancement initiatives (AEIs) that include an extension horizontally, which will extend the building’s office space. The renovation of the existing space will also be carried out in an effort to boost the value of the property.

Samhwan Building currently has a total gross floor area (GFA) of 31,403 square meters. It is situated within Seoul’s Central Business District (CBD) located in Jongno-gu and is surrounded by Korean palaces that are on The UNESCO World Heritage List. The hotel has unbeatable views of the surrounding area. It’s just a 3-minute walk to the Anguk Station on the Seoul Subway line 3, and just 30 minutes from the other important commercial areas in Gangnam in Seoul and Yeouido located in Seoul.

Keppel in its announcement in its statement, states that it will incorporate sustainable features, like high-performance facades for buildings, energy-efficient heating and cooling systems and smart lighting systems. monitors of indoor environment quality, as well as intelligent building controls to increase the efficiency and performance.

“Keppel Land is thrilled to grow to South Korea through the acquisition of Samhwan Building in partnership with the private funds of Keppel Capital. This investment partnership does more than leverage Keppel’s strengths in real estate and asset management, but will also strengthen Keppel’s asset-light business model that leverages the funds of third parties to grow,” says Louis Lim as the chief executive officer of Keppel Land.

“When the refurbishment work is completed, Samhwan Building will be the centerpiece within South Korea of Keppel Land’s Sustainable Urban Renewal capabilities, which utilizes digital technologies to retrofit, ensure future-proofing and extend the life span of commercial buildings.” Lim adds.

“As the main financial and business center in South Korea, Seoul has experienced a rise in demand for office space of high quality within the city. We are thrilled to partner with Keppel Land in the purchase of Samhwan Building, a uniquely situated prime asset within the central business district which is well-positioned to take advantage of the increasing demand. Keppel Capital has managed close to $3.4 billion worth of assets with a gross floor space of 6.2 million square feet within South Korea since 2004, and we’re confident that our knowledgeable team with active asset management in the field and robust value-creation strategies will allow us to earn high returns for our fund as clients,” says Christina Tan who is the chief executive officer of Keppel Capital.

Keppel Corp. Shares Keppel Corp closed at $7.33 on December 16.

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To 259 units, new home sales fell 17% month over month in November

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Kassia enbloc

Developers offered 259 brand new houses without executive condos (ECs) for November. This is falling 17.3% m-o-m compared to the 313 units sold in October. It’s the fewest sales month from December 2014, and less than 277 homes sold in April 2020 which was the month that they were sold before the Circuit Breaker period came into in force, says Tricia Song, director of research Southeast Asia at CBRE.

Kassia enbloc offers an idyllic paradise with unmatched access to amenities of all kinds.

The poor performance of new home sales was attributed to the lack of notable launches of projects in November. Developers released 319 housing units, excluding ECs this month, mostly “smallish” launch that received only a small amount of interest, according to Song. The units launched in November tripled the 102 homes that were launched in October, they are 75% lower than the previous year.

Wong Siew Ying, head of research and content of research and content at PropNex Realty, highlights that the low inventory of unsold new homes, particularly within the Outside Central Region (OCR) is also a factor in the slow sales. “Based on URA research, the majority of the new OCR launches are between 80% or 100% sold and buyers are left with a limited number of choices,” she remarks.

In addition, JLL’s head of residential research, research and consulting Chia Siew Chuin explains that some of the factors behind less sales include the uncertainties that result from the fresh property market curbs that were announced on September 29 and the year-end lull that is typical of the season and the weaker outlook for economic growth.

CCR is the top-selling

Three regions that comprise Core Central Region (CCR), Rest of Central Region (RCR) and OCR were hit by a drop in sales during November. In the CCR there were 148 units, which excluding ECs have been purchased, which accounted for the equivalent of 57% of monthly sales and an increase of 15% decrease in m-o-m sales from sales of 172 units in October. The top-selling property of the CCR was Leedon Green, which saw 16 units sold for the median price of $2,851 per square foot. The one Holland Village Residences was the next-highest-performing CCR project, which saw 15 units sold for an average price of $3154 per square foot.

