Height could hit en bloc profit
But some residents of Nim Gardens happy to stay, citing condominium's size, green surroundings
05:55 AM Jun 15, 2010
by Esther Ng
SINGAPORE - A planning provision has hampered the plans of some residents at Nim Gardens to make more money should their development go up for an en bloc sale. Nim Gardens in Seletar Hills is 10 storeys.
According to the rule, any new development cannot exceed this height, nor the gross floor area. This means residents would not see a bigger profit if the new development were limited to 10 storeys.
MediaCorp has learnt a resident had written to the Ministry of National Development in support of any new development to be built above Nim Gardens' current height.
When approached, the resident - who declined to be named - referred to the Urban Redevelopment Authority's (URA) April 2000 circular, which spelled out that a 10-storey block could be increased to 12 storeys. The revision allows for more flexibility in design and to free up more space for communal use.
But, the URA said the planning relaxation does not apply to Nim Gardens, saying: "We are not able to support any further intensification at this location as it may have an adverse impact on the environmental character of the neighbourhood, which is safeguarded for three-storey landed housing."
The area around Nim Gardens was part of an area designated for landed housing in 1994.
The sprawling 23,197 sq m site, was approved as a condominium development in 1982, with one block of four-storey apartments and three blocks of 10-storey apartments. There are 124 units there, each about 1,860 sq ft in area.
Mr Joseph Wong, 60, is happy to live there, saying: "Where can I get an apartment as big as this and birds chirping in such lush surroundings?"
Should Nim Gardens go en bloc, it could fetch $100 million or $286 psf per plot ratio, according to a conservative estimate from Chesterton Suntec International research and consultancy director Colin Tan.
Copyright 2010 MediaCorp Pte Ltd | All Rights Reserved
Tuesday, June 15, 2010
ST : S'pore still 9th priciest Asian city for expats
Jun 15, 2010
S'pore still 9th priciest Asian city for expats
SINGAPORE remains Asia's ninth priciest city for expatriates to live in, a spot it has occupied for the past six months, a cost of living survey revealed.
Compared with its ranking a year ago, it climbed one spot in Asia and has jumped six places to 67th position globally over the same period, mainly because of stronger exchange rates.
In taking ninth place, the Republic beat China's Guangzhou and Shenzhen, but was overtaken by Seoul, which climbed 12 places in Asia to reach fifth spot.
Said Mr Lee Quane, regional director of Asia for human resource firm ECA International, which conducted the survey: 'Singapore's rise continues a long-term trend.'
Prices of goods and services commonly bought by expatriates in Singapore have risen faster than those in other developed regional centres, ECA said.
Standard Chartered economist Alvin Liew ties it down to the continued rise in accommodation costs, driven by rental and property prices. 'The increase is faster here with land prices, and with cars, particularly with the prices of certificates of entitlement.'
Also, the Singdollar's strength relative to other currencies in the region has ensured Singapore stayed in the region's top 10 most expensive locations, ECA said.
'The cost of living differential between (Singapore) and Hong Kong has become smaller,' said Mr Lee.
This means it is more costly for companies bringing staff into Singapore.
But those sending staff out of the country will be able to maintain a staff member's standard of living at a lower cost, he added.
It is not just the Singdollar. Currency fluctuations are having the biggest impact on the rankings of Asian countries, ECA said.
For instance, the strengthening of the South Korean won against major currencies has hoisted Seoul and Busan into the top 10 of the Asian rankings, although the won has dipped in the last couple of months.
Tokyo is the most expensive city in Asia and the world, regaining that status for the first time in five years. Its ascent was driven by the continued strength of the yen.
The survey, conducted in March, calculates cost of living allowances for employees assigned around the world. It compiles data on allowances for goods and services consumed by these employees, such as food, drink, tobacco and clothing.
DICKSON LI
S'pore still 9th priciest Asian city for expats
SINGAPORE remains Asia's ninth priciest city for expatriates to live in, a spot it has occupied for the past six months, a cost of living survey revealed.
Compared with its ranking a year ago, it climbed one spot in Asia and has jumped six places to 67th position globally over the same period, mainly because of stronger exchange rates.
In taking ninth place, the Republic beat China's Guangzhou and Shenzhen, but was overtaken by Seoul, which climbed 12 places in Asia to reach fifth spot.
Said Mr Lee Quane, regional director of Asia for human resource firm ECA International, which conducted the survey: 'Singapore's rise continues a long-term trend.'
Prices of goods and services commonly bought by expatriates in Singapore have risen faster than those in other developed regional centres, ECA said.
Standard Chartered economist Alvin Liew ties it down to the continued rise in accommodation costs, driven by rental and property prices. 'The increase is faster here with land prices, and with cars, particularly with the prices of certificates of entitlement.'
Also, the Singdollar's strength relative to other currencies in the region has ensured Singapore stayed in the region's top 10 most expensive locations, ECA said.
'The cost of living differential between (Singapore) and Hong Kong has become smaller,' said Mr Lee.
This means it is more costly for companies bringing staff into Singapore.
But those sending staff out of the country will be able to maintain a staff member's standard of living at a lower cost, he added.
It is not just the Singdollar. Currency fluctuations are having the biggest impact on the rankings of Asian countries, ECA said.
For instance, the strengthening of the South Korean won against major currencies has hoisted Seoul and Busan into the top 10 of the Asian rankings, although the won has dipped in the last couple of months.
Tokyo is the most expensive city in Asia and the world, regaining that status for the first time in five years. Its ascent was driven by the continued strength of the yen.
The survey, conducted in March, calculates cost of living allowances for employees assigned around the world. It compiles data on allowances for goods and services consumed by these employees, such as food, drink, tobacco and clothing.
DICKSON LI
ST : SPCA's looking for a new home
Jun 15, 2010
SPCA's looking for a new home
Current lease ends in 2012; rent, operations costs among challenges
By Grace Chua
THE clock is ticking for the Society for the Prevention of Cruelty to Animals (SPCA) to find a new home.
The charity has to relocate before its current lease in Mount Vernon Road, where it has been based since 1984, expires in October 2012.
And while the SPCA has been sourcing alternative locations for its office, clinic and shelter for about 200 abandoned dogs, cats, rabbits and even guinea pigs, it is concerned that time is running out.
Said its executive officer Deirdre Moss: 'We have less than 21/2 years to build from scratch. We'll probably need to ask for an extension on the lease.'
The search for new premises has not been easy as it needs the stability of a lease of at least 20 years and a site large enough to take in that many animals.
In September last year, it was offered a 0.8ha site in the Sungei Tengah area, near Choa Chu Kang, more than double the size of its current 0.37ha premises.
However, that site is pending approval by government agencies.
The SPCA will meet them later this month to sort things out.
Even if the SPCA secures the land, it still faces several challenges.
Ms Moss said that the relocation project could cost up to $5 million, or more than two years' worth of donations.
Already, the charity has been stocking up on reserves for the construction, but will need to raise more to cover both daily operations and building costs.
Another issue is rent. While the SPCA did not say how much rent it pays to the Government, it is said to be 'nominal'.
It would probably pay closer to market rates at the new premises, said Ms Moss, which would jack up operating costs.
Also, moving to an area on the outskirts of the island, such as Choa Chu Kang, would come with challenges, like retaining staff and volunteers, she added.
The shelter receives 600 animals every month, and must put down about 70 per cent of them due to lack of space. Some of the animals are healthy and young, and could otherwise be adopted.
Mount Vernon, near the city centre, is convenient for those who want to visit its clinic or adopt animals. But it is precisely its prime location near Bartley MRT station which is forcing its relocation.
The area has been zoned for future residential use, the Urban Redevelopment Authority told The Straits Times.
The current site would make a plum pick for developers, said Mr Donald Han, managing director of real estate company Cushman & Wakefield's Singapore office.
Based on recent property transactions nearby, Mr Han estimated prices could be between $600 and $660 per sq ft per plot ratio if the lease is 99 years.
