Singapore Property Weekly Issue 103

Issue 103Copyright © 2011-2012 www.Propwise.sg. All Rights Reserved.

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CONTENTSp2 Hidden Dangers in Mixed Development

and Mature Estates

p6 Property Renting Tip #7: Lease Period

p7 Singapore Property News This Week

p11 Resale Property Transactions

(April 24 – April 30)

Welcome to the 103th edition of the Singapore Property Weekly.

Hope you like it!

Mr. Propwise

FROM THE

EDITOR

mailto:[email protected]

http://www.propwise.sg/advertise/

SINGAPORE PROPERTY WEEKLY Issue 103

Page | 2Back to Contents

Hidden Dangers in Mixed Development and Mature Estates

By Property Soul (guest contributor)

Recently I got a shocking message from my

sister: A strong fire broke out in our

hometown in the estate where my mother

stays.It was built around 15 years ago – a

five-block residential development and each

block comes with 21 storeys. It is also a

mixed development with one of the blocks

housing a wet/dry market and a food court on

the lowest three storeys.

The cause and consequences of the fire

The blaze first started in a dry product store

in the wee hours of the morning at around

three a.m. (the police are still investigating

whether it was arson or an accident).



The fire quickly spread to all the other stores.

The whole estate was soon surrounded by

dense smoke. Amid the sound of a few

explosions, 140 firefighters spent seven hours

to put out the fire. Close to 700 residents

were evacuated and eight people were

admitted to the hospital to treat for smoke

inhalation.

My mother saw the block on fire just next to

hers. She was being evacuated to an open

space where she waited with others for many

hours – with no wallet, no phone and nothing

– until they were finally allowed to go home

by climbing up the stairs (no one was allowed

to use the lift).

The dangers of staying in a mixed-use

development

The incident reminds me of the concerns

about staying in a mixed-use development.

Similar to my mother, people choose to stay

in a mixed commercial and residential project

for the daily convenience it provides.

However, the residents also have to

compromise in terms of tranquility, security

and safety.

According to the Urban Development

Authority, mixed commercial and residential

buildings in Singapore can use up to 40

percent of its total gross floor area for

commercial activities. A common design can

be an apartment block built on top of a

shopping mall. Some residential

developments may only have shops or

shophouses on the ground floor.

However, the main activities, human traffic,

security concerns, fire regulations, etc. are

very different between residential and

commercial premises.



Most people are not aware of the implications

behind or the hidden dangers until accidents

happen.

In the case of this terrible fire, the market was

originally built for the convenience of

residents in the estate. With affordable rent,

goods in the market can be sold at lower

prices. It soon became the most popular wet

market in the city famous for its cheapest,

freshest and biggest variety for shoppers.

Although the estate was not near to any train

station, people from different corners of the

city still flock there to buy food and

ingredients.

In order to keep stock overnight, many stores

were locked up with iron gates after closing

for security reasons. And it was the stock and

the gates that accelerated the spread of fire

in the market. Firefighters had to blow them

open one by one to put out the fire.

Residents at the blocks also complained that

they couldn’t hear the fire alarm at all. The

sound of the alarm was so weak that some

residents thought it was just another lift

malfunction. The management office

explained that the fire alarm of the market

was separate from the ones at the residential

blocks. Fire alarms at the latter was not

triggered by the fire in the market.

Mature estates also have a high

concentration of the elderly

Another potential risk comes from the high

concentration of elderly in mature estates.

The estate on fire was situated in an old

district with predominantly senior residents.

During the fire evacuation, the firefighters

found many residents unable to escape on

their own due to old age or immobility. The

firefighters spent a lot of time and effort

carrying the elderly to safety.



The passers-by asked my mother whether it

was the home for the aged that caught fire.

Even she herself was unaware that there

were so many elderly folks staying in the

blocks. She could imagine that many seldom

leave home on normal days.

Like my mother, the elderly prefer to stay in

an old district where they are close to old

friends and everything they are familiar with.

Even when they move to new homes, they

still choose to stay in the same area. With an

aging population, the concentration of old

folks in mature districts can only increase

over time.

