Zenith @ Zion - Singapore - District 09 - 10

Zenith @ Zion - Singapore - District 09 - 10

Zenith, a distinctive modern architecture with 85 units in a 13-storey city building. Experience an exclusive lifestyle while you are a stone throw away from the vibrant city.

Located opposite Great World City, brings you all the convenience of your daily needs. Leisure and business are also easily accessible with minutes away from Ochard Road and the Central Business District.

Property Address : Zenith @ Zion Rd - Dist 10
Property Type : Private Apartment
Property District / Estate : D9 and 10 (Orchard,Tanglin,Holland)

Singapore Real Estate - Buy , Sell , Rent ,invest Singapore Property

Buy, sell and rent Singapore real estate: private property, residential apartments, commercial and industrial properties. HDB flats for sale and rental. Foreign investors, buyers, tenants or relocating expats can easily find their ideal landed house, bungalow, semi-d, terrace, condominium, townhouse, private apartment, HDB, HUDC, office, shop, factory, warehouse & land right here.

MINDY YONG

( +65 ) 91002985

mindy@mindyyong.com ( email me )

http://www.hotvictory.com

New development charge calculation kicks in next year 2008

New development charge calculation kicks in next year 2008

It will address historical anomaly that allowed some landowners to avoid paying fees

By Joyce Teo, Property Correspondent

A SIMPLER way of calculating development charges will kick in from next year.
The net effect is that the Government is set to collect slightly more in the form of these charges, which are paid by landowners who want to enhance a site’s value - for example by redeveloping an existing project into a bigger one.

However, not all landowners will be affected. The impact on the market as a whole is expected to be minimal, involving perhaps 2 per cent of private land, or about 1,700 plots, said the Urban Redevelopment Authority (URA) yesterday.

The URA has also added safeguards to help those landowners who are affected by the change.

Broadly, the owners concerned own land that have very high development baselines, thanks to decades-old master plans. A development baseline is the highest maximum floor area allowed under master plans released in 1958 or 1980, or under an existing development already on the site.

These old master plans gave properties in some central parts of Singapore such as Holland Hill, unusually high development baseline values.

Because of this historical anomaly, owners of these land plots previously paid no development charges when they enhanced their land use.

But in future, they will have to fork out like everyone else if they want to build a bigger development on their sites.

This change, and its implementation start date, were announced back in 2003 in order to give landowners ample time to adapt to the change. Yesterday, the URA issued a reminder of the new calculation.

From Jan 1, the development baseline will be simply defined as the value of the approved development. The historical baseline values in the master plans of 1958 and 1980 will no longer play any part in the calculation.

The change will affect a small number of owners who own land with a high historical development potential, said Knight Frank’s director of research and consultancy Nicholas Mak.

If future master plans allow for a bigger development that is within their historical potential, these owners would have been able to redevelop their land without having to pay a development charge, he said.

With the change, they would have to pay the charge to do so.

To mitigate the impact of the change, the Government said the affected landowners may not have to pay a higher charge as long as they keep to the allowed use under the current master plan.

The master plan is revised every five years, but the next one expected around the middle of next year is unlikely to have major changes. The Government has said that there will not be a big exercise to raise a site’s development potential.

Still, if future master plans allow higher plot ratios, the affected owners would have to pay the charge to build up to the maximum space allowed, said Credo Real Estate’s managing director, Mr Karamjit Singh.

In the past five years, the URA has collected on average about $250 million in development charges a year.

Source : Straits Times - 06 Dec 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

http://www.hotvictory.com

China developer buys S’pore Sentosa Cove plot

China developer buys S’pore Sentosa Cove plot

Firm pays $216m, plans ultra-posh marina enclave with jumbo units

By Joyce Teo

A CHINA developer has ventured overseas for the first time and paid a higher-than-expected $216 million for a landed plot on Pearl Island in Sentosa Cove.
The deal is another indication that, while Singapore developers are taking a cautious approach in the wake of the sub-prime crisis, foreign firms are happy to muscle in.

Ximeng Land beat six other bidders, which were not named, to the 14,840 sq m plot, which has a maximum gross floor area (GFA) of 11,872 sq m and can accommodate 19 villas.

