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The Ministry of National Development (MND) has announced new changes to the Additional Buyer’s Stamp Duty (ABSD) regime for licensed housing developers, which will come into effect on March 6.

The revisions include an extension of the ABSD remission timeline for developers undertaking complex projects from six to 12 months. This move aims to encourage developers to take on urban transformation developments, optimize land usage through intensification or integration, revitalize older estates, or adopt new construction technologies.

Projects that qualify for the extended timeline include en bloc redevelopments that will yield at least 700 units upon completion, with 1.5 times the number of homes of the existing development. Other projects that qualify are those with complex technical or instructional requirements, such as those integrated with major public transport facilities.

Read also: OPINION: Can the market absorb the supply from this year’s GLS sites?

AdvertisementAdvertisementTwo other categories eligible for the extension are projects approved under the Strategic Development Incentive (SDI) scheme and projects aiming to achieve higher productivity targets through the adoption of new construction technologies, methodologies, or practices.

Projects that fall under any of these four categories will be granted a six-month extension, with those meeting the criteria of more than one category receiving a one-year extension. These changes are expected to apply to all residential land acquired on or after March 6.

Currently, licensed housing developers purchasing residential redevelopment sites are subjected to a 5% ABSD upfront, which is non-remittable, and a 35% ABSD, which is remittable when the developer completes and sells all the units in the project within a five-year timeframe.

This latest revision comes after changes announced in February last year, offering a lower clawback rate for residential developments with at least 90% of units sold.

“Such extensions will give developers more flexibility and may help to mitigate development risks to some extent, as they have a bit more time to sell units, particularly for mega projects,” says PropNex Realty CEO Ismail Gafoor.

Lee Sze Teck, senior director of data analytics at Huttons Asia, says the ABSD revisions will “give a much-needed boost to the en bloc market, in particular, bigger en bloc projects.”

Read also: US buyers to lead foreign demand in Singapore for third straight year

While this policy change will be welcomed by developers, Christine Sun, chief researcher and strategist at OrangeTee Group, adds: “Developers may still face challenges despite the deadline extension as there are other considerations. For example, the success rate of en bloc sales will depend on the willingness of buyers and sellers to negotiate prices.”

Tay Liam Hiap, managing director of capital markets and investment sales at ERA, believes it could be “an opportune time” for older projects, such as Braddell View and Pine Grove, which are projects with expansive land areas, to explore en bloc opportunities.

These projects may yield some 2,000 new homes, which could take more time to sell. “In such cases, the extension of six to 12 months may not be sufficient for developers to sell out their projects,” adds Tay.

Investing in Singapore’s condominium market has become a sought-after option for both domestic and international investors, largely due to the country’s thriving economy, stable political climate, and exceptional quality of life. With a diverse range of real estate opportunities available, condos are a particularly attractive choice, offering convenience, luxurious amenities, and potential for considerable returns. In this article, we will delve into the advantages, factors to keep in mind, and important steps to take when considering investing in a condo in Singapore, with a focus on top projects available at Singapore Projects.

Meanwhile, Gafoor notes that the policy change may not “spark a revival in the en bloc market” and expects developers to continue to be cautious due to the “high cost of redevelopment, ample oncoming private housing supply, and potential policy risk”.…

The Land Transport Authority (LTA) has announced plans for two new MRT lines that are currently undergoing feasibility studies. These lines, set to be completed in the 2040s, are expected to serve over 400,000 households.

One of the proposed lines is the Seletar Line, which will connect Woodlands, Sembawang, Sengkang West, Serangoon North, Whampoa, Kallang, and the Greater Southern Waterfront. The second line, known as the Tengah Line, will supplement the existing transport network in the west and northwest regions, serving areas such as Tengah, Bukit Batok, Queensway, and Bukit Merah.

Transport Minister Chee Hong Tat announced in a speech to parliament on March 5 that, subject to the results of LTA’s feasibility studies, the Seletar Line and Tengah Line could potentially be joined. This announcement was made alongside plans to proceed with the West Coast Extension (WCE), which will extend the Jurong Region Line (JRL) to connect with the Circle Line (CCL) and Cross Island Line (CRL).

