Issue 48Copyright 2011-2012 www.Propwise.sg. All Rights Reserved.

CONTENTSp2 p9 p14Singapore Property News This Week Understanding URAs Land Use Planning and Development Types Resale Property Transactions (April 4 April 10)

FROM THE

EDITOR

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SINGAPORE PROPERTY WEEKLY Issue 48

Singapore Property This WeekResidential125 Sky Habitat units sold 125 of the 180 released units at 509-unit 99year leasehold Sky Habitat project at Bishan have been sold so far. 81% of the units sold were two- and three-bedroom units, and 83% of the buyers are non-investing Singaporeans. The project comprises two 28storey towers, private terraces and public gardens and three sky bridges. The average price for a four-bedroom unit is $1,642 while a one-bedroom unit costs $1,747 psf on average. An incentive scheme offers a 3% discount for all buyers, an additional 1% discount for existing owners of Capitaland homes and another 1% for buyers living inBack to Contents

Bishan. High private home transaction volumes Private homes sales (excluding ECs) fell by 1% to 2,393 in March. This is nevertheless a 73% increase from the same period in 2011. With this, Q1 2012s figures hit 6,682, 41% of the total home sales in 2011. This is likely due to the large number of units (2,582 units) launched in March. EC sales also remained high at 639 units in March. Despite being lower than the 725 units sold in February, it is four times that of the figure in March 2011. The total number of private homes sold in March including ECs came up to 3,032 units, with purchases from new launches in March as well as those launched earlier.Page | 2

SINGAPORE PROPERTY WEEKLY Issue 48 There are also more home buyers purchasing units in the above $2,000 psf range in March, twice the number in February. Units in the $1,000 to $1,500 psf range nevertheless remained the most popular. Most of the sales are driven by outside central region (OCR) mass market, with 1,825 homes excluding ECs sold in March. However, demand may fall if prices continue to increase. The seven 99-year leasehold sites that could potentially yield 3,000 private homes includes three confirmed list sites (near SengKang MRT Station, Buangkok MRT Station, and at Pasir Ris Drive 3), one former reserve-list site near Jurong East MRT station that was triggered for launch, and three reserve-list sites (near Redhill MRT Sation, Farrer Road MRT station and Botanic Gardens MRT station). The plot near Sengkang MRT Station can yield 710 homes and is expected to attract a top bid of $400-550 psf ppr while the Buangkok plot which can yield 580 homes may have a top bid at $320-500 psf ppr. For the Pasir Ris Drive 3 site could also attract a top bid of $300-460 psf ppr. The Jurong East site is expected to be fairly popular, and can potentially attract six to 10 bids with the top bid at $500-570 psf ppr.Page | 3

With such strong sales, the government will have to increase the land supply to meet demand. More cooling measures have also been considered given the strong sales.Would the release of more land be an efficient cooling measure? With the release of seven new residential sites under the GLS, there are speculations on whether releasing more land would help to cool the market down.Back to Contents

SINGAPORE PROPERTY WEEKLY Issue 48 The reserve-list plots, if triggered, may attract top bids of $690-930 psf ppr for the Farrer Road and Farrer Drive plots and $660-750 psf ppr for the Redhill plot. retail mall, is to be launched by UOL. It consists of three residential towers with 80% of the units being one- or two bedroom units. Unit sizes range from 549-581 sq ft for the 126 one-bedroom or one-bedroom-plus-study units, 1,389-1,464 sq ft for the 58 twobedroom or two-bedroom-plus-study units, 1,389-1,464 sq ft for the 36 three-bedroom or three-bedroom-plus-study units ranges from, 840sq ft for the 18 one-bedroom sky suites and 1,959 sq ft for the six three-bedroom penthouses. Units cost an average of $1,700 psf for one-bedroom units and $1,450 psf for two- and three-bedroom units. Freehold Harbour View Gardens on the market The three-storey residential development located at 211/A to 223/A Pasir Panjang Road is asking for $36-38 million or $836-883 psf ppr.Page | 4

A record of 6,682 private homes (excluding ECs) were sold in Q1 2012, which may mean that more land may have to be released under the GLS to meet the increasing demand. Reserve sites near MRTs and new growth areas may also be triggered if the confirmedlist sites do not offer sites with as much potential. However, some feel that releasing more sites will not help to cool the market down; instead, it will do the opposite since it will result in more buying as demand increases with more launches.UOL to launch Katong Regency Freehold 244-unit Katong Regency, the residential component of the mixed development including three-storey One KMBack to Contents