For the RCR, developers sold 73 new units, accounting for 28% of monthly sales. This is an increase of 10% reduction in the m-o -m market from 881 units sold in the month of October. The most well-known RCR development was Riviere which sold 19 units for the median price of $3,024 per square foot. “Riviere is scheduled to be granted a temporarily-issued occupation permits (TOP) in the first quarter of 2023 is consistently moving units in the last months. The 455-unit project has 87% sold in November,” says PropNex’s Wong. Its Landmark Landmark was the second most-sold RCR project that was sold, with 13 units for a median of $2,459 per square foot.

In the OCR there were only 38 units, excluding ECs have been sold. This is which is down 37% in the month-to-month period, due to the lack of large launches and the depletion of inventory that was not sold. Lentor Modern was the top-selling project in the OCR selling 9 units with a median of $2,218 per square foot.

JLL’s Chia says that median prices for new home sales increased across the three markets. According to URA’s transaction information at the time of December 13 median prices for new homes sold in the CCR have increased in 4.5% from 1Q2022, and price increases in RCR and OCR rise in 24.9% and 19.9% and 19.9% respectively.

Chia is able to attribute the significantly higher price increases in both the RCR as well as the OCR to the continued interest from buyers of owner-occupied homes. Additionally to this, the RCR also attracts the attention of investors and has fared superiorly than CCR in terms of the cost and rental competition and rental competitiveness, while OCR has also seen a lot of interest from investors. OCR has also received widespread backing in the form of HDB upgraders.

In addition, Lee Sze Teck, senior directorof studies of Huttons Asia, flags that an increase in foreign buyers were recorded in the November sales of homes for new construction. Foreign buyers purchased 51 new homes this month, which is 19.7% of the month’s sales. This is greater that the 31 units (11.3% of October sales) that were sold in October. “It is the highest proportion since September 2011, when foreign buyers represented 20.2% of total purchases,” Lee comments. Lee adds that the units that were sold to foreign buyers comprise one unit located at Les Maisons Nassim that fetched $36 million, as well as three apartments at Park Nova.

Copen Grands sells out, increasing EC sales

The number of new home sales, including ECs were recorded at the figure of 445 in November. This is an 45.1% decrease from the 811 units that were sold in October. Of the 186 EC units sold in November, 176 units came out of Copen Grand, with the units sold at a median price of $1,323 per square foot. Six39 of the units in Copen Grand, which was launched in the latter part of October it is now completely sold.

Mohan Sandrasegeran, senior analyst for research, content and research for One Global Group, says Copen Grand has seen “the highest results of any EC in recent times” adding to the fact that this was the top-selling project both in the months of November and October. Nicholas Mak, head of research and consultant for ERA Realty Network, adds that it’s rare to have EC sales to go over 100 units, excluding EC launch. “The robust EC sales are due to the increasing demand of buyers who see EC as an affordable condominium,” he says.

Sales were down in December

After bringing the November sales figures in, that brings the total sales of new homes, excluding ECs between January and November at 6,981 units, which is 44% less than the number that was achieved in 2021, according to JLL’s Chia.

With the majority of major launches now over this year CBRE’s Song anticipates that new home sales, excluding ECs to be sluggish through December. But, EC sales momentum will likely increase, helped by the sales at Tenet. A 618-unit EC in Tampines was it’s launch on the 3rd of December saw 447 units purchased within the first few hours of its launch.

Song predicts 2022’s new home sales total without ECs to be around 7,250 units, which is a 44% decrease of the 13,027 homes that were sold in 2021. “Correspondingly the home price will likely remain flat through 4Q2022 and bring the total 2022 price increase to 8%. It is also a reduction from the rise in 2021 of 10.6% in 2021,” she states.

Edmund Tie’s Lam estimates 2022’s new home sales, including ECs to be around 7,500 units. This, he states is the lowest annual number in the past since 7,440 homes recorded in the year 2015. “Going to 2023 we expect the housing demand to be under pressure due to the current macro-economic headwinds, the high cost of living and a slower growth prospects,” he says. Additionally, the rise in interest rates are likely to have a negative impact on affordability of housing, but Lam says that the rate of rate increases could be slower going forward which could offer “some chance of optimism” for the market.

In light of the shortage of unsold inventory in the OCR PropNex’s Wong expects the upcoming launches in the region to experience high interest because of the accumulated demand. In 1Q2023, the upcoming launches include two-68 units Sceneca Residence and five98 units of Lentor Hills Residences, and the 368-unit The Botany at Dairy Farm.

