Archive for October 25th, 2007

Singapore Pasir Ris leasehold condo site launched for tender

Posted on October 25th, 2007 by Mindy Yong.
Categories: Singapore Real Estate News.

Singapore Pasir Ris leasehold condo site launched for tender
A 99-YEAR leasehold site for private condo development at Elias Road in Pasir Ris has been launched for tender by the state.
CB Richard Ellis expects the 152,054 square foot site to fetch bids of between $260 and $300 per square foot of potential gross floor area, translating into a breakeven cost of about $620 to $660 psf for a new condo on the site. CBRE reckons that the future project would be able to sell for above $700 psf, assuming it is launched in the third quarter next year.

It noted that recent transactions for units in the freehold Ris Grandeur have been at $650-700 psf and those at Savannah CondoPark and Modena (both on 99-year leasehold sites) at above $650 psf.

Referring to the Elias Road site, CBRE executive director Li Hiaw Ho reckons that there may be a pool of HDB dwellers in the neighbourhood ready to upgrade to a new private condo. ‘Units in the new condo project will also have rental potential given the proximity to the beach and other recreational facilities, as well as Changi International Airport,’ he added.

Analysts estimate that the site offered by the Housing & Development Board can be developed into a condominium with about 380 units averaging 1,200 sq ft. The tender closes on Dec 18.

The plot is on the confirmed list of the Government Land Sales Programme for second-half 2007. Earlier this month, the state offered two other condo sites, also under the confirmed list. They are a 2.2-hectare plot next to Lakeside MRT Station in Jurong that can be developed into about 680 units, and a site at Woodlands Ave 2/ Rosewood Drive that can yield about 200 units.
Source : Business Times - 25 Oct 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

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mindy@mindyyong.com

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MV Land’s $68.9m bid the highest for Sin Ming site - Singapore

Posted on October 25th, 2007 by Mindy Yong.
Categories: Singapore Real Estate News.

MV Land’s $68.9m bid the highest for Sin Ming site - Singapore

Unit price of industrial parcel works out to about $50 psf ppr
By ARTHUR SIM

THE public tender for an industrial site at Sin Ming Lane has closed with the top bid of $68.9 million put in by MV Land Pte Ltd.
Based on land area of about 5.13 ha and a plot ratio of 2.5, the unit price of the parcel works out to about $50 per square foot per plot ratio (psf ppr).

The parcel was the first of the two industrial sites tendered under the confirmed list for the second-half 2007 Government Industrial Land Sales programme. The other site on the confirmed list is at Jalan Tepong.

The tender for the Sin Ming Lane site closed yesterday with five bids received by the Urban Redevelopment Authority.

The second highest bid of $65.4 million - about 5 per cent lower than MV Land’s bid - came from Soon Lee Land Pte Ltd.

This should come as some relief for MV Land, which through associate company Eastpoint Development, recently outbid EL Development for an industrial site at Kaki Bukit Road 3 by 58 per cent to pay $72 psf ppr - the highest-ever unit land price for a 30-year leasehold industrial plot.

Eastpoint Development is controlled by Lim Kim Hong and Lim Huixing.

The top bid of $50 psf ppr for the Sing Ming Lane site is ‘reasonable’, said Savills Singapore’s director of industrial business space Dominic Peters. ‘The market for such properties has gone up about 15 per cent in the last six months.’

The site is zoned Business 1 and can be used for clean and light industrial use. Mr Peters expects that the developer will want to build a ramp-up facility. A possible use could be a service centre, he said.

The breakeven price for a project could be around $220 psf, which would mean it could be sold for $250-$280 psf, he reckons. ‘Similar developments are already selling for between $260-$280 psf.’

A decision on the award of the tender will be made after the bids have been evaluated by URA.

MV Land and Eastpoint Development have been hot on the acquisition trail this year, bidding for - though not clinching - a commercial site next to HDB Hub in Toa Payoh, a residential site near Potong Pasir MRT Station and the maiden transitional office site next to Newton MRT Station.
Source : Business Times - 25 Oct 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985
mindy@mindyyong.com

http://www.hotvictory.com

Singapore hotel tax hike won’t apply to service flats

Posted on October 25th, 2007 by Mindy Yong.
Categories: Singapore Real Estate News.

Singapore hotel tax hike won’t apply to service flats

(SINGAPORE) Singapore’s hike in property tax on hotels next year will not apply to service residences, the Inland Revenue Authority of Singapore (IRAS) said yesterday.
Service residences, many of which provide food and cleaning services, have emerged as an alternative to hotels in recent years for business travellers on longer stays.

Singapore-listed Ascott Group, the largest service residence operator in Europe and Asia, has about 600 units for rent in Singapore.

The annual value of a hotel next year will be calculated based on 20 per cent of gross room receipts in the preceding year, and at 25 per cent in 2009, up from the current 15 per cent, according to the IRAS. Hotel owners have to pay 10 per cent of the annual value to IRAS as property tax. — Reuters

Source : Business Times - 25 Oct 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985
mindy@mindyyong.com

http://www.hotvictory.com