It paid about $1,350 per sq ft (psf) for the plot. This is more than double the prices chalked up on the nearby Sandy Island but still below those paid for some individual seafront bungalow plots, which have sold for as much as $1,696 psf.

In September, a landed plot was sold to a developer for $1,099 psf of potential GFA.

Ximeng Land is owned by the majority shareholders of Ximeng Asset Holdings, the parent company of luxury developer Beijing Ximeng Real Estate. The company has built projects in Beijing and two other mainland cities, Yantai and Jinan.

The foreign factor also cropped up late last month when Malaysia’s YTL Corp bought Westwood Apartments in Orchard Boulevard for $435 million. The $2,525 psf per plot ratio (psf ppr) price was a record for a collective sale.

‘These foreign developers have displayed great confidence in the strength of the property market in Singapore,’ said Knight Frank’s director of research and consultancy, Mr Nicholas Mak.

While up to 19 villa units with private berths can be built on the Pearl Island plot, Ximeng said it might build just nine large bungalows, which it expects to fetch record prices.

Property consultants said the nine houses would each be at least 14,000 sq ft, a size not yet available in Sentosa Cove. For the project to be viable, each would need to sell for at least $30 million.

A Ximeng spokesman said it was attracted by the success of Sentosa Cove and its own success in Singapore will provide a springboard for expansion in the region and beyond.

It wants to develop Pearl Island into an ‘ultra-luxurious, world-class marina enclave for the privileged few’ and therefore plans to retain an internationally renowned architect for the project.

Pearl Island is the last of five island sites in Sentosa Cove, all slated for landed homes. There is just one condo plot left - the tender closes next Wednesday; the results are expected to come out early next year - and two individual sea-facing bungalow sites.

Prices at the 99-year leasehold Sentosa Cove have climbed significantly since sales began in 2003, when the property market was still in a slump.

Last month, two seafront bungalow plots were sold at a high of $1,696 psf, said master planner Sentosa Cove.

Some bungalow owners are now asking $1,800 to $2,000 psf when some freehold good-class bungalows sell for only half that price.
Source : Straits Times - 06 Dec 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

http://www.hotvictory.com

Singapore COE prices drop for all vehicle types

Singapore COE prices drop for all vehicle types

CERTIFICATE of entitlement (COE) prices fell across the board in one of the weakest bidding exercises of the year yesterday.
The COE rate for cars above 1,600cc saw the biggest drop, ending 20 per cent lower at a 10-month low of $13,114.

That for cars up to 1,600cc fell by 16.7 per cent to end at $12,001 - again, among the lowest this year.

The premium for Open COE, used mainly for cars, finished 8.8 per cent lower at $15,501.

This fall is one of the sharpest for this category, which is usually supported by speculators who buy and resell COEs for a profit. It is the only COE for cars which is transferable.

COE premiums for commercial vehicles and motorcycles closed 9.7 and 3.8 per cent lower respectively at $13,000 and $1,012.

Motor traders said showrooms have been relatively empty of late. They attribute this to the lack of new mainstream models as well as more people going away for the year-end holidays.

As Mr Mark Choong, managing director of Toyota distributor Borneo Motors, noted: ‘Have you noticed how empty the roads have been in the last couple of weeks, and how easily you can find carpark spaces?”

A recent outbound tourism report said that three million Singaporeans are expected to travel from July to December.

Vehicle prices are expected to fall with the weaker COE prices. Borneo Motors, for example, has cut car prices by $2,000 all round. Mr Choong hopes this will ’stir interest’.

The next tender is two weeks from now.

Source : Straits Times - 06 Dec 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

http://www.hotvictory.com

Simpler rules for deciding DC payment from Jan

Simpler rules for deciding DC payment from Jan
Singapore URA will use only 2003 Master Plan to cap development baseline values
By ARTHUR SIM
RULES on whether proposed building works will have to pay a Development Charge are to be simplified.
Some existing devts will have their higher baseline values (BV) safeguarded, and will be exempt from paying a DC even if the site is redeveloped to a BV higher than MP 2003
The DC, which can be payable when land is redeveloped more intensively, is at present calculated using baselines set in the 2003 Master Plan, or sometimes with the earlier MPs of 1958 or 1980. From January 1, the Urban Redevelopment Authority (URA) intends to use only the 2003 MP to cap development baseline values.