The WCE will be implemented in two phases, with the first phase extending the JRL from Pandan Reservoir Station to connect with the CRL by the late 2030s. The second phase aims to extend the JRL from West Coast Station to connect with the CCL’s Kent Ridge Station by the early 2040s. Once completed, the WCE is expected to provide up to 20 minutes of time savings for residents travelling from the West to the city centre.

When contemplating an investment in a condo, it is crucial to also evaluate the potential rental yield. Rental yield refers to the annual rental income as a percentage of the property’s purchase price. In Singapore, condo rental yields can vary greatly depending on factors such as location, property condition, and market demand. Generally, areas with high rental demand, such as those near business districts or educational institutions, tend to offer more favorable rental yields. It is essential to conduct thorough market research and seek guidance from real estate agents to gain valuable insights into the rental potential of a specific condo. For further information on condos, visit Condo.

In addition to the proposed rail lines, the government also plans to invest up to $1 billion over the next five years to maintain high-reliability standards in both newer and older train systems. This investment will go towards condition monitoring systems, new technologies, and workforce training programmes for rail workers to improve the efficiency and effectiveness of rail maintenance.

LTA says that these efforts to expand the rail network, enhance asset management, and upskill the rail workforce will enable the continued delivery of convenient, reliable, and resilient public transport for commuters in Singapore.…

Elias Green, a 99-year leasehold condominium located in Pasir Ris, will be put up for collective sale by public tender on March 6, according to the appointed marketing agent ERA Realty Network. With a guide price of $928 million, the property is expected to attract significant interest from developers.

Completed in 1994, the condo is situated on a land area of approximately 516,871 sq ft and is zoned for residential use with a gross plot ratio of 1.4. It is made up of several blocks and has a total of 419 apartments, ranging in size from 1,367 to 1,636 sq ft. The site has a 99-year lease from 1991, with a remaining lease of 65 years.

According to ERA, the guide price of $928 million equates to a land rate of $1,355 per square foot per plot ratio (psf ppr). This includes an estimated land betterment charge of $150.8 million for intensification, as well as a top-up to a fresh 99-year lease. It also takes into account a 10% bonus gross floor area.

The marketing agent also notes that the owners of Elias Green are in the process of submitting an Outline Application to URA for a residential development at a gross plot ratio of 1.8. If approved, the land rate for the development would be around $1,245 psf ppr.

If the collective sale is successful, based on the guide price, owners are expected to receive gross sale proceeds ranging from approximately $2.04 million to $2.31 million per unit.

The condo market in Singapore remains in high demand due to several factors, with one of the main drivers being the limited land supply. As a small island nation experiencing a rapid increase in population, Singapore faces the challenge of a shortage of land for development. This has resulted in strict land use regulations and a fiercely competitive real estate industry, where property values continue to rise. As a result, investing in real estate, particularly condos, has become a highly profitable opportunity with the potential for substantial capital gains.

Tay Liam Hiap, managing director of capital markets and investment sales at ERA Singapore, highlights that Pasir Ris Town is currently undergoing significant improvements as part of HDB’s “Remaking Our Heartland” initiative, which will enhance its vibrancy and connectivity. He also mentions that the new Pasir Ris Bus Interchange is expected to be completed by 2025 and will integrate with the future Pasir Ris Integrated Transportation Hub, which includes the Cross Island Line (CRL) set to be operational by 2030.

This is the second time that owners at Elias Green are attempting a collective sale, with the first attempt in 2018 at a tender price of $780 million. The latest price tag of $928 million is 19% higher than the previous asking price.

