Jun 2, 2010
Share details of lift upgrading costs with residents
THE estate I live in has been selected for the Lift Upgrading Programme (LUP). Though I am not required to vote and share the LUP cost as I am residing on a lift-landing floor, I laud the programme for the greater convenience it affords the residents, especially the elderly.
HDB has also thoughtfully introduced affordable payment schemes for those residents who have financial difficulties.
LUP is a cost-sharing programme with the Government and town councils subsidising a substantial part of the total upgrading cost. Residents benefiting from it may be paying only a small fraction of the cost, subject to a cap of $3,000 for Singapore citizen households. HDB should reveal more details on lift construction costs to the residents so they understand what they are paying for.
Take a three-room flat in a standard block for example. The information contained in the provided brochure indicated that the Government pays $19,800 or 90 per cent, the town council pays $1,100 or 5 per cent, and each household pays $1,100 or 5 per cent.
Do all these estimated amounts mean each household would have had to pay an estimated $22,000 without subsidies?
But with subsidies, each would pay only $1,100?
If 32 households benefit in one three-room standard block, based on $22,000 (without subsidy) per household, does this mean the estimated cost of adding one new lift to one such block is about $704,000?
I believe HDB would have the lift-construction costs prior to dividing the estimated shared amounts payable by the three parties, but there is no information regarding this in the brochure.
HDB should provide in the brochure the estimated total construction cost of adding one new lift to the block slated for upgrading so that the residents can understand even better and vote confidently for the LUP without any doubt.
Loh Ching Tiam
Wednesday, June 2, 2010
ST : China's property market tipped for further growth
Jun 2, 2010
sme spotlight
China's property market tipped for further growth
EVEN though it is a relatively new industry, China's property market has a huge potential to grow over the next decade or so, said Mr Zhu Zhong Yi, vice-president of the China Real Estate Association.
Mr Zhu was in Singapore yesterday to speak at the inaugural Singapore Sino Property Investment Forum held at Orchard Parade Hotel.
Speaking in Mandarin, he said that to ensure healthy growth and stability in the property market, China needs to adopt a number of measures.
He said the Chinese government and industry players should focus on raising living standards and ensuring that people can afford to own property.
To do that, the government has to properly regulate market prices, he added.
Mr Zhu noted that property prices are rising at different rates in different parts of China. The government needs to introduce some control to ensure the stability of the property market, he said.
He added that residential property development in China should be sustainable.
A sustainable approach benefits the environment, and it also brings about about cost-savings for developers, he said.
Other speakers at the forum included Ms Lim Bee Imm, senior manager of property sales at leading local developer Far East Organization, and Mr Nicholas Mak, a real estate lecturer from Ngee Ann Polytechnic.
LEE YEN NEE
sme spotlight
China's property market tipped for further growth
EVEN though it is a relatively new industry, China's property market has a huge potential to grow over the next decade or so, said Mr Zhu Zhong Yi, vice-president of the China Real Estate Association.
Mr Zhu was in Singapore yesterday to speak at the inaugural Singapore Sino Property Investment Forum held at Orchard Parade Hotel.
Speaking in Mandarin, he said that to ensure healthy growth and stability in the property market, China needs to adopt a number of measures.
He said the Chinese government and industry players should focus on raising living standards and ensuring that people can afford to own property.
To do that, the government has to properly regulate market prices, he added.
Mr Zhu noted that property prices are rising at different rates in different parts of China. The government needs to introduce some control to ensure the stability of the property market, he said.
He added that residential property development in China should be sustainable.
A sustainable approach benefits the environment, and it also brings about about cost-savings for developers, he said.
Other speakers at the forum included Ms Lim Bee Imm, senior manager of property sales at leading local developer Far East Organization, and Mr Nicholas Mak, a real estate lecturer from Ngee Ann Polytechnic.
LEE YEN NEE
TODAY ONLINE : Two mansions up for sale
Two mansions up for sale
05:55 AM Jun 01, 2010
SINGAPORE - Two freehold residential sites have been put up for collective sale for the same asking price - at least $22.5 million each - while another en bloc deal has been sealed for $95 million.
