Mar 22, 2010
Most town councils not raising fees
But some say rising costs make it hard to keep conservancy fees at current rates
By Carolyn Quek
RESIDENTS outside of Aljunied and Jurong can breathe easy for now, as most town councils say they will not be raising their conservancy fees just yet.
Aljunied and Jurong town councils announced two weeks ago that they will be increasing their service and conservancy (S&C) fees from next month, due to higher operating and maintenance costs.
However, 13 of the 14 remaining town councils say they will not be raising their fees just yet. The last town council - Hougang - did not respond to queries.
But some did say rising costs have made it increasingly difficult for them to maintain the status quo.
Aljunied and Jurong town councils had made known to their residents that they will raise monthly conservancy charges by between 50 cents and $4.50 for Singapore home owners, depending on the type of flat.
The increase for permanent residents and foreigners will be between $2.80 and $7.50.
Some of the 13 town councils The Straits Times spoke to said they were able to balance their budgets and thus will not raise S&C fees.
Just how do they do it?
Tanjong Pagar Town Council chairman Koo Tsai Kee said his council had set aside 'sufficient accumulated surpluses' in both its operating and sinking funds.
Most town councils keep a sinking fund for future maintenance works and projects like the Lift Upgrading Programme.
Another chairman, Tampines Town Council's Masagos Zulkifli, puts it down to 'prudent cash flow management' and also residents who have been punctual with their payments.
The town councils say they try to stretch their dollar, for example, by using energy-saving lights and increasing the productivity of their employees with the help of technology.
Said a spokesman for Marine Parade Town Council: 'The town council is also mindful of the long-term maintenance costs needed when we consider installing additional facilities in the estates.'
But Ang Mo Kio-Yio Chu Kang Town Council chairman Inderjit Singh said it has become tougher to manage the budget.
'Costs have gone up everywhere, significant of which is manpower cost. The costs of materials and contracts have also been steadily increasing. Utility charges also form a significant part of our costs, especially electricity,' he said.
Hong Kah Town Council said 40 per cent of its operating expenses for its last financial year (2008/2009) went towards its utility bills.
Its spokesman said the tariff hike also cost the town council an additional $2.9 million.
Switching to energy-saving lights has helped to trim 10 per cent off its electricity bill.
Mr Singh said: 'So far, we have managed to do everything at the highest quality without increasing any charges to the residents.'
But his town council will not rule out future hikes. 'If we don't (raise charges), we will run at a deficit, which is not tenable and will affect our quality of work if we cannot get the right resources because of the deficit,' he said.
Mr Singh added that his town council had planned to raise charges a few years ago, but held back due to a goods and services tax increase.
It also held back last year due to the recession, and focused on controlling costs.
'I hope residents will realise that we cannot not increase (our charges) in the coming years,' he added.
West Coast Town Council chairman Arthur Fong said that while the newer flats in the town council district might require less repairs now, they will cost more down the road when repainting works are done.
Though he does not see a need to increase the S&C fees immediately, Mr Masagos said the Lift Upgrading Programme and town development programmes do 'cause a drain' to the sinking fund.
It may not be entirely fair to compare town councils, Mr Singh and Mr Fong pointed out, as each one is different and operates independently of others.
The ages of the estates are different, and they have been maintained and improved at different rates as well.
'The cost to maintain different types of properties of different ages means that comparing councils is not meaningful,' said Mr Fong.
Even within a town council district, property types in the different divisions are different.
Precincts within the same division may also differ, resulting in different costs, schedules, and attention from the town council.
'We have been very careful in that we try to do things in a no-frills way, but again, to manage the expectations of residents who are comparing with others is a constant challenge,' Mr Fong said.
carolynq@sph.com.sg
--------------------------------------------------------------------------------
No fee hike because...
· Tanjong Pagar: Surpluses in budget.
· Tampines: Prudent cash flow management, punctual payments by residents.
· Hong Kah: Switched to energy-saving lights to cut utility bills.
Monday, March 22, 2010
ST : 14 HDB precincts selected each year for sprucing up
Mar 22, 2010
14 HDB precincts selected each year for sprucing up
Govt will bear full costs for essential improvements, subsidise optional ones
By Esther Teo
AROUND 12,000 Housing Board households in older estates will be selected this year for sprucing up under the Home Improvement Programme (HIP).
A similar number of flats, or up to 14 precincts each time, will be chosen each year from now on, said National Development Minister Mah Bow Tan yesterday.
Repairs will cover spalling concrete, leaky ceilings and the replacement of waste pipes, with the costs borne fully by the Government. Optional improvements, such as the upgrading of toilets, are heavily subsidised.
The programme was first announced by Prime Minister Lee Hsien Loong in his National Day Rally speech in 2007. Since then, Mr Mah said, some 27 precincts have been selected for HIP, with all 12 that have been polled voting to adopt it.
The HIP will be a permanent fixture of the HDB's upgrading programmes as it complements the Neighbourhood Renewal Programme (NRP), which upgrades an estate with better facilities based on residents' feedback, he said.
Mr Mah was speaking at the completion ceremony of the first HIP precinct in Yishun Street 21, which covered nine blocks and 729 households.
He said: 'Moving forward, more residents islandwide will benefit from this programme, with up to 14 precincts selected for HIP this year.'
A HDB estimate puts the number of households benefiting this year at between 10,000 and 12,000. Mr Mah did not reveal the locations of these precincts.
The HIP together with the NRP will rejuvenate middle-aged and mature towns, Mr Mah said. 'In this way, we raise the standard of living and preserve the value of HDB assets for our people.'
The estimated HIP cost for the Yishun precinct was $11.3 million, with the Government footing about $10.9 million. For each flat, the Government will fund fully the essential improvement costs, which came up to $13,000 per flat.
What home owners pay for the optional improvements vary between types of flats. If a four-room flat home owner opted for all five optional changes, including upgraded toilets and the replacement of the entrance door, he would pay $825.
The Government will foot another $11,775. Together with the $13,000 funding for the essential repairs, the home owner would enjoy a total subsidy of $24,775. Those with three-room units would pay $550 and five-room flat dwellers pay $1,100 for the optional items, with the Government's share being $12,050 and $11,500 respectively.
Singapore permanent residents pay the full upgrading cost.
Mr S. N. Nair, 73, opted for all five items. The retiree, who lives with his wife in a four-room flat, said that the upgrading of the toilet had made it both safer and cleaner for the couple who have been living there for the past 25 years.
Madam Massilah Ali, 40, who has been living in Yishun for the past 12 years with her husband and two daughters, said: 'The pricing is also very reasonable and the best part is that we can pay using our CPF (savings).'
A HDB survey found that 99 per cent of the residents were satisfied with the HIP.
Mr Mah added that upgrading works will gradually be introduced to other towns as part of a long-term plan. 'We will remake the heartlands, phase by phase, and I think you will eventually see new rejuvenated heartlands, whether it's the old towns or middle-aged towns.'
esthert@sph.com.sg
14 HDB precincts selected each year for sprucing up
Govt will bear full costs for essential improvements, subsidise optional ones
By Esther Teo
AROUND 12,000 Housing Board households in older estates will be selected this year for sprucing up under the Home Improvement Programme (HIP).
A similar number of flats, or up to 14 precincts each time, will be chosen each year from now on, said National Development Minister Mah Bow Tan yesterday.
Repairs will cover spalling concrete, leaky ceilings and the replacement of waste pipes, with the costs borne fully by the Government. Optional improvements, such as the upgrading of toilets, are heavily subsidised.
The programme was first announced by Prime Minister Lee Hsien Loong in his National Day Rally speech in 2007. Since then, Mr Mah said, some 27 precincts have been selected for HIP, with all 12 that have been polled voting to adopt it.
The HIP will be a permanent fixture of the HDB's upgrading programmes as it complements the Neighbourhood Renewal Programme (NRP), which upgrades an estate with better facilities based on residents' feedback, he said.
Mr Mah was speaking at the completion ceremony of the first HIP precinct in Yishun Street 21, which covered nine blocks and 729 households.
He said: 'Moving forward, more residents islandwide will benefit from this programme, with up to 14 precincts selected for HIP this year.'
A HDB estimate puts the number of households benefiting this year at between 10,000 and 12,000. Mr Mah did not reveal the locations of these precincts.
The HIP together with the NRP will rejuvenate middle-aged and mature towns, Mr Mah said. 'In this way, we raise the standard of living and preserve the value of HDB assets for our people.'
The estimated HIP cost for the Yishun precinct was $11.3 million, with the Government footing about $10.9 million. For each flat, the Government will fund fully the essential improvement costs, which came up to $13,000 per flat.
What home owners pay for the optional improvements vary between types of flats. If a four-room flat home owner opted for all five optional changes, including upgraded toilets and the replacement of the entrance door, he would pay $825.
The Government will foot another $11,775. Together with the $13,000 funding for the essential repairs, the home owner would enjoy a total subsidy of $24,775. Those with three-room units would pay $550 and five-room flat dwellers pay $1,100 for the optional items, with the Government's share being $12,050 and $11,500 respectively.
Singapore permanent residents pay the full upgrading cost.
Mr S. N. Nair, 73, opted for all five items. The retiree, who lives with his wife in a four-room flat, said that the upgrading of the toilet had made it both safer and cleaner for the couple who have been living there for the past 25 years.
Madam Massilah Ali, 40, who has been living in Yishun for the past 12 years with her husband and two daughters, said: 'The pricing is also very reasonable and the best part is that we can pay using our CPF (savings).'
A HDB survey found that 99 per cent of the residents were satisfied with the HIP.
Mr Mah added that upgrading works will gradually be introduced to other towns as part of a long-term plan. 'We will remake the heartlands, phase by phase, and I think you will eventually see new rejuvenated heartlands, whether it's the old towns or middle-aged towns.'
esthert@sph.com.sg
BT : 12,000 old flats to be upgraded annually
Business Times - 22 Mar 2010
12,000 old flats to be upgraded annually
AROUND 12,000 - that is the upper ceiling of the quota for homes to be upgraded annually under the government's Home Improvement Programme (HIP) from this year onwards.
The annual target was announced by National Development Minister Mah Bow Tan yesterday during a community event in Yishun.
According to Mr Mah, HIP will cover some 14 precincts or around 10,000 to 12,000 homes every year. This nationwide upgrading initiative, first announced by Prime Minister Lee Hsien Loong at the 2007 National Day Rally, covers flats that were built in 1986 or earlier.
Close to 300,000 households in Singapore qualify for the programme, which covers compulsory improvements including repairs for ceiling leaks, as well as spalling or flaking concrete.
Homeowners can also opt for optional upgrades such as new toilets and metal gates.
The compulsory items are fully subsidised by the government while the other works are offered on a co-payment basis.
In 2009, the government sped up the pace of upgrading by committing $1 billion to HIP over a three-year period. Back then, authorities said they were hoping to take advantage of lower construction costs during the recession to refurbish some 33,000 units of older public housing.
More than 13,000 homes were spruced up from 2007 to 2008 and around 8,000 flats were upgraded under HIP last year.
12,000 old flats to be upgraded annually
AROUND 12,000 - that is the upper ceiling of the quota for homes to be upgraded annually under the government's Home Improvement Programme (HIP) from this year onwards.
The annual target was announced by National Development Minister Mah Bow Tan yesterday during a community event in Yishun.
According to Mr Mah, HIP will cover some 14 precincts or around 10,000 to 12,000 homes every year. This nationwide upgrading initiative, first announced by Prime Minister Lee Hsien Loong at the 2007 National Day Rally, covers flats that were built in 1986 or earlier.
Close to 300,000 households in Singapore qualify for the programme, which covers compulsory improvements including repairs for ceiling leaks, as well as spalling or flaking concrete.
Homeowners can also opt for optional upgrades such as new toilets and metal gates.
The compulsory items are fully subsidised by the government while the other works are offered on a co-payment basis.
In 2009, the government sped up the pace of upgrading by committing $1 billion to HIP over a three-year period. Back then, authorities said they were hoping to take advantage of lower construction costs during the recession to refurbish some 33,000 units of older public housing.
More than 13,000 homes were spruced up from 2007 to 2008 and around 8,000 flats were upgraded under HIP last year.