The tender for Elias Green will close on April 22 at 2pm. Interested parties can check out the latest listings for Elias Green properties.…

As a foreign investor, it is crucial to have a thorough understanding of the regulations and limitations surrounding property ownership in Singapore. In comparison to landed properties, which have stricter ownership rules, foreigners are typically able to purchase condos with fewer restrictions. However, it is important to note that foreign buyers are subject to the Additional Buyer’s Stamp Duty (ABSD), which currently stands at 20% for their first property purchase. Despite this added expense, the Singapore real estate market remains a stable and lucrative option for foreign investment, making Singapore Condos a desirable choice for many.

The Qingjian-Forsea consortium emerged as the winner of the tender for Media Circle (Parcel A), one of the Government Land Sale (GLS) sites in the one-north area. The 99-year leasehold site, measuring 82,125 square feet, was put up for sale in November last year and closed on March 4. The consortium’s bid of $315 million was the highest among the three bids received for the site. This translates to a land rate of $1,037 per square foot per plot ratio (psf ppr).The site is zoned for residential use and will have commercial space on the first storey. It is expected to yield approximately 325 housing units with a maximum gross floor area of 303,865 sq ft. In a press statement, Qingjian and Forsea stated that the development will include two high-rise residential towers with commercial spaces on the first level.AdvertisementThe Media Circle (Parcel A) site received a total of three bids. The winning bid from Qingjian and Forsea was 5.7% higher than the second-highest bid of $298 million, submitted by EL Development. SingHaiyi Group came in with the lowest bid of $295 million.Qingjian and Forsea’s bid is lower than the land rate paid for a neighbouring Media Circle GLS site, which was awarded to them in January 2024. The neighbouring site, which is now the location of the upcoming 358-unit Bloomsbury Residences, was purchased for $395.28 million, or $1,191 psf ppr. “We are confident in the upcoming transformation of Media Circle, supported by a well-designed master plan and the government’s continued investment in the one-north precinct as announced in the 2025 budget,” commented Du Dexiang, managing director of Qingjian Realty.Wang Xin, director at Forsea Holdings, added that this project is another important step in their commitment to developing high-quality residential communities that align with the growth of one-north, which is comparable to Singapore’s “Silicon Valley”. This marks the third joint venture between Qingjian and Forsea, with the previous two being an executive condominium site at Jalan Loyang Besar and a site for 114,462 sq ft, with potential for 710 new homes.Lee Sze Teck, senior director of data analytics at Huttons Asia, noted that Qingjian’s latest bid reflects their confidence in the demand for housing in the area. He also mentioned that if awarded the bid, Qingjian will have a hand in determining the supply and pricing of new homes in Media Circle.The Media Circle (Parcel A) site was launched for sale in November last year, together with the adjacent Parcel B, which measures 107,936 sq ft and is expected to yield about 500 housing units. In total, there are three Media Circle sites available for application, both on the Confirmed List and Reserve List of the Government Land Sale Programme for 2024 and 2025. Qingjian and Forsea had also been awarded the Parcel B site in January 2024.The Media Circle area is unique as it is set among greenery and black and white bungalows. It is also one of two precincts in the one-north neighbourhood earmarked for housing. In total, there are only 987 non-landed residential properties in the area, with less than 100 new homes remaining unsold. Due to the high proportion of foreigners working in one-north, as well as the nearby Science Park and Tanglin Trust School, Lee believes the area offers a strong pool of quality tenants while also being close to diverse retail and dining options such as Anchorpoint Shopping Centre, Alexandra Central Mall and Timbre+ One North.Leonard Tay, head of research at Knight Frank Singapore, believes that the future project at Media Circle (Parcel A) will launch with selling prices starting from $2,300 psf. While it may be in a quieter section of the one-north business park, it is also within walking distance to Mediapolis. Tay believes that a residential project, or a mix of residences with serviced apartments for lease, could appeal to workers in the media and entertainment industry.…

Renowned property player and hotelier, Hotel Properties Ltd (HPL), is making big moves in the global market with the proposed purchase of InterContinental Auckland for NZ$180 million ($138.5 million). This significant acquisition not only marks HPL’s first investment in New Zealand, but also its second InterContinental hotel purchase, following the successful acquisition of InterContinental Maldives Maamunagau Resort.

