Property 101: Prices Can Go Down

Source : TODAY, Aug 29, 2009

Judging from the brisk sales at launches, it appears many Singaporeans have jumped on the runaway property bandwagon.

But before you get caught up in the sales pitches and showroom euphoria of property agents cheering as each unit is sold, industry players warn that you should step back, take a breath and think twice.




















Enthusiastic crowds at the Optima at Tanah Merah.

This, they say applies to both HDB upgraders as well as those looking for a second property to spruce up their financial portfolio. Here are a few pointers that ought to be at the back of your mind.

1. Do your sums

It may sound obvious but it is often forgotten. Consider upgrading only if there have been significant changes in your credit profile, say, a pay rise and if your appreciating assets are holding up, said PropNex chief Mohamed Ismail.

If you're upgrading from HDB, think about your net proceeds and what you can put into a new property to reduce your loan. Work out how much you need to pay each month. Be prudent and do not over-leverage. Consider the repayment period. Banks typically limit loan repayments to about 40 per cent of your gross monthly income.

Make sure you factor in other debts, expenses and what you need to save.

"Buy a property that will not overstretch your finances while maintaining a lifestyle of your desire," Mr Ismail said.

Choose your home loan carefully. Interest absorption schemes may seem attractive but you may typically end up paying 2-3 per cent more for the entire property.

If you plan to rent out the property, your monthly rental should ideally cover your mortgage instalments.

2. Location, location, location

As an owner-occupier, you should think about transport options. If you're an average HDB dweller, you would do well to choose a property near an MRT station, said Mr Chris Koh, director at Dennis Wee Group.

If you're looking for capital gains or renting out the property, proximity to a MRT station is even more important as tenants (the foreign ones in particular) are looking for convenient public transport options to take them round the island.

Also check out which direction the unit is facing and the project's surroundings.

3. Maintenance and other BILLS

Consider how much you will need to furnish or renovate the new apartment, advised Dennis Wee Group's Mr Koh. Also factor in maintenance charges each month - how much more you will be paying for service and conservancy, parking and other charges.

4. Plan your interim options

Your HDB property may fetch a tidy sum now, but what about in two years when your private property obtains its Temporary Occupation Permit. Unless you intend to keep your HDB flat for rental, you should consider whether you to sell now or later.

If you choose to sell now, you need to think about where you will live in the meantime and the costs you will incur.

5. Be mentally prepared

Be aware that property prices fluctuate and prices may not return to the level at which you bought the property.

"If you can sleep through that, have really no regrets, you like the property and lifestyle, then well and good," said Ngee Ann Polytechnic real estate lecturer, Nicholas Mak. "But don't put everything into a private property thinking that prices will only go in one direction - up."

Ripe For An Asset Price Bubble

Source : The Straits Times, Sep 1, 2009

POST-CRISIS REFLECTION

QUEUES can once again be seen at condo launches - a sight that may surprise many, given that the effects of the world financial crisis will last long after countries emerge from the recession.

Are the queues a sign of the start of a new asset price bubble? Will we learn from our mistakes? What can policymakers do to pre-empt future crises?

Sadly, the root cause of financial crises is in our genes. We are genetically coded to survive and to seek a better life for our offspring. In economic terms, this means consuming some resources now and accumulating the rest for a better future.

While the relentless pursuit of wealth may be individually rational, it can become collectively destructive. The role of a government is to put in place a system that can mitigate the destructiveness by constraining the actions of individuals and businesses.

Going back to the condo frenzy, I can understand why people would line up even after being burned by the market recently. Who would want to miss the boat? The price may soon be out of one's reach if one doesn't jump in now.

This line of thinking may create another unsustainable bubble. Of course, desire alone is not enough. There must be enough accumulated capital to set the bubble creation process in motion.

This leads me to my second point. The savings accumulated in Asia, plus the liquidity injected into the world economy by governments in response to the financial crisis, are massive. The macro environment is, in my opinion, ripe for an asset price bubble. A recent indication of this is the tremendous price surge in China's stock and real estate markets. The surge was not accompanied by any noticeable rise in consumer price inflation.

If this financial crisis were a major earthquake, the ensuing asset price bubbles, like the looming one in China, may be preludes to aftershocks of unknown magnitude.

Unfortunately, policymakers are caught between a rock and a hard place. Any cooling measure runs the risk of spooking markets and reversing economic recovery. However, there are things that governments can do, such as setting clear and firm ground rules for investments.

We can learn much from the saga of the Lehman Minibonds and other credit-linked structured notes. When Lehman Brothers went bankrupt, the whole structured product enterprise collapsed with it. Tens of thousands of investors saw their life savings vanish. They demanded that governments come to their rescue.

The Monetary Authority of Singapore (MAS) laid down basic principles for handling this difficult matter. Among other measures, it investigated the selling practices of financial institutions and set up a fast-track process in the Financial Industry Dispute Resolution Centre to deal with complaints by investors.

This was a balanced and sensible approach to resolving the fiasco. After all, people invested in the structured notes because of various reasons, including informed risk-taking, greed and misleading sales practices. In many cases, it would be impossible to sift out the reasons. In this instance, the solution had to be a compassionate one based on individual circumstances. But I also hope that individuals will end up shouldering part of the responsibility.

The settlements on credit-linked structured notes announced in July in Hong Kong were generous, with all individual investors getting at least 60per cent of their original investment back. While I am happy for the investors on a personal level, as an economist, I have to say that there is merit in a government not giving in to political pressures to lean on financial institutions.

Let's imagine a government caving in and forcing financial institutions to cover the losses incurred or using public funds to do so. Is this fair to those who did not make similar investments? Moreover, the financial institutions' losses will eventually be transferred to their customer bases.

More importantly, such actions will send a signal that irresponsible investment will not lead to negative consequences so long as people can band together to exert political pressure on the government. This would encourage precisely the kind of herding behaviour that creates bubbles.

Returning to the situation here, 10 financial institutions investigated by the MAS were banned from selling structured products for periods ranging from six months to two years. They were also required to fix their internal processes for providing advisory services concerning investment products. This MAS action was applauded by many but it also stunned industry watchers.

