singapore property weekly issu 131

7/21/2019 Singapore Property Weekly Issu 131

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Issue 131Copyright © 2011-2013 www.Propwise.sg. All Rights Reserved.

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CONTENTS

p2 How the URA’s Masterplan 2013 Will

Affect the Property Market

p7 Singapore Property News This Week

p12 Resale Property Transactions

(November 6 – November 12)

Welcome to the 131st edition of the

Singapore Property Weekly .

Hope you like it!

Mr. Propwise

FROM THE

EDITOR

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SINGAPORE PROPERTY WEEKLY Issue 131

Page | 2Back to Contents

By Mr. Propwise

By now you’ve probably read lots of media

reports about the Urban Redevelopment

Authority’s (URA) Draft Masterplan 2013, a

medium term plan which details statutoryland use and guides Singapore’s

development over a ten to fifteen year period.

In this post I hope to synthesize the different

views and look at how the concepts outlined

in the Master Plan will affect the property

market, and whether it throws up anyinteresting opportunities.

How the URA’s Masterplan 2013 Will Affect the Property Market

http://www.ura.gov.sg/MS/DMP2013




















The changing focus of the Master Plan

The URA’s role is to plan the physical

development of Singapore and to optimize

the use of the country’s limited land

resources. To this end it puts out the Concept

Plan, which is a long term strategic land use

plan that guides Singapore’s development

over a forty to fifty year period, ensuring that

Singapore has sufficient land to meet long

term population, economic and quality of life

goals. It is reviewed every ten years, and the

last one was completed in 2011.

Historically, the Master Plan has rendered the

broad strategies outlined in the Concept Plan

into detailed permissible land use and density

plans for developments in Singapore. It isreviewed every five years.

In the Draft Masterplan 2013, the URA is

moving away from its previous mostly

quantitative role (i.e. mainly looking at plot

ratios and land use), and starting to focus on

the qualitative aspects of living in Singapore.

We can see this shift from the 6 key focuses

as stated by the URA:

1. Housing

2. Economy

3. Recreation

4. Identity

5. Transport

6. Public Spaces

Out of the above 6 focuses, we see that half

of them (Recreation, Identity, Public Spaces)

are focusing more on the intangible and

people-centric aspects of living in Singapore,with an aim to boost the quality of life here

beyond just the hard aspects of having a

comfortable home in a convenient location

with good transportation links and facilities.





Decentralization of work will create new

market opportunities

One of the trends we’ve been seeing in the

recent Master Plans is the decentralization of

employment centers to different areas of

Singapore, e.g. to Jurong and Paya Lebar,

partly as a means to ameliorate the

transportation capacity problem of a large

part of the population commuting to the CBD

to work.

The Master Plan 2013 introduces the North

Coast Innovation Corridor, which will see the

emergence of the Woodlands Regional

Centre, the Punggol Learning Corridor and

Creative Cluster. There will also be the

gradual development of new industrial estatessuch as Jalan Bahar, Wenya, Tengah, Lorong

Halus and Seletar West.

Where people go to work, so do opportunities

to invest in and rent out property. The key for

investors is to gauge the speed and

commitment of the government to incentivize

developments in all the new centers. The

irony is that with so many potential centers,

there is a diffusion of focus and not all willachieve an equal level of success.

Figure 1: Proposed Holland Village

Extension (Source: URA)





My sense is that the centers that are closest

to the traditional economic hubs like the CBD

and Orchard (e.g. Paya Lebar, Holland

Village) have the greatest chance of

developing quickly, and consequently have

better investment prospects.

No more premium for being “close to the

MRT”?

As part of the effort to improve the public

transportation system, by 2030 the rail

network will double to 360km, and 80% of all

homes will be within a 10-minute walk to an

MRT station.

Traditionally homes near to an MRT station

will usually be able to command a premium toless well connected homes. But if 80% of

homes are within a 10-minute walk to the

MRT, will this premium still exist?

I believe being near to an MRT station will

eventually become less important to which

MRT station and line you are near to. Homes

near MRT interchanges (where two or more

lines cross) will likely command a larger

premium. Homes near MRT stations on lines

with key business hubs (e.g. the East-West

line which has connectivity to the hubs of Jurong, the CBD, Kampong Bugis, Paya

Lebar and Tampines) will have better prices

and rentals versus other lines which may

require multiple transits to get to the key

hubs.