The 11-storey Waldorf Mansions in the Balestier area was built in the 1990s and occupies 11,384 square feet. Under the Master Plan 2008, the site is zoned for residential development and can be built up to a height of 36 storeys.
Foh Pin Mansion, at the junction of Charlton and Upper Serangoon roads, is a 30-year-old apartment block with 21 units. It sits on a 34,154-sq-ft site which, according to the same Master Plan, can be redeveloped into a three-storey mixed landed housing development.
The launch of both tenders yesterday came as it emerged that Pender Court condominium off West Coast Highway had been sold for $95 million - making it the seventh en bloc sale of the year, according to Mr Karamjit Singh, managing director of Credo Real Estate, which marketed the site.
The amount is under the minimum asking price of $100 million, but would nonetheless reap the owners of the 48 units nearly $2 million each.
As the agent also for Waldorf Mansion, Credo said the new site could yield some 50 residential units. The $22.5 million price tag would equate to $709 psf per plot ratio inclusive of development charge - meaning the developer would expect to break-even at about $1,100 psf, Credo added.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak expects the site to draw small developers because of the lack of small plots in the Government Land Sales programme; and its freehold status means they can sit on the site should the market fall.
Savills Singapore, which is handling the Foh Pin Mansion sale, expects the property - which is in an established estate - to draw a strong response in view of the keen bidding for recent Government land sales in the area.
The tender for Foh Pin Mansion closes on June 28 and that for Waldorf Mansions the day after.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
05:55 AM Jun 01, 2010
SINGAPORE - Two freehold residential sites have been put up for collective sale for the same asking price - at least $22.5 million each - while another en bloc deal has been sealed for $95 million.
The 11-storey Waldorf Mansions in the Balestier area was built in the 1990s and occupies 11,384 square feet. Under the Master Plan 2008, the site is zoned for residential development and can be built up to a height of 36 storeys.
Foh Pin Mansion, at the junction of Charlton and Upper Serangoon roads, is a 30-year-old apartment block with 21 units. It sits on a 34,154-sq-ft site which, according to the same Master Plan, can be redeveloped into a three-storey mixed landed housing development.
The launch of both tenders yesterday came as it emerged that Pender Court condominium off West Coast Highway had been sold for $95 million - making it the seventh en bloc sale of the year, according to Mr Karamjit Singh, managing director of Credo Real Estate, which marketed the site.
The amount is under the minimum asking price of $100 million, but would nonetheless reap the owners of the 48 units nearly $2 million each.
As the agent also for Waldorf Mansion, Credo said the new site could yield some 50 residential units. The $22.5 million price tag would equate to $709 psf per plot ratio inclusive of development charge - meaning the developer would expect to break-even at about $1,100 psf, Credo added.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak expects the site to draw small developers because of the lack of small plots in the Government Land Sales programme; and its freehold status means they can sit on the site should the market fall.
Savills Singapore, which is handling the Foh Pin Mansion sale, expects the property - which is in an established estate - to draw a strong response in view of the keen bidding for recent Government land sales in the area.
The tender for Foh Pin Mansion closes on June 28 and that for Waldorf Mansions the day after.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
TODAY ONLINE : Prime office rentals to rise 'strongly' in H2
Prime office rentals to rise 'strongly' in H2
05:55 AM Jun 02, 2010
by Julie Quek
SINGAPORE - Office rentals for international Grade A office space in Singapore's prime financial district look set to climb higher by at least 25 per cent over the next two years.
This was the view of property analysts who believe that office property rents have already reached bottom, and will likely see a strong pick-up from the second half of this year.
"International Grade A" refers to a new generation of office buildings in Singapore that are less than 10 years old, such as the Marina Bay Financial Centre (MBFC) and One Raffles Quay.
However, office rentals for Grade A-minus or Grade B buildings - developments in the financial district that are more than 10 years old - may still remain soft, said Mr Donald Han, managing director of Cushman and Wakefield.