I can see why. Financial institutions operate in a competitive market and are expected by their equity holders to generate handsome returns. If their competitors are involved in a lucrative business line, it would be hard for them not to join in.

However, this is yet another case of being individually rational but collectively destructive. Without external intervention, markets will almost certainly fail to stamp out bad selling practices. Although 10 financial institutions were penalised, their short-term pain will translate into long-term gains for the industry.

It would be naive to think that we will be able to avoid future financial crises. But we should be able to draw valuable lessons from the past. The knowledge accumulated over the years led to the swift worldwide response to the current crisis, thus averting a potentially calamitous depression.

The writer is the Cycle & Carriage Professor of Finance at the NUS Business School and Director of the NUS Risk Management Institute.

410 Units Snapped Up At Trevista Preview

Source : The Business Times, September 1, 2009

Singaporeans make up 87% of buyers; even Swiss nationals among purchasers

NTUC Choice Homes has sold 410 of the total 460 units it released for the preview of its Trevista condo in Toa Payoh last week. The co-operative is expected to release more units in the 590-unit project this weekend when it does an official launch, accompanied by an advertising campaign, for the project.

Worth the wait: More units in the 590-unit project are expected to be released at its official launch this weekend

Singaporeans picked up 87 per cent of the total 410 units. Permanent residents made up 7 per cent and non-PR foreigners, 6 per cent, of buyers.

The majority of PRs and non-PR foreigners were from China; some were also from Indonesia and Malaysia; there were also a few Swiss nationals, an NTUC Choice Homes spokeswoman said.

She said 70 per cent of the buyers have HDB addresses and the other 30 per cent, private addresses.

About 80 per cent of buyers purchased on the normal progress payment scheme. The remaining 20 per cent who opted for interest absorption scheme are being charged a 2 per cent price premium, the Choice Homes spokeswoman said.

When sales in the 99-year leasehold condo began on Friday morning for the first batch of 210 units, the average price was $898 per square foot, but with two subsequent batches of additional units released, prices were adjusted marginally upwards, although this also had to do with the newer units being on higher floors and having better orientation.

The average price currently is understood to be around $920 psf.

What's left are a limited number of two-bedroom units, with the majority of what's available being three- and four-bedroom apartments, BT understands. The remaining 130 units in the condo are expected to be released this weekend and they include prime pool-fronting units.

Trevista is being marketed by CB Richard Ellis and ERA.

Over at Ridgewood Close in the Mount Sinai area, Singapore Land is understood to have sold slightly more than 100 units at its preview of Trizon, a 289-unit freehold condo.

Two of the project's three blocks have been released for sale. The units were priced between $1,250 psf and $1,550 psf and buyers are understood to be mostly Singaporeans with some foreigners (predominantly Indonesians).

A typical three-bedroom unit of 1,550 sq ft costs about $2.12 million.

SingLand is selling the 24-storey project with only the normal progress payment scheme. It will hold an official launch of Trizon this weekend.

Buyers Snap Up Flats At Trevista Condo In Toa Payoh

Source : The Business Times, August 29, 2009

320 of 590-unit project taken up; co-op to release more at weekend

IF it's priced attractively, it still sells. Hungry home buyers yesterday bought around 320 units at the 590-unit Trevista condo in Toa Payoh.

HOT PROPERTY - Some agents were seen armed with blank cheques from clients who had given them authorisation to book units

By around 3pm yesterday, buyers were said to have snapped up some 190 of the total 210 units released in the first phase of the preview, resulting in developer NTUC Choice Homes Co-operative releasing a further 190 units in the early evening to satisfy demand. BT understands that the price was raised by about 2-3 per cent for the second batch from the initial phase's average price of $898 per square foot (psf). However, some of the price gain also reflects the fact that units in the second batch are on higher floors and have better orientation.

While many people will baulk at this price for a 99-year leasehold project, what has been drawing buyers to Trevista is that the psf pricing is about 20 per cent lower than the closest competition from a comparable recently launched project - Far East Organization's Centro Residences next to Ang Mo Kio Hub, which was released last month at an average price of $1,150 psf. However, Trevista's units are generally bigger than Centro's so in absolute dollar quantum per unit, the price difference between the two projects may be less.

The smallest units at Trevista - studios and apartments with one bedroom plus study - were the first to sell out yesterday. Some agents were seen armed with blank cheques from clients keen to secure the better units and who had given them authorisation to book units on their behalf.

Choice Homes CEO Margaret Goh had noted on Thursday that Trevista is the first private condo to be launched in the mature Toa Payoh estate since 1996. That was when City Developments Ltd launched the freehold Trellis Towers at an initial average price of $900 psf, according to newspaper reports at the time.

With 400 units or two-thirds of the total units in Trevista released by yesterday evening, Choice Homes stopped issuing queue numbers after 9pm and told those streaming into the showflat site to return the next day.

The co-op is expected to make further units available over the weekend to cater to demand. Trevista comprises a total of 590 units in three 39-storey towers. It is being marketed by CB Richard Ellis and ERA.

Developers sold 10,017 private homes in the first seven months of this year - more than double the 4,264 units in the whole of 2008 when home buying dried up due to the global financial crisis. The unexpectedly strong sales pick-up since February this year came about after developers cut prices. However, they have since been raising prices for some projects - and that has resulted in generally slower take-up.

Initial Phase Of Trevista Condo Going At $898 PSF On Average

Source : The Business Times, August 28 2009

This is about 20 per cent lower than Centro Residences, priced at $1,150 psf on average

NTUC Choice Homes Co-operative is pricing the initial phase of its Trevista condo at Toa Payoh, which previews today, at an average price of $898 per square foot. This is about 20 per cent lower than Far East Organization's Centro Residences next to Ang Mo Kio Hub, priced at $1,150 psf on average and released last month.

Centro Residences by Far East Organization is priced lower than NTUC Choice Homes’ Trevista condo. – Far East Organization

However, as Trevista's units are generally larger than Centro's, the price differential in absolute terms may be less.

Far East has sold only about 100 units - an outcome some market watchers see as due to price resistance.