However, some existing developments will have their higher baseline values safeguarded, and will be exempt from paying a DC even if the site is redeveloped to a baseline value higher than MP 2003.

After the recent increase in DC rates, the charge can in some cases amount to more than $100 million, which is a hefty amount compared to the average of $250 million that the URA has collected annually in DCs for the last five years.

The URA said yesterday that only about 2 per cent of all existing private land lots (or about about 1,700 plots mostly in the Central Region) have high historical baselines and even fewer approved developments are built over the plot ratios stipulated in MP 2003.

One such development, which is currently up for collective sale, is Pacific Mansion in River Valley.
Marketed by Savills Singapore, its director of investment, Steven Ming, estimates that the 45-year-old Pacific Mansion is currently built up to a 3.84 plot ratio.

Under the MP 2003, the plot ratio for the area is only 2.8, but Mr Ming says that the URA will permit any new development built on the site to be built up to the present plot ratio of 3.84, making the site particularly attractive as no development charge will be payable.

Mr Ming says that if the URA had not honoured the existing built up plot ratio and not given a development charge exemption, and instead levied development charges based on the existing gross floor area, the development charge for a new development built up to a plot ratio of 3.84 would amount to around $112.8 million, based on the current DC rate of $9,100 psm for the area. This, incidentally is almost three times the DC rate at the end of 2003 when it was about $2,300 psm.

The savings from not having to pay a DC is ‘hypothetical’, as most developers would have factored this into the land value. But as DC rates rise, so does this hypothetical development charge. Mr Ming adds: ‘This is definitely a figure that a developer will consider when looking for a collective sale site.’

Another attractive site on the market is Elizabeth Towers at Mount Elizabeth which has an indicative price of $673 million or about $2,666 per square foot per plot ratio (psf ppr).

Marketed by Newman & Goh, its head of investment sales Jeffrey Goh estimates that the existing building is currently built up to a plot ratio of 4.65 while the plot ratio based on the MP 2003 is also 2.8.

And Mr Goh added: ‘With Westwood Apartments (off Orchard Boulevard) setting a new benchmark price, I expect DC rates to be revised upwards again.’

As with Pacific Mansion, a redeveloped Elizabeth Towers can be built up to the existing built up plot ratio. And the charge of about $110 million, based on the current DC rate of $11,900 psm for the area, is not payable.

But there are not many of such sites around.

Also up for sale with no DC payable is Grange Heights on Grange Road. It is marketed by Jones Lang LaSalle, whose regional director, Lui Seng Fatt, says that not all old developments see such huge figures in the exempted DC amount. ‘For many developments, it may be around $10 million,’ he said.

Indeed, for most developments on the collective sales market, there will be no DC payable because the existing development has not been built up to the current MP 2003 plot ratio.

Willyn Ville at Holland Village is currently built up to an estimated 1.3 plot ratio, even though the plot ratio based on earlier MPs was higher than the 1.4 stipulated in MP 2003.

The difference of course is that Willyn Ville was never built up to the old plot ratios. It is marketed by Chesterton International, whose associate director, Mark Yuen, said: ‘A development that has been built up over the existing MP 2003 is different because the government can’t take back what has already been paid for.’

The revised baseline definition was first announced in 2003. Before the change, development baselines were determined by the highest baseline in MP 1958 or 1980 or that of the approved development.
Source : Business Times - 06 Dec 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

http://www.hotvictory.com

China’s Ximeng Land wins coveted Singapore Sentosa Cove plot

China’s Ximeng Land wins coveted Singapore Sentosa Cove plot

Record $215.65m price for Pearl Island signals strong demand for luxury living: Sentosa Cove
By LYNETTE KHOO

PEARL Island, the final bungalow plot at Sentosa Cove, was yesterday sold to the Singapore unit of China property conglomerate Ximeng Asset Holdings, which won the bidding with an offer of $215.65 million, which works out to $1,687.50 per square foot per plot ratio (psf ppr).