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GLS site at Marina Gardens Lane: A gamble or an advantage for becoming first?

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Kassia condo floor plan

URA recently announced the 99-year leasehold site along Marina Gardens Lane to bid on under the 2H2022 government Land Sales (GLS) programme. The results of the tender are highly anticipated due to its prime location in downtown and is the first of a number of sites that will be opened for tender within the Marina South precinct.

This Marina Gardens Lane GLS site is zoned residential and commercial space is located on the first floor. It could produce 790 residential units, and 775 sq meters (8,073 sq feet) or commercial area.

Kassia condo floor plan will feature 280 residential units on a 150,840 sq ft plot in various configurations ranging from one to four bedrooms.

The prospect of paying more than a billion dollars to purchase the site which has no existing facilities like schools could be a risk for certain developers. But, this can be mitigated with the chance that the building could be a landmark structure that is an integral part of Singapore’s sprawling city skyline.

It is stated in the URA tender documents stipulate that the proposed development on Marina Gardens Lane Marina Gardens Lane site must be integrated into that of the Marina South MRT Station. Therefore, the future residents will benefit due to its close accessibility to public transportation. Additionally, they will be able to take in stunning perspectives from the Straits of Singapore, the Marina Reservoir and Gardens by the Bay as the site is situated between two the bodies of water and the gardens that are a showcase.

Most importantly More importantly, The Marina Gardens Lane site is situated in the Marina South precinct and URA is preparing to transform the precinct that is currently not developed. It is believed that the Marina Gardens Lane site is the first parcel of land in the precinct that has been put up to tender. So, the winning bidder will have a first-mover advantage to begin the process of developing this prime land area.

URA announced that a new site located in Marina South will be launched for tender in June next year as part of the GLS programme in 1H2023. The white site located at Marina Gardens Crescent HTML2is located next to Marina Gardens Lane. Marina Gardens Lane site. It is located next to the Marina Gardens Lane site. Marina Gardens Crescent site can provide 775 residential units as well as 6000 square meters (64,584 sq feet) that is commercial property.

Developers should be confident of URA’s vision regarding The Marina South precinct will come to fruition, particularly considering that the cost of development of Marina Gardens Lane Marina Gardens Lane site is likely to be substantial due to its size and location in downtown. Developers must also consider the possibility that prospective buyers are open to looking beyond the undeveloped condition of the region and believe in the vision of URA for the precinct.

But, URA and the Singapore government have a stellar experience in the execution the development plan as well as transformational visions. The neighboring Marina Bay area serves as an excellent example.

URA’s vision of Marina South
The 55ha Marina South precinct is located just beside Gardens by the Bay and Marina Barrage. The location is planned by URA to become a mixed-use community that includes retail, residential and hotel, office and office spaces. When it is completed, Marina South is expected to be home to 10,000 people.

Marina South is well-served by several MRT stations, including Marina South, Gardens by the Bay, Marina Bay, Downtown and Shenton Way. This is in line with URA’s goal of Marina South to be a environmentally sustainable and car-free precinct which is pedestrian-friendly and has plenty of public spaces that are landscaped and cycle paths.

The area is also designed to be a neighbourhood of just 10 minutes in which residents can satisfy their needs throughout the day with only a short stroll from their residence. Facilities will be located within mixed-use buildings and will be easy to access via public spaces as well as important pathways for pedestrians.

The absence of amenities currently available In particular, schools.
This Marina Gardens Lane GLS site is mostly surrounded by vacant space because it’s the first site to be offered for tender within the Marina South precinct. Apart from Marina South MRT Station, there are a few facilities within a 1-km distance that can accommodate families.

There aren’t any supermarkets, food courts or shopping centres within walking distance. Additionally, there are there are no schools within a two-kilometre distance. However, the winner to purchase this Marina Gardens Lane site must create an early learning development center with a minimum of 500 square m (5,382 sq feet). Gross floor space (GFA) that will be used by the childcare center cannot be calculated as part of the area of 750 square meters (8,073 sq feet) allowance in commercial property.

Marina Bay Sands, Marina Bay Financial Centre and Gardens by the Bay are the closest neighbors. Marina Bay Residences located just 1km away and is the closest condominium. Other condominiums within a 2km distance comprise Marina Bay Suites, Marina One Residences, One Shenton, Robinson Suites, Lumiere and 76 Shenton.