It is not the first time the SPCA has had to relocate. Before its move to Mount Vernon in 1984, it had been based in the Orchard Road area since 1954.
'Now it's time to go again,' Ms Moss said wistfully. 'Another era has gone by.'
caiwj@sph.com.sg
SPCA's looking for a new home
Current lease ends in 2012; rent, operations costs among challenges
By Grace Chua
THE clock is ticking for the Society for the Prevention of Cruelty to Animals (SPCA) to find a new home.
The charity has to relocate before its current lease in Mount Vernon Road, where it has been based since 1984, expires in October 2012.
And while the SPCA has been sourcing alternative locations for its office, clinic and shelter for about 200 abandoned dogs, cats, rabbits and even guinea pigs, it is concerned that time is running out.
Said its executive officer Deirdre Moss: 'We have less than 21/2 years to build from scratch. We'll probably need to ask for an extension on the lease.'
The search for new premises has not been easy as it needs the stability of a lease of at least 20 years and a site large enough to take in that many animals.
In September last year, it was offered a 0.8ha site in the Sungei Tengah area, near Choa Chu Kang, more than double the size of its current 0.37ha premises.
However, that site is pending approval by government agencies.
The SPCA will meet them later this month to sort things out.
Even if the SPCA secures the land, it still faces several challenges.
Ms Moss said that the relocation project could cost up to $5 million, or more than two years' worth of donations.
Already, the charity has been stocking up on reserves for the construction, but will need to raise more to cover both daily operations and building costs.
Another issue is rent. While the SPCA did not say how much rent it pays to the Government, it is said to be 'nominal'.
It would probably pay closer to market rates at the new premises, said Ms Moss, which would jack up operating costs.
Also, moving to an area on the outskirts of the island, such as Choa Chu Kang, would come with challenges, like retaining staff and volunteers, she added.
The shelter receives 600 animals every month, and must put down about 70 per cent of them due to lack of space. Some of the animals are healthy and young, and could otherwise be adopted.
Mount Vernon, near the city centre, is convenient for those who want to visit its clinic or adopt animals. But it is precisely its prime location near Bartley MRT station which is forcing its relocation.
The area has been zoned for future residential use, the Urban Redevelopment Authority told The Straits Times.
The current site would make a plum pick for developers, said Mr Donald Han, managing director of real estate company Cushman & Wakefield's Singapore office.
Based on recent property transactions nearby, Mr Han estimated prices could be between $600 and $660 per sq ft per plot ratio if the lease is 99 years.
It is not the first time the SPCA has had to relocate. Before its move to Mount Vernon in 1984, it had been based in the Orchard Road area since 1954.
'Now it's time to go again,' Ms Moss said wistfully. 'Another era has gone by.'
caiwj@sph.com.sg
ST : HDB, URA, NParks to get new chiefs
Jun 15, 2010
HDB, URA, NParks to get new chiefs
Changes take effect from Aug 1
By Dickson Li
THE Housing Board has appointed Mrs Cheong Koon Hean as its new chief executive officer (CEO).
She will replace Mr Tay Kim Poh, who is moving to the Ministry of National Development (MND) as its deputy secretary of development.
The move for Mrs Cheong, 53, comes at a time when the HDB has been under pressure from home buyers as prices of resale flats have hit historic highs.
HDB has moved swiftly as it tries to address the high levels of housing demand with a slew of land releases this year.
Mrs Cheong is a veteran industry hand, having been CEO at the Urban Redevelopment Authority (URA) for the past six years.
In her time at URA, she led the development of Marina Bay and new areas such as the Jurong Lake District, Kallang Riverside and Paya Lebar Central.
The former Colombo Plan scholarship holder has a Bachelor of Science and Bachelor of Architecture from Australia's Newcastle University,
and a Master's of Science in Urban Development Planning from University College London.
She will retain her concurrent post as deputy secretary of special duties at the MND, where she oversees land reclamation issues.
At MND, Mr Tay will replace Brigadier-General (NS) Tay Lim Heng, who moves to Keppel Integrated Engineering, the wholly owned environmental arm of Keppel Corp, as its deputy CEO and executive director (sustainable development) from today.
As the deputy secretary of development at MND, Mr Tay, 57, will oversee the ministry's housing and planning and research divisions, the Singapore-Tianjin Eco-city Project Office and other corporate functions.
He played a crucial role in several major public housing policies during his time at the HDB, including the Enhanced Additional Housing Grant and the Lease Buyback Scheme.
He is a Public Service Commission scholarship holder who graduated with first class honours in mechanical engineering from the University of Singapore.
Mr Ng Lang, 45, the CEO of National Parks Board (NParks), will replace Mrs Cheong at the URA.
Mr Poon Hong Yuen, 40, director of economic programmes and international relations at the Finance Ministry, will be the new NParks chief.
All the other appointments will take effect from Aug 1.
dicksonl@sph.com.sg
Mrs Cheong (left) will be the new HDB chief, replacing Mr Tay, who will move to the MND.
HDB, URA, NParks to get new chiefs
Changes take effect from Aug 1
By Dickson Li
THE Housing Board has appointed Mrs Cheong Koon Hean as its new chief executive officer (CEO).
She will replace Mr Tay Kim Poh, who is moving to the Ministry of National Development (MND) as its deputy secretary of development.
The move for Mrs Cheong, 53, comes at a time when the HDB has been under pressure from home buyers as prices of resale flats have hit historic highs.
HDB has moved swiftly as it tries to address the high levels of housing demand with a slew of land releases this year.
Mrs Cheong is a veteran industry hand, having been CEO at the Urban Redevelopment Authority (URA) for the past six years.
In her time at URA, she led the development of Marina Bay and new areas such as the Jurong Lake District, Kallang Riverside and Paya Lebar Central.
The former Colombo Plan scholarship holder has a Bachelor of Science and Bachelor of Architecture from Australia's Newcastle University,
and a Master's of Science in Urban Development Planning from University College London.
She will retain her concurrent post as deputy secretary of special duties at the MND, where she oversees land reclamation issues.
At MND, Mr Tay will replace Brigadier-General (NS) Tay Lim Heng, who moves to Keppel Integrated Engineering, the wholly owned environmental arm of Keppel Corp, as its deputy CEO and executive director (sustainable development) from today.
As the deputy secretary of development at MND, Mr Tay, 57, will oversee the ministry's housing and planning and research divisions, the Singapore-Tianjin Eco-city Project Office and other corporate functions.
He played a crucial role in several major public housing policies during his time at the HDB, including the Enhanced Additional Housing Grant and the Lease Buyback Scheme.
He is a Public Service Commission scholarship holder who graduated with first class honours in mechanical engineering from the University of Singapore.
Mr Ng Lang, 45, the CEO of National Parks Board (NParks), will replace Mrs Cheong at the URA.
Mr Poon Hong Yuen, 40, director of economic programmes and international relations at the Finance Ministry, will be the new NParks chief.
All the other appointments will take effect from Aug 1.
dicksonl@sph.com.sg
Mrs Cheong (left) will be the new HDB chief, replacing Mr Tay, who will move to the MND.
ST : Clemenceau Ave site up for hotel tender
Jun 15, 2010
Clemenceau Ave site up for hotel tender
99-year leasehold plot next to Central Mall and near S'pore River to be put up for sale in 2 weeks
By Joyce Teo
A HOTEL site suitable for a medium-size development, at the junction of Clemenceau Avenue and Havelock Road, will be put up for sale in two weeks.
Yesterday, the Urban Redevelopment Authority said an unnamed developer has committed to bid at least $40.9 million for the 0.55ha site, thereby triggering the tender process.
The 99-year leasehold site is next to Central Mall and is within walking distance of the Singapore River and Clarke Quay. It is also close to the financial district.
The site can yield a maximum gross floor area of 11,555 sq m and can be built up to seven storeys.
A hotel on the site would attract mostly business travellers, said Cushman & Wakefield managing director Donald Han.