SINGAPORE PROPERTY WEEKLY Issue 48 The 14 units (seven 2,411 sq ft maisonettes and seven1,195 sq ft walk-up apartments) sits on a 30,745 sq ft plot zoned "residential" with a 1.4 gross plot ratio. It can potentially be redeveloped into a five-storey residential project with 50 775-sq ft units and is expected to popular since it near the central business district (CBD), VivoCity and Resorts World Sentosa and within walking distance to Pasir Panjang Village, the 24-hour Pasir Panjang Food Centre and the upcoming mixeddevelopment, Viva Vista. The tender will close on May 16. Sculptura Ardmore to have 35 spacious apartments SC Global Developments, the developer of the Sculptura Ardmore, the luxury development at 8 Ardmore Park has offered some preview into what will be offered at the upcoming development. The 36-storeyBack to Contents

freehold tower will comprise 35 apartments ranging from 2,800 sq ft to 11,000 sq ft on its one-acre site with 140,000 sq ft GFA. There will be 19 smaller units (2,800-3,000 sq ft) on the 5th to the 16th level, another 12 units of sizes 3,200 sq ft to 4,000 sq ft. The largest units occupy a single floor and offer private lap pools; the smallest of which is a 4,200 sq ft four-bedroom unit and the largest a 11,000 sq ft penthouse. The development also offers two sky terraces located on the 6th and 17th floors that are furnished with a private clubhouse, entertainment areas, a gymnasium, sky gardens and jacuzzis. Prices are expected to start from at least $5,000 psf but no official indicative pricing has been released, nor has the launch date been set. New conditions on showflats In the new conditions laid out by URA, showflats will now have to accurately reflectPage | 5

SINGAPORE PROPERTY WEEKLY Issue 48 the spaces that the homebuyer will get when they make the purchase. This meant that developers have to provide drawn- to-scale location plans and show how the floor area of a unit is demarcated into different components. The developers will also have ask for buyer's consent for any changes to the layout of a property and offer more information on the project before issuing the option-to-purchase. This is especially since the rise of sales in shoebox units resulted in concerns as to whether homebuyers are aware of the size of these units. Nevertheless, the new conditions are not expected to have a large impact on the shoebox units market. These conditions will come into effect from May 18. Freehold Green Lodge up for sale in the collective sale market 151,075 sq ft freehold Green Lodge at Toh Tuck Road is back on the market again afterBack to Contents

two failed attempts. It is now asking for $195 million, or $846 psf ppr, inclusive of the bonus 8.9 per cent balcony space for which no development charge is payable. The site with 1.4 gross plot ratio can be potentially redeveloped into a five-storey condominium project with 210 1,000-sq ft residential units assuming a building efficiency of 90%. It is located near established landed housing estates such as Toh Tuck Garden, Pei Hwa Presbyterian Primary and the upcoming Beauty World MRT Station. Recent launches attract despite high prices local buyers

Recent property launches have been seeing strong sales despite some being priced higher than their neighbours. Free 244-unit Katong Regency sold 70% of its units at an average price of $1,500-1,600 psf, with smaller onebedroom units selling at $1,727 psf. 99-year Sky Habitat sold 125 units out of thePage | 6

SINGAPORE PROPERTY WEEKLY Issue 48 180 launched despite being priced higher than its neighbours. Singaporeans have been driving the demand for private homes and there are concerns that the strong sales might mean more cooling measures in the market. Commercial Top bid of $151.005m for hotel plot on Farrer Park MRT station The 99 year-leasehold hotel site above the the Farrer Park MRT Station attracted 10 bids, with the top bid from RB Capital at $151.005 million or $1,078.81 psf ppr based on the 140,000 sq ft maximum gross plot ratio. The 33,326 sq ft site can be potentially developed into a mixed development with 60% reserved for hotel and hotel-related use, and the remaining 40% for retail, office, medical suites or serviced apartments. TheBack to Contents

popularity of the site is likely due to its location and high occupancy rate in hotel rooms. RB Capital could potentially develop the site into a 300-500 key four-star hotel with a retail segment, and possibly also a medical suite segment. No plans on minimum strata sizes for office and retail units in the near future There are worries that URA may set guidelines on the strata sizes for office and retail units, especially with the recent introduction of conditions on strata subdivision of industrial units. However, this is unlikely to happen in the near future since there URA perceives a need for small units for small firms and retail start-ups. Nevertheless, URA will look at planning intention for the region and the impact a development might make in the surroundingPage | 7