By the sea: Ximeng Land is considering a configuration that will double the space for each bungalow to offer more privacy and exclusivity
The price offered by Ximeng Land (S) Pte Ltd is higher than the previous record for Sentosa Cove, the $1,099 psf ppr paid in September for The Green Collection, Sentosa Cove’s only strata landed housing development.

‘The new record price achieved in this sale signals the strong demand for Sentosa Cove’s exclusive luxury real estate,’ Sentosa Cove general manager Kemmy Tan said.

The expression of interest, which closed on Oct 25, was a hot contest that drew seven bids from local and international developers.

It attracted interest from developers ranging from local conglomerates and foreign-listed companies to boutique developers known for high-end quality residences, Ms Tan said.

The Ximeng Group has a strong track record of developing quality luxury homes in China. Its unit, Beijing Ximeng Real Estate Co, is a renowned developer of luxury building projects in Beijing, Yantai and Jinan.

‘We believe that our success in Singapore will be our springboard to further success in the region and beyond,’ said Ximeng Land general manager Wu Xu Zhao.

Ximeng has received inquiries from several interested parties that are keen to own part of the development, he added.

The 99-year leasehold plot, which is located close to Tanjong Beach and the Tanjong Golf Course, occupies 14,840.4 square metres of land with a maximum permissible gross floor area of 11,872.3 sq m and a maximum permissible plot ratio of 0.8.

It can hold 19 luxury waterfront villas, each with a private berth.

Ximeng Land is considering a two-into-one configuration that will double the space for each bungalow to offer owners more privacy and exclusivity, Mr Wu said. This will mean that Pearl Island may only have nine large units instead of 19.

‘Our top priority now is the appointment of an internationally renowned architect, landscape artist and interior designer,’ Mr Wu added.

Ximeng Land said that the properties on Pearl Island are expected to fetch record prices when they are launched.

‘Sentosa has great potential with the integrated resort, as well as the unique offering of an oceanfront residential marina community, and Pearl Island is the last land parcel of Sentosa Cove’s islands made available for landed development,’ a spokesman for Ximeng Land said.

This project marks Ximeng group’s first investment outside China; it looks like it is not going to be its last.

‘The company is confident that there is still room for growth in the Singapore property market and is exploring opportunities,’ the spokesman said.
Source : Business Times - 06 Dec 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

http://www.hotvictory.com

Singapore Sky@eleven will boost SPH earnings: Tony Tan

Singapore Sky@eleven will boost SPH earnings: Tony Tan

Analysts estimate project to yield up to $450m profit
By CHOW PENN NEE

SINGAPORE Press Holdings is expecting a significant boost to its profits for this financial year and the next - from its Sky@eleven condominium project. In his speech at the media group’s annual general meeting yesterday, SPH chairman Tony Tan said: ‘On the property front, our launch of Sky@eleven, a luxury condominium project at Thomson Road, was greeted with overwhelming response. All 273 units were sold out within hours of the soft launch in January 2007.

‘$100 million has been earmarked to invest in the Internet. So when the trends overseas come … SPH will be prepared and be in a good position to exploit the online space.’
- Dr Tan
‘ SPH will enjoy a significant boost to its profits in the next two financial years from contributions from Sky@eleven.’

‘The last financial year has been a good year for SPH,’ said Dr Tan. ‘With group operating revenue of $1.16 billion, net profit attributable to shareholders crossed the half-billion mark to hit $506.2 million.’

The group’s $506.2 million net profit was 18.1 per cent higher than the previous year’s $428.5 million, which included an exceptional gain of $66.8 million.

The FY2007 results included a maiden profit recognition of $47.8 million from Sky@eleven. Profits from Sky@eleven are being recognised on a percentage-of-completion basis and temporary occupation permit (TOP) is expected in early 2010.

Analysts had estimated total profits from the project at $350 million to $450 million.

At yesterday’s AGM, some shareholders were concerned about the group’s core print business, citing trends of declining newspaper readership in other developed countries.

Another shareholder asked about generating more revenue from online media. Responding, Dr Tan said that the group is continuing to invest in other media platforms.

‘$100 million has been earmarked to invest in the Internet (business). So when the trends overseas come to Singapore, SPH will be prepared and be in a good position to exploit the online space.’