He expects bids to come in at between $480 and $500 per sq ft per plot ratio (psf ppr). The trigger bid was $328 psf ppr.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak expects bids of $380 to $430 psf ppr.
The Clemenceau Avenue site has been on the Government's reserve list since March 2008. Under this list of development sites, a site will be put up for tender only after a developer commits to a bid that reaches a minimum level set by the Government.
Mr Han expects more investor interest in Singapore's hotel market, which, he said, is the Asia-Pacific's star performer.
Singapore Tourism Board data shows that average hotel occupancy rose to 85 per cent in April, up 15 percentage points from last year. Average room rates rose by 12.2 per cent to $211, while revenue per available room surged 36 per cent to $179.
In a separate announcement, Credo Real Estate said that Hoi Hup Realty had recently agreed to buy Pender Court in a collective sale for $95 million.
This price works out to $1,007 psf ppr, based on a plot ratio of 1.44. The owners of the 48-unit estate stand to reap an average of $1.98 million per unit.
Meanwhile, the freehold 32-unit People's Mansion in Geylang has been launched for collective sale.
joyceteo@sph.com.sg
Clemenceau Ave site up for hotel tender
99-year leasehold plot next to Central Mall and near S'pore River to be put up for sale in 2 weeks
By Joyce Teo
A HOTEL site suitable for a medium-size development, at the junction of Clemenceau Avenue and Havelock Road, will be put up for sale in two weeks.
Yesterday, the Urban Redevelopment Authority said an unnamed developer has committed to bid at least $40.9 million for the 0.55ha site, thereby triggering the tender process.
The 99-year leasehold site is next to Central Mall and is within walking distance of the Singapore River and Clarke Quay. It is also close to the financial district.
The site can yield a maximum gross floor area of 11,555 sq m and can be built up to seven storeys.
A hotel on the site would attract mostly business travellers, said Cushman & Wakefield managing director Donald Han.
He expects bids to come in at between $480 and $500 per sq ft per plot ratio (psf ppr). The trigger bid was $328 psf ppr.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak expects bids of $380 to $430 psf ppr.
The Clemenceau Avenue site has been on the Government's reserve list since March 2008. Under this list of development sites, a site will be put up for tender only after a developer commits to a bid that reaches a minimum level set by the Government.
Mr Han expects more investor interest in Singapore's hotel market, which, he said, is the Asia-Pacific's star performer.
Singapore Tourism Board data shows that average hotel occupancy rose to 85 per cent in April, up 15 percentage points from last year. Average room rates rose by 12.2 per cent to $211, while revenue per available room surged 36 per cent to $179.
In a separate announcement, Credo Real Estate said that Hoi Hup Realty had recently agreed to buy Pender Court in a collective sale for $95 million.
This price works out to $1,007 psf ppr, based on a plot ratio of 1.44. The owners of the 48-unit estate stand to reap an average of $1.98 million per unit.
Meanwhile, the freehold 32-unit People's Mansion in Geylang has been launched for collective sale.
joyceteo@sph.com.sg
BT : Singapore climbs in global ranking of living costs
Business Times - 15 Jun 2010
Singapore climbs in global ranking of living costs
Strong Sing$ pushes it up 5 rungs to become 67th priciest city to live in
By FELDA CHAY
A STRONGER currency has pushed Singapore to the 67th most expensive city to live in, five places higher than its 72nd position last year, according to the latest rankings provided by ECA International.
Among Asian cities, Singapore gained one level to ninth place. This makes Singapore a more pricey place to live in as compared with South Korean's Busan and Ulsan, and Taipei in Taiwan. It is, however, still cheaper than Chinese cities Hong Kong and Shanghai, as well as Japan's Tokyo - which snagged the spot as the world's most expensive place to live in. Singapore's rise in the cost of living rankings come on the back of a strengthened local currency, which 'has been strong relative to other major currencies in the region', said ECA.
It added that prices of goods and services commonly bought by international assignees have also risen at much faster rates here, as compared with other developed cities regionally.
Said ECA's regional director for Asia, Lee Quane: 'Singapore's rise continues a long-term trend. In recent years, we have witnessed the city's gradual move up our rankings. The cost of living differential between the city state and Hong Kong has become smaller and smaller.
'This is a double-edged sword,' he said.
On the one hand, companies here will now see lower cost of living allowances when they send staff out of Singapore. On the other hand, for companies bringing staff to Singapore, allowances will carry on increasing as Singapore continues to move up the ranking table.
Worldwide, Norway's Oslo came in after Tokyo to rank as the second-most expensive city to live in. Rounding up the top five list are Luanda in Angola - where many regularly used items are expensive due to the country's war-damaged infrastructure - and Japan's Nagoya and Yokohama. In Asia, the Japanese city of Kobe and South Korea's capital city, Seoul, joined Tokyo, Nagoya and Yokohama at the top.
ECA's cost of living study is done based on surveys carried out in March and September every year using a basket of day-to-day goods and services such as meat, fresh fruit, vegetables, clothing and electrical goods. The data for its latest survey was collected in March this year, and was compared with information taken in the same month last year.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Singapore climbs in global ranking of living costs
Strong Sing$ pushes it up 5 rungs to become 67th priciest city to live in
By FELDA CHAY
A STRONGER currency has pushed Singapore to the 67th most expensive city to live in, five places higher than its 72nd position last year, according to the latest rankings provided by ECA International.
Among Asian cities, Singapore gained one level to ninth place. This makes Singapore a more pricey place to live in as compared with South Korean's Busan and Ulsan, and Taipei in Taiwan. It is, however, still cheaper than Chinese cities Hong Kong and Shanghai, as well as Japan's Tokyo - which snagged the spot as the world's most expensive place to live in. Singapore's rise in the cost of living rankings come on the back of a strengthened local currency, which 'has been strong relative to other major currencies in the region', said ECA.
It added that prices of goods and services commonly bought by international assignees have also risen at much faster rates here, as compared with other developed cities regionally.
Said ECA's regional director for Asia, Lee Quane: 'Singapore's rise continues a long-term trend. In recent years, we have witnessed the city's gradual move up our rankings. The cost of living differential between the city state and Hong Kong has become smaller and smaller.
'This is a double-edged sword,' he said.
On the one hand, companies here will now see lower cost of living allowances when they send staff out of Singapore. On the other hand, for companies bringing staff to Singapore, allowances will carry on increasing as Singapore continues to move up the ranking table.
Worldwide, Norway's Oslo came in after Tokyo to rank as the second-most expensive city to live in. Rounding up the top five list are Luanda in Angola - where many regularly used items are expensive due to the country's war-damaged infrastructure - and Japan's Nagoya and Yokohama. In Asia, the Japanese city of Kobe and South Korea's capital city, Seoul, joined Tokyo, Nagoya and Yokohama at the top.
ECA's cost of living study is done based on surveys carried out in March and September every year using a basket of day-to-day goods and services such as meat, fresh fruit, vegetables, clothing and electrical goods. The data for its latest survey was collected in March this year, and was compared with information taken in the same month last year.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
BT : In-demand Ibis on Bencoolen is up for sale
Business Times - 15 Jun 2010
In-demand Ibis on Bencoolen is up for sale
Hotel attracts interest, could fetch more than $200m
By EMILYN YAP
(SINGAPORE) Ibis Singapore on Bencoolen, a three-star hotel that opened its doors in February last year, has been put up for sale via a private tender.
Results of the tender will not be out until next month, though market watchers are guessing that the 538-room hotel could fetch more than $200 million.
Ibis Singapore is owned by hospitality group Accor and real estate investor LaSalle Investment Management in a 30:70 venture. Accor also owns the Ibis brand. According to past reports, the partners put in $145 million to develop the hotel at Bencoolen Street after winning the tender for the site in 2006.