A key driver propelling rents up is the strong demand from financial institutions and law firms for such International Grade A office property, said Mr Han.
He pointed out that these big players are moving to the MBFC so that they can expand and consolidate all their offices in one location.
"Companies are also looking to expand their offices this year, due mainly to the stronger than expected Singapore economy seen in the first quarter," said Mr Han.
Mr Tony Darwell, Nomura Singapore's executive director, noted that during from late 2007 to end of 2008, many companies faced a shortage of available office property space in Singapore.
As a result, many banks had to compromise and site their offices in different locations, said Mr Darwell.
Over the past six months, he has seen a surge of precommitment deals for International Grade A office space.
"In fact, some companies are even committing as early as one year before their current lease expires," said Mr Darwell.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
05:55 AM Jun 02, 2010
by Julie Quek
SINGAPORE - Office rentals for international Grade A office space in Singapore's prime financial district look set to climb higher by at least 25 per cent over the next two years.
This was the view of property analysts who believe that office property rents have already reached bottom, and will likely see a strong pick-up from the second half of this year.
"International Grade A" refers to a new generation of office buildings in Singapore that are less than 10 years old, such as the Marina Bay Financial Centre (MBFC) and One Raffles Quay.
However, office rentals for Grade A-minus or Grade B buildings - developments in the financial district that are more than 10 years old - may still remain soft, said Mr Donald Han, managing director of Cushman and Wakefield.
A key driver propelling rents up is the strong demand from financial institutions and law firms for such International Grade A office property, said Mr Han.
He pointed out that these big players are moving to the MBFC so that they can expand and consolidate all their offices in one location.
"Companies are also looking to expand their offices this year, due mainly to the stronger than expected Singapore economy seen in the first quarter," said Mr Han.
Mr Tony Darwell, Nomura Singapore's executive director, noted that during from late 2007 to end of 2008, many companies faced a shortage of available office property space in Singapore.
As a result, many banks had to compromise and site their offices in different locations, said Mr Darwell.
Over the past six months, he has seen a surge of precommitment deals for International Grade A office space.
"In fact, some companies are even committing as early as one year before their current lease expires," said Mr Darwell.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
BT : Housing problem worse than US
Business Times - 02 Jun 2010
Housing problem worse than US
It could stoke public discontent, warns a central bank adviser
(BEIJING) China's housing market problems are worse than those in the US before the global downturn as they could stoke public discontent, warned a central bank adviser.
The comments were made before China's State Council, or cabinet, announced that it would 'gradually reform the real estate tax' - the first official sign of a possible annual levy on residential housing aimed at reining in soaring prices.
'The housing market problem in China is actually much, much more fundamental, much bigger than the housing market problem in the US and UK before your financial crisis,' said Li Daokui, a member of the bank's monetary policy committee. 'It is more than (just) a bubble problem,' he told the Financial Times in an interview published yesterday.
The property market in the US collapsed as too many people were unable to repay their high-risk, or sub-prime mortgages, leading to a credit crunch in which thousands lost their homes and lending dried up. China has recently introduced a range of measures to prevent the growth of asset bubbles and soaring property prices.
The latest tax plan was expected to discourage property speculation and help replenish the coffers of local governments, which have been severely depleted by an investment binge over the past year, Chinese media reports have said.
Mr Li said that recent government measures to rein in the property market needed to be part of a long-term push to bring high housing prices under control, the Financial Times reported.
He warned that the high cost of housing could hamper future growth by slowing urbanisation. Rising prices were also a potential political flashpoint, especially among younger people who felt locked out of having their own home.
'When prices go up, many people, especially young people, become very anxious,' he said. 'It is a social problem.'
He added that there were still signs that the economy was overheating and recommended modest increases in deposit interest rates and the value of the Chinese currency, the report said.
Authorities have tightened restrictions on advance sales of new property developments, introduced new curbs on loans for third home purchases, and raised minimum downpayments for second homes.