SINGAPORE PROPERTY WEEKLY I 131




Singapore Property This Week


Residential

U p p e r P a y a L e b a r R d p r i v a t e h o u s e a n d 3

E C s i t es r o l l ed o u t u n d e r G L S

A private housing site in Upper Paya Lebar

Road and three executive condominium (EC)

sites have been rolled out for November

under the second half of 2013 Government

Land Sales (GLS) Programme. According to

DTZ head research Lee Lay Keng, the

government is trying to strike a balance

between adequate supply for current demand

and being mindful of upcoming supply of

private homes. The market would expect a

pullback of supply of private homes for the

confirmed list in the next half-year. Jones

Lang LaSalle national director Ong Teck Hui

said the supply of private homes by the

Ministry of National Development has

decreased from 8,000 in H2 2010, H1 & H2

2011 to 7,000 for 2012 and H1 2013, and

eventually standing at just 6,000 in H2 2013.

DTZ’s Lee Lay Keng predicted that the

government could release 5,000 to 6,000

private homes in the next-half confirmed list,

with a shift towards more ECs.

(Source: Business Times)

SINGAPORE PROPERTY WEEKLY I 131





Mar in a So u th to h ou s e 9,000 p riv at e

h o m e s

21.5 ha of development area in Marina South

will house 9,000 private homes with

development starting after 2017/2018 when

the Thomson Line is completed. This is part

of the Draft Master Plan 2013 of the Urban

Redevelopment Authority (URA) to create the

next major growth area. There will also be an

800-metre long underground mall betweentwo Thomson Line stations serving the area –

Marina South and Gardens by the Bay. The

ground-level space above the mall will be

used for pedestrian walkway. A separate

elevated landscaped walkway would take

pedestrians from the Bay South Gardens tothe seafront, and cycling path would cut

through other parts of Marina Bay.


Pat erso n H i l l : world’s 5 t h pr ic iest st reet

According to Billionaire.com report,

Singapore’s Paterson Hill, located in District 9

close to Orchard Road and international

schools, has been ranked the world’s fifth

priciest street, with an average price of

$4,990 psf. Prices along the road have

increased 6.5 percent in 2012. The Marq, the

most expensive condo on this road, is worth a

record $6,859 psf for a 3,003 sq ft unit in Nov2011. The local purchase of the condo is

about $20.5 million. Standing at the top spot

for world’s priciest street is Hong Kong’s

Pollock Path’s with an average price of

US$11,148 psf – the highest point on Hong

Kong island and a stomping ground of HongKong’s super-rich.







H olland Vi l lage t o be ext ended under D raf t

Master Plan 2013

Under the Draft Master Plan 2013 of URA,

Holland Village will be extended 6 ha more for

a mixed use development and a basement

parking station. Another two residential plots

which could yield 1,500 units will also be

identified, although it has not yet been

announced to be designated for private or

public housing. The mixed-use plot is likely to

be the first to be implemented at the start of

2015. The developer who wins the tender is

required to build a basement carpark big

enough to serve Holland Village.


D r a f t M a s t e r P l a n 2 0 1 3 f o c u s e s o n g r e e n

t o w n s h i p s

Under the Draft Master Plan 2013 of the

URA, more townships that are green, healthy,

connected and strong in community

interaction will be built. Holland Village,

Kampong Bugis and Marina South will be the

districts with 14,500 new homes and eco-

friendly spaces. The 18-ha Kampong Bugiswill offer 4,000 more private homes. The

21.5-ha Marina South area will be turned into

a mixed-use residential district with 9,000

more private homes. A new commercial area

at Woodlands Regional Centre will be rolled

out to create 100,000 more jobs. A new retail

belt will also come up at Marina Bay. In

decentralising work space area, more

regional centres such as Jurong Lake District,

Tampines Regional Centre, Paya Lebar

Central and one-north will be opened.

Industrial parks including Seletar Aerospace

Park, Defu Industrial Estate and Lorong Halus

Industrial Park will continue to be developed.

Along with these decentralization plans,






the city centre will continue to grow.


K am p on g B u gi s: n ew d ev el op m en t b y

URA

The URA is reported to develop Kampong

Bugis, located at the convergence of Rochor

Canal and Kallang River, into an area with

fewer cars and more public transport and

pedestrian walkways after 2016. 80 percent

of the 18-ha Kampong Bugis area will be

used to house 4,000 private housing units. It

would also be piloted for high-density, water-

sustainable practices to incorporate effective

stormwater management, vegetated swales,

bio-retention basins and detention ponds to

manage rainwater runoff.


T h e D r a f t M a s t e r P l a n 2 0 1 3 : m o r e p e o p l e -

cent r ic

It is reported that the Draft Master Plan 2013

is taking a more people-centric approach to

develop new activity clusters and encourage

green spaces, beyond just numbers and land

allocation for various uses. It would focus on

quality of life, a more livable environment and

more sports and recreation. However, some

consultants were surprised that plot ratios

were largely unchanged in the plan despite

the possibility of the population hitting 6.9

million by 2030. A sampling of 22 private

residential developments launched or sold via

en bloc sales in 2013 did not show any

increase in plot ratios, yet the Holland Villagearea which will be further developed under

the plan had their plot ratios raised from 2.8

to 4.6 and 3.6 for two residential plots.