SINGAPORE PROPERTY WEEKLY Issue 48 region when looking development proposals. at commercial

Kaki Bukit Rd 5 industrial site up for tender The 30-year lease hold 1.31 hectare industrial site at Kaki Bukit Road 5 has a 1.4 maximum gross plot ratio and is zoned Business 2. It is not expected to be popular since it faces competition from two other developments launched last year which has yet to be fully sold and is likely to achieve a top bid of $100 psf ppr. While there is no restriction on strata sub-division, the maximum GFA of a unit should not be less than 150 sq m. It is expected to attract genuine industrialists or developers who want to expand or replenish their land banks.

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SINGAPORE PROPERTY WEEKLY Issue 48

Understanding URAs Land Use Planning and Development TypesBy Mr. Propwise Whether youre looking at investing in residential, commercial or industrial property, the Urban Redevelopment Authoritys (URA) area planning and guidelines will have a long term impact on your propertys values. In this post we will look at the different types of development that the URA plans for and in particular we will focus on industrial developments as interest from investors have been increasing in this segment. The URAs role is to plan the physical development of Singapore and to optimize the use of the countrys limited land resources.

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SINGAPORE PROPERTY WEEKLY Issue 48 To this end it puts out the Concept Plan, which is a long term strategic land use plan that guides Singapores 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. For medium term planning the URA also has a Master Plan, which details statutory land use and guides Singapores development over a ten to fifteen year period. The Master Plan renders the broad strategies outlined in the Concept Plan into detailed permissible land use and density plans for developments in Singapore. It is reviewed every five years and the last Master Plan was completed in 2008. The Development Control Group of the URA puts out detailed Development ControlBack to Contents

Parameters that guide what can and cannot be developed in Singapore, depending on the type of development the area is zoned for. Broadly speaking, we can classify it into two major parts, Residential and Non-Residential developments. Types of Residential Planned by the URA Developments

Residential developments in Singapore are generally classified according to i. Registration instrument (e.g. land title or strata title) ii. Density (low, medium or high) and iii. Housing type (e.g. detached, semidetached, condominiums etc). The key separation would be between landed housing and non-landed flats. Landed housing comprises detached (bungalows), semi-detached, terrace and strata landed housing.Page | 10

SINGAPORE PROPERTY WEEKLY Issue 48 Flats can be condominium developments (on sites of 0.4 hectares or larger) or noncondominium flats (on sites smaller than 0.4 hectares). For more information on these different housing types, you can check out this post. Residential development is mainly controlled by plot ratio (which determines the maximum gross floor area) and building height at the macro level, and by guidelines on housing type and form on the micro level. Types of Non-Residential Developments Planned by the URA blocks, shopping mall, food centre etc), mixed commercial and residential buildings (e.g. apartment blocks with a shopping podium), and residential with commercial use on the 1st storey (e.g. shophouses, and developments with shops on the first storey and apartments above). 2. Hotel and other accommodation facilities The URA guidelines cover hotels, boarding/guest houses, serviced apartments, students hostels and workers dormitories. 3. Industrial Im using Industrial here to cover not just Industrial properties but a broad range of related facilities such as warehouses, utilities, tele-communication and business park developments. The guidelines cover singleuser industrial, multiple-user industrial and business park developments.Page | 11

Within the Non-Residential segment, there are five main groups that the URA has detailed guidelines on:1. Commercial Developments These cover commercial buildings (e.g. officeBack to Contents