Both projects are on 99-year leasehold.

Trevista is near Braddell MRT Station and within walking distance of shopping and other amenities at HDB Hub and Toa Payoh Central. Centro, a 34-storey project with 329 units, is right next to Ang Mo Kio Hub and opposite Ang Mo Kio MRT Station.

The $898 psf and $1,150 psf average prices for the two projects are for normal progress payment schemes. Buyers who opt for the interest absorption scheme will pay 2 per cent more at Trevista and 4 per cent more at Centro. So far, none of Centro's buyers has opted for interest absorption.

NTUC Choice Homes said yesterday that the absolute price quantums at Trevista on average are about $830,000 for a two-bedroom unit, $1.065 million for a three-bedder, and $1.43 million for a four-bedroom apartment, on a normal progress payment scheme.

The developer is releasing 210 units this weekend, comprising mostly two, three and four-bedroom apartments. The project has a total of 590 units in three 39-storey towers.

Choice Homes has invited business associates, NTUC union members and members of the public who have registered interest in the project for today's preview. The co-op is extending special benefits to union members for a 'limited period during the preview'.

Each member who buys a Trevista unit will be given 55,000 LinkPoints as well as one of three other benefits, each worth up to $6,000 - a free NTUC Income Mortgage Protection Plan; an integrated fridge; or a family cash rebate for union members living near their parents or children residing in Toa Payoh or for multiple family-purchases of units.

Trevista is being marketed by CB Richard Ellis and ERA.

Over in the Mount Sinai area, Singapore Land is previewing its freehold Trizon condo this weekend at between $1,300 and $1,500 psf. However, prices are likely to be lower for ground-floor units with private enclosed space.

SingLand is offering only a normal progress payment scheme. It is developing the 24-storey condo, which will have 289 units, on the former Himiko Court site that it bought in May 2007 for $336 million. This works out to $821 psf of potential gross floor area, including an estimated $1.07 million development charge.

职总大巴窑公寓 平均尺价未过千

Source : 《联合早报》August 28, 2009

备受瞩目的大巴窑共管公寓Trevista，售价定得比市场原本预期来得低，平均尺价不但不超过千元，而且还低于900元。

职总安居(NTUC Choice Homes)昨天宣布，将这个99年地契共管公寓的平均尺价定在898元。它将在这个周末的预售活动中，推出首210个单位供买家选购。

Trevista将在这个周末的预售活动中，推出首210个单位供买家选购。

对于这个定价，一些市场人士猜测，职总安居是否为了尽其社会责任，而特意将平均售价压低下来？

职总安居总裁吴莉莉昨天说：“我们认为这是个物有所值的定价，也是一个人们负担得起的价格(accessible pricing)。至于销售反应就让市场来决定吧！”

一名ERA产业经纪告诉记者，她的同行已经在过去几个星期收到了许多空白支票，因此她相信今天的示范单位将会“爆满”，场面也会非常“混乱”。她透露，她也在几天前收到一张空白支票，客户愿意出百多万元来预订一间两卧房式单位。

公众要明天才能参观示范单位

Trevista的预售活动将在今天下午2时优先开放示范单位给工会和基层领袖参观，3时则开放给职总会员，以及事先向房屋经纪登记的买家进场。一般公众要等到明天才能够参观示范单位。

位于大巴窑2巷和3巷之间的Trevista共管公寓，相当靠近布莱德地铁站，共有590个单位。它最近受到市场的高度瞩目，主要是因为许多市场人士相当关切，职总安居会怎么为这个市郊的99年地契共管公寓定价？

大巴窑已经十年没有新的共管公寓推出，再加上两个地铁站以外的中景峰(Centro @ Ang Mo Kio)，最近以每平方英尺1150元“起跳”，创下历来邻里组屋区99年地契共管公寓的新高，令人咋舌，所以不少人关注，这个“地点大众化”的邻里共管公寓，尺价是否一点也不大众化？

在这之前，房屋经纪开给买家的指示价格，一直都在每平方英尺大约1100元左右，一些小型单位的价格甚至叫到每平方英尺1200元。

不过，本报一个多星期前的一篇评论曾指出，全国职工总会在1995年11月创立职总安居的目的，是为新加坡人提供他们负担得起，而且物有所值的房子，因此，职总安居或许会为了其社会使命，而故意压低Trevista的价格，以不超过每平方英尺1000元来发售这个项目。

根据职总安居昨天发表的文告，Trevista的两卧房式单位平均售价大约是83万元，三卧房式单位的平均售价大约是106万5000元，四卧房式单位的平均售价则是143万元。

Trevista两卧房式单位面积介于861至1249平方英尺；三卧房式单位面积介于1098至1615平方英尺；四卧房式单位的面积介于1561至2002平方英尺。

一名潜在买家（胡小姐，33岁）说：“照这个价钱来看，两卧房式单位的尺价大多应该是在960元左右，尺价在900元以下的应该是阳台比较大的单位。这个价钱虽然比我原本想象中低，不过也不便宜。”

一些读者之前也向本报反映，职总身为一家非牟利机构，实在不应该希望赚取暴利，以千元以上的尺价来发售Trevista。

本报之前的评论指出，如果职总安居以每平方英尺1100元来推出Trevista，将能赚取1亿5000万元的暴利。这是因为一些分析员估计，职总安居在这个项目的成本大约是容积率每平方英尺800元。

昨天，相关人士表示，由于Trevista的楼高达39层，停车场又建在地下，所以建筑成本会比一般共管公寓来得高，并不只每平方英尺800元，而是较接近每平方英尺850元。

职总安居这次将Trevista的实际推出价格，定在每平方英尺平均898元，远远低于市场预测，估计盈利应该是在两三千万元左右。

Homes Near MRT Stations On Right Track

Source : The Straits Times, August 22, 2009

They are easier to rent out; fetch higher prices

TWO property developers were recently in the spotlight for including unconfirmed locations of future MRT stations in their condominium advertisements.

The incident clearly highlighted the popularity of housing developments located near MRT stations.