Jones Lang LaSalle Hotels is handling the tender. According to its managing director of investment sales in Asia Mike Batchelor, the private tender began last month. As part of the deal, Accor will continue to operate the hotel under a long-term management agreement, meaning that the Ibis brand will stay.
The owners have been receiving 'a number of unsolicited approaches from investors' to buy Ibis Singapore, he told The Business Times. As a result, 'they decided to formally offer the asset for sale.'
Interest in the hotel has come mainly from private families and high net worth individuals, from not just Singapore but also regional countries such as Malaysia and Indonesia, Mr Batchelor added.
Market watchers felt that Ibis Singapore is a fairly attractive asset, given that it is new, well located, and has been performing relatively well. Accor Asia Pacific spokesman Evan Lewis said that for the last three months, the hotel has 'achieved occupancies in the mid-90 per cent with an average rate of around $140.'
A consultant who declined to be named pointed out that 'hotels in Singapore are very difficult to come by' so there will be demand. 'It's only about whether the pricing is sensible enough,' he said.
Another consultant felt that there is an insufficient number of good three-star hotels here. This puts Ibis Singapore in good stead, especially with property funds returning to scout for investments. 'There's quite a lot of money starting to come back globally,' he said.
With Singapore's hospitality industry picking up, some market observers even suggested that it might be better to sell the hotel later, when it might fetch a higher price.
'Most hoteliers would want to hold on to their properties given the robust outlook' for the hospitality sector, an analyst said. One reason is that the integrated resorts could draw more tourists later.
In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000. Consultancy HVS Global Hospitality Services recently projected that the average room rate will rise 10-15 per cent this year from $191 last year.
Within the hospitality industry, fears of an oversupply of hotel rooms have started fading. Some upcoming hotels include Park Regis Singapore and Ibis Novena.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
In a good spot: Market watchers note that the hotel is a fairly attractive asset, given that it is new, well located, and has been performing relatively well.
In-demand Ibis on Bencoolen is up for sale
Hotel attracts interest, could fetch more than $200m
By EMILYN YAP
(SINGAPORE) Ibis Singapore on Bencoolen, a three-star hotel that opened its doors in February last year, has been put up for sale via a private tender.
Results of the tender will not be out until next month, though market watchers are guessing that the 538-room hotel could fetch more than $200 million.
Ibis Singapore is owned by hospitality group Accor and real estate investor LaSalle Investment Management in a 30:70 venture. Accor also owns the Ibis brand. According to past reports, the partners put in $145 million to develop the hotel at Bencoolen Street after winning the tender for the site in 2006.
Jones Lang LaSalle Hotels is handling the tender. According to its managing director of investment sales in Asia Mike Batchelor, the private tender began last month. As part of the deal, Accor will continue to operate the hotel under a long-term management agreement, meaning that the Ibis brand will stay.
The owners have been receiving 'a number of unsolicited approaches from investors' to buy Ibis Singapore, he told The Business Times. As a result, 'they decided to formally offer the asset for sale.'
Interest in the hotel has come mainly from private families and high net worth individuals, from not just Singapore but also regional countries such as Malaysia and Indonesia, Mr Batchelor added.
Market watchers felt that Ibis Singapore is a fairly attractive asset, given that it is new, well located, and has been performing relatively well. Accor Asia Pacific spokesman Evan Lewis said that for the last three months, the hotel has 'achieved occupancies in the mid-90 per cent with an average rate of around $140.'
A consultant who declined to be named pointed out that 'hotels in Singapore are very difficult to come by' so there will be demand. 'It's only about whether the pricing is sensible enough,' he said.
Another consultant felt that there is an insufficient number of good three-star hotels here. This puts Ibis Singapore in good stead, especially with property funds returning to scout for investments. 'There's quite a lot of money starting to come back globally,' he said.
With Singapore's hospitality industry picking up, some market observers even suggested that it might be better to sell the hotel later, when it might fetch a higher price.
'Most hoteliers would want to hold on to their properties given the robust outlook' for the hospitality sector, an analyst said. One reason is that the integrated resorts could draw more tourists later.
In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000. Consultancy HVS Global Hospitality Services recently projected that the average room rate will rise 10-15 per cent this year from $191 last year.
Within the hospitality industry, fears of an oversupply of hotel rooms have started fading. Some upcoming hotels include Park Regis Singapore and Ibis Novena.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
In a good spot: Market watchers note that the hotel is a fairly attractive asset, given that it is new, well located, and has been performing relatively well.
BT : URA, HDB, NParks to get new CEOs
Business Times - 15 Jun 2010
URA, HDB, NParks to get new CEOs
Keppel Integrated Engineering names deputy CEO and executive director
By KALPANA RASHIWALA
(SINGAPORE) Three statutory boards under the Ministry of National Development (MND) are set for a shuffle at the top.
Urban Redevelopment Authority, Housing & Development Board and National Parks Board will get new CEOs from Aug 1.
URA's CEO, Cheong Koon Hean, will relinquish her current post to become HDB's chief executive. HDB boss Tay Kim Poh will move over to MND, where he will be deputy secretary (development).
NParks' chief executive Ng Lang will assume the job of URA CEO. He will be replaced at NParks by Poon Hong Yuen, who is currently with Ministry of Finance, where he is director (economic programmes/inter- national relations).
The appointments were announced by MND yesterday.
Mrs Cheong will continue her concurrent appointment as deputy secretary (special duties) at MND, with the responsibility of oveseeing land reclamation issues.
At MND, Mr Tay will replace BG (NS) Tay Lim Heng, who has left the Ministry. Separately, Keppel Integrated Engineering (KIE) yesterday evening announced the appointment of BG (NS) Tay as its deputy CEO and executive director (sustainable development) from June 15. Prior to his posting at MND, he was chief executive of the Maritime and Port Authority of Singapore.
At KIE, he will report to deputy chairman and CEO Michael Chia. One of BG (NS) Tay's tasks at the company will be to synergise Keppel Group's environmental engineering and property development competencies to cater for the growing urban and increasingly affluent population in the region and beyond.
MND in its release said that Mr Tay Kim Poh, in his new capacity as deputy secretary (development) at the Ministry, will oversee MND's housing, and planning and research divisions, the Singapore-Tianjin Eco-city project office as well as the ministry's corporate functions. At HDB, Mr Tay spearheaded the Remaking Our Heartland plans to revitalise and rejuvenate Singapore's public housing estates.
His successor, Mrs Cheong, 53, is a Colombo Plan scholar and has been CEO of URA since 2004. The mother of two - who holds degrees in architecture and urban development planning - spearheaded the development of Marina Bay and championed the concept of place management for downtown areas such as Singapore River and Orchard Road.
She also led the development of new growth areas at Jurong Lake District, Kallang Riverside and Paya Lebar Central.
Her successor at URA, Mr Ng, 45, holds a Master's degree in Chemical Engineering. He served at Ministry of Foreign Affairs and NTUC Income before joining National Healthcare Group as chief human resource officer in July 2002. He was appointed as CEO of NParks in January 2006.
He has played a key role in implementing major green infrastructural programmes to achieve the 'City in a Garden' vision, MND said.
These include the development of new parks and park connector network, streetscape greenery masterplan, skyrise greenery, the expansion of the Singapore Botanic Gardens and the new Gardens by the Bay.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
New roles: URA's CEO Mrs Cheong Koon Hean will become HDB's new chief while NParks' chief executive Mr Ng Lang will lead URA from Aug 1
URA, HDB, NParks to get new CEOs
Keppel Integrated Engineering names deputy CEO and executive director
By KALPANA RASHIWALA
(SINGAPORE) Three statutory boards under the Ministry of National Development (MND) are set for a shuffle at the top.
Urban Redevelopment Authority, Housing & Development Board and National Parks Board will get new CEOs from Aug 1.
URA's CEO, Cheong Koon Hean, will relinquish her current post to become HDB's chief executive. HDB boss Tay Kim Poh will move over to MND, where he will be deputy secretary (development).