SINGAPORE PROPERTY WEEKLY Issue 48 4. Places of Worship and other institutions These cover places of worship (e.g. temples, churches and mosques etc), civic and community institutions (e.g. police stations, community clubs, old folks homes, libraries etc), and educational institutions. 5. Others These cover hospitals, petrol stations and golf courses. A closer look at the URAs industrial property guidelines Given the run up in residential property prices over the last few years, investor interest has shifted to commercial and industrial properties, which ostensibly have higher yields and have the virtue of not having appreciated as much. as industrial supposed to be used for? In the Masterplan 2008 the URA introduced a new environmental impact-based zoning approach by creating two new zones, Business 1 (B1) and Business 2 (B2). B1 zones are intended for use by industry, warehouse, utilities and telecommunication uses where the relevant authority (e.g. NEA) does not impose a nuisance buffer greater than 50m. B2 zones are intended for similar uses but for companies which have an imposed nuisance buffer of greater than 50m. In addition to B1 and B2, a Business Park zoning is meant for non-pollutive industries and businesses that engage in high-tech, high value-added, knowledge-intensive and Research and Development activities. B1 and B2 zones are predominantly meant for industrial users such as manufacturing, processing,Page | 12

But what sort of industries are projects zonedBack to Contents

SINGAPORE PROPERTY WEEKLY Issue 48 assembly and repair businesses, product design and development, industrial training, e-businesses, media, warehouse, utilities and telecommunication. A minimum of 60% of the floor area should be dedicated to such uses. Up to 40% of the space can be used for supporting uses such as childcare centers, display areas, toilets, meeting rooms, canteens etc. You can get the detailed guidelines here. An investigative report by The Straits Times found a diverse array of non-industrial businesses and institutions taking up space in industrial estates, including offices, churches, tuition centers, travel agencies and fashion retailers. These non-industrial users are technically violating URA guidelines and if found out can be asked the business to stop, failing which they can be fined up to $200,000 or even jailed.Back to ContentsPage | 13

Given the development of Singapores economy, prime location of some of the older industrial estates and rising rental costs, do these guidelines still make sense? Ive blogged about some of my thoughts on this issue. Share your thoughts in the comments below!

SINGAPORE PROPERTY WEEKLY Issue 47

Non-Landed Residential Resale Property Transactions for the Week of Apr 4 Apr 10Postal District 1 1 1 2 3 3 3 3 5 5 5 5 5 5 5 5 5 5 5 8 8 9 9 9 10 Project Name THE SAIL @ MARINA BAY THE SAIL @ MARINA BAY THE SAIL @ MARINA BAY ICON RIVER PLACE TANGLIN VIEW RIVER PLACE THE ANCHORAGE THE PEAK@BALMEG HERITAGE VIEW THE PARC CONDOMINIUM BOTANNIA PASIR VIEW PARK THE STELLAR THE PARC CONDOMINIUM BLUE HORIZON PARK WEST VISTA PARK VISTA PARK VOGX KENTISH GREEN ORCHARD VIEW GRANGE HEIGHTS WILKIE REGENCY ST MARTIN RESIDENCE Area (sqft) 667 883 893 926 818 1,152 1,475 1,238 990 1,163 1,442 1,163 1,012 1,884 2,648 926 872 753 958 883 1,098 2,530 1,905 850 1,066 Transacted Price ($) 1,367,350 1,677,700 1,562,750 1,510,000 1,100,000 1,430,000 1,768,800 1,450,000 1,488,000 1,280,000 1,535,730 1,200,000 1,000,000 1,850,000 2,550,000 875,000 815,000 660,000 835,000 1,038,000 940,000 6,789,000 2,800,000 1,180,000 2,520,000 Price Tenure ($ psf) 2,049 99 1,901 99 1,749 99 1,631 99 1,345 99 1,242 99 1,199 99 1,171 FH 1,503 FH 1,101 99 1,065 FH 1,032 956 988 FH 982 FH 963 FH 945 99 935 99 876 99 872 99 1,176 FH 856 99 2,684 FH 1,470 FH 1,388 FH 2,365 FH Postal District 10 10 10 10 10 10 11 12 12 12 12 12 12 12 12 14 14 14 14 15 15 15 15 15 15 Project Name BOTANIKA VENTUNO BALMORAL THE MARBELLA VALLEY PARK WILLYN VILLE ST MARTIN RESIDENCE BIRMINGHAM MANSIONS DE ROYALE THE ARTE TRELLIS TOWERS CASA IRRAWADDY CASA FORTUNA BELMONDO VIEW AVA TOWERS EURO-ASIA APARTMENTS THE SUNNY SPRING SIMSVILLE BLOSSOM VIEW SIMS GREEN GRAND DUCHESS AT ST PATRICK'S SUITES @ AMBER COTE D'AZUR THE ESTA WATER PLACE TIERRA VUE Area (sqft) 2,099 1,313 1,744 1,173 861 2,885 1,076 1,281 1,625 1,485 1,130 1,076 1,281 1,227 1,130 1,098 1,528 1,744 2,056 1,356 840 1,152 1,593 1,561 1,410 Transacted Price ($) 4,750,000 2,190,000 2,550,000 1,710,000 1,210,000 3,750,000 1,450,000 1,500,000 1,900,000 1,700,000 1,220,000 1,160,000 1,350,000 1,090,000 970,000 950,000 1,220,000 1,200,000 1,188,000 1,880,000 1,155,000 1,540,000 1,970,000 1,920,000 1,700,000 Price Tenure ($ psf) 2,263 FH 1,668 FH 1,462 FH 1,457 999 1,405 FH 1,300 FH 1,347 FH 1,171 FH 1,169 FH 1,144 FH 1,079 FH 1,078 FH 1,054 FH 888 FH 858 FH 865 FH 798 99 688 FH 578 99 1,386 FH 1,376 FH 1,337 99 1,237 FH 1,230 99 1,206 FH