UOL Developments' recent advertisement for Meadows@Pierce, a condominium project in Upper Thomson Road, had a map showing sites of stations on the future Thomson Line. The line's alignment and its stations have yet to be confirmed. -- PHOTO: MEADOWS@PIERCE

Property agents say the benefits of such a location are myriad, though buyers can expect to pay significantly more for such properties.

'Singapore has a very comprehensive MRT network which is constantly being expanded, and being near an MRT station will reduce travelling time,' said Mr Eugene Lim, associate director of ERA Asia Pacific. He added that this is a key factor in the attractiveness of such properties to owner-occupiers and tenants.

Property agents The Straits Times spoke to said that buyers can expect to pay a premium of $10,000 to $15,000, or 5 to 15 per cent of the purchase price, for HDB flats located near MRT stations. For private properties, this premium ranges from $20,000 to $50,000.

This is a premium based not just on convenience; there are several other long-term benefits that come with a location near an MRT station.

'Flats near MRT stations are definitely easier to rent out,' said Mr Adam Tan, spokesman for property firm Propnex. Non-Singaporeans working here make up more than 50 per cent of the rental market, and to them, 'public transport is key' as they are unlikely to want to purchase a car, he noted.

'For young expat foreigners with no kids, good schools mean nothing. In contrast, the MRT will link them to work and wherever they need to go,' he added.

The resale value of properties located close to MRT stations is also higher. Coupled with the fact that a number of MRT stations are located in the heart of town centres, it is no surprise that properties close to these stations are more popular and command higher premiums.

'Other amenities such as shopping malls and offices near the MRT station will definitely drive up demand and price,' said Mr Tan.

For a property to be considered near an MRT station, it should be within walking distance of five to eight minutes, or within a 0.5km to 1km radius around the station.

A few additional minutes spent walking make a big difference in price. Property agents say that a property located five minutes away from an MRT station will command a selling price 10 per cent above one that is located 15 minutes away. This premium rises to 15 per cent compared to a property 25 minutes away.

ERA's Mr Lim noted that a flat within five to eight minutes' walk of Tampines Central, now home not just to Tampines MRT station but also three shopping malls and a number of offices, would easily have a resale value of about $20,000 more than a flat of the same age located in a more inaccessible part of the estate.

In addition to the perks that come with convenience, purchasing a property close to an MRT station is a sound investment decision.

Mr Tan cited Astoria Park, near Kembangan MRT station, as an example of a property whose value is likely to appreciate significantly. Units there sold for about $630 per sq foot about six months ago, and are now selling for about $750 psf. Mr Tan said prices of similar developments close to MRT stations should appreciate by 20 to 30 per cent over the next 10 years.

All the agents The Straits Times spoke to agreed that there will always be a demand for properties located close to MRT stations, regardless of market conditions.

But while proximity to MRT stations is a perk, it is possible to be too close. One property agent said that residents of some units in The Jade, a condo development situated right next to Bukit Batok MRT station, have to put up with beeping noises from the station and the roar of trains passing by.

'You definitely should not be getting a place right next to an MRT station if you want total peace and quiet,' said Mr Tan.

New Condo To Get Walkway To MRT Station

Source : The Straits Times, August 21 2009

Beach Road private housing project could set new property trend

HOW'S this for a condominium's selling point: Near MRT station. Complete with all-weather walkway.

The new Concourse Skyline in Beach Road could be the first private housing project to have an overhead bridge linking it to Singapore's mass transit system.

Part of the covered overhead bridge that will link Concourse Skyline in Beach Road to Nicoll Highway MRT station. -- PHOTO: LIM SIN THAI

Other condo projects are likely to follow, in what could be an emerging trend.

Once it is completed, residents of the 99-year lease Concourse Skyline, being built on a demolished wing of the Concourse complex, will need to walk only about 200m to the Circle Line's rebuilt (and relocated) Nicoll Highway station due to open next year.

The 360-unit condo, developed by listed property group Hong Fok at an estimated $200 million, is expected to be ready by 2013.

Concourse Skyline's unique addition arose from rather unusual circumstances. The original Nicoll Highway station, which was much nearer to the Concourse, would have had an underground link to the former Concourse wing. But when the uncompleted station collapsed, killing four workers in a 2004 construction accident, plans for the underground link were scrapped.

A dispute then ensued between the Land Transport Authority and Hong Fok. Neither party would comment on this, but The Straits Times understands it partly involved the condo developer wanting direct access to the new station. The issue was settled last year, resulting in the overhead residential link.

Why not an underground connection?

'The new Concourse development is no longer a commercial space, and the new MRT station is much farther away,' explained Hong Fok director S.E. Cheong.

The project will be carried out in three stages, the first being the overhead bridge spanning Nicoll Highway. It was completed recently.

Construction of the second stage that links the overhead bridge to the MRT station, complete with lifts and escalators, is under way.

Once the Concourse Skyway nears completion, the final segment joining the condo to the bridge will be built by Hong Fok. Access to this segment will be through a secured doorway, passable only to residents.

Hong Fok had already included the linkway in publicity materials for the condo. The project was launched last year just as the impact of the world financial crisis hit Singapore. Units were then priced at between $1,500 and $1,800 per sq ft. Mr Cheong said yesterday 140 units have been sold.

City Developments' massive $2.5 billion South Beach project - also in Beach Road and targeted to be up by 2016 - will also have mass transit links. A spokesman said the 3.5ha commercial-and-residential project will have underground links to both Circle Line and Downtown Line stations, as well as to CityLink Mall that connects to the City Hall station and Raffles City Shopping Centre.

On The Hunt

Source : TODAY, Aug 15, 2009

Look at these suburban homes on offer

With the seventh lunar month round the corner, developers are slowing down on new property launches. Still, say industry watchers, the current exuberance may bring some action in this traditionally quiet season. Tan Hui Leng finds out what's in store this weekend.

1 Cabana by Far East Organization
A resort-style cluster development, Cabana is located at Sunrise Terrace near Yio Chu Kang MRT station. This weekend's launch will see 25 out of a total of 119 landed terrace homes up for grabs. Unit sizes range from 2,800 sq ft to 3,000 sq ft. Prices this weekend start at $1.78 million for a 2,917 sq ft unit. Each three-storey home comes with four bedrooms and a roof garden. The tenure of the development is 103 years. Walk-in viewings available.