The empty parcels are likely to be released gradually to tender as part of URA’s strategy of the Precinct. A white site on Marina Gardens Crescent, which is located near the site in question, site will be put up for tender in June.

The latest rules on the size of units for Central Area
URA recently released new rules to be in line with its goal to achieve its goalof creating a active Central Area (which includes the Marina South precinct) by encouraging live-in families to move in. The new rules require that at least 20% of units in a new non-landed residential project within the Central Area must have net internal areas that is 70 sq m or more (753 sq feet). That includes any residential portion of a mixed-use community. The new regulations will come into effect on January 18 2023.

Downtown cores tend to draw investors rather than owner-occupiers because of the absence of amenities for families. This is why developers tend to construct more one-bedroom and studio apartments in their downtown developments.

The new rules limit the amount of small units that developers are allowed to build within this Marina Gardens Lane site. In this way, developers must ensure that any future developments on the site is also able to attract owners-occupiers. One of the factors that will help is URA’s main goal to create more families living throughout central areas. Central Area. Therefore, URA has set up policies to promote the development of mixed-use developments in the region.

Large site means higher development risk for developers
It is believed that the Marina Gardens Lane site is an extensive land parcel measuring 12,245 square meters (131,805 sq feet) with the maximum GFA of 68.573 sq meters (738,120 sq feet).

A larger site requires more money because of the higher cost of land and construction. This can increase the risk of development for developers who could take the chance to manage risk by forming the possibility of a joint venture with a different developer or even a construction company. While joint ventures may reduce the risk of development, they could cause a variety of problems and risk.

Market experts have estimated that the top price for this site to be between $1,360 to $1,490 for each plot, which amounts into a land cost that ranges from $1.003 billion to $1.1 billion. If we assume a maximum price that is $1.05 billion and a profit rate of 20% and a profit margin of 20%, the homes located on this Marina Gardens Lane site have an estimated value of around $2,600 per square foot.

Tender documents from URA stipulate that the design of the proposed development has to be scrutinized through The Design Advisory Panel. Therefore an iconic and exceptional design fitting for the prominent site is likely. A unique design like this will increase construction costs along with the complexity of construction, and could raise the risk and cost of development.

Developers have to complete and sell each residential unit in their development within five years after they purchase the land. If they are not able to complete the task and they fail to do so, they’ll have to pay an additional buyer’s stamp tax which is 35% on the land’s price. The site is expected to produce 790 residential units meaning that there will be pressure on the winner to sell all units by the date.

The position in the highly regarded Marina South precinct could make the housing units within the development’s upcoming to be status symbols.

It is predicted that the competition will get hotter.
There are currently four vacant sites in the vicinity of four vacant sites that are located near the Marina Gardens Lane GLS site. These four parcels of land share identical plot proportions 5.6 as the main site as well as the same zoning for residential and commercial on the first floor.

The bidder who wins The Marina Gardens Lane site can anticipate fierce competition when URA opens the four plots to bids. The level of competition will depend on the frequency and timing that URA will launch these four sites.

However, the particular site is a benefit of being connected to Marina South MRT Station, in contrast to all the four sites that aren’t located near the MRT station. Therefore, any the future developments at these four sites are more likely to be linked to the MRT station.

Additionally, URA just announced that an unnamed site that is called Marina Gardens Crescents GLS site located across the street from the site in question site will be opened for tender in June 2023. Due to their tender launches being separated by just six months, and their proximity to each other, developers for both sites could expect prospective purchasers and potential tenants to conduct comparison shopping.

Another site within the same vicinity the Marina View GLS site – granted the site to IOI Properties in September 2021 could be a competitor for tenants. Constructed condominiums within a radius of 1km from the site in question site might be a source of competition for tenants, too.

There is only one bid on the Marina View GLS site
Marina View site Marina View site is the final GLS site within the neighborhood which was granted. The site is located within a 2km distance from that of the Marina Gardens Lane site.

IOI Properties submitted the sole bid for the Marina View site and was granted the site in the form of at $1.508 billion ($1,379 per sq ft psf) in September 2021. The mixed-use site could provide 905 housing units as well as 540 hotel rooms with a maximum commercial space of 2,000 sq meters (21,528 square feet).