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SINGAPORE PROPERTY WEEKLY Issue 48Postal District 15 15 15 15 15 15 15 15 15 15 15 15 16 16 16 16 17 17 17 18 18 19 19 19 19 19 21 21 Project Name OCEAN PARK OCEAN PARK COSTA RHU EASTERN LAGOON SANCTUARY GREEN MARTIA RESIDENCE EAST VIEW TANJONG RIA CONDOMINIUM TIERRA VUE D-MANSIONS VILLA MARINA DONG XING COURT RIVIERA RESIDENCES CASCADALE EASTWOOD GREEN BEDOK COURT FERRARIA PARK CONDOMINIUM EDELWEISS PARK CONDOMINIUM CARISSA PARK CONDOMINIUM THE TROPICA EASTPOINT GREEN THE QUARTZ COMPASS HEIGHTS PALM HAVEN RIO VISTA THE QUARTZ THE CASCADIA THE CASCADIA Area (sqft) 1,302 2,110 990 753 1,356 1,023 1,302 969 1,453 1,044 1,130 1,507 1,066 1,335 1,163 1,173 646 1,335 1,324 1,238 958 1,076 1,324 1,238 1,249 1,442 570 570 Transacted Price ($) 1,550,000 2,450,000 1,138,000 860,000 1,500,000 1,080,000 1,370,000 999,000 1,350,000 920,000 980,000 1,210,000 1,228,000 1,120,000 930,000 860,000 740,000 1,138,000 1,050,000 1,145,000 825,000 1,050,000 1,182,500 1,080,000 1,020,000 1,160,000 1,048,000 1,035,000 Price Tenure ($ psf) 1,190 FH 1,161 FH 1,149 99 1,141 FH 1,106 99 1,056 FH 1,052 FH 1,031 99 929 FH 881 FH 867 99 803 FH 1,152 FH 839 FH 800 99 733 99 1,146 FH 853 FH 793 FH 925 99 861 99 975 99 893 99 872 999 817 99 804 99 1,837 FH 1,814 FHPostal District 21 21 21 22 22 22 22 22 22 22 22 23 23 26 26 27 27 27 Project Name THE RAINTREE SHERWOOD CONDOMINIUM SHERWOOD TOWER THE CENTRIS PARC VISTA LAKEHOLMZ PARC VISTA LAKEHOLMZ PARC OASIS LAKEHOLMZ IVORY HEIGHTS DAIRY FARM ESTATE MERALODGE THE CALROSE SEASONS PARK SELETARIS EUPHONY GARDENS ORCHID PARK CONDOMINIUM Area (sqft) 1,335 1,206 1,518 1,442 1,055 1,238 1,259 1,313 1,227 1,324 1,701 1,389 1,916 1,410 1,292 1,119 1,076 1,830 Transacted Price ($) 1,280,000 1,038,888 1,050,000 1,505,000 900,000 1,030,000 1,030,000 1,050,000 970,000 1,030,000 1,080,000 1,310,000 1,700,000 1,515,000 930,000 875,000 753,000 1,125,000 Price Tenure ($ psf) 959 99 862 FH 692 99 1,043 99 853 99 832 99 818 99 800 99 790 99 778 99 635 100 943 FH 887 FH 1,074 FH 720 99 782 FH 700 99 615 99

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

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