ST : Common tax filing slip-ups
Mar 21, 2010
Common tax filing slip-ups
In the last of a two-part series on tax filing, Senior Correspondent Lorna Tan highlights the common filing mistakes made by individuals
The clock is ticking for taxpayers with just four weeks to file returns, but that is still time enough to make sure all the numbers add up.
The devil, as they say, is in the details and never more so than for a tax return. So when you file - April 15 is the deadline for paper filing while e-filers have until April 18 - try to get it right.
COMMON FILING MISTAKES BY INDIVIDUAL TAXPAYERS
Individual taxpayers tend to make several common mistakes, despite constant reminders over the years. These include reporting rental income and claiming for certain reliefs.
1. Rental income
Taxpayers who rent out property must report the gross rental income. That means the rent from the property, including rent on furniture and fittings, and service charges received from the tenant.
Many landlords fail to report rental income from furniture and fittings.
2. Estimates of rental income
Rental estimates are not acceptable for income tax purposes. Taxpayers must retain supporting documents to substantiate the amount of rental income reported and expenses claimed.
These documents include tenancy agreements, mortgage interest statements, invoices and receipts.
3. Incorrect expense claim
Expenses such as interest incurred on personal loans cannot be claimed as a tax deduction.
Taxpayers can claim interest only on the mortgage incurred directly when buying the property.
Property tax, fire insurance, commission paid to secure a subsequent tenant and expenses on repairs and maintenance are also deductible.
But expenses that are not allowable include loan repayments, depreciation of furniture and fittings, renovation costs, additions and alterations, agent's commission for securing the first tenant and legal expenses.
4. Personal reliefs
Mistakes are often made when claiming personal reliefs, especially Qualifying Child Relief and Parent Relief.
The income thresholds for both these reliefs have been raised from $2,000 to $4,000 with effect from the Year of Assessment 2010.
Child Relief is allowable if a taxpayer has maintained an unmarried child who earned less than $4,000 in the preceding year.
This includes income from working part-time or vacation jobs.
For example, Ah Hock (not his real name) claimed Child Relief on his son for the Years of Assessment 2007 to 2009.
His son was doing national service in 2006 and 2007 and received an allowance exceeding $2,000 a year.
In 2008, his son was studying full-time at a local university and did not have any income.
Since the income of Ah Hock's son exceeded $2,000 - which was the income threshold then - for the assessment years 2007 and 2008, the claim for Child Relief would be disallowed. But Ah Hock can make a claim for the 2009 assessment year.
Parent Relief can be claimed if the parent is at least 55 and did not have income - including part-time salary and rental - exceeding $4,000 in the previous year.
A common mistake among siblings is that they claim this relief on the same parent.
Some also claimed this relief even though the age or income criteria of their parents were not met.
COMMON FILING MISTAKES BY SELF-EMPLOYED TAXPAYERS
1. Entering income in the wrong category
Self-employed people often incorrectly report their incomes under 'Employment' or 'Other Income' on the tax return form.
But taxpayers who are carrying on a trade, business, profession or vocation must declare income under 'Trade'.
The self-employed also need to prepare the simplified 'four-line statement' stating turnover, gross profit, allowable business expenses and adjusted profit/loss if gross turnover is more than $100,000.
If gross turnover is less than $100,000, a 'two-line statement' - the gross commission and adjusted profit/loss - must be declared instead.
And if revenue is $500,000 or more, a certified statement of accounts must be submitted with the tax return.
2. Incorrect expense claims
Private and domestic expenses are not deductible for tax purposes against business income.
These include club membership subscriptions, personal insurance, travelling expenses on personal trips, family holiday expenses, medical expenses, private entertainment, domestic utilities and telephone charges.
And claims of motor vehicle expenses, including petrol, repair and maintenance, insurance, parking fees, Central Business District charges and hire purchase interest in respect of private vehicles are specifically prohibited under the Income Tax Act.
'These expenses are not deductible even if they are incurred in the course of business,' said the Inland Revenue Authority of Singapore (Iras).
3. Unsupported estimates of expenses
Claims of expenses against income should be made based on actual amounts incurred for the business, with supporting receipts and invoices.
Incomplete, sketchy records with merely approximate amounts are inadequate and unacceptable for tax purposes.
4. Failure to maintain business records
You should keep adequate business records for at least five years so the Iras can easily ascertain your income and allowable business expenses.
Unfortunately, some people believe they do not need to keep records, but it makes good sense as it gives you a fallback in case the taxman decides to do an audit.
lorna@sph.com.sg
--------------------------------------------------------------------------------
Mar 21, 2010
Penalties for filing wrongly
Filing an incorrect tax return is an offence and one that can bring severe penalties.
Negligent taxpayers
If you submit an incorrect return, you can be fined up to two times the amount of tax undercharged. In addition, you could find yourself facing a fine of up to $5,000 or jail for up to three years, or both.
Wilful taxpayers
Anyone who evades tax or helps someone else do so faces a penalty of three times the amount of tax undercharged. There may also be a fine of up to $10,000 or jail for up to three years, or both.
Voluntary compliance
Taxpayers who have made errors or submitted incorrect returns are encouraged to come forward to disclose errors or omissions and to get their tax affairs in order.
As an incentive, Iras has reduced the penalty for voluntary disclosures which meet certain qualifying conditions.
The penalty for voluntary disclosures made by individual taxpayers within a grace period of one year from the statutory filing date of April 15 will be waived.
Voluntary disclosures made after the grace period will incur a standard reduced penalty rate of 5 per cent a year if these disclosures meet qualifying conditions.
Refer to Iras e-Tax Guide on 'Iras Voluntary Disclosure Programme' or www.iras.gov.sg/irashome/vdp.aspx for further details.
If you want to disclose past errors in your returns, e-mail iit_compliance@iras.gov.sg or call 6351-3122 or 6351-3121.
Common tax filing slip-ups
In the last of a two-part series on tax filing, Senior Correspondent Lorna Tan highlights the common filing mistakes made by individuals
The clock is ticking for taxpayers with just four weeks to file returns, but that is still time enough to make sure all the numbers add up.
The devil, as they say, is in the details and never more so than for a tax return. So when you file - April 15 is the deadline for paper filing while e-filers have until April 18 - try to get it right.
COMMON FILING MISTAKES BY INDIVIDUAL TAXPAYERS
Individual taxpayers tend to make several common mistakes, despite constant reminders over the years. These include reporting rental income and claiming for certain reliefs.
1. Rental income
Taxpayers who rent out property must report the gross rental income. That means the rent from the property, including rent on furniture and fittings, and service charges received from the tenant.
Many landlords fail to report rental income from furniture and fittings.
2. Estimates of rental income
Rental estimates are not acceptable for income tax purposes. Taxpayers must retain supporting documents to substantiate the amount of rental income reported and expenses claimed.
These documents include tenancy agreements, mortgage interest statements, invoices and receipts.
3. Incorrect expense claim
Expenses such as interest incurred on personal loans cannot be claimed as a tax deduction.
Taxpayers can claim interest only on the mortgage incurred directly when buying the property.
Property tax, fire insurance, commission paid to secure a subsequent tenant and expenses on repairs and maintenance are also deductible.
But expenses that are not allowable include loan repayments, depreciation of furniture and fittings, renovation costs, additions and alterations, agent's commission for securing the first tenant and legal expenses.
4. Personal reliefs
Mistakes are often made when claiming personal reliefs, especially Qualifying Child Relief and Parent Relief.
The income thresholds for both these reliefs have been raised from $2,000 to $4,000 with effect from the Year of Assessment 2010.
Child Relief is allowable if a taxpayer has maintained an unmarried child who earned less than $4,000 in the preceding year.
This includes income from working part-time or vacation jobs.
For example, Ah Hock (not his real name) claimed Child Relief on his son for the Years of Assessment 2007 to 2009.
His son was doing national service in 2006 and 2007 and received an allowance exceeding $2,000 a year.
In 2008, his son was studying full-time at a local university and did not have any income.
Since the income of Ah Hock's son exceeded $2,000 - which was the income threshold then - for the assessment years 2007 and 2008, the claim for Child Relief would be disallowed. But Ah Hock can make a claim for the 2009 assessment year.
Parent Relief can be claimed if the parent is at least 55 and did not have income - including part-time salary and rental - exceeding $4,000 in the previous year.
A common mistake among siblings is that they claim this relief on the same parent.
Some also claimed this relief even though the age or income criteria of their parents were not met.
COMMON FILING MISTAKES BY SELF-EMPLOYED TAXPAYERS
1. Entering income in the wrong category
Self-employed people often incorrectly report their incomes under 'Employment' or 'Other Income' on the tax return form.
But taxpayers who are carrying on a trade, business, profession or vocation must declare income under 'Trade'.
The self-employed also need to prepare the simplified 'four-line statement' stating turnover, gross profit, allowable business expenses and adjusted profit/loss if gross turnover is more than $100,000.
If gross turnover is less than $100,000, a 'two-line statement' - the gross commission and adjusted profit/loss - must be declared instead.
And if revenue is $500,000 or more, a certified statement of accounts must be submitted with the tax return.
2. Incorrect expense claims
Private and domestic expenses are not deductible for tax purposes against business income.
These include club membership subscriptions, personal insurance, travelling expenses on personal trips, family holiday expenses, medical expenses, private entertainment, domestic utilities and telephone charges.
And claims of motor vehicle expenses, including petrol, repair and maintenance, insurance, parking fees, Central Business District charges and hire purchase interest in respect of private vehicles are specifically prohibited under the Income Tax Act.
'These expenses are not deductible even if they are incurred in the course of business,' said the Inland Revenue Authority of Singapore (Iras).
3. Unsupported estimates of expenses
Claims of expenses against income should be made based on actual amounts incurred for the business, with supporting receipts and invoices.
Incomplete, sketchy records with merely approximate amounts are inadequate and unacceptable for tax purposes.
4. Failure to maintain business records
You should keep adequate business records for at least five years so the Iras can easily ascertain your income and allowable business expenses.
Unfortunately, some people believe they do not need to keep records, but it makes good sense as it gives you a fallback in case the taxman decides to do an audit.
lorna@sph.com.sg
--------------------------------------------------------------------------------
Mar 21, 2010
Penalties for filing wrongly
Filing an incorrect tax return is an offence and one that can bring severe penalties.
Negligent taxpayers
If you submit an incorrect return, you can be fined up to two times the amount of tax undercharged. In addition, you could find yourself facing a fine of up to $5,000 or jail for up to three years, or both.
Wilful taxpayers
Anyone who evades tax or helps someone else do so faces a penalty of three times the amount of tax undercharged. There may also be a fine of up to $10,000 or jail for up to three years, or both.
Voluntary compliance
Taxpayers who have made errors or submitted incorrect returns are encouraged to come forward to disclose errors or omissions and to get their tax affairs in order.
As an incentive, Iras has reduced the penalty for voluntary disclosures which meet certain qualifying conditions.
The penalty for voluntary disclosures made by individual taxpayers within a grace period of one year from the statutory filing date of April 15 will be waived.
Voluntary disclosures made after the grace period will incur a standard reduced penalty rate of 5 per cent a year if these disclosures meet qualifying conditions.
Refer to Iras e-Tax Guide on 'Iras Voluntary Disclosure Programme' or www.iras.gov.sg/irashome/vdp.aspx for further details.
If you want to disclose past errors in your returns, e-mail iit_compliance@iras.gov.sg or call 6351-3122 or 6351-3121.
ST LETTER : Big pool of flats eligible for subletting
Mar 21, 2010
YOUR LETTERS
Big pool of flats eligible for subletting
I refer to Mr Tan Siew Meng's letter last Sunday, 'More babies? Ease subletting rules'.
Mr Tan commented that there should be more flats available to sublet to young married couples.
Housing Board flats are primarily meant for owner occupation. However, HDB recognises that the flat is also the single most valuable asset for many Singaporeans, and has a value that can be unlocked to provide some supplementary income for flat owners. Renting a flat is also a viable housing alternative for some families.
Hence, HDB allows flats to be rented out after the minimum occupation period has been fulfilled.
Under current rules, more than 80 per cent of all home-ownership flats are already eligible for subletting of whole flats. Thus, there is no need to relax the rules further.