In Singapore, according to the Census of

Population 2010, the top five planning areas

with the highest number of elderly are Bedok,

Bukit Merah, Ang Mo Kio, Hougang and Toa

Payoh.

HDB’s building of 30-year-lease studio

apartments are meant to cater to the housing

needs of the aging population. Although

singles can also apply for the studios, it is

obvious that they are more popular among

the seniors, especially when the interior of the

studios is designed for the needs of the

elderly.

With the concentration of old people in studio

apartments and mature estates, is there

anything that can be done in planning to

avoid the damage caused by fire or an act of

God?

By Property Soul, a successful property

investor and enthusiast who shares her

experiences and knowledge on her blog.

http://propertysoul.com/





Property Renting Tip #7: Lease Period

It is common to have a one to two year lease

period in Singapore, typically two years if it is

a comfortable duration for both the Landlord

and Tenant.In the event you want to have a

longer lease term but are not sure if you want

to keep the same rental rate, you can have a

1+1 lease term in the Tenancy Agreement

(TA).

The +1 lease term gives the Tenant the first

right to extend the lease of the property for

another one year at a re-negotiated rate (this

elaboration can be included in the “Option to

Renew” clause in the TA).

By Eileen Tan and Ui Wei Teck, property

investors and authors of Enjoying Mid-Life

Without Crisis. This tip and dozens more are

from their book.

http://aktive.com.sg/store/enjoying-mid-life-without-crisis/











Singapore Property This Week


Residential

Freehold Yi Mei Garden at Tampines Road

site up in collective sale market

The 78,030.38 sq ft site located at Tampines

Road near the Kovan MRT and Heartland

Mall is asking for $132-135 million or $805-

810 psf ppr including a$4 million development

charge. It has a 2.1 GPR and can be

potentially redeveloped into two towers with a

total GFA of 163,863.79 sq ft. The tender

closes on June 6 at 4pm.

(Source: Business Times)

99-year The Siena at Farrer Road opens

for preview

The SOHO project consisting of 54 one to

three-bedroom apartments units with sizes

ranging from 538 to 980 sq ft has been

opened for preview at prices starting from

$1.28 million or $2,380 psf for a 538 sq ft unit.

Features include high ceilings, unique layout

and space planning concepts. It is located

near schools such as the Nanyang Primary

School and St Margaret's Secondary School

as well as the Botanic Gardens and MRT

station.



Meanwhile, seven out of the 30 released units

at the 103-year leasehold 104-unit Ferra has

been sold at prices starting from $3,160 psf

or $2.3 million for a 732 sq ft unit.There are

32 units of 732 sq ft in size, 70 units of 883-

893 sq ft in size and two penthouses of 2,013

sq ft. The most popular are units in the range

of 883-893 sq ft. Buyers can customise their

unit layout or choose from a selection of pre-

designed layouts.


99-year leasehold Woodlands EC site

draws $216m top bid

The 99-year leasehold EC sitebetween

Woodlands Avenue 5 and 6 which can

potentially yield 590 homes attracted a total of

seven bids, with the top bid of $216 million or

$341.21 psf ppr from Qingjian Realty (South

Pacific) Group. The high bid price and

number of bidders in this tender is despite the

cooling measures in January, indicating

developers’ confidence in demand for ECs in

the region as well as developers’ demand for

lands to replenish or stock up their land bank.

The pent-up demand from the lack of EC

sites released since December 2012 as well

as the location of the site (being in

Woodlands which was set to be developed

into a commercial hub) might also have been

contributing factors. In addition, the amenities

in the in the region will be enhanced by the

upcoming Thomson MRT line and the

planned rapid transit system between

Woodlands and Johor Baruv. A breakeven

price of $650- $700 psf ppr is expected.


Fall in home resale volume and prices in

April

There were 572 non-landed homes resale

deals transacted in April, down from



614 deals in March 2013 and down by 53.9%

from the 1,240 deals in April 2012. This is

attributed to the difference in buyer and seller

price expectation. The fall in sales volume is

accompanied by a 0.4% fall in price from

March. Specifically, prices for resale homes in

the CCR and the RCR fell by 1.9% to $1,772

psf and $1,267 psf respectively while the

prices of home in the OCR saw a 1.0%

increase to $1,022 psf in April. The rise is

largely due to the pent-up demand from first-

time buyers, the low unemployment rates and

interest rates. Nevertheless, this is expected

to change when the demand is being met,

coupled with the cooling measures, increased

supply and the buyer preference for new

homes over resales.