Official data showed that real estate prices in 70 cities jumped 12.8 per cent in April, the fastest year-on-year rise for a single month in five years. -- AFP
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Stacking it higher: Li Daokui, a member of the bank's monetary policy committee, says that recent measures to rein in the property market needs to be part of a long-term push to bring high housing prices under control
Housing problem worse than US
It could stoke public discontent, warns a central bank adviser
(BEIJING) China's housing market problems are worse than those in the US before the global downturn as they could stoke public discontent, warned a central bank adviser.
The comments were made before China's State Council, or cabinet, announced that it would 'gradually reform the real estate tax' - the first official sign of a possible annual levy on residential housing aimed at reining in soaring prices.
'The housing market problem in China is actually much, much more fundamental, much bigger than the housing market problem in the US and UK before your financial crisis,' said Li Daokui, a member of the bank's monetary policy committee. 'It is more than (just) a bubble problem,' he told the Financial Times in an interview published yesterday.
The property market in the US collapsed as too many people were unable to repay their high-risk, or sub-prime mortgages, leading to a credit crunch in which thousands lost their homes and lending dried up. China has recently introduced a range of measures to prevent the growth of asset bubbles and soaring property prices.
The latest tax plan was expected to discourage property speculation and help replenish the coffers of local governments, which have been severely depleted by an investment binge over the past year, Chinese media reports have said.
Mr Li said that recent government measures to rein in the property market needed to be part of a long-term push to bring high housing prices under control, the Financial Times reported.
He warned that the high cost of housing could hamper future growth by slowing urbanisation. Rising prices were also a potential political flashpoint, especially among younger people who felt locked out of having their own home.
'When prices go up, many people, especially young people, become very anxious,' he said. 'It is a social problem.'
He added that there were still signs that the economy was overheating and recommended modest increases in deposit interest rates and the value of the Chinese currency, the report said.
Authorities have tightened restrictions on advance sales of new property developments, introduced new curbs on loans for third home purchases, and raised minimum downpayments for second homes.
Official data showed that real estate prices in 70 cities jumped 12.8 per cent in April, the fastest year-on-year rise for a single month in five years. -- AFP
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Stacking it higher: Li Daokui, a member of the bank's monetary policy committee, says that recent measures to rein in the property market needs to be part of a long-term push to bring high housing prices under control
TODAY ONLINE : Realtors body does not condone 'scare tactics'
Realtors body does not condone 'scare tactics'
05:55 AM Jun 01, 2010
by Joanne Chan
SINGAPORE - Property agents have been urged to be responsible in the light of "scare tactics" on clients' concerns.
Emails forwarded to MediaCorp detailed how some agents are highlighting the Government's recent land sales to lower client expectations of property prices. These emails detail correspondence between agents of real estate firm ERA.
In one email, a senior division director drew attention to a news report on land released for private homes. He called on agents to use the news as "a bargaining point to lower down your private residential seller's high expectations".
This prompted another agent to disclose that she closed a deal after telling her client that the "market is going to crash".
Industry observers said the gap between buyers' and sellers' expectations is widening due to mixed market sentiment.
ERA said it did not have specific guidelines on how agents should communicate with clients, as long as the information presented is factually correct. Mr Eugene Lim, ERA Asia-Pacific's associate director, said: "It could be wrong usage of the word or overly strong usage of the word". What the agent was trying to say was that there will be downward pressure on prices because supply is increasing. It is also a matter of perspective and opinion.
"Today's sellers" are not "spooked by language", as most have sufficient information to form an opinion, he added.
Mr Steven Tan, advisory committee member of Singapore Accredited Estate Agencies (SAEA), said such conduct is not condoned by the industry. Telling the seller that the market is going to crash will ultimately make the seller dispose of his property at a price below expectation.
"Instead, the agent should provide more comprehensive analysis of the market condition and get the best possible price for the seller," he said.
Dr Tan Tee Khoon, SAEA's chief executive officer, said it may not have been a scare tactic. Agents may be informing sellers about the likely implications of the land release, and if the latter intends to postpone selling - thinking that prices will continue to rise - such expectations may not be realised. It could have been "responsible advice to make hay while the sun shines and sell at the best price".