Other than renting an entire flat, young couples have other affordable options, such as staying with their parents or relatives, or renting a bedroom from flat owners, while waiting for their new flat to be ready. We thank Mr Tan for the feedback.
Foo-Ho Yoke Ming (Mrs)
Deputy Director (Branch Operations)
Housing & Development Board
YOUR LETTERS
Big pool of flats eligible for subletting
I refer to Mr Tan Siew Meng's letter last Sunday, 'More babies? Ease subletting rules'.
Mr Tan commented that there should be more flats available to sublet to young married couples.
Housing Board flats are primarily meant for owner occupation. However, HDB recognises that the flat is also the single most valuable asset for many Singaporeans, and has a value that can be unlocked to provide some supplementary income for flat owners. Renting a flat is also a viable housing alternative for some families.
Hence, HDB allows flats to be rented out after the minimum occupation period has been fulfilled.
Under current rules, more than 80 per cent of all home-ownership flats are already eligible for subletting of whole flats. Thus, there is no need to relax the rules further.
Other than renting an entire flat, young couples have other affordable options, such as staying with their parents or relatives, or renting a bedroom from flat owners, while waiting for their new flat to be ready. We thank Mr Tan for the feedback.
Foo-Ho Yoke Ming (Mrs)
Deputy Director (Branch Operations)
Housing & Development Board
ST : Waterfront living? This is it
Mar 21, 2010
Waterfront living? This is it
By Debby Kwong
Some return to home and hearth. Mr Robert Crivelli returns to his home and berth.
His family of four lives on the Melivia, a 21m-long houseboat berthed at ONE�15 Marina Club.
Mr Crivelli, 44, senior director at a private bank, was inspired by friends who lived on boats in Hong Kong's Discovery Bay.
The Swiss was hooked after going to a boat show at ONE�15 Marina Club in 2007.
The family was then living in a $7,500-a-month rented house in Bukit Timah.
His wife, Rakia, 44, and two children Bruno, 15, and Dounia, 11, like their new lifestyle too.
The houseboat has four bedrooms, four bathrooms, a living room, a dining room, a terrace, a kitchen and a laundry room. It has about 2,500 sq ft of living space.
Melivia cost less than $1.5 million and took six months to build in Zhuhai, China, before being delivered to Singapore in early 2008. The family moved in soon after.
'Some friends could not imagine life on a boat. But after visiting us, they agree it doesn't move and you don't really feel like you are on water,' Mr Crivelli said.
A Sunday Times check with marinas and clubs found that at least a dozen expatriates - mostly from the United States, Germany, Britain and Australia - live on boats here. Some do so with family members.
Software architect Kris Beevers, 29, came to Singapore in September 2008. The New Yorker decided he would move onto a boat after six months of living on land.
His housing agent laughed and told him 'it was impossible and too expensive', he said.
Mr Beevers had always wanted to live on a boat but the cold weather in New York was a problem.
Last month, the bachelor finally found a second-hand 12m sloop in Phuket, Thailand which he bought for US$60,000 (S$84,000).
'There aren't many affordable boats for sale in Singapore. It's a bit laborious to fly out to see boats but the difficulties are surmountable.'
His boat, Oia, will arrive here at the end of the month. It will berth at the Republic of Singapore Yacht Club.
Mr Beevers' decision to live on a boat took into account the property prices in Singapore.
'At $700,000, a two-bedroom apartment here is the cost of a mansion in many other places,' he said, adding that living on a boat is generally cheaper, with owners paying about $2,000 a month for berthing and utilities.
'Buying a boat and living on it is cheaper than paying rent for the same period. And after that, it just gets cheaper and cheaper,' he said.
There is a bonus too.
'When I need a break, I can sail my home off to a secluded island and relax for a few days,' he said.
The Crivellis call the Melivia (above) home. Built in China and delivered here, it has four bedrooms, four bathrooms, a living room, a dining room, a terrace , a kitchen and a laundry room, all within about 2,500 sq ft of living space. -- PHOTOS: COURTESY OF ROBERT CRIVELLI
Copyright © 2007 Singapore Press Holdings
Waterfront living? This is it
By Debby Kwong
Some return to home and hearth. Mr Robert Crivelli returns to his home and berth.
His family of four lives on the Melivia, a 21m-long houseboat berthed at ONE�15 Marina Club.
Mr Crivelli, 44, senior director at a private bank, was inspired by friends who lived on boats in Hong Kong's Discovery Bay.
The Swiss was hooked after going to a boat show at ONE�15 Marina Club in 2007.
The family was then living in a $7,500-a-month rented house in Bukit Timah.
His wife, Rakia, 44, and two children Bruno, 15, and Dounia, 11, like their new lifestyle too.
The houseboat has four bedrooms, four bathrooms, a living room, a dining room, a terrace, a kitchen and a laundry room. It has about 2,500 sq ft of living space.
Melivia cost less than $1.5 million and took six months to build in Zhuhai, China, before being delivered to Singapore in early 2008. The family moved in soon after.
'Some friends could not imagine life on a boat. But after visiting us, they agree it doesn't move and you don't really feel like you are on water,' Mr Crivelli said.
A Sunday Times check with marinas and clubs found that at least a dozen expatriates - mostly from the United States, Germany, Britain and Australia - live on boats here. Some do so with family members.
Software architect Kris Beevers, 29, came to Singapore in September 2008. The New Yorker decided he would move onto a boat after six months of living on land.
His housing agent laughed and told him 'it was impossible and too expensive', he said.
Mr Beevers had always wanted to live on a boat but the cold weather in New York was a problem.
Last month, the bachelor finally found a second-hand 12m sloop in Phuket, Thailand which he bought for US$60,000 (S$84,000).
'There aren't many affordable boats for sale in Singapore. It's a bit laborious to fly out to see boats but the difficulties are surmountable.'
His boat, Oia, will arrive here at the end of the month. It will berth at the Republic of Singapore Yacht Club.
Mr Beevers' decision to live on a boat took into account the property prices in Singapore.
'At $700,000, a two-bedroom apartment here is the cost of a mansion in many other places,' he said, adding that living on a boat is generally cheaper, with owners paying about $2,000 a month for berthing and utilities.
'Buying a boat and living on it is cheaper than paying rent for the same period. And after that, it just gets cheaper and cheaper,' he said.
There is a bonus too.
'When I need a break, I can sail my home off to a secluded island and relax for a few days,' he said.
The Crivellis call the Melivia (above) home. Built in China and delivered here, it has four bedrooms, four bathrooms, a living room, a dining room, a terrace , a kitchen and a laundry room, all within about 2,500 sq ft of living space. -- PHOTOS: COURTESY OF ROBERT CRIVELLI
Copyright © 2007 Singapore Press Holdings
ST : Heartland condos at $1k psf or more?
Mar 21, 2010
property
Heartland condos at $1k psf or more?
Maybe for a few more months but it won't be norm for mass market
By Joyce Teo
A 99-year leasehold condominium The Vision, in the quiet suburbs of West Coast Crescent, was launched recently at an eye-popping price of around $1,000 to $1,200 per sq ft (psf).
Nevertheless, at least 160 buyers put down money for the mass market homes that come with branded goods and quality finishes, said the developer Cheung Kong (Holdings).
That set the benchmark price for the area. And this will not be the last of such pricey projects, industry players said.
PropNex chief executive Mohamed Ismail said the trend of a sizeable number of properties sold above $1,000 psf will likely continue over the next few months.
Still, this price level is not yet likely to become the norm for the entire mass market category, given that affordability will be a serious issue, said those in the industry.
This price level first came up in the mass market segment after Far East Organization launched its 329-unit Centro Residences in Ang Mo Kio at more than $1,100 psf last year.
At that time, property experts were caught by surprise, pointing out that the price would be a new suburban record.
Until then, the leasehold record was believed to be held by Bishan 8, which Far East launched at $1,100 psf in 1997.
Still, there were buyers at Centro, with five February deals registered at a median level of $1,220 psf.
At some of last year's popular mass market launches, some units did cross this $1,000 psf price level, though the average launch price was below that mark.
These included Trevista in Toa Payoh, Meadows@Peirce in Upper Thomson and Elliot at the East Coast.
Looking ahead, the $1,000 psf price may not be surprising, based on some of the aggressive bids achieved at recent government land tenders, industry players said.
'For the next half year, you will likely see new mass market launches hitting the price level,' said Knight Frank managing director (residential services) Peter Ow.
'The psf price is one thing, the quantum is another. As long as the total quantum is at $1 million or less, buyers can still afford to buy.'
Units will thus become smaller to keep the quantum affordable, he added.
'If the developers bought land above $500 psf ppr, they would try to sell it for more than $900 psf ppr,' said Ngee Ann Polytechnic real estate lecturer Nicholas Mak. (The term ppr refers to per plot ratio.)
However, the aggressive bidding situation will not last.
'Demand is still strong. But as more supply comes onstream, developers' landbanking needs will gradually be satisfied,' said Mr Mak.
Their bids will come down gradually, he said.
Developers are also wary about overpricing their projects as they would then have difficulty selling them, he said.
Said DTZ's South-east Asia research head, Ms Chua Chor Hoon: 'Not all mass market projects can be sold at above $1,000 psf. They would need to have very attractive attributes in order to attract home owners or investors.'
This would include proximity to town and MRT stations, and proximity to employment hubs or sought-after educational institutions to provide a ready pool of good tenants, Ms Chua added.
'Developers will try to maintain the ($1,000 psf and above) price level as the norm for very well-located mass market condos,' said Mr Mak.
But it will not be the norm for mass market condos in general, he stressed.
'We are not seeing a strong growth in household income, so how can we support those kind of prices?'
joyceteo@sph.com.sg
An artist's impression of the 329-unit Centro Residences in Ang Mo Kio. Far East Organization launched it at more than $1,100 psf last year. -- PHOTO: FAR EAST ORGANIZATION
property
Heartland condos at $1k psf or more?
Maybe for a few more months but it won't be norm for mass market
By Joyce Teo
A 99-year leasehold condominium The Vision, in the quiet suburbs of West Coast Crescent, was launched recently at an eye-popping price of around $1,000 to $1,200 per sq ft (psf).
Nevertheless, at least 160 buyers put down money for the mass market homes that come with branded goods and quality finishes, said the developer Cheung Kong (Holdings).
That set the benchmark price for the area. And this will not be the last of such pricey projects, industry players said.
PropNex chief executive Mohamed Ismail said the trend of a sizeable number of properties sold above $1,000 psf will likely continue over the next few months.
Still, this price level is not yet likely to become the norm for the entire mass market category, given that affordability will be a serious issue, said those in the industry.
This price level first came up in the mass market segment after Far East Organization launched its 329-unit Centro Residences in Ang Mo Kio at more than $1,100 psf last year.
At that time, property experts were caught by surprise, pointing out that the price would be a new suburban record.
Until then, the leasehold record was believed to be held by Bishan 8, which Far East launched at $1,100 psf in 1997.
Still, there were buyers at Centro, with five February deals registered at a median level of $1,220 psf.
At some of last year's popular mass market launches, some units did cross this $1,000 psf price level, though the average launch price was below that mark.
These included Trevista in Toa Payoh, Meadows@Peirce in Upper Thomson and Elliot at the East Coast.
Looking ahead, the $1,000 psf price may not be surprising, based on some of the aggressive bids achieved at recent government land tenders, industry players said.
'For the next half year, you will likely see new mass market launches hitting the price level,' said Knight Frank managing director (residential services) Peter Ow.
'The psf price is one thing, the quantum is another. As long as the total quantum is at $1 million or less, buyers can still afford to buy.'
Units will thus become smaller to keep the quantum affordable, he added.
'If the developers bought land above $500 psf ppr, they would try to sell it for more than $900 psf ppr,' said Ngee Ann Polytechnic real estate lecturer Nicholas Mak. (The term ppr refers to per plot ratio.)
However, the aggressive bidding situation will not last.
'Demand is still strong. But as more supply comes onstream, developers' landbanking needs will gradually be satisfied,' said Mr Mak.
Their bids will come down gradually, he said.
Developers are also wary about overpricing their projects as they would then have difficulty selling them, he said.