NParks' chief executive Ng Lang will assume the job of URA CEO. He will be replaced at NParks by Poon Hong Yuen, who is currently with Ministry of Finance, where he is director (economic programmes/inter- national relations).
The appointments were announced by MND yesterday.
Mrs Cheong will continue her concurrent appointment as deputy secretary (special duties) at MND, with the responsibility of oveseeing land reclamation issues.
At MND, Mr Tay will replace BG (NS) Tay Lim Heng, who has left the Ministry. Separately, Keppel Integrated Engineering (KIE) yesterday evening announced the appointment of BG (NS) Tay as its deputy CEO and executive director (sustainable development) from June 15. Prior to his posting at MND, he was chief executive of the Maritime and Port Authority of Singapore.
At KIE, he will report to deputy chairman and CEO Michael Chia. One of BG (NS) Tay's tasks at the company will be to synergise Keppel Group's environmental engineering and property development competencies to cater for the growing urban and increasingly affluent population in the region and beyond.
MND in its release said that Mr Tay Kim Poh, in his new capacity as deputy secretary (development) at the Ministry, will oversee MND's housing, and planning and research divisions, the Singapore-Tianjin Eco-city project office as well as the ministry's corporate functions. At HDB, Mr Tay spearheaded the Remaking Our Heartland plans to revitalise and rejuvenate Singapore's public housing estates.
His successor, Mrs Cheong, 53, is a Colombo Plan scholar and has been CEO of URA since 2004. The mother of two - who holds degrees in architecture and urban development planning - spearheaded the development of Marina Bay and championed the concept of place management for downtown areas such as Singapore River and Orchard Road.
She also led the development of new growth areas at Jurong Lake District, Kallang Riverside and Paya Lebar Central.
Her successor at URA, Mr Ng, 45, holds a Master's degree in Chemical Engineering. He served at Ministry of Foreign Affairs and NTUC Income before joining National Healthcare Group as chief human resource officer in July 2002. He was appointed as CEO of NParks in January 2006.
He has played a key role in implementing major green infrastructural programmes to achieve the 'City in a Garden' vision, MND said.
These include the development of new parks and park connector network, streetscape greenery masterplan, skyrise greenery, the expansion of the Singapore Botanic Gardens and the new Gardens by the Bay.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
New roles: URA's CEO Mrs Cheong Koon Hean will become HDB's new chief while NParks' chief executive Mr Ng Lang will lead URA from Aug 1
BT : An icon for clean technology
Business Times - 15 Jun 2010
INDUSTRIAL SPACE
An icon for clean technology
Singapore's first business park catering to green companies will serve as a large-scale 'living laboratory' for testing and demonstrating clean technology, reports UMA SHANKARI
JTC is changing the approach to urban development and master planning with its CleanTech Park - Singapore's first business park catering to green companies.
The 50-ha eco-business park at Nanyang Avenue is pitched as the location of choice for forward-looking companies that have embraced environmental sustainability. Joint developers JTC and the Economic Development Board hope the project will push the boundaries of sustainability by serving as a large-scale 'living laboratory' for testing and demonstrating clean technology.
When completed in 2030, the park will create 20,000 'green-collar' jobs. It will be built in three phases at an infrastructure cost of $52 million, excluding buildings.
CleanTech Park will be an icon for the development and application of clean technologies, and JTC will push the envelope in a 'practical and cost-effective way', says the industrial landlord's chief executive Manohar Khiatani.
'As an infrastructural solutions provider, JTC has always placed priority on developing innovative and sustainable real estate solutions to meet the needs of our customers operating in resource-challenged Singapore,' he says.
Work on the first phase of the project begins next month, starting with the development of infrastructure within CleanTech Park. When completed, phase one will provide about 17 ha of business park land.
The blueprint for the first cutting-edge building in the park was recently unveiled by JTC. The $90 million building - CleanTech One - will offer about 404,000 sq ft of office space that can house up to 50 green businesses when it is completed by December next year.
The building will incorporate state-of-the-art green features such as solar energy systems, rainwater harvesting, sky gardens and sustainable construction.
Urban modelling
JTC's master plan for CleanTech Park uses information that has been collected about the site and takes into account such factors as solar exposure, rainfall, prevailing wind, topography and vegetation density.
The agency used a modelling tool from a consultancy - Camp, Dresser and McKee or CDM - to help design the urban fabric, so the project can make the most of the natural elements.
CleanTech Park will go up on a large contiguous greenfield site with natural undulating terrain and mature greenery with natural streams running through it.
In drawing up the masterplan using urban modelling, strong emphasis was placed on finding a long-term sustainable balance between the development's commercial needs and the site's natural bio-diversity. For example, in the interest of landscape conservation, a minimal 'land-cut' principle was adopted for both infrastructure planning and at individual land parcel and building level.
One of the innovative ideas that will be tested in CleanTech Park is JTC's sky trellis concept. Trellises will be constructed between adjacent buildings and covered with plants to provide shade and enhance 'walkability' in the area.
Eco-concrete - instead of natural aggregates and sand - will be used for non-structural elements such as roads, pavements and drains.
CleanTech Park will also be the first large scale project to light roads with LED street lamps. By replacing the usual street lighting, light pollution can be minimised and energy consumption can be reduced as much as 40 per cent, JTC says.
Provisions to link buildings with an integrated 'smart dashboard' system will also be in place, so energy and water use can be compared at district-level. This will provide feedback to individual building owners and their tenants so they can improve if needed.
Another innovative solution by JTC is decentralised district cooling. This means excess air-conditioning capacity from a group of buildings may be able to power the air-conditioning for another building. In line with this, piping that can link chilled water from one building to another will be constructed as part of the infrastructure to support such a system.
CleanTech One, the the first building in CleanTech Park, will also have its own green features.
Innovative technological applications at CleanTech One will include an integrated hydrogen fuel cell plant using bio-fuels to produce hydrogen on-site to drive fuel cells, which in turn produce renewable energy.
A bio-digester will also be installed. With the help of micro-organisms, food waste will quickly decomposed in the bio-digester - removing odour and leaving water and carbon dioxide as end-products.
Energy from the sun will be harnessed directly to power the air-conditioner chillers. This method is more efficient than converting solar energy to electricity before use, JTC says. Solar panels will also be used.
Demand for green space
Real estate space with a 'green' proposition is starting to attract more interest among prospective tenants - which is good news for CleanTech Park and its buildings.
'Companies are increasingly interested in commercial and research space that is eco-friendly,' says EDB managing director Beh Swan Gin. 'CleanTech Park will offer these progressive investors an attractive option and foster the clustering of like-minded companies in one location.'
JTC's Mr Khiatani says similarly that environmental sustainability will be a 'natural direction' for businesses to take in the future. He adds: 'CleanTech Park will be emblematic of how businesses can achieve both economic vibrancy and environmental sustainability, functioning in harmony with nature.'
Independent data supports these claims. A global survey on corporate real estate and sustainability by CoreNet Global and Jones Lang LaSalle, conducted late last year, showed corporate real estate executives are willing to invest in the sustainability of the space they own, despite economic pressures.
The survey found 89 per cent of these executives worldwide consider sustainability criteria in their location decisions. Green building certification is always considered by 41 per cent and energy labels by 46 per cent in administering their portfolios.
More stakeholders are also beginning to take a more holistic approach to doing business, which means they factor in the social and environmental effects of their business decisions.
In fact, CleanTech Park has already attracted some interest from tenants. Nanyang Technological University (NTU) has signed on to become the first anchor tenant. The university will help seed research and development activity at the park.
NTU has said that having CleanTech Park next to the university is significant, as it will help academics work seamlessly with key industry partners in the park and allow NTU students to gain invaluable opportunities for attachment and hands-on experience in state-of-the-art green technologies.
EDB likewise thinks CleanTech Park's tenants will benefit from the proximity to NTU, which could promote cross-fertilisation of knowledge and ideas to facilitate the development and demonstration of systems-level cleantech solutions.