It is also "not untrue that prices may falter in due course" and sellers may not get the best deal if they delay, he added.
The National Development Ministry is setting up a statutory board, the Council for Estate Agencies, to implement a regulatory framework for real estate agents. Consumers who feel they have been disadvantaged or misled by agencies or agents can report such matters to the new council.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
05:55 AM Jun 01, 2010
by Joanne Chan
SINGAPORE - Property agents have been urged to be responsible in the light of "scare tactics" on clients' concerns.
Emails forwarded to MediaCorp detailed how some agents are highlighting the Government's recent land sales to lower client expectations of property prices. These emails detail correspondence between agents of real estate firm ERA.
In one email, a senior division director drew attention to a news report on land released for private homes. He called on agents to use the news as "a bargaining point to lower down your private residential seller's high expectations".
This prompted another agent to disclose that she closed a deal after telling her client that the "market is going to crash".
Industry observers said the gap between buyers' and sellers' expectations is widening due to mixed market sentiment.
ERA said it did not have specific guidelines on how agents should communicate with clients, as long as the information presented is factually correct. Mr Eugene Lim, ERA Asia-Pacific's associate director, said: "It could be wrong usage of the word or overly strong usage of the word". What the agent was trying to say was that there will be downward pressure on prices because supply is increasing. It is also a matter of perspective and opinion.
"Today's sellers" are not "spooked by language", as most have sufficient information to form an opinion, he added.
Mr Steven Tan, advisory committee member of Singapore Accredited Estate Agencies (SAEA), said such conduct is not condoned by the industry. Telling the seller that the market is going to crash will ultimately make the seller dispose of his property at a price below expectation.
"Instead, the agent should provide more comprehensive analysis of the market condition and get the best possible price for the seller," he said.
Dr Tan Tee Khoon, SAEA's chief executive officer, said it may not have been a scare tactic. Agents may be informing sellers about the likely implications of the land release, and if the latter intends to postpone selling - thinking that prices will continue to rise - such expectations may not be realised. It could have been "responsible advice to make hay while the sun shines and sell at the best price".
It is also "not untrue that prices may falter in due course" and sellers may not get the best deal if they delay, he added.
The National Development Ministry is setting up a statutory board, the Council for Estate Agencies, to implement a regulatory framework for real estate agents. Consumers who feel they have been disadvantaged or misled by agencies or agents can report such matters to the new council.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
BT : Property sales dive 70% in Beijing and Shanghai
Business Times - 02 Jun 2010
Property sales dive 70% in Beijing and Shanghai
Developers delay launches on govt tightening measures
(BEIJING) Property sales in Beijing, Shanghai and Shenzhen fell as much as 70 per cent in May as developers delay sales following government tightening measures.
In China's capital Beijing property signings slumped nearly 70 per cent to 3,357 in May from April, the Shanghai Securities News reported, citing data from bjfdc.gov.cn. In Shanghai, the nation's financial centre, transactions may have dropped about 70 per cent to 2,550 signings, the paper reported, and in the industrial city of Shenzhen, sales fell 62 per cent.
China has restricted pre-sales by developers, curbed loans for third-home purchases, raised minimum mortgage rates and tightened down-payment requirements for second-home purchases. The government is trying to peel back a stimulus plan and US$1.4 trillion lending binge that revived economic growth while raising the risk of asset bubbles.
'The government should have put in tougher enforcement earlier to prevent the high prices,' said Lu Qilin, a Shanghai- based researcher at UWin. 'If the government doesn't stop this soon, the bubble will burst.'
An index tracking 34 real estate firms traded in Shanghai fell 2.2 per cent as of 1:13 pm yesterday, extending this year's loss to 30 per cent. China Vanke Co, the nation's biggest listed developer, dropped 1.3 per cent to 7.12 yuan. Poly Real Estate Group Co declined 3.9 per cent to 10.62 yuan.
Copper, aluminium and zinc also declined on concern slumping property transactions and slowing manufacturing growth in China, the world's biggest metals consumer, may hurt demand for commodities. Lead, nickel and tin fell.