2 Centro by Far East Org


























The developer of this upcoming condominium beside Ang Mo Kio MRT station still has units left in its Phase 1 launch, starting from $1,100 psf. Centro is a 329-unit development that is expected to obtain its Temporary Occupation Permit in 2015.


3 Livia by City Developments





















If you thought you had missed the boat on Livia, fret not. Twenty units will be on sale this weekend. First launched last July, Livia is a 99-year leasehold property with a total of 724 units. Located in Pasir Ris, 650 units in the projects have already been launched and mostly sold. The development consists of 10 blocks of 15- and 16- storey flats with basement car parks, swimming pool and communal facilities. The average price is $650 psf and the project is expected to be completed in 2011.

Jurong Gets Transport Hub

Source : The Straits Times, Aug 14, 2009

Move in line with plans for development of Jurong Lake District

CONNECTIVITY for commuters in Singapore's west will soon be ramped up with a brand new bus interchange at Boon Lay and an expanded road network in Jurong East.

The 20,000 sq m Boon Lay integrated bus interchange, which will be linked to the MRT station and retail shops, will have the greatest number of bus services - 31 in total - when it opens at the end of the year. -- ST PHOTO: MUGILAN RAJASEGERAN

The 20,000 sq m, fully air-conditioned interchange is set to see buses rolling out during the year-end school holidays.

Costing $24 million, it will be Singapore's biggest and most expensive bus interchange to date. It will also have the greatest number of bus services - 31 in total.

When it is open, Boon Lay will be the fourth town to have an integrated public transport hub, in which the bus interchange and MRT station are seamlessly linked with retail outlets.

The other integrated hubs are in Toa Payoh, Ang Mo Kio and Sengkang, while Clementi and Serangoon are expected to get air-conditioned bus interchanges in 2011.

Commuters using the new Boon Lay bus interchange can get to it through multiple entrances.

An escalator from the third floor of Jurong Point 2, near the NTUC FairPrice supermarket, will also take shoppers directly to the bus interchange.


















Over in Jurong East, motorists can look forward to smoother traffic flow as the Land Transport Authority (LTA) adds two new roads to the estate.

An LTA spokesman said traffic demand is expected to go up in the town as plans for the Jurong Lake District take shape.

A new dual three-lane road will extend from Jurong East Street 13 to Toh Guan Road. Another new dual two-lane road will be built to link Jurong East Street 13 and Jurong East Street 11.

Read the full story in Friday's edition of The Straits Times.

Buying The Ultimate Home

Source : The Business Times, August 13, 2009

LANDED HOMES

With only about 2,400 units of good class bungalows in the market, almost any GCB would be a rare find

THEY are wealthy and successful people who can probably afford to buy any home they want, but many of them are being drawn towards good class bungalows (GCBs). There are only 39 designated GCB areas in Singapore and Binjai Park is one of them. However, these areas are not all equal. Douglas Wong, director of luxury homes at CB Richard Ellis says: 'Some GCB locations are more prestigious than others.'

If one is looking for exclusivity, the most expensive GCBs are generally in the Nassim and Lady Hill areas. This is followed by those in the Tanglin vicinity.

For instance, the current asking price for GCB land in the Nassim area is between $1,500-$2,000 per square foot (psf) whereas in Chestnut Drive, GCBs have been known to have transacted at around $550 psf, says Mr Wong.

There are also pros and cons to buying either an old bungalow or a newly built one. 'Some old GCBs have unique architectural features and come with a rich heritage. Buyers, however, have to be prepared to set aside some money to refurbish and upgrade the building and fit it out with modern conveniences,' says Mr Wong.

New buildings, he says, can be tailored to specific tastes but also be expensive. But what usually pushes up prices is the location.

A martial arts movie star who picked up a GCB at Binjai Park for $19.8 million at around $871.36 psf earlier this year appears to have gotten a good buy.

It was reported that the seller of the house had incurred a loss of $1.2 million on the deal, having bought the property in early 2007 for $21 million, or $924 psf.

William Wong, managing director of RealStar Premier Property Consultant says that the selling price for a newly built GCB will generally be higher than that of an old GCB. 'The choice normally depends on whether the buyer is price sensitive,' he says.

Mr William Wong also points out that a new house might take as long as two years to build although it is more likely to be built to the owner's precise specifications.

If one is looking for exclusivity, the most expensive GCBs are generally in the Nassim and Lady Hill areas, says Mr William Wong. This is followed by those in the Tanglin vicinity such as the Rochalie, Bishopsgate and Chatsworth areas.

On the prices, GCBs in the Tanglin vicinity range from $1,200-$1,400 psf for the top of this category. 'Other popular GCB areas are in the Swettenham, Pierce, Dalvey, Cluny Park areas where prices can range from $1,100-$1,300 psf,' he added.

'1,000 psf is the standard price for an average GCB. Prices have been moving up over the last six months. Now is a good time to buy as there is a huge demand with many permanent residents trying to purchase GCBs of 15,000 sq ft in size,' added Mr William Wong.

Permanent residents are permitted to buy landed property, but only with permission from the government. Foreigners cannot easily buy a GCB or any other landed home here as the government restricts foreign ownership of residential property. However, foreigners who take up Singapore citizenship may buy landed property.

The exception to the restrictions is the gated residential enclave of Sentosa Cove, where ownership rules were eased to allow foreigners who are not permanent residents to buy landed homes or land plots, though permission is still needed.

Apart from some restrictions on ownership, CBRE's Douglas Wong says that one of the common misconceptions when buying a GCB is that some buyers unknowingly pay a premium for a home that actually falls outside the designated GCB areas. 'Some buyers think that as long as a bungalow has a land area of 15,070 sq ft, it is considered a GCB, not knowing there are only 39 designated areas,' he added.

Before buying any home, it is also useful to do some checks. For instance, Mr Douglas Wong says that it is useful for a surveyor to be called in to assess and ascertain the site boundary for issues such as encroachment.