The Singapore government is committed to growing the cleantech industry as a key cluster. The sector is expected to contribute some $3.4 billion to Singapore's GDP and employ 18,000 people by 2015.
CleanTech Park, in particular, is poised to boost Singapore's leadership position as an innovative CleanTech hub, EDB and JTC have said.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Cutting edge building: CleanTech One will incorporate state-of-the-art green features such as solar energy systems, rainwater harvesting, sky gardens and sustainable construction
One of the innovative ideas that will be tested in CleanTech Park is JTC's sky trellis concept. Trellises will be constructed between adjacent buildings and covered with plants to provide shade and enhance 'walkability' in the area
INDUSTRIAL SPACE
An icon for clean technology
Singapore's first business park catering to green companies will serve as a large-scale 'living laboratory' for testing and demonstrating clean technology, reports UMA SHANKARI
JTC is changing the approach to urban development and master planning with its CleanTech Park - Singapore's first business park catering to green companies.
The 50-ha eco-business park at Nanyang Avenue is pitched as the location of choice for forward-looking companies that have embraced environmental sustainability. Joint developers JTC and the Economic Development Board hope the project will push the boundaries of sustainability by serving as a large-scale 'living laboratory' for testing and demonstrating clean technology.
When completed in 2030, the park will create 20,000 'green-collar' jobs. It will be built in three phases at an infrastructure cost of $52 million, excluding buildings.
CleanTech Park will be an icon for the development and application of clean technologies, and JTC will push the envelope in a 'practical and cost-effective way', says the industrial landlord's chief executive Manohar Khiatani.
'As an infrastructural solutions provider, JTC has always placed priority on developing innovative and sustainable real estate solutions to meet the needs of our customers operating in resource-challenged Singapore,' he says.
Work on the first phase of the project begins next month, starting with the development of infrastructure within CleanTech Park. When completed, phase one will provide about 17 ha of business park land.
The blueprint for the first cutting-edge building in the park was recently unveiled by JTC. The $90 million building - CleanTech One - will offer about 404,000 sq ft of office space that can house up to 50 green businesses when it is completed by December next year.
The building will incorporate state-of-the-art green features such as solar energy systems, rainwater harvesting, sky gardens and sustainable construction.
Urban modelling
JTC's master plan for CleanTech Park uses information that has been collected about the site and takes into account such factors as solar exposure, rainfall, prevailing wind, topography and vegetation density.
The agency used a modelling tool from a consultancy - Camp, Dresser and McKee or CDM - to help design the urban fabric, so the project can make the most of the natural elements.
CleanTech Park will go up on a large contiguous greenfield site with natural undulating terrain and mature greenery with natural streams running through it.
In drawing up the masterplan using urban modelling, strong emphasis was placed on finding a long-term sustainable balance between the development's commercial needs and the site's natural bio-diversity. For example, in the interest of landscape conservation, a minimal 'land-cut' principle was adopted for both infrastructure planning and at individual land parcel and building level.
One of the innovative ideas that will be tested in CleanTech Park is JTC's sky trellis concept. Trellises will be constructed between adjacent buildings and covered with plants to provide shade and enhance 'walkability' in the area.
Eco-concrete - instead of natural aggregates and sand - will be used for non-structural elements such as roads, pavements and drains.
CleanTech Park will also be the first large scale project to light roads with LED street lamps. By replacing the usual street lighting, light pollution can be minimised and energy consumption can be reduced as much as 40 per cent, JTC says.
Provisions to link buildings with an integrated 'smart dashboard' system will also be in place, so energy and water use can be compared at district-level. This will provide feedback to individual building owners and their tenants so they can improve if needed.
Another innovative solution by JTC is decentralised district cooling. This means excess air-conditioning capacity from a group of buildings may be able to power the air-conditioning for another building. In line with this, piping that can link chilled water from one building to another will be constructed as part of the infrastructure to support such a system.
CleanTech One, the the first building in CleanTech Park, will also have its own green features.
Innovative technological applications at CleanTech One will include an integrated hydrogen fuel cell plant using bio-fuels to produce hydrogen on-site to drive fuel cells, which in turn produce renewable energy.
A bio-digester will also be installed. With the help of micro-organisms, food waste will quickly decomposed in the bio-digester - removing odour and leaving water and carbon dioxide as end-products.
Energy from the sun will be harnessed directly to power the air-conditioner chillers. This method is more efficient than converting solar energy to electricity before use, JTC says. Solar panels will also be used.
Demand for green space
Real estate space with a 'green' proposition is starting to attract more interest among prospective tenants - which is good news for CleanTech Park and its buildings.
'Companies are increasingly interested in commercial and research space that is eco-friendly,' says EDB managing director Beh Swan Gin. 'CleanTech Park will offer these progressive investors an attractive option and foster the clustering of like-minded companies in one location.'
JTC's Mr Khiatani says similarly that environmental sustainability will be a 'natural direction' for businesses to take in the future. He adds: 'CleanTech Park will be emblematic of how businesses can achieve both economic vibrancy and environmental sustainability, functioning in harmony with nature.'
Independent data supports these claims. A global survey on corporate real estate and sustainability by CoreNet Global and Jones Lang LaSalle, conducted late last year, showed corporate real estate executives are willing to invest in the sustainability of the space they own, despite economic pressures.
The survey found 89 per cent of these executives worldwide consider sustainability criteria in their location decisions. Green building certification is always considered by 41 per cent and energy labels by 46 per cent in administering their portfolios.
More stakeholders are also beginning to take a more holistic approach to doing business, which means they factor in the social and environmental effects of their business decisions.
In fact, CleanTech Park has already attracted some interest from tenants. Nanyang Technological University (NTU) has signed on to become the first anchor tenant. The university will help seed research and development activity at the park.
NTU has said that having CleanTech Park next to the university is significant, as it will help academics work seamlessly with key industry partners in the park and allow NTU students to gain invaluable opportunities for attachment and hands-on experience in state-of-the-art green technologies.
EDB likewise thinks CleanTech Park's tenants will benefit from the proximity to NTU, which could promote cross-fertilisation of knowledge and ideas to facilitate the development and demonstration of systems-level cleantech solutions.
The Singapore government is committed to growing the cleantech industry as a key cluster. The sector is expected to contribute some $3.4 billion to Singapore's GDP and employ 18,000 people by 2015.
CleanTech Park, in particular, is poised to boost Singapore's leadership position as an innovative CleanTech hub, EDB and JTC have said.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Cutting edge building: CleanTech One will incorporate state-of-the-art green features such as solar energy systems, rainwater harvesting, sky gardens and sustainable construction
One of the innovative ideas that will be tested in CleanTech Park is JTC's sky trellis concept. Trellises will be constructed between adjacent buildings and covered with plants to provide shade and enhance 'walkability' in the area
BT : URA to put hotel site up for tender soon
Business Times - 15 Jun 2010
URA to put hotel site up for tender soon
Plot next to Central Mall could draw bids of $378 psf ppr or more
By EMILYN YAP
A DEVELOPER has shown interest in a 99-year hotel site at the junction of Clemenceau Avenue and Havelock Road, committing to pay at least $40.8 million or $328 per sq ft per plot ratio (psf ppr) for it.
The Urban Redevelopment Authority (URA) said yesterday that it will launch the land parcel for tender in about two weeks' time. Property consultants expect to see considerable demand for the site.
The plot became available for sale through the reserve list system in March 2008. It measures 0.55 ha, has a maximum permissible gross floor area of 124,377 sq ft, and can accommodate a development of up to seven storeys high. URA estimates that some 195 hotel rooms can be built on the site.
The land parcel is right next to Central Mall, and is within walking distance to entertainment and food and beverage outlets at Riverside Point and Clarke Quay. The area is also home to several other hotels such as Swissotel Merchant Court Hotel and Novotel Clarke Quay Hotel.
Cushman & Wakefield managing director Donald Han believes there could be at least five bidders for the site, and the top bid could reach $480-500 psf ppr.