According to JLL’s Asia Pacific Hotels & Hospitality Group, who advised on the transaction by New Zealand’s Precinct Properties, this off-market deal is the largest single hotel asset sale ever recorded in New Zealand.

In addition to this latest acquisition, HPL has also recently launched The Boathouse Tioman in Malaysia, a luxurious resort featuring 31 bungalows, and the 176-room The Four Seasons Hotel Osaka in Japan last year.

Driven by a skilled hospitality management team and strong partnerships with operators such as IHG Hotels & Resorts, HPL has expressed its plans to further expand its portfolio of luxury properties in key markets across the Asia Pacific region.

According to HPL Hotels and Resorts chairman Stephen Lau, the proposed purchase of InterContinental Auckland presents a rare opportunity to acquire a premium asset in New Zealand. The property is ideally situated in the heart of the vibrant NZ$1 billion Commercial Bay lifestyle precinct, which opened its doors in January 2024. With sweeping views of the Waitematā Harbour, the hotel’s 139 rooms offer a truly unique and desirable experience for guests.

And with the potential to expand to 190 rooms by repurposing existing office space, the property has ample potential to meet the growing demand for luxury accommodation in the area. With this strategic acquisition, HPL is cementing its position as a leader in the luxury hospitality market, and is poised for continued growth and success in the years to come.

When it comes to investing in Singapore’s real estate market, it is crucial for foreign investors to familiarize themselves with the regulations and restrictions surrounding property ownership. While foreigners have relatively fewer restrictions when it comes to purchasing condos, stricter rules apply to landed properties. However, it is worth noting that foreign buyers are required to pay an Additional Buyer’s Stamp Duty (ABSD) of 20% for their first property purchase. Despite this additional cost, the stability and potential for growth in Singapore’s real estate market remains a strong draw for foreign investors who are looking to invest in condos.…

In the second half of 2024, institutional investments in Asia Pacific’s (Apac) real estate market reached a total of US$83.2 billion ($112 billion), representing a 6% increase year-on-year, according to research conducted by Colliers. This brings the full-year investments for the region to a total of US$155.9 billion in 2024, showing a 12% rise compared to the previous year. The data covers the top nine markets in the region, including Australia, Mainland China, Hong Kong, India, Japan, Singapore, South Korea, New Zealand, and Taiwan.

The considerable growth in investments highlights the resilience of the Apac real estate market and sets the stage for a strong 2025, according to Chris Pilgrim, Colliers’ managing director of global capital markets in Asia Pacific. Pilgrim also notes that domestic investors have played a significant role in driving growth in markets such as South Korea, Taiwan, and New Zealand, with local investors accounting for over 80% of real estate inflows in these countries during the second half of 2024.

The office sector was the largest contributor to the Apac investment volume, accounting for US$26.5 billion (32%) of the total in the second half of 2024. For the entire year, office investments amounted to US$51.4 billion, showing a 14% increase year-on-year. The industrial and logistics sector was the second most significant contributor, attracting US$22.6 billion in investments in the second half of 2024, representing 27% of the total. This brings the total investments in this sector to US$39.4 billion for the whole of 2024, showing a 29% increase year-on-year. The retail sector also experienced a significant rebound in the second half of 2024, recording US$15 billion in investments, driven by substantial deals in Australia and South Korea. For the whole of 2024, retail investments amounted to US$26.1 billion, showing a 27% increase compared to the previous year.

Investing in a condominium in Singapore has emerged as a top choice for both local and foreign investors. This can be attributed to the country’s strong economy, stable political climate and exceptional quality of life. The real estate market in Singapore presents a plethora of opportunities and condos, in particular, have gained popularity due to their convenience, top-notch amenities, and potential for significant returns. With many new condo launches happening, there is no shortage of options for those looking to make a savvy investment in Singapore. In this article, we will delve into the advantages, points to consider, and necessary steps to take when investing in a condo in Singapore.