A structural surveyor or engineer can also be engaged to assess the structural integrity of a house, especially if it is an old or conserved bungalow. It is also important to check with the relevant authorities about possible drainage and road reserves as this could affect the the boundary setbacks.

Finally, the terrain, shape of the site and frontage are other physical characteristics that are important, especially if one is going to build a new house.

But with only about 2,400 units of GCBs in the market, almost any GCB would be a rare find.

Donald Han, managing director of Cushman & Wakefield, points out that GCBs represents just 3.5 per cent of total landed housing and a mere one per cent of total private residential stock.

'The majority are owned by the who's who - and are seldom placed for sale in the market. On the contrary, there's an increasing pool of buyers made up of high net worth individuals, GCB collectors as well as permanent residents who are looking to buy GCBs for their own use,' he adds.

GCB buyers are a discerning group of investors who also have a different view on what makes a good investment. 'Yields are not part of the investment criteria - which is typically less than 2 per cent,' said Mr Han.

Instead most see GCBs as a good long-term asset class of investment, 'especially in land-scarce Singapore where land value appreciates over time'.

And Mr Han believes that the outlook for GCBs is also good. 'Generally, GCB prices have fallen by 35 per cent since the peak last year; and with the improved outlook in real estate sector, we expect further price upside in this sector,' he said.

Law Firms To Lose Right To Hold Property Deal Money

Source : The Straits Times, August 12, 2009

Ministry seeks feedback on proposals to protect buyers and sellers

ALL payments for property deals will in future be held by the Singapore Academy of Law (SAL) or commercial banks, and not law firms.

General details of how this will work were released by the Law Ministry yesterday as it sought public feedback on a final solution to the longstanding problem of lawyers running off with their clients' money.

In the last five years, rogue lawyers have absconded with almost $20 million in funds meant for property transactions, and held in client accounts in law firms.

The Law Ministry's proposals were sparked by the need to protect monies entrusted to lawyers by buyers and sellers of properties.

For instance in 2007, a 47-year-old woman who sold her property for $740,000 and hoped to use the gains of $200,000 to get out of bankruptcy, came to grief when the lawyer she hired, Zulkifli Amin, skipped town with her money.

It was part of a $6 million loot he had stolen from conveyancing transactions entrusted to him to handle.

The case showed that earlier moves to safeguard such deposit monies were inadequate.

After rogue lawyer David Rasif fled with $11 million in 2006, the rules were changed so that at least two lawyers had to sign off on cheques withdrawing more than $5,000 from clients' accounts.

Despite this, Zulkifli still managed to disappear with $6 million in November 2007.

The Law Ministry's recommendations will stop lawyers from handling monies meant for property deals altogether and provide for punishments if the rules are breached.

Property buyers and sellers will not be inconvenienced.

The SAL takes over the role of the law firm in holding the deposit, which it pays out in due course.

Clients do not have to deal with the academy directly.

The moves follow the recommendations of a review committee appointed by Chief Justice Chan Sek Keong and chaired by Justice V.K. Rajah last year. A team headed by Senior Counsel Wong Meng Meng then worked out the implementation.

Under the current system, a prospective buyer gives a cheque for the deposit on the transaction price to the seller's law firm once he has exercised his option to buy. The money is kept in the client's account for 12 to 14 weeks while lawyers work to complete the sale, and then it is released to the seller.

In future, the cheque will be replaced by a cashier's order payable to the SAL which the buyer's lawyer can forward directly to the academy.

The balance of the sale price will also be paid by cashier's order - to the seller, the lawyer for his legal fees, and the property agent for his commission.

While the SAL will be the main body to hold the conveyancing deposits, the ministry is in talks with local banks such as UOB, OCBC and DBS to provide the service.

A spokesman for heavyweight firm WongPartnership said the proposed changes would have minimal impact on the conveyancing transactions of large law firms, which already have 'stringent measures' in place.

It should even reduce administrative work, said Ms Edna Lim, a lawyer from a small firm, Jing Quee & Chin Joo.

'While the details have yet to be established, there would be no inconvenience if the firm's role is to forward the cashier's order to SAL on the client's behalf,' she said.

Lawyer Amolat Singh noted that the changes would be an enlargement of the SAL's role, which now holds deposits paid by owners of new homes, worth about 5 per cent, to guarantee against defects in construction.

The funds are released to the developer only a year after owners have taken occupancy.

A Law Society spokesman said the society would be responding to the recommendations.

The public may view further details at the Law Ministry's website at www.minlaw.gov.sg .

Feedback may be faxed to 6332-8842 or e-mailed to MLAW_Consultation

@mlaw.gov.sg by Aug 26.

Looking For A Home To Buy? Try Resale

Source : The Sunday Times, Aug 9, 2009

Prices are mostly lower, living space is larger, but one must choose carefully

Now that the property market has picked up, individual sellers are out in full force.

They are putting up their properties for sale, from the newest uncompleted homes to fully furnished tenanted units and ageing apartments.

For home seekers, this means that apart from brand-new launches, there are plenty of choices in the resale market.

Even developer Keppel Land (KepLand) has started releasing tenanted, fully furnished units at its 99-year leasehold Caribbean at Keppel Bay for sale.

The 969-unit development, launched in 2000 at about $800 per sq ft (psf), had been fully sold, except for 168 units that KepLand has kept for leasing purposes under Caribbean Residences.

The developer declined to disclose the number of transactions, but said asking prices are around $1,300 psf to $1,400 psf. Caveats lodged last month show deals done from $1,131 psf to $1,218 psf.

But, said HSR Property Group executive director Eric Cheng, 'the resale market is not that hot compared with 2007, when you could sell one apartment within one or two days'.

Right now, only the new projects are moving very fast, he said.

He added that 'market sentiment is strong as people are very confident. I think a bubble is forming but it is not near the bursting level yet'.

In the resale market, not only are the units bigger, but living space is also larger as there are fewer bay windows and planter boxes unlike in new condo units.