In September last year, URA sold a 99-year hotel plot at New Bridge Road for $401 psf ppr.
'The hotel market has improved this year because of strong tourist arrivals,' Mr Han said. In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000.
He added that the site at Havelock Road has a central location, and it could be suitable for a three and a half to a four and a half-star hotel.
Colliers International research and advisory director Tay Huey Ying also expects to see 'a handful' of bidders for the site. The site is not too big, so the total investment sum should be rather affordable, she said.
The hotel could target corporate visitors, to coincide with the increasing stock of office space completing in the central business district, she added.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak projects that there will be four to eight bids for the site, ranging from $378-426 psf ppr.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Considerable interest expected: The land parcel is within walking distance to entertainment and food and beverage outlets at Riverside Point and Clarke Quay
URA to put hotel site up for tender soon
Plot next to Central Mall could draw bids of $378 psf ppr or more
By EMILYN YAP
A DEVELOPER has shown interest in a 99-year hotel site at the junction of Clemenceau Avenue and Havelock Road, committing to pay at least $40.8 million or $328 per sq ft per plot ratio (psf ppr) for it.
The Urban Redevelopment Authority (URA) said yesterday that it will launch the land parcel for tender in about two weeks' time. Property consultants expect to see considerable demand for the site.
The plot became available for sale through the reserve list system in March 2008. It measures 0.55 ha, has a maximum permissible gross floor area of 124,377 sq ft, and can accommodate a development of up to seven storeys high. URA estimates that some 195 hotel rooms can be built on the site.
The land parcel is right next to Central Mall, and is within walking distance to entertainment and food and beverage outlets at Riverside Point and Clarke Quay. The area is also home to several other hotels such as Swissotel Merchant Court Hotel and Novotel Clarke Quay Hotel.
Cushman & Wakefield managing director Donald Han believes there could be at least five bidders for the site, and the top bid could reach $480-500 psf ppr.
In September last year, URA sold a 99-year hotel plot at New Bridge Road for $401 psf ppr.
'The hotel market has improved this year because of strong tourist arrivals,' Mr Han said. In April, the number of visitors to Singapore grew 20.4 per cent year-on-year to 938,000.
He added that the site at Havelock Road has a central location, and it could be suitable for a three and a half to a four and a half-star hotel.
Colliers International research and advisory director Tay Huey Ying also expects to see 'a handful' of bidders for the site. The site is not too big, so the total investment sum should be rather affordable, she said.
The hotel could target corporate visitors, to coincide with the increasing stock of office space completing in the central business district, she added.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak projects that there will be four to eight bids for the site, ranging from $378-426 psf ppr.
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Considerable interest expected: The land parcel is within walking distance to entertainment and food and beverage outlets at Riverside Point and Clarke Quay
ST : Directors' property buys: Building up confidence
Jun 14, 2010
CAI JIN
Directors' property buys: Building up confidence
Their support of own property firm's projects keeps investors assured
By Lee Su Shyan
CAPITALAND disclosed recently that its group president and chief executive officer Liew Mun Leong had paid about $3.74 million for a penthouse on the 23rd level of The Interlace, a development at the junction of Depot Road and Alexandra Road.
Having directors of property firms snap up units is not unusual. Many transactions are not picked up in media reports even though the property companies have disclosed the purchase on the Singapore Exchange website.
Property consultants see such purchases by directors and interested persons as a vote of confidence in the project.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak said: 'When the market is hot, directors and their immediate family members usually get onto the VVIP list and are able to pick the choice units.'
He added: 'On the other hand, when the market is slower, or the sale of the project is not progressing as fast as expected, some directors may buy units, and sometimes even at a bullish price, to give confidence to buyers and investors.'
Under Singapore Exchange listing rule 910, the sale of a unit developed by a listed company to its own director must be disclosed, partly because directors may get a discount. The disclosure of the purchase will inform shareholders about the terms a director has received.
In essence, such disclosures and the review of the purchase terms by the company's audit committee are to show that the sale has not hurt the interests of the minority shareholders or the company, for example, by the sale of a unit at a rock-bottom price to the director.
Indeed, companies generally disclose fairly detailed information nowadays: the name of the purchaser, the relationship to the director if it is not the director making the purchase, and the price, terms and even the unit number of the project.
At the expense of an even greater loss of privacy for directors, more disclosure in this area could well be something to consider.
For instance, what about when a director sells a unit?
Currently, no such disclosure is required. The rationale is that these are open market transactions with no impact on the company involved.
However, disclosure advocates argue that in a hot market, if a director sold a unit a few months after making the initial deposit, shareholders would be none the wiser unless they had taken various tedious steps to check if the unit had been sold.
So consider this: Shareholders or other buyers might pile into the project, thinking it must be a good buy, based, at least in part, on the disclosure that a company director had bought a unit.
But in the meantime, the director or his immediate family members could well be pocketing a tidy profit, having quietly exited the project.
And they have a strong incentive for trying to sell, as the directors usually get the best pickings of the units on offer - which are likely to yield the best selling prices.
Of course, there are arguments for why disclosure of a director's sale would be going over the top.
For instance, if the unit is sold to an unrelated third party as is usually the case, the sale has no direct bearing on the listed company which is what minority shareholders would be concerned about.
Another argument is that the unit could be sold for strictly personal reasons, such as the need to raise cash. The public or investors, unaware of these personal factors, might read too much into a director selling off a unit he had just bought a few months ago.
Also, since each purchase involves large sums, it is unlikely that any one director could commit himself to many transactions, which tends to diminish the force of the case for public disclosure.
But with many of these purchases, the same group of directors is likely to be involved. As property firms have a pipeline of projects, these same buyers are likely to feature over and over again so their buying patterns would be of some interest to investors.
The sale of properties soon after purchase at the time of a launch could be seen as analogous to the sale of shares by key shareholders soon after an initial public offering.
These disclosure questions give rise to another possible change that would offer greater certainty to shareholders: encouraging companies to put a moratorium on sales by their directors until the property obtains a temporary occupation permit.
That would offer a clear assurance to investors that directors who make purchases are committed to the project.
sushyan@sph.com.sg
--------------------------------------------------------------------------------
Cai Jin runs every Monday and covers financial matters and corporate governance issues that can affect investors. The two Chinese characters marry wealth with good fortune - the two crucial factors that any investor needs to prosper.
An artist's impression of The Interlace. CapitaLand disclosed recently that its group president and CEO had paid about $3.74 million for a penthouse on its 23rd level. -- PHOTO: CAPITALAND
CAI JIN
Directors' property buys: Building up confidence
Their support of own property firm's projects keeps investors assured
By Lee Su Shyan
CAPITALAND disclosed recently that its group president and chief executive officer Liew Mun Leong had paid about $3.74 million for a penthouse on the 23rd level of The Interlace, a development at the junction of Depot Road and Alexandra Road.
Having directors of property firms snap up units is not unusual. Many transactions are not picked up in media reports even though the property companies have disclosed the purchase on the Singapore Exchange website.
Property consultants see such purchases by directors and interested persons as a vote of confidence in the project.
Ngee Ann Polytechnic real estate lecturer Nicholas Mak said: 'When the market is hot, directors and their immediate family members usually get onto the VVIP list and are able to pick the choice units.'
He added: 'On the other hand, when the market is slower, or the sale of the project is not progressing as fast as expected, some directors may buy units, and sometimes even at a bullish price, to give confidence to buyers and investors.'
Under Singapore Exchange listing rule 910, the sale of a unit developed by a listed company to its own director must be disclosed, partly because directors may get a discount. The disclosure of the purchase will inform shareholders about the terms a director has received.
In essence, such disclosures and the review of the purchase terms by the company's audit committee are to show that the sale has not hurt the interests of the minority shareholders or the company, for example, by the sale of a unit at a rock-bottom price to the director.