The low interest in Marina View GLS could be attributed to the lack of interest in Marina View GLS site could be due to its vast area and developers who have low risk appetite for hotels as a result of uncertainty about travel to and from the international tourist industry after the pandemic.

Certain developers might decide to wait to see the performance of sales for residences on at the Marina View site, before making a decision on whether they want to submit bids for GLS sites in the Marina South precinct. Additionally, there are several vacant plots which will be opened for tenders, meaning there’s less urgency for developers to take a quick decision.

The price of condos in the area is gaining momentum, but it’s not as condominiums
The closest completed condominium close to that of the Marina Gardens Lane site is Marina Bay Residences. The 99-year leasehold condominium is just 1km of GLS. GLS site. The condominium’s 428 units were granted a temporary occupation permits (TOP) in the year 2010.

Average resale cost of Marina Bay Residences declined by 9% from $2,542 psf in 2012 to $2,311 per square foot in 2022. The an average resale value in 99-year leasehold condos within District 1 increased by 6% in the same period, while the average the resale cost of 99-year leasehold condos across the island was up 36%. The average prices for resales in 99-year leasehold condominiums within District 1 and across the island are $1,060 per square foot and $2,060 per square foot, respectively.

Marina Bay Suites and Marina One Residences are leasehold 99-year condominiums situated within a two-kilometre distance from the site. Marina Bay Suites, which has 221 units along with 1,042 units of Marina One Residences obtained TOP in the years 2013 and 2017, respectively.

The average resales price for Marina Bay Suites dropped by 29% from $2,699 psf 2014 to $1,910 per square foot. However, the more recent Marina One Residences did better, with a modest rise in the amount of 8% from the average resale cost of $2,291 psf for 2019, to $2.477 psf.

The ideal location on Marina Gardens Lane, the prime location of Marina Gardens Lane site and URA’s impeccable record of success are both factors favorable to the site that could lead to homes located in Marina South trophy homes that are highly sought-after by wealthy.

But, buyers must to ignore the capital appreciation for the close-by Marina Bay Residences and Marina Bay Suites in addition as trust URA’s capacity to realize their vision regarding this area. Marina South precinct.

In particular, buyers need to believe that the amenities in the area will be improved sufficient under URA’s strategy in order to draw the attention of tenants and living-in families. In addition, buyers need to believe that this increased demand will add to resales prices and the capital appreciation of condos within the precinct.

The undeveloped state of this Marina South precinct is not anticipated to deter shrewd developers or buyers from taking a chance. Furthermore, URA’s impressive experience in developing long-term plans of development will be a great way to ensure developers as well as buyers this risk with Marina Gardens Lane GLS Marina Gardens Lane GLS site isn’t an unintentional leap of faith rather a simple leap.

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Opening in 4Q2023 is the lifestyle district at Tun Razak Exchange

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Kassia launch price

The Exchange TRX, the lifestyle area within Tun Razak Exchange (TRX), the Tun Razak Exchange (TRX) located in Kuala Lumpur, is set to open in the 4th quarter of 2023. As per developer Landlease, The Exchange TRX will include more than 400 shops spread across four levels of retail and 1.3 million square feet of net lettable area.

Kassia launch price will feature 280 residential units on a 150,840 sq ft plot in various configurations ranging from one to four bedrooms.

Stores will feature “new-to-market brands as well as statement stores and new store designs”. Tenants that anchor the store include Golden Screen Cinemas, Japanese department store Seibu as well as the Hong Kong-based Dairy Farm Group. In addition, there will 100 restaurants.

Mitch Wilson, project director for The Exchange TRX and head of retail for Lendlease Malaysia, says that the lifestyle precinct is planned as an “city-defining concept” in TRX. “As an international company we’ll be showcasing our expertise in placemaking across the globe along with our long-standing history in Malaysia to showcase our unique approach to retail that is experiential.”

Wilson says that the The occupancy rates in The Exchange TRC are “well ahead of market rates”. “We believe that the varied range of shops, along with the dynamism of entertainment and leisure activities will be a major factor in attracting customers and make visitors want to stay longer and return.”

Exchange TRX Exchange TRX will have a 10 acres of rooftop public-activated park. It is dubbed TRX City Park the park was created by Lendlease, in collaboration together with the landscape architect Oculus & Pentago. It will have play places, water feature and shaded enclosures. It also serves as the venue for exhibitions and other events.

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