Pilgrim believes that domestic capital will remain the dominant force in most markets in 2025. However, offshore investments are expected to increase, driven by growing investor confidence and attractive valuations. While investments in the office and industrial segments are expected to remain strong, Pilgrim also predicts that retail, hospitality, and alternative asset classes will gain momentum as investors take advantage of recovery momentum and evolving consumer trends. He concludes by stating that with a positive economic outlook and continued policy support, the Apac real estate market is set for sustained investment activity in 2025.…

for $391 mil

CapitaLand Investment Limited (CLI) has once again made its mark on the real estate industry, as its Group CEO, Lee Chee Koon, has been awarded the prestigious title of ‘Industry Figure of the Year’ for Asia Pacific at the PERE Global Awards 2024. CLI has also received the runner-up award for ‘Firm of the Year’ in Asia Pacific.

Hosted by a renowned London-based publication covering private equity real estate markets, the annual PERE awards seek to recognize influential firms, individuals, and outstanding deals from the previous year. The winners of the 2024 awards were handpicked by a judging panel of PERE journalists, marking a departure from the previous format where PERE shortlisted submissions and then opened the voting process to its readers.

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When contemplating a condominium investment, it is crucial to evaluate the potential rental returns. Rental yield refers to the yearly rental income as a percentage of the property’s acquisition cost. In Singapore, the rental yields for condos can greatly differ, depending on factors like location, condition of the property, and market demand. Generally, areas with high rental demand, such as those near business districts or educational institutions, offer better rental yields. To gain a better understanding of the rental potential of a specific condo, it is advisable to conduct extensive market research and seek advice from real estate agents. Additionally, exploring Singapore Projects can provide valuable insights into the rental prospects of a property.

In a press release issued on March 4, CLI attributed CEO Lee’s award to his role in driving the company’s transformational growth and his significant impact on the private real estate industry in the Asia Pacific region. Since taking over as CapitaLand’s Group CEO in September 2018, Lee has spearheaded several key moves including the acquisition of Ascendas-Singbridge in 2019 and the recent restructuring of CapitaLand Group, which saw the listing of CLI and the privatization of its real estate development arm, CapitaLand Development.

In 2024, CLI continued to make strategic investments by acquiring real estate investment manager SC Capital Partners Group and buying out Wingate Group Holdings’ property and corporate credit investment management business. The company is on track to manage $200 billion in funds by 2028. CLI’s success in the industry is a testament to Lee’s exceptional leadership and vision for the company’s growth and development.…

SC Capital Partners Group, a Singapore-based private equity real estate firm, recently announced the sale of its student accommodation asset in Sydney, Australia. The property is situated on Anzac Parade and Lorne Avenue in Kensington.

In a press release on March 3, the group revealed that it sold the asset at a considerable premium to its initial acquisition price and a 19% premium to its current book value. The University of New South Wales (UNSW) in Sydney was the buyer.

When it comes to investing in property in Singapore, it is crucial for foreign investors to have a solid understanding of the country’s regulations and restrictions. Fortunately, purchasing condos in Singapore is relatively straightforward for foreigners, unlike owning landed properties, which has more stringent ownership rules. However, foreigners must comply with the Additional Buyer’s Stamp Duty (ABSD), which is currently set at 20% for their first property purchase. Despite this added expense, the Singapore real estate market’s stability and potential for growth continue to entice foreign investment. Interested investors can browse through Singapore Projects for more information and options.

The property was originally purchased by SC Capital Partners in 2016 for A$57 million. The purpose-built student accommodation spans 85,035 sq ft and features 233 beds, as well as a ground-floor commercial podium. Its proximity to the UNSW Kensington Campus, being within 600m, makes it an attractive option for students. The student accommodation is fully leased to UNSW, with a new 20-year master lease being signed in 2019.…

City Developments has been embroiled in an internal conflict between the executive chairman Kwek Leng Beng and his son, Group CEO Sherman Kwek. This has resulted in a significant dip in the company’s shares by 5.47% upon resumption of trading today.