Meanwhile, the overall rents fell by 1.0% in

April, with rents in the RCR and OCR falling

by 4.4% and 0.9% respectively and rents in

the CCR increasing by 2.1% to $4.79 psf.

This lead to a fall in rental yields in both RCR

and OCR to 3.73% and 3.68% respectively

and an increase in rental yields in CCR to

3.25%. Looking ahead, rents are expected to

fall further given the increase in supply.

The COV for resale HDB flats also fell by

$1,000 to $30,000, though the median resale

prices continued rising by 1.1% to $465,000.

There were 1,271 flats resold in April,

compared to 1,355 in April.


Commercial

180-suite Pan Pacific Serviced Suites

Beach Road launched

The new property near Arab Street would

cater to the corporate sector, offering a team

of 24/7 personal assistants, complimentary

Wifi access, a meeting room facility and

shuttle services to the various business



districts. Sizes of the serviced apartments

range from 45 sq m for a one-bedroom unit to

66 sq m for a two-bedroom suite. Unlike most

other serviced apartments, the Pan Pacific

Serviced Suites Beach Road offers both

single-night stays (from $300/night) and

extended stays (from $8,000/month).


Zhongshan Park integrated development

completed

The 190,000 sq ft hotel-cum-commercial

development in Zhongshan Park off Balestier

area has been completed. The development

consists of a shopping mall, a commercial

tower and two independently owned hotels -

the three-star Days Hotel Singapore which

opened last December and thefour-star

Ramada Singapore at Zhongshan Park which

will open on May 18. Combined, they will offer

nearly 800 rooms. The 50,000-sq-ft

Zhongshan Mall will feature tenants such as

FairPrice Finest, Guardian, BreadTalk and

Crystal Jade Steamboat Restaurant.


30-year Loyang Way industrial site attracts

$61.6m top bid

The222,092 sq ft site with a 2.5 GPR and

zoned for B2 development attracted a total of

six bids and a top bid of $61.6 million or $111

psf ppr from OKH Global. Despite its irregular

L-shape, it is attractive to bidders since it can

be strata-subdivided when few other sites in

the area can be, and also since there is a

limited supply of flatted factory in the region.




Non-Landed Residential Resale Property Transactions for the Week of Apr 24 – Apr 30

Postal

DistrictProject Name

Area

(sqft)

Transacted

Price ($)

Price

($ psf)Tenure

1 PEOPLE'S PARK COMPLEX 1,119 910,000 813 99

2 ICON 786 1,420,000 1,807 99

4 REFLECTIONS AT KEPPEL BAY 1,539 3,200,000 2,079 99

4 REFLECTIONS AT KEPPEL BAY 1,076 1,920,000 1,784 99

4 HARBOURLIGHTS 893 1,350,000 1,511 FH

4 CARIBBEAN AT KEPPEL BAY 1,270 1,900,000 1,496 99

5 VARSITY PARK CONDOMINIUM 1,055 1,320,000 1,251 99

5 BLUE HORIZON 904 1,100,000 1,217 99

5 VISTA PARK 947 947,000 1,000 99

5 VARSITY PARK CONDOMINIUM 2,293 2,030,000 885 99

9 THE OXLEY 775 1,690,000 2,181 FH

9 THE COSMOPOLITAN 1,324 2,840,000 2,145 FH

9 RIVERGATE 2,077 4,257,850 2,050 FH

9 THE INSPIRA 936 1,808,000 1,931 FH

10 LATITUDE 2,659 5,902,980 2,220 FH

10 NATHAN PLACE 1,044 2,080,000 1,992 FH

10 SUI GENERIS 1,572 3,020,000 1,922 FH

10 SIGNATURE AT LEWIS 635 1,210,000 1,905 FH

10 GALLOP GABLES 1,163 1,930,000 1,660 FH

10 THE TESSARINA 1,367 2,240,000 1,639 FH

10 SPANISH VILLAGE 775 1,270,000 1,639 FH

10 CASA JERVOIS 1,227 1,900,000 1,548 FH

10 THE MERASAGA 1,367 2,109,425 1,543 99

10 BALMORAL POINT 3,358 4,900,000 1,459 FH

10 VALLEY PARK 1,550 2,180,000 1,406 999

Postal


Area

(sqft)