Said DTZ's South-east Asia research head, Ms Chua Chor Hoon: 'Not all mass market projects can be sold at above $1,000 psf. They would need to have very attractive attributes in order to attract home owners or investors.'
This would include proximity to town and MRT stations, and proximity to employment hubs or sought-after educational institutions to provide a ready pool of good tenants, Ms Chua added.
'Developers will try to maintain the ($1,000 psf and above) price level as the norm for very well-located mass market condos,' said Mr Mak.
But it will not be the norm for mass market condos in general, he stressed.
'We are not seeing a strong growth in household income, so how can we support those kind of prices?'
joyceteo@sph.com.sg
An artist's impression of the 329-unit Centro Residences in Ang Mo Kio. Far East Organization launched it at more than $1,100 psf last year. -- PHOTO: FAR EAST ORGANIZATION
ST : THE EX-PAT FILES
Mar 21, 2010
THE EX-PAT FILES
A roof over my bloated head
By Rupali Karekar
I dread this time of the year. It's nearing April, the month when the lease on my current rental apartment will expire.
Since the option of a year-long extension in my existing contract has been exhausted, the nerve-racking and tedious ritual of hunting for a decent new roof over my head has begun.
And I have slipped into anxiety mode.
The fear of not finding a suitable replacement in time has forced me into action at least two months in advance. Besides, my long list of demands in a rental home makes my search even more difficult.
For the last 21/2 years that I have been in Singapore, I have shared living space with a flatmate in two separate, as near-perfect HDB flats as any expat could wish for. I have also been fortunate enough to find a quiet, friendly and safe neighbourhood and two accommodating and understanding landladies.
Now I insist that the next apartment be as good as the last two, if not better. But the actual process of finding something suitable gives me the jitters.
The search is a long, rough one which involves daily scans of the classifieds, incessant and sometimes untimely phone calls by poacher agents offering their services, sweaty walks to prospective locations and sleepless nights worrying about an uncertain tomorrow.
It drives me to the edge, like a student who is taking the O-level exams after not having studied at all for the whole year.
The initial worry is finding a good agent, someone whose accent I can decipher and who, in turn, can decipher mine. Then comes the most difficult part of explaining to him my exact requirements.
After two years of living in apartments enviably close to an MRT station and just a 20-minute ride away from the office, I am averse to spending an additional second travelling to work.
Besides a good location, I want the flat to be on a high floor with plenty of sunshine, and have good ventilation and big bathrooms with clean toilets (seats not squats). Budget, of course, is a big consideration and so is the cleanliness and safety barometer of the neighbourhood. Proximity to foodcourts, supermarkets, golf clubs and so on are an added advantage. (What can I say, I am high-maintenance.)
The length of my list makes most agents slump with exasperation, while the tolerant few try to talk me into striking out at least one demand. I end up striking out, you guessed it, the agent.
In my defence, my work hours compel me to seek such comforts. But, some of the roadblocks are not of my making. For instance, if the flat meets my expectations, chances are the owners insist on letting it out only to families or to non-Indians.
At other times, they have a list of demands, like no cooking (a hobby of mine), no parties (they don't know that I'd rather go to Clarke Quay) and no boyfriends (I am single leh! Don't they read my columns?).
Last year's recession has added to my woes, as I try to tighten my belt without trying to compromise on my needs. The process is upsetting, making an eternally optimistic and adventure-loving person like me want to run home to Mummy in Mumbai.
But, then I comfort myself with positive thoughts.
Singapore's Housing Board has an excellent record of building affordable apartments for nearly 85 per cent of its people. So I tell myself that even though I may run out of energy, it is highly unlikely that I will run out of choices.
Besides, despite all the hurdles in finding a flat, some of them of my own creation, I am confident that for every failed viewing, I will have 100 more choices every day. For every exasperated agent, I will have 10 other tolerant types who will be ready to assist me.
Having jumped into the fray early, I still have the luxury of time to choose according to my whims.
And I am sure that the keys to the new rental flat will be handed to me before it is time to move out of the old one.
The writer is an assistant to the foreign editor in The Straits Times and has lived in Singapore for 21/2 years.
THE EX-PAT FILES
A roof over my bloated head
By Rupali Karekar
I dread this time of the year. It's nearing April, the month when the lease on my current rental apartment will expire.
Since the option of a year-long extension in my existing contract has been exhausted, the nerve-racking and tedious ritual of hunting for a decent new roof over my head has begun.
And I have slipped into anxiety mode.
The fear of not finding a suitable replacement in time has forced me into action at least two months in advance. Besides, my long list of demands in a rental home makes my search even more difficult.
For the last 21/2 years that I have been in Singapore, I have shared living space with a flatmate in two separate, as near-perfect HDB flats as any expat could wish for. I have also been fortunate enough to find a quiet, friendly and safe neighbourhood and two accommodating and understanding landladies.
Now I insist that the next apartment be as good as the last two, if not better. But the actual process of finding something suitable gives me the jitters.
The search is a long, rough one which involves daily scans of the classifieds, incessant and sometimes untimely phone calls by poacher agents offering their services, sweaty walks to prospective locations and sleepless nights worrying about an uncertain tomorrow.
It drives me to the edge, like a student who is taking the O-level exams after not having studied at all for the whole year.
The initial worry is finding a good agent, someone whose accent I can decipher and who, in turn, can decipher mine. Then comes the most difficult part of explaining to him my exact requirements.
After two years of living in apartments enviably close to an MRT station and just a 20-minute ride away from the office, I am averse to spending an additional second travelling to work.
Besides a good location, I want the flat to be on a high floor with plenty of sunshine, and have good ventilation and big bathrooms with clean toilets (seats not squats). Budget, of course, is a big consideration and so is the cleanliness and safety barometer of the neighbourhood. Proximity to foodcourts, supermarkets, golf clubs and so on are an added advantage. (What can I say, I am high-maintenance.)
The length of my list makes most agents slump with exasperation, while the tolerant few try to talk me into striking out at least one demand. I end up striking out, you guessed it, the agent.
In my defence, my work hours compel me to seek such comforts. But, some of the roadblocks are not of my making. For instance, if the flat meets my expectations, chances are the owners insist on letting it out only to families or to non-Indians.
At other times, they have a list of demands, like no cooking (a hobby of mine), no parties (they don't know that I'd rather go to Clarke Quay) and no boyfriends (I am single leh! Don't they read my columns?).
Last year's recession has added to my woes, as I try to tighten my belt without trying to compromise on my needs. The process is upsetting, making an eternally optimistic and adventure-loving person like me want to run home to Mummy in Mumbai.
But, then I comfort myself with positive thoughts.
Singapore's Housing Board has an excellent record of building affordable apartments for nearly 85 per cent of its people. So I tell myself that even though I may run out of energy, it is highly unlikely that I will run out of choices.
Besides, despite all the hurdles in finding a flat, some of them of my own creation, I am confident that for every failed viewing, I will have 100 more choices every day. For every exasperated agent, I will have 10 other tolerant types who will be ready to assist me.
Having jumped into the fray early, I still have the luxury of time to choose according to my whims.
And I am sure that the keys to the new rental flat will be handed to me before it is time to move out of the old one.
The writer is an assistant to the foreign editor in The Straits Times and has lived in Singapore for 21/2 years.
ST : 'City of Waterways' is taking shape
Mar 21, 2010
'City of Waterways' is taking shape
Many water projects in PUB masterplan are set to be completed this year
By Sumita Sreedharan
It looks like Singapore the Garden City is on target to become a City of Waterways too.
With World Water Day falling tomorrow, PUB, the national water agency, is confident that its masterplan targets will be met.
The banks of the country's 32 rivers and 7,000km of canals and drains are being transformed, as are its 15 reservoirs which will teem with water activities.
A key element of PUB's Active, Beautiful, Clean Waters (ABC Waters) programme is the people factor: projects will involve residents so that they have ownership too.
The masterplan identified more than 100 locations where projects will be implemented in phases till 2030.
The PUB first identifies a waterway or reservoir for transformation by looking at such factors as demographics, surrounding facilities and upcoming developments.
It then sees how the ABC Waters project can complement the surroundings and add value to the area.
Grassroots groups, schools and residents are involved: Feedback, ideas and views are gathered from them. After all, they will participate in and organise activities around the completed projects.
Mr Yew Kai Lih, 54, senior constituency manager in the Kolam Ayer constituency office, says: 'Our waterway is now our trademark.'
Residents along the Kallang River/Kolam Ayer area now enjoy landscaped river banks and a floating deck.
Upgrading work to the waterways of Kolam Ayer, MacRitchie and Bedok have so far cost $23 million.
Mr Yew believes that the property prices in his constituency have gone up as the waterway now provides waterfront living amenities.
He feels that there is now a sense of ownership of the waterway. The constituency club organises activities such as gardening and performances on the floating deck.
Among the projects that are expected to be completed this year are: Sungei Punggol, Lower Seletar Reservoir, Pandan Reservoir and Jurong Lake. So too will Sungei Whampoa (St George's Lane), Sungei Kallang/Whampoa RC31, Kranji Reservoir, Pang Sua Diversion Canal and Alexandra Canal.
Kallang River-Bishan Park and the Serangoon Reservoir - Lorong Halus waterway will be completed next year.
A problem that currently plagues canals here is pollution, but 'pollution of the waterways has decreased over the years', said Mr Tan Nguan Sen, director, Catchment and Waterways, PUB.
Last year, an average of 14 tonnes of flotsam was collected daily from the waterways. This is a reduction from the daily average of 15 tonnes collected in 2008, despite a steady increase in Singapore's population.
Mr Eugene Heng, 60, chairman of the Waterways Watch Society, sees these changes to the waterways as a positive thing.
The society is a volunteer group that monitors, restores and protects the aesthetics of the waterways.
Mr Heng feels that 'allowing more water activities in select areas is something that the society believes will help the public enjoy and, at the same time, appreciate, understand and value our waters'.
'City of Waterways' is taking shape
Many water projects in PUB masterplan are set to be completed this year
By Sumita Sreedharan
It looks like Singapore the Garden City is on target to become a City of Waterways too.
With World Water Day falling tomorrow, PUB, the national water agency, is confident that its masterplan targets will be met.
The banks of the country's 32 rivers and 7,000km of canals and drains are being transformed, as are its 15 reservoirs which will teem with water activities.
A key element of PUB's Active, Beautiful, Clean Waters (ABC Waters) programme is the people factor: projects will involve residents so that they have ownership too.
The masterplan identified more than 100 locations where projects will be implemented in phases till 2030.
The PUB first identifies a waterway or reservoir for transformation by looking at such factors as demographics, surrounding facilities and upcoming developments.
It then sees how the ABC Waters project can complement the surroundings and add value to the area.
Grassroots groups, schools and residents are involved: Feedback, ideas and views are gathered from them. After all, they will participate in and organise activities around the completed projects.
Mr Yew Kai Lih, 54, senior constituency manager in the Kolam Ayer constituency office, says: 'Our waterway is now our trademark.'
Residents along the Kallang River/Kolam Ayer area now enjoy landscaped river banks and a floating deck.
Upgrading work to the waterways of Kolam Ayer, MacRitchie and Bedok have so far cost $23 million.
Mr Yew believes that the property prices in his constituency have gone up as the waterway now provides waterfront living amenities.
He feels that there is now a sense of ownership of the waterway. The constituency club organises activities such as gardening and performances on the floating deck.
Among the projects that are expected to be completed this year are: Sungei Punggol, Lower Seletar Reservoir, Pandan Reservoir and Jurong Lake. So too will Sungei Whampoa (St George's Lane), Sungei Kallang/Whampoa RC31, Kranji Reservoir, Pang Sua Diversion Canal and Alexandra Canal.
Kallang River-Bishan Park and the Serangoon Reservoir - Lorong Halus waterway will be completed next year.
A problem that currently plagues canals here is pollution, but 'pollution of the waterways has decreased over the years', said Mr Tan Nguan Sen, director, Catchment and Waterways, PUB.
Last year, an average of 14 tonnes of flotsam was collected daily from the waterways. This is a reduction from the daily average of 15 tonnes collected in 2008, despite a steady increase in Singapore's population.