Commercial

JTC -ow ned f act ories t o relocat e

As a result of a new Master Plan still in a draft

stage, JTC-owned factories in Sungei Kadut,Yew Tee and Kranji areas may have to

relocate. JTC is reported to be assisting the

firms in the process of relocation, with

practical and sufficient timing. As the review

of the Plan is still taking place, clarity on what

the Master Plan entails for the three industrialsites would only be made in 2015.


O U E L t d t o s e l l O U E B a y f r o n t f o r a t l e a s t

$1 bi l l ion

Property group OUE Ltd is reported to be

selling its office and retail development OUE

Bayfront for at least $1 billion to the

commercial real estate investment trust to be

listed on the Singapore Exchange. The sale

may comprise $696.9 million in cash and

units in OUE Commercial Real Estate

Investment Trust of $308.1 million. In fact,

OUE Bayfront would be one of two assets toform the initial portfolio of OUE C-Reit. The

50-year leasehold Lippo Plaza in Shanghai is

also said to be injected into the Reit.



http://propertymarketinsights.com/





Non-Landed Residential Resale Property Transactions for the Week of Nov 6 – Nov 12

NOTE: This data only covers non-landed residential resale propertytransactions with caveats lodged with the Singapore Land Authority. Typically, caveats are lodged at least 2-3 weeks after apurchaser signs an OTP, hence the lagged nature of the data.

Postal

DistrictProject Name

Area

(sqft)

Transacted

Price ($)

Price

($ psf)Tenure

4 CARIBBEAN AT KEPPEL BAY 1,335 2,130,000 1,596 99



5 PASIR VIEW PARK 990 1,230,000 1,242 FH

5 PALM MANSIONS 1,130 1,080,000 956 FH

9 ESTILO 657 978,000 1,489 FH

10 CUSCADEN RESIDENCES 1,238 2,800,000 2 ,262 FH

10 THE MONTANA 1,206 2,188,240 1,815 FH

10 THE MARBELLA 1,582 2,700,000 1,706 FH

10 THE MARBELLA 1,076 1,820,000 1,691 FH

10 SHEARES VILLE 1,475 2,200,000 1,492 FH

10 TANGLIN PARK 1,765 2,500,000 1,416 FH

11 THE LINCOLN RESIDENCES 1,841 3,357,000 1,824 FH

11 NEWTON EURO-ASIA 1,184 1,890,000 1,596 FH

11 SOLEIL @ SINARAN 1,485 2,000,000 1,346 99

12 THE CENTRIO 614 990,000 1,614 FH

12 TREVISTA 1,270 1,866,900 1,470 99

12 CASA FORTUNA 1,076 1,380,000 1,282 FH

14 GROSVENOR VIEW 883 1,066,000 1,208 FH

14 CASA SARINA 1,184 1,080,000 912 FH

15 THE SEAFRONT ON MEYER 1,604 2,980,000 1,858 FH

15 THE ATRIA AT MEYER 1,345 1,750,000 1,301 FH

15 HAIG COURT 1,550 1,900,000 1,226 FH

15 CANTIZ @ RAMBAI 872 960,000 1,101 FH

Postal

DistrictProject Name

Area

(sqft)

Transacted

Price ($)

Price

($ psf)Tenure

16 SUNHAVEN 2,077 1,700,000 818 FH

18 OASIS @ ELIAS 1,410 1,350,000 957 99

19 KOVAN RESIDENCES 1,776 2,280,000 1,284 99

19 CHUAN PARK 710 840,000 1,182 99

19 COMPASS HEIGHTS 1,055 930,000 882 99

19 EVERGREEN PARK 1,345 1,150,000 855 99

19 RIVERVALE CREST 1,367 1,130,000 827 99

21 THE NEXUS 1,485 2,200,000 1,481 FH

21 FREESIA WOODS 1,421 1,950,000 1,372 FH

21 SYMPHONY HEIGHTS 1,206 1,370,000 1,136 FH22 PARC OASIS 1,378 1,400,000 1,016 99

23 MI CASA 1,259 1,335,000 1,060 99

23 CHESTNUT VILLE 1,658 1,532,000 924 999

23 HILLVIEW REGENCY 1,173 1,010,000 861 99

23 PALM GARDENS 958 815,000 851 99

25 ROSEWOOD 1,173 1,050,000 895 99

25 CASABLANCA 1,195 985,000 824 99

26 BULLION PARK 1,259 1,270,000 1,008 FH

27 YISHUN SAPPHIRE 1,378 988,000 717 99

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