Transacted

Price ($)

Price

($ psf)Tenure

10 HOLLAND HILL PARK 1,658 2,200,000 1,327 FH

10 ORCHARD BEL AIR 3,229 4,250,000 1,316 99

11 SKY@ELEVEN 2,713 5,150,000 1,899 FH

11 SUITES @ SHREWSBURY 366 673,000 1,839 FH

11 NEWTON 18 926 1,670,000 1,804 FH

11 AMARYLLIS VILLE 958 1,480,000 1,545 99

11 THE SPRINGS 1,012 1,530,000 1,512 FH

11 SHELFORD 23 1,421 1,950,000 1,372 FH

11 MANDALE HEIGHTS 1,216 1,580,000 1,299 FH

12 SCENIC HEIGHTS 2,443 3,050,000 1,248 FH

12 NADIA MANSIONS 2,282 2,488,000 1,090 FH

12 BALESTIER PLAZA 1,001 1,050,000 1,049 FH

12 KIM KEAT HOUSE 1,432 1,480,000 1,034 FH

13 PLATINUM EDGE 1,055 1,395,000 1,322 FH

14 CASA SARINA 1,184 1,200,000 1,013 FH

14 WING FONG MANSIONS 1,227 820,000 668 FH

15 WATER PLACE 732 1,120,000 1,530 99

15 MELROSE VILLE 592 880,000 1,486 FH

15 PARKWAY MANSION 1,819 2,700,000 1,484 FH

15 11 AMBER ROAD 1,345 1,750,000 1,301 FH

15 CHELSEA LODGE 1,227 1,275,000 1,039 FH

15 LAGOON VIEW 1,647 1,400,000 850 99

16 COSTA DEL SOL 1,238 1,450,000 1,171 99

16 EAST MEADOWS 1,216 1,280,000 1,052 99

17 LOYANG VALLEY 1,528 960,000 628 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.

Postal


Area

(sqft)

Transacted

Price ($)

Price

($ psf)Tenure

18 SAVANNAH CONDOPARK 1,227 1,200,000 978 99

19 8 EDEN GROVE 990 1,170,000 1,181 FH

19 THE QUARTZ 1,066 1,220,000 1,145 99

19 TREASURE MANSIONS 990 1,050,000 1,060 FH

19 RIO VISTA 1,378 1,280,000 929 99

20 GOLDENHILL PARK CONDOMINIUM 1,561 2,200,000 1,410 FH

20 FAR HORIZON GARDENS 1,152 898,000 780 99

21 THE CASCADIA 1,216 2,133,000 1,754 FH

21 MAPLEWOODS 1,787 2,670,000 1,494 FH

21 GRAND REGENCY 1,119 1,378,888 1,232 FH

21 SPRINGDALE CONDOMINIUM 1,119 1,268,888 1,133 999

21 PARC PALAIS 1,550 1,680,000 1,084 FH

21 HIGHGATE 1,378 1,360,000 987 FH

22 THE CENTRIS 936 1,050,000 1,121 99

22 CASPIAN 1,195 1,325,000 1,109 99

22 CASPIAN 1,001 1,100,000 1,099 99

23 PARK NATURA 1,023 1,330,000 1,301 FH

23 MAYSPRINGS 915 870,000 951 99

23 CENTURY MANSIONS 915 800,000 874 FH

23 REGENT HEIGHTS 1,023 890,000 870 99

25 CASABLANCA 1,119 1,030,000 920 99

27 ORCHID PARK CONDOMINIUM 872 770,000 883 99

28 GRANDE VISTA 1,647 1,520,000 923 999

http://propertymarketinsights.com/

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Singapore Property Weekly Issue 103