Indeed, companies generally disclose fairly detailed information nowadays: the name of the purchaser, the relationship to the director if it is not the director making the purchase, and the price, terms and even the unit number of the project.
At the expense of an even greater loss of privacy for directors, more disclosure in this area could well be something to consider.
For instance, what about when a director sells a unit?
Currently, no such disclosure is required. The rationale is that these are open market transactions with no impact on the company involved.
However, disclosure advocates argue that in a hot market, if a director sold a unit a few months after making the initial deposit, shareholders would be none the wiser unless they had taken various tedious steps to check if the unit had been sold.
So consider this: Shareholders or other buyers might pile into the project, thinking it must be a good buy, based, at least in part, on the disclosure that a company director had bought a unit.
But in the meantime, the director or his immediate family members could well be pocketing a tidy profit, having quietly exited the project.
And they have a strong incentive for trying to sell, as the directors usually get the best pickings of the units on offer - which are likely to yield the best selling prices.
Of course, there are arguments for why disclosure of a director's sale would be going over the top.
For instance, if the unit is sold to an unrelated third party as is usually the case, the sale has no direct bearing on the listed company which is what minority shareholders would be concerned about.
Another argument is that the unit could be sold for strictly personal reasons, such as the need to raise cash. The public or investors, unaware of these personal factors, might read too much into a director selling off a unit he had just bought a few months ago.
Also, since each purchase involves large sums, it is unlikely that any one director could commit himself to many transactions, which tends to diminish the force of the case for public disclosure.
But with many of these purchases, the same group of directors is likely to be involved. As property firms have a pipeline of projects, these same buyers are likely to feature over and over again so their buying patterns would be of some interest to investors.
The sale of properties soon after purchase at the time of a launch could be seen as analogous to the sale of shares by key shareholders soon after an initial public offering.
These disclosure questions give rise to another possible change that would offer greater certainty to shareholders: encouraging companies to put a moratorium on sales by their directors until the property obtains a temporary occupation permit.
That would offer a clear assurance to investors that directors who make purchases are committed to the project.
sushyan@sph.com.sg
--------------------------------------------------------------------------------
Cai Jin runs every Monday and covers financial matters and corporate governance issues that can affect investors. The two Chinese characters marry wealth with good fortune - the two crucial factors that any investor needs to prosper.
An artist's impression of The Interlace. CapitaLand disclosed recently that its group president and CEO had paid about $3.74 million for a penthouse on its 23rd level. -- PHOTO: CAPITALAND
BT : Going green pays off for developers
Business Times - 14 Jun 2010
Going green pays off for developers
Eco-friendly projects awarded more floor space under BCA scheme
By EMILYN YAP
(SINGAPORE) Going green has its rewards, and some developers have got them in the form of additional floor space for their projects.
The Building and Construction Authority (BCA) told BT that it has received 37 applications for a scheme that grants eco-friendly buildings more gross floor area (GFA).
The agency has approved some of these requests, from companies such as City Developments (CDL), Soilbuild Group, Ascendas and Parkway Holdings.
BCA and the Urban Redevelopment Authority launched the Green Mark GFA Incentive Scheme in April last year to encourage private developers to go green.
If buildings meet certain Green Mark standards, owners can apply for additional GFA beyond the master plan gross plot ratio control. Developments with the Platinum rating can receive up to 2 per cent more GFA (capped at 5,000 sq m), while those with the Gold Plus rating are eligible for up to one per cent more (capped at 2,500 sq m).
The bonus GFA is not entirely free though - developers still have to pay a development charge or differential premium for the space.
Nevertheless, some developers have found it worthwhile to sign up for the GFA incentive scheme. BCA said that of the 37 applications, 10 were for residential projects, six for commercial developments and the remaining 21 for mixed-use and other types of buildings.
Changi City, developed jointly by Ascendas and Frasers Centrepoint, is a project which received bonus GFA. The developers decided to aim for a Green Mark Gold Plus rating partly because of the incentive scheme, said Ascendas Land (Singapore) CEO Tan Yew Chin.
A few other developers were already eyeing the Platinum or Gold Plus rating before the scheme existed. For instance, Soilbuild had drawn up plans for Solaris at one-north with the Platinum rating in mind and 'during the course of the design, the Green Mark GFA Incentive Scheme was introduced', it said.
CDL told BT that environmental sustainability has always been high on its agenda. Its residential project Cube 8 at Thomson Road, which won the Green Mark Platinum award, qualified for 377 sq m of bonus GFA from the scheme. CDL was able to build three more apartments, bringing the total number of units to 177.
Even a healthcare service provider is riding on the green trend. Parkway got an additional 1,447 sq m of GFA at Parkway Novena Hospital, which is likely to receive the Platinum rating. The extra space will go towards 'better diagnostic and treatment facilities', a Parkway spokesman said.
Cushman & Wakefield managing director Donald Han supports the incentive scheme, noting that buildings meeting Green Mark standards would cost developers relatively more to build.
The green movement in Singapore is still in an 'infancy' stage compared with other countries such as the United States and Australia, he said. 'But, we're getting there.'
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Eco-friendly: Platinum award winner Cube8 has qualified for 377sqm of bonus GFA. Solaris' (above) plan was drawn up with the Platinum rating in mind
Going green pays off for developers
Eco-friendly projects awarded more floor space under BCA scheme
By EMILYN YAP
(SINGAPORE) Going green has its rewards, and some developers have got them in the form of additional floor space for their projects.
The Building and Construction Authority (BCA) told BT that it has received 37 applications for a scheme that grants eco-friendly buildings more gross floor area (GFA).
The agency has approved some of these requests, from companies such as City Developments (CDL), Soilbuild Group, Ascendas and Parkway Holdings.
BCA and the Urban Redevelopment Authority launched the Green Mark GFA Incentive Scheme in April last year to encourage private developers to go green.
If buildings meet certain Green Mark standards, owners can apply for additional GFA beyond the master plan gross plot ratio control. Developments with the Platinum rating can receive up to 2 per cent more GFA (capped at 5,000 sq m), while those with the Gold Plus rating are eligible for up to one per cent more (capped at 2,500 sq m).
The bonus GFA is not entirely free though - developers still have to pay a development charge or differential premium for the space.
Nevertheless, some developers have found it worthwhile to sign up for the GFA incentive scheme. BCA said that of the 37 applications, 10 were for residential projects, six for commercial developments and the remaining 21 for mixed-use and other types of buildings.
Changi City, developed jointly by Ascendas and Frasers Centrepoint, is a project which received bonus GFA. The developers decided to aim for a Green Mark Gold Plus rating partly because of the incentive scheme, said Ascendas Land (Singapore) CEO Tan Yew Chin.
A few other developers were already eyeing the Platinum or Gold Plus rating before the scheme existed. For instance, Soilbuild had drawn up plans for Solaris at one-north with the Platinum rating in mind and 'during the course of the design, the Green Mark GFA Incentive Scheme was introduced', it said.
CDL told BT that environmental sustainability has always been high on its agenda. Its residential project Cube 8 at Thomson Road, which won the Green Mark Platinum award, qualified for 377 sq m of bonus GFA from the scheme. CDL was able to build three more apartments, bringing the total number of units to 177.
Even a healthcare service provider is riding on the green trend. Parkway got an additional 1,447 sq m of GFA at Parkway Novena Hospital, which is likely to receive the Platinum rating. The extra space will go towards 'better diagnostic and treatment facilities', a Parkway spokesman said.
Cushman & Wakefield managing director Donald Han supports the incentive scheme, noting that buildings meeting Green Mark standards would cost developers relatively more to build.
The green movement in Singapore is still in an 'infancy' stage compared with other countries such as the United States and Australia, he said. 'But, we're getting there.'
Copyright © 2010 Singapore Press Holdings Ltd. All rights reserved.
Eco-friendly: Platinum award winner Cube8 has qualified for 377sqm of bonus GFA. Solaris' (above) plan was drawn up with the Platinum rating in mind
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