Trading in the company’s shares had been put on hold since February 26th, when a results briefing was suddenly cancelled and news of the dispute between the father and son was made public. The company has released a statement saying that they will not be commenting on the validity of the allegations made, as they are currently the subject of ongoing court proceedings.

CDL has clarified that their business operations have not been affected by this issue and it is still running as usual. Sherman Kwek remains the Group CEO until a decision is made by the board to change the company’s leadership. However, analysts have downgraded their calls and lowered their target prices for CDL due to the ongoing tussle.

UOB Kay Hian’s Adrian Loh has downgraded the stock from “buy” to “hold” as the company’s financial results for FY2024 have fallen short of both his and consensus estimates. This news, coupled with the public dispute, has resulted in a negative impact on the company’s performance. Loh has reduced his target price from $7 to $4.60, which is based on CDL’s five-year average price-to-book (P/B) of 0.72 times.

DBS Group Research’s Derek Tan and Tabitha Foo have also lowered their target price for CDL from $10.50 to $6.70. They have, however, maintained their “buy” call as they believe that the fundamentals of the company remain strong and key management is still in charge. They also highlight that CDL is currently trading at an attractive valuation of 0.5 times P/B, which is below the lows seen during the Global Financial Crisis.

OCBC Investment Research has also maintained their “buy” call, but with a reduced fair value of $6.02, down from $6.57. They believe that the potential uncertainties surrounding CDL’s outlook and the ongoing dispute may have an impact on the company’s share price until the matter is resolved.

Investing in a condo comes with its own set of advantages, including the opportunity to leverage the property’s value to make further investments. In fact, many investors utilize their condos as collateral in order to secure additional financing for new ventures, allowing them to grow their real estate portfolio. This approach has the potential to greatly increase returns, but it also carries certain risks. As such, it is important to have a well-thought-out financial plan and carefully consider the potential impact of market fluctuations. Additionally, staying informed about new condo launches can provide valuable insights and opportunities for enhancing your investment strategy.

Citi Research’s Brandon Lee has a similar view and believes that the uncertainty may cause a short-term overhang on the company’s share price. However, he also notes that CDL is currently under-owned by investors, and any positive resolution could act as a major catalyst for the company’s share price in the long run.

JP Morgan analysts Mervin Song and Terence M Khi describe the internal conflict at CDL as a “dynastic discord” that has been building up for years. They hope for a positive resolution and a reconciliation between the family members, but have reduced their target price from $6.05 to $4.85, based on a 60% discount to their RNAV estimate of $12.10 per share.…

Elite UK REIT has sold Crown Buildings, Caerphilly, a vacant property located in Wales for GBP710,000, which is a premium of 18% from its valuation at the end of 2024. The sale was conducted by the trustee of Elite UK REIT, Perpetual (Asia) Limited, and was announced in a filing on March 3. The property was previously valued at GBP600,000, based on an independent appraisal done by CBRE. In 2023, the property was valued at GBP530,000.

Singapore’s cityscape showcases a plethora of towering skyscrapers and state-of-the-art infrastructure. These condos, strategically located in sought-after areas, offer a harmonious mix of opulence and convenience that appeals to both locals and foreigners. One of their biggest draws is the wide array of amenities they offer, such as well-maintained swimming pools, fully-equipped gyms, and top-notch security services, all of which greatly improve the standard of living and make them highly desirable for potential renters and buyers alike. In turn, these sought-after features also translate into higher rental returns and appreciation in property value for investors over time.

The proceeds from the sale of Crown Buildings, Caerphilly will be used to pay off the outstanding loans of Elite UK REIT. According to Elite UK REIT’s official website, the property has a total gross floor area of 20,712 square feet. This sale was possible due to the successful preferential offering of GBP28 million in January of 2024, which helped Elite UK REIT lower its leverage ratio from 50% to 43.4% by the end of 2024. Similarly, its net gearing ratio also decreased from 47.5% to 42.5%. The company does not have any debt maturing in 2025 or 2026, and the debt will only be due for refinancing in 2027.…