Prices are also much more affordable, said Chesterton Suntec International's research and consultancy director Colin Tan. But at the moment, 'a large amount of the liquidity or excess money in the market is going mostly into the new launches, that is, uncompleted properties', he said.

'The genuine buyer may end up paying a high premium for a newly launched unit and...spend his whole life working to pay off the mortgage.'

Buyers may want to consider already-built or older projects near new launches which are selling at lower prices, property experts said.

'Quite a number of buyers are not aware that there are better buys in the resale market. They know only how to buy from showflats,' said an investor who recently profited from the sale of a Citylights unit, which he had bought for just $550 psf three years ago and sold at $1,200 psf.

Buyers should ask themselves which properties are available for the budget they have, he suggested. Then, they should narrow down their choices and pick a unit that gives them the most value for their money.

In the Tanah Merah area, deals caveated last month at the nearly completed Casa Merah were at $699 psf to $751 psf, below the average launch price of $810 psf at the sold-out project Optima just next door. Some sellers at Casa Merah may now be asking for higher prices but it remains to be seen if buyers will bite.

Sellers at other completed projects may also be asking for more, as Mr Tan pointed out. He cited an owner of a low-floor 1,453 sq ft unit at Savannah CondoPark in Simei Rise who recently raised his price from $850,000 to $920,000 in line with market sentiment.

This is despite the fact that the owner has failed to find a buyer at the earlier price since January, said Mr Tan.

Greed often gets in the way of a deal, property experts said.

Said the unnamed investor: 'In order to entice buyers to buy resale units, sellers must price them at least 10 per cent below developer units in the vicinity.'

In general, prices of many completed projects are still falling but a few of the better ones have seen some price increases recently, said Mr Tan. However, even then, the increases are minimal compared with those of the new launches.

For those who are ready to commit to a property purchase, it may pay to look at completed homes in the resale market.

Project May Add To Charms Of Seletar Hills

Source : The Business Times, August 8, 2009

URA to put commercial and residential site up for tender later this month.

LOOKING for a new condominium project nestled in the quiet Seletar Hills Estate and in close proximity to roti prata outlets in the Jalan Kayu area, fish farms and The Animal Resort? A new condo with about 225 units could be ready for launch in about a year.

RUSTIC ALLURE

The 2.1 hectare site at the corner of Seletar and Yio Chu Kang roads is the third site in three weeks to be triggered for launch from the reserve lis

It will come up on a 99-year leasehold plot on the government's reserve list that will be launched for tender by the Urban Redevelopment Authority in about a fortnight.

The 2.1 hectare site will also have a commercial component of up to 48,438 square feet gross floor area. Analysts say the commercial component, which could take the form of a small mall, would provide much needed shopping amenities in the vicinity.

The site at the corner of Seletar and Yio Chu Kang roads was once occupied by a wet market and HDB shops and was a convenient shopping haunt of Seletar Hills residents.

This is the third time in three weeks that a site on the government's reserve list which can be developed into private homes has been triggered for launch after a successful application by a developer - reflecting developers' hunger for land for mass-market condominium development in the face of a strong pick-up in home sales.

The identity of the developer that made the successful application for the launch of the latest site in Seletar was not revealed by the URA yesterday. However, the developer's minimum bid price was made public - $40.5 million or $128 per square foot per plot ratio.

CB Richard Ellis executive director Li Hiaw Ho predicts strong interest in the plot with about six to eight bids likely, given the current pace of sales of suburban condominiums.

Top bids are expected to be in the $250-$300 psf ppr range - some 95 per cent to 134 per cent above the trigger price, he reckons.

'Based on this land price, as well as the current resale prices of some of the newer condominium units in the Yio Chu Kang area which are between $600 psf and $700 psf, new apartments at this site should fetch prices of between $700 and $750 psf,' he said.

However, Colliers International's research and advisory director Tay Huey Ying expects just a handful of bids for the site, citing the lack of amenities in the vicinity and the fact that the site is not in close proximity to an MRT station. She also noted that older condos in the vicinity, such as Seletar Springs Condo, Serenity Park, Sunrise Gardens and Nim Gardens, fetched median prices of $480 psf to $520 psf in the first half of this year.

The site first appeared in the Government Land Sales Programme in the reserve list for second-half 2004.

At the time, it was much smaller, at 0.5 hectare. The plot was later expanded and in the second half of 2008 was moved to the confirmed list and slated for launch in November last year.

However, before that could happen, the government suspended confirmed list land sales in October last year during the global financial crisis. That was when the plot was moved to the reserve list where it had remained until it was triggered for launch.

Sold Out In 3 Days

Source : The Straits Times, August 04 2009

297-unit Optima homes sold for around $810 psf; other launches also see strong demand.

SINGAPORE may still be mired in recession, but tell that to the home hunters who are flocking to the latest launches.

In the east, a new 297-unit condominium development on the doorstep of Tanah Merah MRT station completely sold out in the three days that followed its preview last Thursday.

Optima developer TID had to conduct a ballot of 120 units for 300 buyers. -- ST PHOTO: STEPHANIE YEOW.

Units at Optima went for an average price of around $810 per sq ft, or from $470,000 to $2.06million per unit.

Demand remained strong even after developer TID - a joint venture between Hong Leong Group and Mitsui Fudosan - raised prices by 5per cent, from $790 psf on Thursday to $830 psf by Friday.

Keen buyers were already seen queueing days before the launch of the 99-year leasehold condominium.

And TID had to conduct a ballot of 120 units for 300 buyers just before midnight on Thursday to prevent them having to camp out overnight for the public launch the next day.

Buyers were a good mix of HDB upgraders and investors, said the Hong Leong Group spokesman.

City Developments has now put on fast track the launch of its 396-unit project at the former Hong Leong Garden condominium site.

Over in Ang Mo Kio, another new suburban launch has attracted relatively strong demand, though some price resistance may have settled in over the weekend.

The 329-unit Centro Residences has sold 93 out of the 144 units that were released for sale last week.

Most of the units sold were two- to three-bedders. The smallest two-bedders have been sold, leaving those from 872sqft and above, and priced from $1million.