Mr Eugene Heng, 60, chairman of the Waterways Watch Society, sees these changes to the waterways as a positive thing.
The society is a volunteer group that monitors, restores and protects the aesthetics of the waterways.
Mr Heng feels that 'allowing more water activities in select areas is something that the society believes will help the public enjoy and, at the same time, appreciate, understand and value our waters'.
ST : Executive decision
Mar 20, 2010
Executive decision
ECs are designed like private condos, so it is no wonder owners of such flats are staying put
By tay suan chiang
Home owners Jonathan Seah and Yvette Tan have been living for nine years in The Rivervale executive condominium in Sengkang and do not plan to sell their apartment.
They chose it over an HDB flat and a private condominium as it has facilities and more privacy, compared to HDB flats, and private condos are too expensive, says Mr Seah, 37, a relationship manager in a bank.
The couple paid $559,000 for their three-bedroom unit.
'We have good neighbours and are comfortable living here,' says Ms Tan, 37, a credit controller.
'We have easy access to the Kallang-Paya Lebar Expressway, a park across the road and Buangkok MRT station is nearby.'
Civil servant Janice Lim, 34, is another satisfied executive condominium dweller. She has rejected numerous calls from property agents asking her if she would sell her Bishan Loft apartment.
'I doubt I can get another condo in such a good location at this price anytime in the near future, maybe never. Most new condo units seem very small, too,' she says.
She paid $600,000 for her four-bedroom apartment and has been living there with her family for six years.
These executive condominium (EC) home owners would vindicate the Government's decision to launch the first EC home in 1999.
The idea of ECs was mooted by then Prime Minister Goh Chok Tong in 1995 as a means to shorten the queue for HDB executive flats and to meet Singaporeans' demand for affordable, private property.
Aimed at Singaporeans who could afford more than an HDB flat but might find private property out of their reach, EC homes are targeted at couples between ineligibility for new Housing Board (HDB) flats because their combined monthly income exceeds the $8,000 cap but who may find private property too expensive.
The gross monthly household income of buyers of new EC units cannot exceed $10,000.
Earlier in the week, National Development Minister Mah Bow Tan said more ECs will be built this year and that they will make up about 10 per cent of the approximately 12,000 flats to be built this year.
The most recent one launched was La Casa in Woodlands in 2005, which has 444 units and was completed in 2008.
He added that the EC is 'well-designed, has good location, it is something that will have all the amenities and, at the same time, you can enjoy the grant... That is why we will be putting more ECs on the market'.
He is referring to a $30,000 housing grant that first-time EC buyers can apply for.
In the past three weeks, two new EC sites released by HDB were awarded to tenders with higher-than-expected bids.
The Sengkang EC site attracted a top bid of $315 per sq ft (psf) of gross floor area, while the Yishun EC site drew a top bid of $281 psf of gross floor area.
Some 520 apartments could be built on the Sengkang site, while the Yishun site could yield another 385 units.
According to a report in last week's The Sunday Times, analysts estimated that at the prices of those winning bids, the developers will have to sell the units in Sengkang for $650 to $700 psf and those in Yishun for $600 to $650 psf.
ECs are developed and sold by private developers with designs that are comparable to private condominiums.
EC apartments come with finishes such as marble and parquet floors, and have condo facilities such as a swimming pool, gym, tennis courts, barbecue pits and a clubhouse.
To date, 23 ECs have been built in Singapore, in the heartlands such as Pasir Ris, Jurong East, Woodlands and Punggol.
The first EC which was completed in 1999 is Eastvale, a 312-unit project in Pasir Ris Drive 3.
ECs are 99-year leasehold properties that have initial sale restrictions similar to those for public housing.
Leaving, but with good memories
First-time EC owners must live in their homes for at least five years. After that, they can sell the apartment only to Singaporeans and permanent residents. When an EC home is 10 years old, it will be fully privatised and can be sold to foreigners, too.
Nineteen of the current ECs have already crossed the five-year-old mark and, according to Mr Eric Cheng, chief executive of ECG Property, more than 50 per cent of home owners have chosen to keep their EC apartments, compared to about 74 per cent of HDB flat dwellers who choose to stay on in their flats after five years.
'With the finish, amenities and even facade, an EC is hard to tell apart from a private condo,' he says.
Those who do sell their EC flats do so for reasons other than dissatisfaction with their properties.
Human resource executive Vikki Tay, 32, sold her Bishan Loft unit and moved to a private apartment in Telok Kurau, 'so that my son can get into a good school' in the area. He is only four now, but she is planning ahead.
She bought her EC apartment for $545,000 in 2001 and sold it for $945,000 last year.
Architect Gwen Tan gave up her Park Green EC apartment in Sengkang once it turned five last year. She bought the apartment, which had unblocked views of Punggol Park, for $565,000 and sold it for slightly less than $800,000.
'I was living in East Coast before Punggol and missed it there,' says Ms Tan. She and her husband are on the lookout for a landed property to buy and is currently renting an apartment in East Coast.
Mr Cheng says resale EC apartments are able to 'hold a stable price point', much like that of HDB flats. He says the resale value will not fluctuate as much as what private condos can fetch.
He adds that 'EC developments offer a wide range of apartments of varying sizes, and are in good locations, with amenities nearby'.
Six of the ECs, such as Simei Green in Simei, Westmere in Jurong East and Windermere in Choa Chu Kang are already 10 years old, meaning foreigners can buy them.
Mr Chris Koh, director of Dennis Wee Properties, says these apartments can fetch an 'additional 5 to 10 per cent more' than those that have not yet passed the 10-year mark.
As EC prices are still lower than those of private apartments, he says they will appeal not only to foreigners but to locals as well. 'They no longer have the stigma of being known as semi-private housing,' he says.
taysc@sph.com.sg
Executive decision
ECs are designed like private condos, so it is no wonder owners of such flats are staying put
By tay suan chiang
Home owners Jonathan Seah and Yvette Tan have been living for nine years in The Rivervale executive condominium in Sengkang and do not plan to sell their apartment.
They chose it over an HDB flat and a private condominium as it has facilities and more privacy, compared to HDB flats, and private condos are too expensive, says Mr Seah, 37, a relationship manager in a bank.
The couple paid $559,000 for their three-bedroom unit.
'We have good neighbours and are comfortable living here,' says Ms Tan, 37, a credit controller.
'We have easy access to the Kallang-Paya Lebar Expressway, a park across the road and Buangkok MRT station is nearby.'
Civil servant Janice Lim, 34, is another satisfied executive condominium dweller. She has rejected numerous calls from property agents asking her if she would sell her Bishan Loft apartment.
'I doubt I can get another condo in such a good location at this price anytime in the near future, maybe never. Most new condo units seem very small, too,' she says.
She paid $600,000 for her four-bedroom apartment and has been living there with her family for six years.
These executive condominium (EC) home owners would vindicate the Government's decision to launch the first EC home in 1999.
The idea of ECs was mooted by then Prime Minister Goh Chok Tong in 1995 as a means to shorten the queue for HDB executive flats and to meet Singaporeans' demand for affordable, private property.
Aimed at Singaporeans who could afford more than an HDB flat but might find private property out of their reach, EC homes are targeted at couples between ineligibility for new Housing Board (HDB) flats because their combined monthly income exceeds the $8,000 cap but who may find private property too expensive.
The gross monthly household income of buyers of new EC units cannot exceed $10,000.
Earlier in the week, National Development Minister Mah Bow Tan said more ECs will be built this year and that they will make up about 10 per cent of the approximately 12,000 flats to be built this year.
The most recent one launched was La Casa in Woodlands in 2005, which has 444 units and was completed in 2008.
He added that the EC is 'well-designed, has good location, it is something that will have all the amenities and, at the same time, you can enjoy the grant... That is why we will be putting more ECs on the market'.
He is referring to a $30,000 housing grant that first-time EC buyers can apply for.
In the past three weeks, two new EC sites released by HDB were awarded to tenders with higher-than-expected bids.
The Sengkang EC site attracted a top bid of $315 per sq ft (psf) of gross floor area, while the Yishun EC site drew a top bid of $281 psf of gross floor area.
Some 520 apartments could be built on the Sengkang site, while the Yishun site could yield another 385 units.
According to a report in last week's The Sunday Times, analysts estimated that at the prices of those winning bids, the developers will have to sell the units in Sengkang for $650 to $700 psf and those in Yishun for $600 to $650 psf.
ECs are developed and sold by private developers with designs that are comparable to private condominiums.
EC apartments come with finishes such as marble and parquet floors, and have condo facilities such as a swimming pool, gym, tennis courts, barbecue pits and a clubhouse.
To date, 23 ECs have been built in Singapore, in the heartlands such as Pasir Ris, Jurong East, Woodlands and Punggol.
The first EC which was completed in 1999 is Eastvale, a 312-unit project in Pasir Ris Drive 3.
ECs are 99-year leasehold properties that have initial sale restrictions similar to those for public housing.
Leaving, but with good memories
First-time EC owners must live in their homes for at least five years. After that, they can sell the apartment only to Singaporeans and permanent residents. When an EC home is 10 years old, it will be fully privatised and can be sold to foreigners, too.
Nineteen of the current ECs have already crossed the five-year-old mark and, according to Mr Eric Cheng, chief executive of ECG Property, more than 50 per cent of home owners have chosen to keep their EC apartments, compared to about 74 per cent of HDB flat dwellers who choose to stay on in their flats after five years.
'With the finish, amenities and even facade, an EC is hard to tell apart from a private condo,' he says.
Those who do sell their EC flats do so for reasons other than dissatisfaction with their properties.
Human resource executive Vikki Tay, 32, sold her Bishan Loft unit and moved to a private apartment in Telok Kurau, 'so that my son can get into a good school' in the area. He is only four now, but she is planning ahead.
She bought her EC apartment for $545,000 in 2001 and sold it for $945,000 last year.
Architect Gwen Tan gave up her Park Green EC apartment in Sengkang once it turned five last year. She bought the apartment, which had unblocked views of Punggol Park, for $565,000 and sold it for slightly less than $800,000.
'I was living in East Coast before Punggol and missed it there,' says Ms Tan. She and her husband are on the lookout for a landed property to buy and is currently renting an apartment in East Coast.
Mr Cheng says resale EC apartments are able to 'hold a stable price point', much like that of HDB flats. He says the resale value will not fluctuate as much as what private condos can fetch.
He adds that 'EC developments offer a wide range of apartments of varying sizes, and are in good locations, with amenities nearby'.
Six of the ECs, such as Simei Green in Simei, Westmere in Jurong East and Windermere in Choa Chu Kang are already 10 years old, meaning foreigners can buy them.
Mr Chris Koh, director of Dennis Wee Properties, says these apartments can fetch an 'additional 5 to 10 per cent more' than those that have not yet passed the 10-year mark.
As EC prices are still lower than those of private apartments, he says they will appeal not only to foreigners but to locals as well. 'They no longer have the stigma of being known as semi-private housing,' he says.
taysc@sph.com.sg
TODAY ONLINE : A stone's throw from Orchard Road
A stone's throw from Orchard Road
05:55 AM Mar 20, 2010
Property group Wing Tai is launching L'VIV, a freehold condominium located on Newton Road, over the weekend.
The 32-storey development will yield 147 units, ranging from one-bedroom units and three-bedroom penthouse units.
The development covers a land area of 43,000 sq ft and amenities include a pool, tennis court, barbecue pavilion, a gymasium and spa facilities. It is priced at an average of $2,000 per square foot.
L'VIV is located right beside Newton Food Centre and is nearby to Newton MRT station, top secondary schools and shopping centres Novena Square and Velocity.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
05:55 AM Mar 20, 2010
Property group Wing Tai is launching L'VIV, a freehold condominium located on Newton Road, over the weekend.
The 32-storey development will yield 147 units, ranging from one-bedroom units and three-bedroom penthouse units.
The development covers a land area of 43,000 sq ft and amenities include a pool, tennis court, barbecue pavilion, a gymasium and spa facilities. It is priced at an average of $2,000 per square foot.