Like any new business venture, building revenue from online services will take time, he said.

Dr Tan also said that SPH is making further inroads into the online search business. Online search and directory services for the China and Singapore market are expected to be rolled out next year, as well as regional online classifieds, he said.

Both are part of the joint venture formed last year with Norwegian media group Schibsted ASA. ‘Online directory portals will be the future for SPH,’ Dr Tan said.

The traditional core newspaper and magazine business continued to make up the bulk of profits for the group, and investing in its current stable of papers continues.

Singapore’s first Chinese freesheet my paper will be revamped into a full-fledged bilingual newspaper early next year. It will have equal emphasis on the Chinese and English languages and will be expanded into a 48-page paper from its current 24-page format.

‘Circulation of our other newspapers, such as The Business Times, Berita Harian and Tamil Murasu, also registered creditable increases on the back of strong support from readers and advertisers,’ said Dr Tan.

SPH announced yesterday that directors Cheong Choong Kong and Lee Ek Tieng would step down. Dr Cheong was appointed a director of SPH in 1997. Mr Lee joined SPH as a director in 2001.
Source : Business Times - 06 Dec 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

http://www.hotvictory.com

Singapore URA ends suspense with award of Marina View site

Singapore URA ends suspense with award of Marina View site

MGPA’s bid is about half the price it paid for plot next door
By KALPANA RASHIWALA
(SINGAPORE) The Urban Redevelopment Authority finally awarded Marina View Land Parcel B to Macquarie Global Property Advisors (MGPA) unit MGP Kimi Pte Ltd yesterday, about three weeks after the tender for the 99-year leasehold site closed.
The longer-than-usual time to evaluate the tender, which was based solely on price, had led market watchers to speculate the state’s reserve price for the confirmed list site might not have been met. The reserve price for confirmed list sites is confidential, the URA said yesterday, when asked by BT.

The tender for the plot had attracted just two bids, and the higher offer, by MGP Kimi, of $779.42 psf ppr, was less than most market watchers had expected, even after factoring in a minimum hotel component stipulated for the plot.

MGPA’s bid for Land Parcel B was about half the $1,409 psf ppr it paid for the next door Land Parcel A in September. However, the earlier site does not have any requirement for hotel use. Hotel land values are significantly lower than office values and this partly accounted for the lower bid for Land Parcel B, analysts have said.

Another factor was new caution that has set in among developers following the sub-prime lending crisis in the US. Office investors are especially wary, as the sub-prime lending worries may directly clip demand by big banks for Singapore office space. An extra concern is that the government has been stating that it will boost supply of office land in the next few years to alleviate the current shortage.

Notwithstanding all these factors, some market watchers had suspected that the top bid for Land Parcel B could have been below the state’s reserve price and that it may not be awarded. And the long evaluation time added fuel to the speculation.

In the past, the government has indicated that its guideline is to award sites if the top bids are at least 85 per cent of the market value assessed by the Chief Valuer (CV). However, bids below the 85 per cent guideline may be accepted if there is ample evidence from recent property transactions of a market downturn, according to past government statements.

When quizzed on the 85 per cent guideline yesterday, the URA said: ‘The Chief Valuer’s estimated market value serves as a guide in evaluating tenders. However, the government reserves the right to reject any tender, regardless of the bid price. Tenders are evaluated taking into consideration all relevant factors, including CV’s estimated market value.’

The authority said the tender evaluation for every state site, including Marina View Land Parcel B, involves a Tender Evaluation Committee comprising officials from a few government agencies including the URA, the Singapore Land Authority, and the CV’s Office, who make their recommendation, which is then reviewed by a committee made up of the Ministers for National Development, Law, Finance and Trade and Industry. ‘Sometimes the evaluation is more complex and can take more time,’ it said.

Some market observers are wondering if longer tender evaluation periods will be a more normal occurrence if the government pumps up its land sales under the confirmed list for the first six months of next year, assuming that developers’ cautious mood lingers for a while.
Source : Business Times - 06 Dec 2007

Singapore Property - Buy , Sell , Rent , Invest

Mindy Yong

(+65)91002985

mindy@mindyyong.com

http://www.hotvictory.com