Real estate prices rose a record 12.8 per cent in April from a year earlier, the National Bureau of Statistics said on May 11. Transactions for new homes in Shanghai fell 56 per cent in the month to May 16 from a month ago, to 520,000 square metres (5.6 million square feet), Mr Lu said.
Most developers are postponing project launch dates and are waiting to see market developments before finally pricing new projects, said Oscar Choi and Marco Sze, Hong Kong-based analysts at Citigroup Inc in a report distributed yesterday.
China's property market problems are worse than in the US or UK before the financial crisis, the Financial Times said yesterday, citing an interview with Li Daokui, a member of the Chinese central bank's monetary policy committee. The country's housing market problems combine a possible bubble with the risk of social discontent, he said.
China's State Council approved the National Development and Reform Commission's gradual property tax reform, according to a statement on the Chinese government website on Monday.
Shanghai's plan to begin a property tax on residential real estate has been submitted to the Chinese central government for review, the China Securities Journal reported on Monday. The city may impose the tax on people without residence permits and those who do not file income tax declarations for three years or more, the report said, citing unidentified people.
Shanghai developers have delayed sales of new residences because the municipal government hasn't announced its property policy, the Oriental Morning Post reported on Monday, citing unidentified developers. Only 46 of a scheduled 96 developments were put on sale for the month as of May 28, the newspaper reported, citing Soufun.com, a real estate data research website.
'We expect more measures to be introduced on developers, especially those to monitor construction schedule and restrict cash flow, thus pushing developers to cut the price earlier,' the Citigroup analysts wrote.
Shi Weijian, an analyst at Jianghai Securities, said Shanghai's government may announce a property tax as early as this month, which will likely be implemented at the end of the year. Shanghai home prices may fall between 25 per cent and 30 per cent from the introduction, he said.
Gao Jian, a Shanghai-based analyst at Northeast Securities, forecast a drop of prices of about 20 per cent should a property tax come into effect.
'We've seen downward pressure of housing transactions and prices, and the correction is likely to continue in the next one to two years,' he said. -- Bloomberg
Housing problem worse than US, Page 16
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Pulling the brakes: China has restricted pre-sales by developers, curbed loans for third-home purchases, raised minimum mortgage rates and tightened down-payment requirements for second-home purchases
Property sales dive 70% in Beijing and Shanghai
Developers delay launches on govt tightening measures
(BEIJING) Property sales in Beijing, Shanghai and Shenzhen fell as much as 70 per cent in May as developers delay sales following government tightening measures.
In China's capital Beijing property signings slumped nearly 70 per cent to 3,357 in May from April, the Shanghai Securities News reported, citing data from bjfdc.gov.cn. In Shanghai, the nation's financial centre, transactions may have dropped about 70 per cent to 2,550 signings, the paper reported, and in the industrial city of Shenzhen, sales fell 62 per cent.
China has restricted pre-sales by developers, curbed loans for third-home purchases, raised minimum mortgage rates and tightened down-payment requirements for second-home purchases. The government is trying to peel back a stimulus plan and US$1.4 trillion lending binge that revived economic growth while raising the risk of asset bubbles.
'The government should have put in tougher enforcement earlier to prevent the high prices,' said Lu Qilin, a Shanghai- based researcher at UWin. 'If the government doesn't stop this soon, the bubble will burst.'
An index tracking 34 real estate firms traded in Shanghai fell 2.2 per cent as of 1:13 pm yesterday, extending this year's loss to 30 per cent. China Vanke Co, the nation's biggest listed developer, dropped 1.3 per cent to 7.12 yuan. Poly Real Estate Group Co declined 3.9 per cent to 10.62 yuan.
Copper, aluminium and zinc also declined on concern slumping property transactions and slowing manufacturing growth in China, the world's biggest metals consumer, may hurt demand for commodities. Lead, nickel and tin fell.
Real estate prices rose a record 12.8 per cent in April from a year earlier, the National Bureau of Statistics said on May 11. Transactions for new homes in Shanghai fell 56 per cent in the month to May 16 from a month ago, to 520,000 square metres (5.6 million square feet), Mr Lu said.