L'VIV is located right beside Newton Food Centre and is nearby to Newton MRT station, top secondary schools and shopping centres Novena Square and Velocity.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
ST : Charity commissioner questions City Harvest
Mar 20, 2010
Charity commissioner questions City Harvest
It seeks clarifications over megachurch's $310m stake in Suntec
By Melissa Sim, Esther Teo & Yen Feng
THE Commissioner of Charities has questioned City Harvest Church (CHC) about its $310 million stake in Suntec Singapore.
The 33,000-strong megachurch announced two weeks ago that it had become a co-owner of the downtown commercial property, which houses a convention and exhibition centre.
The complex's full name is Suntec Singapore International Convention and Exhibition Centre.
The money spent includes renovation and rental costs, the church said. CHC has not created a separate business entity for the purchase of the property.
But in the wake of the announcement, questions surfaced among the public about whether religious organisations - which are registered as charities - should be allowed to go into business using what are essentially donor funds.
Some asked if the income collected by CHC through rentals at Suntec would be taxed.
Questions were also raised about whether the church's plans to use two floors in Suntec for worship services would amount to a change of use of commercial properties.
When The Straits Times posed these questions to the Commissioner of Charities, he said he was not in a position to comment at the moment as his office is 'seeking clarifications from CHC on this business venture'.
However, a letter jointly issued by the Ministry of Community Development, Youth and Sports, the Urban Redevelopment Authority (URA) and the Inland Revenue Authority of Singapore provided some answers.
The letter was a response to Straits Times reader Lester Lam, who wrote to the Forum page and questioned the relevance of giving religious organisations tax-exempt status when several such groups own commercial properties and collect rental income.
The government bodies responded that incomes earned by charities are tax-exempt because their main purpose is to provide public benefits through their activities.
They acknowledged that some charities have chosen to engage in business activities to generate additional income, but said such business activities 'must be done in the best interest of the charity and not subject the charity's assets and resources to unacceptable risk'.
Charities contacted said that the decision on what is an 'acceptable risk' is left to their boards. They said investment decisions are made internally, and that they are reflected in their accounts, which are subject to audit.
The joint letter went on to say that any business carried out by a charity under a separate legal entity is subject to the normal corporate income tax.
It added that the 'exclusive use of commercial developments for religious purposes would constitute a material change of use of such developments into places of worship'.
Doing so requires a proposal to be submitted to the URA. URA said no such proposal has been received from CHC.
The church, which had said earlier that it would use two floors in Suntec to house a 12,000-seat auditorium for worship services, could not be reached for comment last night.
During the March 6 service, senior pastor Kong Hee said that the auditorium would be used exclusively for its services, except under certain circumstances.
He said then that it would move out about five times a year to allow for international conferences or events to be held there.
The church has spent the past five years looking for a suitable plot of land, said Dr Kong, who founded it in 1989 as a small Bible study group of 20.
The Suntec purchase came after it looked at tens of other properties, including the Lion City Hotel in Tanjong Katong and Iluma in Bras Basah Road, but rejected them as they were considered unsuitable due to their small size or likely traffic congestion.
Charity commissioner questions City Harvest
It seeks clarifications over megachurch's $310m stake in Suntec
By Melissa Sim, Esther Teo & Yen Feng
THE Commissioner of Charities has questioned City Harvest Church (CHC) about its $310 million stake in Suntec Singapore.
The 33,000-strong megachurch announced two weeks ago that it had become a co-owner of the downtown commercial property, which houses a convention and exhibition centre.
The complex's full name is Suntec Singapore International Convention and Exhibition Centre.
The money spent includes renovation and rental costs, the church said. CHC has not created a separate business entity for the purchase of the property.
But in the wake of the announcement, questions surfaced among the public about whether religious organisations - which are registered as charities - should be allowed to go into business using what are essentially donor funds.
Some asked if the income collected by CHC through rentals at Suntec would be taxed.
Questions were also raised about whether the church's plans to use two floors in Suntec for worship services would amount to a change of use of commercial properties.
When The Straits Times posed these questions to the Commissioner of Charities, he said he was not in a position to comment at the moment as his office is 'seeking clarifications from CHC on this business venture'.
However, a letter jointly issued by the Ministry of Community Development, Youth and Sports, the Urban Redevelopment Authority (URA) and the Inland Revenue Authority of Singapore provided some answers.
The letter was a response to Straits Times reader Lester Lam, who wrote to the Forum page and questioned the relevance of giving religious organisations tax-exempt status when several such groups own commercial properties and collect rental income.
The government bodies responded that incomes earned by charities are tax-exempt because their main purpose is to provide public benefits through their activities.
They acknowledged that some charities have chosen to engage in business activities to generate additional income, but said such business activities 'must be done in the best interest of the charity and not subject the charity's assets and resources to unacceptable risk'.
Charities contacted said that the decision on what is an 'acceptable risk' is left to their boards. They said investment decisions are made internally, and that they are reflected in their accounts, which are subject to audit.
The joint letter went on to say that any business carried out by a charity under a separate legal entity is subject to the normal corporate income tax.
It added that the 'exclusive use of commercial developments for religious purposes would constitute a material change of use of such developments into places of worship'.
Doing so requires a proposal to be submitted to the URA. URA said no such proposal has been received from CHC.
The church, which had said earlier that it would use two floors in Suntec to house a 12,000-seat auditorium for worship services, could not be reached for comment last night.
During the March 6 service, senior pastor Kong Hee said that the auditorium would be used exclusively for its services, except under certain circumstances.
He said then that it would move out about five times a year to allow for international conferences or events to be held there.
The church has spent the past five years looking for a suitable plot of land, said Dr Kong, who founded it in 1989 as a small Bible study group of 20.
The Suntec purchase came after it looked at tens of other properties, including the Lion City Hotel in Tanjong Katong and Iluma in Bras Basah Road, but rejected them as they were considered unsuitable due to their small size or likely traffic congestion.
TODAY ONLINE : New age executive condominiums
New age executive condominiums
05:55 AM Mar 20, 2010
by Colin Tan
The success of the The Pinnacle@Duxton has heralded in a new age for public housing.
Before this, no one in the real estate industry could imagine HDB residents/applicants paying "private housing" prices for public housing flats.
Those paying between $500,000 and $600,000 for their units would have an array of choices of older and bigger private housing apartments with condo facilities but in less central locations.
It shows that liquidity - albeit at a much reduced scale - is not just with the higher income groups.
And that higher prices is less of a problem so long as developers gave "potential buyers" an iconic or a special development which is perceived as giving value for money.
Hence, it was with some new-found liberation that bidders competed for three recent tenders for executive condominium (EC) sites over a span of weeks.
The first at Sengkang went for $315 per sq ft per plot ratio.
The second at Yishun went for $281 per sq ft while the highest bid for the third site at Tampines was $421 per sq ft.
At these land prices, new benchmark prices will certainly be sought by the developers to recover their land costs.
It helps that the highest bids were put in by contractor developers - which means they have control over construction costs, which partly explains the aggressive bids.
With the foreign worker levy going up and the slew of successful fully sold private sector projects slated for construction, cost of materials and labour are more likely to go up than down, even with the freeing up of more resources with the completion of the two IRs.
New private housing sales last year almost matched the record set in 2007.
And the HDB has said it will be pushing out 12,000 built-to-order units - or more if demand warrants it - this year.
Another construction bottleneck may be just around the corner.
For the successful bidders, they need to come up with something special to convince potential buyers.
In the past, a perceptible quality gap was evident with past EC projects.
This should come as no surprise as EC buyers have smaller budgets and developers had to compromise on quality to keep within the budgets of buyers.
However, with increasing age, the quality gap should matter less.
More problematic is the track record of ECs. After booking their units, it will take about eight years - three years of construction period plus five years of minimum occupation period - before the owners can sell them.
Unfortunately, the eight years for the current lot of ECs coincided with downturns and lower housing prices at the end of the eight-year period.
The minimum occupation period also means that the re-selling of other five-year-old condos will come in the sixth year for ECs. Given the stiff competition, it means even lower resale prices for ECs.
Notwithstanding the poor track record, the demand for ECs will be there, if only because private housing prices are even higher.
For would-be buyers, affordability should be interpreted as the ability to pay fully for the project over the entire loan period and not just for the initial years.
When doing your calculations, factor in normal interest rates, not the artificially low rates for the first two-three years banks offer to secure your business. ¢
The writer is the director, head research and consultancy at Chesterton Suntec International.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
05:55 AM Mar 20, 2010
by Colin Tan
The success of the The Pinnacle@Duxton has heralded in a new age for public housing.
Before this, no one in the real estate industry could imagine HDB residents/applicants paying "private housing" prices for public housing flats.
Those paying between $500,000 and $600,000 for their units would have an array of choices of older and bigger private housing apartments with condo facilities but in less central locations.
It shows that liquidity - albeit at a much reduced scale - is not just with the higher income groups.
And that higher prices is less of a problem so long as developers gave "potential buyers" an iconic or a special development which is perceived as giving value for money.
Hence, it was with some new-found liberation that bidders competed for three recent tenders for executive condominium (EC) sites over a span of weeks.
The first at Sengkang went for $315 per sq ft per plot ratio.
The second at Yishun went for $281 per sq ft while the highest bid for the third site at Tampines was $421 per sq ft.
At these land prices, new benchmark prices will certainly be sought by the developers to recover their land costs.
It helps that the highest bids were put in by contractor developers - which means they have control over construction costs, which partly explains the aggressive bids.
With the foreign worker levy going up and the slew of successful fully sold private sector projects slated for construction, cost of materials and labour are more likely to go up than down, even with the freeing up of more resources with the completion of the two IRs.
New private housing sales last year almost matched the record set in 2007.
And the HDB has said it will be pushing out 12,000 built-to-order units - or more if demand warrants it - this year.
Another construction bottleneck may be just around the corner.
For the successful bidders, they need to come up with something special to convince potential buyers.
In the past, a perceptible quality gap was evident with past EC projects.
This should come as no surprise as EC buyers have smaller budgets and developers had to compromise on quality to keep within the budgets of buyers.
However, with increasing age, the quality gap should matter less.
More problematic is the track record of ECs. After booking their units, it will take about eight years - three years of construction period plus five years of minimum occupation period - before the owners can sell them.
Unfortunately, the eight years for the current lot of ECs coincided with downturns and lower housing prices at the end of the eight-year period.
The minimum occupation period also means that the re-selling of other five-year-old condos will come in the sixth year for ECs. Given the stiff competition, it means even lower resale prices for ECs.
Notwithstanding the poor track record, the demand for ECs will be there, if only because private housing prices are even higher.
For would-be buyers, affordability should be interpreted as the ability to pay fully for the project over the entire loan period and not just for the initial years.
When doing your calculations, factor in normal interest rates, not the artificially low rates for the first two-three years banks offer to secure your business. ¢
The writer is the director, head research and consultancy at Chesterton Suntec International.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
TODAY ONLINE : Home by the shore
Home by the shore
05:55 AM Mar 20, 2010
Property developer Grovehill will launch freehold condominium Coralis (picture) over the weekend. Located in Joo Chiat, the freehold site measuring over 50,000 sq ft will house a 20-storey block yielding 127 units.
These will range from one-bedroom units with an area of 549 sq ft to four-bedroom penthouse units at 3,089 sq ft.
The development is priced between $1,382 and $1,550 per square foot.
Facilities at the Coralis include a lap pool, gym, sun deck, pool bar and barbecue area.
Nearby facilities include East Coast Park, Marina Bay Downtown and Changi International Airport and schools such as Tao Nan School and CHIJ Katong.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
05:55 AM Mar 20, 2010
Property developer Grovehill will launch freehold condominium Coralis (picture) over the weekend. Located in Joo Chiat, the freehold site measuring over 50,000 sq ft will house a 20-storey block yielding 127 units.
These will range from one-bedroom units with an area of 549 sq ft to four-bedroom penthouse units at 3,089 sq ft.
The development is priced between $1,382 and $1,550 per square foot.
Facilities at the Coralis include a lap pool, gym, sun deck, pool bar and barbecue area.
Nearby facilities include East Coast Park, Marina Bay Downtown and Changi International Airport and schools such as Tao Nan School and CHIJ Katong.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
CNA : Sim Lian Land awarded tender for residential site at Tampines
Sim Lian Land awarded tender for residential site at Tampines
By Wong Siew Ying | Posted: 19 March 2010 1920 hrs
SINGAPORE: Developer Sim Lian Land has clinched the tender for the residential site at Tampines Avenue 1 and Avenue 10. It submitted the top bid of S$302 million for the 3.2-hectare plot.
The site with a 99-year lease had attracted a total of eight bids. The remaining bids range between S$168 million and S$289 million.
The Urban Redevelopment Authority (URA) said it is the fourth residential site to be sold through the Confirmed List of the Government's Land Sales Programme in the first half of 2010. Others included land parcels at Choa Chu Kang Road, Buangkok Drive and Yishun Avenue 11.
The four sites can potentially yield 1,710 housing units.
URA added that another four residential sites, which could add an extra 1,215 units, will be released for sale in March and April. They are located at Boon Lay Way, Simei Street 3, Sembawang Road and Upper Serangoon Road.
URA has also assured the public that there is sufficient land supply to meet any surge in demand. It said a potential supply of 10,550 units will be made available from the Confirmed List and Reserve List system for the first half of the year.
This is the highest total supply quantum from any half-yearly government land sales programme.
Separately, URA has also awarded the tender for a transitional office site at Mohamed Sultan Road to LINK (THM) Holdings at S$17.2 million.
- CNA/sc
By Wong Siew Ying | Posted: 19 March 2010 1920 hrs
SINGAPORE: Developer Sim Lian Land has clinched the tender for the residential site at Tampines Avenue 1 and Avenue 10. It submitted the top bid of S$302 million for the 3.2-hectare plot.
The site with a 99-year lease had attracted a total of eight bids. The remaining bids range between S$168 million and S$289 million.
The Urban Redevelopment Authority (URA) said it is the fourth residential site to be sold through the Confirmed List of the Government's Land Sales Programme in the first half of 2010. Others included land parcels at Choa Chu Kang Road, Buangkok Drive and Yishun Avenue 11.
The four sites can potentially yield 1,710 housing units.
URA added that another four residential sites, which could add an extra 1,215 units, will be released for sale in March and April. They are located at Boon Lay Way, Simei Street 3, Sembawang Road and Upper Serangoon Road.
URA has also assured the public that there is sufficient land supply to meet any surge in demand. It said a potential supply of 10,550 units will be made available from the Confirmed List and Reserve List system for the first half of the year.
This is the highest total supply quantum from any half-yearly government land sales programme.
Separately, URA has also awarded the tender for a transitional office site at Mohamed Sultan Road to LINK (THM) Holdings at S$17.2 million.
- CNA/sc
ST : Price of ECs rises
Mar 20, 2010
Price of ECs rises
In the last three months, there were 156 EC sale transactions across the island. Here are the prices four popular ECs fetched.
SIMEI GREEN
Where: Simei Street 4
Completed: 1999
Average original price: $410 per square foot (psf)
Average resale price: $600 psf
Amenities: Simei MRT station, Eastpoint shopping mall, Changi General Hospital
THE FLORAVALE
Where: Westwood Avenue, Jurong West
Completed: 2000
Average original price: $360 psf
Average resale price: $500 psf
Amenities: Gek Poh shopping centre, Pioneer and Westwood Secondary schools
WOODSVALE
Where: Woodlands Drive 72
Completed: 2000
Average original price: $378 psf
Average resale price: $480 psf
Amenities: Admiralty MRT station, Greenwood and Admiralty Primary schools
BISHAN LOFT
Where: Bishan Street 11
Completed: 2003
Average original price: $418 psf
Average resale price: $700 psf
Amenities: Bishan MRT station, Junction 8 shopping mall, Bishan Community Library
Price of ECs rises
In the last three months, there were 156 EC sale transactions across the island. Here are the prices four popular ECs fetched.
SIMEI GREEN
Where: Simei Street 4
Completed: 1999
Average original price: $410 per square foot (psf)
Average resale price: $600 psf
Amenities: Simei MRT station, Eastpoint shopping mall, Changi General Hospital
THE FLORAVALE
Where: Westwood Avenue, Jurong West
Completed: 2000
Average original price: $360 psf
Average resale price: $500 psf
Amenities: Gek Poh shopping centre, Pioneer and Westwood Secondary schools
WOODSVALE
Where: Woodlands Drive 72
Completed: 2000
Average original price: $378 psf
Average resale price: $480 psf
Amenities: Admiralty MRT station, Greenwood and Admiralty Primary schools
BISHAN LOFT
Where: Bishan Street 11
Completed: 2003
Average original price: $418 psf
Average resale price: $700 psf
Amenities: Bishan MRT station, Junction 8 shopping mall, Bishan Community Library
ST : Illegal 'showflats' in housing estates
Mar 19, 2010
Illegal 'showflats' in housing estates
By Melissa Kok
RENOVATION contractors in public housing estates have hit on a way to showcase their work and tout for new business - by turning newly renovated flats into 'showflats'.
They are putting up advertisements and notices in lifts and on the doors of their clients' flats, inviting other home owners to take a look at the paint job, new flooring or custom-built furniture.
The contractors say they do this with the consent of their clients who have not moved in yet.
The Straits Times understands that in some cases, the contractors offer the owners of such 'showflats' a discount to sweeten the prospect of having strangers tramp through their home.
It seems like win-win - potential clients get an instant visual of the finished work and the contractor may nail his next job - but the practice is illegal.
The Housing Board, tipped off by members of the public bothered by renovation touts, has issued notices to registered contractors against doing this.
Under the HDB Registered Renovation Contractors' Scheme, contractors are barred from canvassing for business in new HDB blocks and from using residential flats as showflats - on pain of a fine of up to $500 and six demerit points.
Renovation contractors who accumulate 24 points in two years will have their licences suspended for a year. Home owners who allow their flats to be used as showrooms will also be served with warnings. If they ignore the warning, they may be fined.
Renovation contractors and design consultancy firms The Straits Times spoke to said converting renovated flats into showrooms is a widespread practice.
Checks on new flats in Punggol and Sengkang on Wednesday yielded unit numbers of 'showflats' scribbled on the plywood planks protecting the lift walls in the new blocks; and cellphone numbers of contractors were on display at the entrance to three units.
Contacted, the contractors pleaded ignorance to the rules or denied using the flat as a showroom. An HDB spokesman said a registered contractor became the first to be given a warning this year for displaying a business-touting banner outside a renovated flat.
Sengkang and Punggol residents told The Straits Times they had no problems with flats being used as showrooms, except that the advertisements in the lifts were 'unsightly'.
Mr Simon Lee, executive director of the Singapore Contractors Association, said contractors should comply with the rules. 'It's not wrong to showcase a renovated flat, except that it shouldn't be used as an office place for commercial purposes,' he added.
Illegal 'showflats' in housing estates
By Melissa Kok
RENOVATION contractors in public housing estates have hit on a way to showcase their work and tout for new business - by turning newly renovated flats into 'showflats'.
They are putting up advertisements and notices in lifts and on the doors of their clients' flats, inviting other home owners to take a look at the paint job, new flooring or custom-built furniture.
The contractors say they do this with the consent of their clients who have not moved in yet.
The Straits Times understands that in some cases, the contractors offer the owners of such 'showflats' a discount to sweeten the prospect of having strangers tramp through their home.
It seems like win-win - potential clients get an instant visual of the finished work and the contractor may nail his next job - but the practice is illegal.
The Housing Board, tipped off by members of the public bothered by renovation touts, has issued notices to registered contractors against doing this.
Under the HDB Registered Renovation Contractors' Scheme, contractors are barred from canvassing for business in new HDB blocks and from using residential flats as showflats - on pain of a fine of up to $500 and six demerit points.
Renovation contractors who accumulate 24 points in two years will have their licences suspended for a year. Home owners who allow their flats to be used as showrooms will also be served with warnings. If they ignore the warning, they may be fined.
Renovation contractors and design consultancy firms The Straits Times spoke to said converting renovated flats into showrooms is a widespread practice.
Checks on new flats in Punggol and Sengkang on Wednesday yielded unit numbers of 'showflats' scribbled on the plywood planks protecting the lift walls in the new blocks; and cellphone numbers of contractors were on display at the entrance to three units.
Contacted, the contractors pleaded ignorance to the rules or denied using the flat as a showroom. An HDB spokesman said a registered contractor became the first to be given a warning this year for displaying a business-touting banner outside a renovated flat.
Sengkang and Punggol residents told The Straits Times they had no problems with flats being used as showrooms, except that the advertisements in the lifts were 'unsightly'.
Mr Simon Lee, executive director of the Singapore Contractors Association, said contractors should comply with the rules. 'It's not wrong to showcase a renovated flat, except that it shouldn't be used as an office place for commercial purposes,' he added.
BT : Mohamed Sultan office site draws aggressive bids
Business Times - 19 Mar 2010
Mohamed Sultan office site draws aggressive bids
By EMILYN YAP
THE Urban Redevelopment Authority (URA) yesterday received surprisingly high bids for a transitional office site at Mohamed Sultan Road.
The 15-year leasehold plot attracted three bids. The highest was $17.19 million, or $172 per sq ft per plot ratio (psf ppr), from a boutique property developer and sports fashion retailer Link (THM) Holdings Pte Ltd.
Yesterday's top bid was eye-catching on several counts. First, it was 3.7 times that of the sole bid which URA received in 2008 when it last tried to sell the site. That bid, at just $4.65 million, was rejected.
Second, it far exceeded the trigger price for the site. URA put the site up for tender again in February after a developer committed to pay at least $9.33 million for the land.
The other two bids which came in yesterday were also higher than the trigger price. OKH Management Pte Ltd, a unit of building contractor OKH Holdings Pte Ltd, offered to pay $13.29 million, or $133 psf ppr.
The third bid, at $11.16 million or $112 psf ppr, came from Agrow Investments Pte Ltd.
The results of yesterday's tender 'exceeded expectations' and reflects confidence about the office market, said Savills Singapore commercial leasing director Agnes Tay.
The office site spans 66,482 sq ft and has a maximum gross floor area of 99,728 sq ft. Ms Tay estimated that with construction costs, total investment in the site could come up to around $32.2 million.
This would translate to a breakeven rental of around $2.50-$3.00 psf over 14 years - the amount of lease remaining when the site is ready in about a year's time. This would be 'appealing to many office users, especially big organisations who appreciate less volatility in rents over time', she said.
Cushman & Wakefield Singapore managing director Donald Han also described the bids for the site as 'aggressive'. The top bidder is perhaps confident of controlling construction costs, he said.
According to Link (THM)'s website, the company has developed a number of landed homes in Districts 9, 10 and 11. Its latest launches include a good class bungalow at Astrid Hill and semi-detached houses at Holland Road.
Link (THM) also distributes bags by brands such as Nike and Adidas. It has shops in VivoCity, Jurong Point and other malls.
Mr Han added that by the middle of next year, when the office space is completed, rents in the market would probably have picked up.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Mohamed Sultan office site draws aggressive bids
By EMILYN YAP
THE Urban Redevelopment Authority (URA) yesterday received surprisingly high bids for a transitional office site at Mohamed Sultan Road.
The 15-year leasehold plot attracted three bids. The highest was $17.19 million, or $172 per sq ft per plot ratio (psf ppr), from a boutique property developer and sports fashion retailer Link (THM) Holdings Pte Ltd.
Yesterday's top bid was eye-catching on several counts. First, it was 3.7 times that of the sole bid which URA received in 2008 when it last tried to sell the site. That bid, at just $4.65 million, was rejected.
Second, it far exceeded the trigger price for the site. URA put the site up for tender again in February after a developer committed to pay at least $9.33 million for the land.
The other two bids which came in yesterday were also higher than the trigger price. OKH Management Pte Ltd, a unit of building contractor OKH Holdings Pte Ltd, offered to pay $13.29 million, or $133 psf ppr.
The third bid, at $11.16 million or $112 psf ppr, came from Agrow Investments Pte Ltd.
The results of yesterday's tender 'exceeded expectations' and reflects confidence about the office market, said Savills Singapore commercial leasing director Agnes Tay.
The office site spans 66,482 sq ft and has a maximum gross floor area of 99,728 sq ft. Ms Tay estimated that with construction costs, total investment in the site could come up to around $32.2 million.