Most developers are postponing project launch dates and are waiting to see market developments before finally pricing new projects, said Oscar Choi and Marco Sze, Hong Kong-based analysts at Citigroup Inc in a report distributed yesterday.
China's property market problems are worse than in the US or UK before the financial crisis, the Financial Times said yesterday, citing an interview with Li Daokui, a member of the Chinese central bank's monetary policy committee. The country's housing market problems combine a possible bubble with the risk of social discontent, he said.
China's State Council approved the National Development and Reform Commission's gradual property tax reform, according to a statement on the Chinese government website on Monday.
Shanghai's plan to begin a property tax on residential real estate has been submitted to the Chinese central government for review, the China Securities Journal reported on Monday. The city may impose the tax on people without residence permits and those who do not file income tax declarations for three years or more, the report said, citing unidentified people.
Shanghai developers have delayed sales of new residences because the municipal government hasn't announced its property policy, the Oriental Morning Post reported on Monday, citing unidentified developers. Only 46 of a scheduled 96 developments were put on sale for the month as of May 28, the newspaper reported, citing Soufun.com, a real estate data research website.
'We expect more measures to be introduced on developers, especially those to monitor construction schedule and restrict cash flow, thus pushing developers to cut the price earlier,' the Citigroup analysts wrote.
Shi Weijian, an analyst at Jianghai Securities, said Shanghai's government may announce a property tax as early as this month, which will likely be implemented at the end of the year. Shanghai home prices may fall between 25 per cent and 30 per cent from the introduction, he said.
Gao Jian, a Shanghai-based analyst at Northeast Securities, forecast a drop of prices of about 20 per cent should a property tax come into effect.
'We've seen downward pressure of housing transactions and prices, and the correction is likely to continue in the next one to two years,' he said. -- Bloomberg
Housing problem worse than US, Page 16
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Pulling the brakes: China has restricted pre-sales by developers, curbed loans for third-home purchases, raised minimum mortgage rates and tightened down-payment requirements for second-home purchases
BT : JTC awards Tampines industrial site tender
Business Times - 02 Jun 2010
JTC awards Tampines industrial site tender
JTC Corporation yesterday said it has awarded the tender for an industrial site at Tampines Industrial Avenue 4 to Soon Hock Tuas Development, which trumped nine other bidders at the close of the government's tender on May 12.
Soon Hock Tuas Development submitted the highest bid of $33.1 million for the 30-year-lease plot, which has a land area of 538,000 square feet. The price works out to $62 per square foot per plot ratio (psf ppr). The site has a gross plot ratio of 0.64 to 0.8.
Soon Hock Tuas Development's bid was slightly higher than market expectations. When the site was launched, analysts said that the land parcel can fetch $40-$50 psf ppr, which translates to some $17.2 to $21.5 million for the entire plot.
The developer's bid was also 7 per cent higher than the second highest bid of $31 million put in by Tat Hong Holdings and more than three times the amount of the lowest bid from Yee Lee Development, which offered $10.2 million.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
JTC awards Tampines industrial site tender
JTC Corporation yesterday said it has awarded the tender for an industrial site at Tampines Industrial Avenue 4 to Soon Hock Tuas Development, which trumped nine other bidders at the close of the government's tender on May 12.
Soon Hock Tuas Development submitted the highest bid of $33.1 million for the 30-year-lease plot, which has a land area of 538,000 square feet. The price works out to $62 per square foot per plot ratio (psf ppr). The site has a gross plot ratio of 0.64 to 0.8.
Soon Hock Tuas Development's bid was slightly higher than market expectations. When the site was launched, analysts said that the land parcel can fetch $40-$50 psf ppr, which translates to some $17.2 to $21.5 million for the entire plot.
The developer's bid was also 7 per cent higher than the second highest bid of $31 million put in by Tat Hong Holdings and more than three times the amount of the lowest bid from Yee Lee Development, which offered $10.2 million.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
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