This would translate to a breakeven rental of around $2.50-$3.00 psf over 14 years - the amount of lease remaining when the site is ready in about a year's time. This would be 'appealing to many office users, especially big organisations who appreciate less volatility in rents over time', she said.
Cushman & Wakefield Singapore managing director Donald Han also described the bids for the site as 'aggressive'. The top bidder is perhaps confident of controlling construction costs, he said.
According to Link (THM)'s website, the company has developed a number of landed homes in Districts 9, 10 and 11. Its latest launches include a good class bungalow at Astrid Hill and semi-detached houses at Holland Road.
Link (THM) also distributes bags by brands such as Nike and Adidas. It has shops in VivoCity, Jurong Point and other malls.
Mr Han added that by the middle of next year, when the office space is completed, rents in the market would probably have picked up.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
TODAY ONLINE : Infringements? URA investigating
Infringements? URA investigating
Agency looking into possible planning lapses as Indian national is arrested for Filipina's murder
05:55 AM Mar 19, 2010
by Shaffiq Alkhatib shaffiq@mediacorp.com.sg
SINGAPORE - The Urban Redevelopment Authority (URA) is looking into whether there were any planning infringements at Peony Mansion, an ageing apartment building along Bencoolen Street.
The building made headlines this week when a Philippine national was found dead with stab wounds early on Monday, in her rented room on the fifth floor.
On Wednesday at 4pm, a 34-year-old male Indian national was arrested in connection with the death of Ms Roselyn Reyes Pascua, 30. The man will be charged in court today with murder and faces the death penalty if convicted.
When MediaCorp visited the building on Monday, a tenant had said that rooms in the nine-storey building were available for rent for about $25 a night. A notice on the property, meanwhile, stated that action would be taken against sex workers who used the premises as a brothel.
In response to queries, the URA said it had not received applications for residential units in the apartment building to be converted for use as a boarding house.
It said appropriate action would be taken if necessary. An enforcement notice may be served on the owner and/or the persons responsible.
If they do not stop the unauthorised use, they may be charged in court and, if convicted, could be fined up to $200,000 or jailed for up to 12 months, or both.
Peony Mansion was built in the 1960s. It can be used as a hotel or boarding house as the site is within the Bencoolen Street area, where there are a number of such establishments, but planning approval must first be obtained to convert the existing residential units, said URA.
The conversion would also have to be done on an entire floor or building basis.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
Agency looking into possible planning lapses as Indian national is arrested for Filipina's murder
05:55 AM Mar 19, 2010
by Shaffiq Alkhatib shaffiq@mediacorp.com.sg
SINGAPORE - The Urban Redevelopment Authority (URA) is looking into whether there were any planning infringements at Peony Mansion, an ageing apartment building along Bencoolen Street.
The building made headlines this week when a Philippine national was found dead with stab wounds early on Monday, in her rented room on the fifth floor.
On Wednesday at 4pm, a 34-year-old male Indian national was arrested in connection with the death of Ms Roselyn Reyes Pascua, 30. The man will be charged in court today with murder and faces the death penalty if convicted.
When MediaCorp visited the building on Monday, a tenant had said that rooms in the nine-storey building were available for rent for about $25 a night. A notice on the property, meanwhile, stated that action would be taken against sex workers who used the premises as a brothel.
In response to queries, the URA said it had not received applications for residential units in the apartment building to be converted for use as a boarding house.
It said appropriate action would be taken if necessary. An enforcement notice may be served on the owner and/or the persons responsible.
If they do not stop the unauthorised use, they may be charged in court and, if convicted, could be fined up to $200,000 or jailed for up to 12 months, or both.
Peony Mansion was built in the 1960s. It can be used as a hotel or boarding house as the site is within the Bencoolen Street area, where there are a number of such establishments, but planning approval must first be obtained to convert the existing residential units, said URA.
The conversion would also have to be done on an entire floor or building basis.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
ST : Office site bid hits $17.2m
Mar 19, 2010
Office site bid hits $17.2m
THE tender for a transitional office site in Mohamed Sultan Road closed yesterday with a top bid almost four times greater than an offer received in 2008 when the property failed to sell.
Boutique development firm Link (THM) Holdings bid $17.19 million, or $172.37 per sq ft (psf) of gross floor area.
That was nearly 30 per cent above the second highest bid of $13.29 million, or $133.26 psf of gross floor area, from OKH Management.
Agrow Investments was last with $111.86 psf, or $11.16 million, yet that was still well ahead of the $4.65 million offered - and rejected - for the site in 2008.
The land between Kim Yam and Martin Roads comes with a shorter-than-usual 15-year lease.
It can accommodate a four-storey building with a total floor area of almost 100,000 sq ft.
The site was triggered for launch in late January at a minimum price of $9.33 million.
Property experts had suggested then that response may not be strong given the ample office supply in the market and that the minimum bid was twice the 2008 bid.
The site was launched in August 2008, when it was on the confirmed list. The Urban Redevelopment Authority received just that one bid of $4.65 million from RSP Architects Planners & Engineers but rejected it as too low.
It transferred the site to the reserve list in October that year.
Cushman & Wakefield Singapore managing director Donald Han said the top bidder this time is probably keen to keep some of the space for its own use.
'They will have to control their costs well, as their total bill could come up to about $400 psf,' he said, adding that apart from the land cost, construction expenses will likely amount to $150 to $180 psf.
Rents in the office sector are almost at the bottom of the cycle. The development may be completed by the middle of next year, when office rents may recover, said Mr Han. 'If they can lease out at $5.50 psf, they can get a yield of about 10 per cent.'
JOYCE TEO
Office site bid hits $17.2m
THE tender for a transitional office site in Mohamed Sultan Road closed yesterday with a top bid almost four times greater than an offer received in 2008 when the property failed to sell.
Boutique development firm Link (THM) Holdings bid $17.19 million, or $172.37 per sq ft (psf) of gross floor area.
That was nearly 30 per cent above the second highest bid of $13.29 million, or $133.26 psf of gross floor area, from OKH Management.
Agrow Investments was last with $111.86 psf, or $11.16 million, yet that was still well ahead of the $4.65 million offered - and rejected - for the site in 2008.
The land between Kim Yam and Martin Roads comes with a shorter-than-usual 15-year lease.
It can accommodate a four-storey building with a total floor area of almost 100,000 sq ft.
The site was triggered for launch in late January at a minimum price of $9.33 million.
Property experts had suggested then that response may not be strong given the ample office supply in the market and that the minimum bid was twice the 2008 bid.
The site was launched in August 2008, when it was on the confirmed list. The Urban Redevelopment Authority received just that one bid of $4.65 million from RSP Architects Planners & Engineers but rejected it as too low.
It transferred the site to the reserve list in October that year.
Cushman & Wakefield Singapore managing director Donald Han said the top bidder this time is probably keen to keep some of the space for its own use.
'They will have to control their costs well, as their total bill could come up to about $400 psf,' he said, adding that apart from the land cost, construction expenses will likely amount to $150 to $180 psf.
Rents in the office sector are almost at the bottom of the cycle. The development may be completed by the middle of next year, when office rents may recover, said Mr Han. 'If they can lease out at $5.50 psf, they can get a yield of about 10 per cent.'
JOYCE TEO
ST : Shenton Way project draws buyers early
Mar 19, 2010
Shenton Way project draws buyers early
Agents collecting cheques even before next week's preview
By Joyce Teo
BUYERS are said to be already showing interest in a condominium project in the Central Business District, although the preview will not be until next Thursday.
Property agents have apparently collected cheques from buyers for the 99-year leasehold development in Shenton Way, according to sources.
Pre-marketing is common these days, with agents busy drumming up interest before the preview, so some buyers try to get in early.
'On the ground, there seems to be a lot of interest, but the real test will come next week when it is previewed,' said one agent.
A property expert added: 'New launches are hot today, but the older condos are forgotten.'
The 39-storey downtown condominium - called 76 Shenton - is being developed by Hong Leong Holdings. It is at 76 Shenton Way in Tanjong Pagar on the site that used to house the Ong Building, next to Lippo Centre.
Prices range from just below $1,700 per sq ft (psf) to $2,500 psf, with units on the 23rd to 27th floors being quoted at $1,900 psf to $2,200 psf.
It will have 202 units - all below 1,000 sq ft - and seven shops.
'Smallish units are still in play and attracting strong buying support,' said Mr Michael Ng, managing director of Savills Singapore, linked to one of the marketing agents, Huttons.
Knight Frank is the other marketing agent.
'The bite-sized units are very palatable... City living is also finally taking off now that the Marina Bay Sands integrated resort will open soon.'
The project will have 134 one-bedders ranging in size from 592 sq ft to 624 sq ft and 68 two-bedroom units of 969 sq ft to 980 sq ft.
The Residences at W Singapore, being developed by City Developments in Sentosa Cove, will also be released for sale next week, as will Ho Bee's Sentosa Cove project, Seascape.
Hong Leong is also in final preparations to launch the 65-unit Nathan Suites in the Bishopsgate area, said its spokesman.
Talk is that the freehold Nathan Suites - located next to Regency Park - will sell for around $2,000 psf.
Apart from these high-end projects, developers are also preparing to release mid-range residences.
These include Frasers Centre-point's 393-unit project on the old Flamingo Valley site in Siglap and Far East Organization's 104-unit freehold project, The Sound, in Telok Kurau.
The spate of launches comes amid a buoyant market, with sentiment especially high for new releases.
Developers sold 2,676 new private homes in the first two months of the year, more than the 2,552 homes sold in the first quarter of last year.
Cheung Kong (Holdings) sold at least 160 units of The Vision in West Coast Crescent recently for a whopping $1,000 psf to $1,200 psf after a few rounds of marketing.
joyceteo@sph.com.sg
Shenton Way project draws buyers early
Agents collecting cheques even before next week's preview
By Joyce Teo
BUYERS are said to be already showing interest in a condominium project in the Central Business District, although the preview will not be until next Thursday.
Property agents have apparently collected cheques from buyers for the 99-year leasehold development in Shenton Way, according to sources.
Pre-marketing is common these days, with agents busy drumming up interest before the preview, so some buyers try to get in early.
'On the ground, there seems to be a lot of interest, but the real test will come next week when it is previewed,' said one agent.
A property expert added: 'New launches are hot today, but the older condos are forgotten.'
The 39-storey downtown condominium - called 76 Shenton - is being developed by Hong Leong Holdings. It is at 76 Shenton Way in Tanjong Pagar on the site that used to house the Ong Building, next to Lippo Centre.
Prices range from just below $1,700 per sq ft (psf) to $2,500 psf, with units on the 23rd to 27th floors being quoted at $1,900 psf to $2,200 psf.
It will have 202 units - all below 1,000 sq ft - and seven shops.
'Smallish units are still in play and attracting strong buying support,' said Mr Michael Ng, managing director of Savills Singapore, linked to one of the marketing agents, Huttons.
Knight Frank is the other marketing agent.
'The bite-sized units are very palatable... City living is also finally taking off now that the Marina Bay Sands integrated resort will open soon.'
The project will have 134 one-bedders ranging in size from 592 sq ft to 624 sq ft and 68 two-bedroom units of 969 sq ft to 980 sq ft.
The Residences at W Singapore, being developed by City Developments in Sentosa Cove, will also be released for sale next week, as will Ho Bee's Sentosa Cove project, Seascape.
Hong Leong is also in final preparations to launch the 65-unit Nathan Suites in the Bishopsgate area, said its spokesman.
Talk is that the freehold Nathan Suites - located next to Regency Park - will sell for around $2,000 psf.
Apart from these high-end projects, developers are also preparing to release mid-range residences.
These include Frasers Centre-point's 393-unit project on the old Flamingo Valley site in Siglap and Far East Organization's 104-unit freehold project, The Sound, in Telok Kurau.
The spate of launches comes amid a buoyant market, with sentiment especially high for new releases.
Developers sold 2,676 new private homes in the first two months of the year, more than the 2,552 homes sold in the first quarter of last year.
Cheung Kong (Holdings) sold at least 160 units of The Vision in West Coast Crescent recently for a whopping $1,000 psf to $1,200 psf after a few rounds of marketing.
joyceteo@sph.com.sg
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