Far East Organization said yesterday that 50per cent of the buyers are HDB upgraders from nearby towns, while the rest are residents from private estates.

Prices at the 99-year leasehold condominium started from $1,100 psf - a price level more typical of city-fringe or prime projects, property watchers observed.

'Such prices can get you a freehold condo in Upper Bukit Timah,' said Mr Nicholas Mak, a former property consultant. 'Buyers should be a bit more rational. Demand at such price levels shows that some buyers may be getting carried away by the current euphoria.

'If they are hoping for capital appreciation, they must ask themselves who is going to buy from them at an even higher price when a three-bedroom unit in a suburban project is usually priced less than $1,000 psf,' he added.

Elsewhere, some other fairly new launches continued to attract buyers, but at a much slower pace.

Waterfront Key in Bedok Reservoir sold another eight units at an average price of $735 psf, bringing total sales to 193 out of 278 released units.

At the 329-unit The Gale in Flora Road, sales remained around the 90per cent level cited late last week.

Phase 1 Of GuocoLand's Ascot Park All Sold

Source : The Business Times, July 28, 2009

THE first phase of Guoco- Land's Ascot Park project in Nanjing, China has been fully sold, the group said yesterday.

Popular: An artist's impression of GuocoLand's Ascot Park project in Nanjing, China. With Phase 1's 594 units sold out at an average price of 7,100 yuan per sq m, Phase 2's 518 units will be launched in a few months.

Phase 1 of Ascot Park - comprising 594 units with a mix of 2 and 3-bedroom units in sizes ranging from 87 to 130 square metres - has been sold at an average price of 7,100 yuan (S$1,500) per sq m. Phase 2, comprising the remaining 518 units, will be launched in a few months.

The development caters to a niche market segment for units with bare finishes, enabling homebuyers to fit out their homes according to their preference.

Construction of Phase 1 is expected to be completed by the end of this year.

Located 14 kilometres from Nanjing city centre, the Balinese-themed development includes a man- made lake, a clubhouse with an extensive range of amenities, and a multi-purpose commercial centre with a selection of eateries and retail stores.

The project is on a 90,000 sq m site with a total gross floor area of about 240,000 sq m. GuocoLand (China) group MD Violet Lee said: 'The strong sales for Phase 1 affirm the demand for our niche products which provide a quality setting with lush landscaping for our homebuyers to fit out their individual units to their liking. We are confident that Phase 2, to be launched in the next few months, will also be well received.'

Condos Draw Buyers

Source : The Straits Times, July 28, 2009

They could be paying prices seen in prime areas due to current euphoria

IN THE latest sign of the buoyant suburban property market, home hunters in Ang Mo Kio have been submitting cheques to buy homes at prices rarely seen outside
Singapore's prime central areas.

IN TANAH MERAH: More than 40 people, some of them property agents, lined up yesterday afternoon to stake claims even before the opening of Optima's showflat on Friday. They dispersed on being told that the queue would not be recognised. -- ST PHOTO: LAU FOOK KONG

Buyers are said to be paying prices starting from $1,150 per sq ft (psf) for the upcoming 329-unit Centro Residences by Far East Organization.

This means two-bedroom units cost more than $800,000, while three-bedroom apartments will cost $1.1 million and above.

Consultants said the Centro Residences is one of the few 99-year leasehold projects in the suburban areas that has crossed this level.

Jones Lang LaSalle's head of South-east Asia research, Dr Chua Yang Liang, said he was 'a bit shocked' by the pricing. 'I'm afraid at this moment there's a lot of euphoria, so there will be demand for this project even at this price,' he said.

IN ANG MO KIO: Prices for Centro Residences are said to start from $1,150 per sq ft. -- PHOTO: FAR EAST ORGANIZATION

Plus points for the project include its location in a popular mature estate right next to the Ang Mo Kio MRT station, as well as its proximity to international schools. But Dr Chua voiced concern over the 'long-term sustainability of this pricing', saying that upgraders may not be able to afford it.

At another suburban condo, Optima, located next to the Tanah Merah MRT station, more than 40 people lined up on Monday afternoon to stake claim on the 297 units for sale, even before the showflat opens on Friday.

Many of those in the Optima queue were property agents holding places for their clients with blank cheques in hand. However, some in the queue were possibly property agents lining up with a view to buying properties for their own investment purposes.

Pricing for the 99-year leasehold project has not even been finalised, according to developer TID, a tie-up between Hong Leong Group and Japan's Mitsui Fudosan.

They say buyers are so keen on the units that they have submitted blank cheques for them to fill in the amounts once the price list is available - a fairly common tactic in a boom market, and one that has resurfaced in recent weeks.

Read the full story in Tuesday's edition of The Straits Times.

UOL Sells 180 Units Of Meadows Condo

Source : The Business Times, July 25, 2009

UOL yesterday sold 180 of the 250 units made available at a private preview of its condominium Meadows@Peirce.

Units in the 479-unit freehold project in Upper Thomson Road were sold for an average of $880 per sq ft, the developer said. Of these, 87 three-bedroom units were sold for between $1.1 million and $1.5 million each.

IN DEMAND - The development, on what used to be the Green Meadows condominium site, comprises a 14-storey tower and three five-storey blocks

The development, on what used to be the Green Meadows condominium site, comprises a 14-storey tower and three five-storey blocks. Units range from 517 sq ft one-bedroom apartments to 3,068 sq ft five-bedroom penthouses. Ten of the 49 penthouses were sold at yesterday's preview.

UOL initially planned to release 150 units at the preview, but raised this to 250 due to demand, said group chief operating officer Liam Wee Sin.

At the official launch on Tuesday, 100 more units will be released at an average price of $880 psf. UOL is offering buyers an interest absorption scheme.

Mr Liam said that home sales have picked up strongly in recent months. 'The successful preview demonstrates the pent-up demand in the Thomson area for a new development,' he said.

Units at two 99-year leasehold condominiums - Far East Organization's Centro Residences at Ang Mo Kio and TID's Optima@Tanah Merah - are slated for release at previews next week.

Optima@Tanah Merah To Be Launched By End-July

Source : Channel NewsAsia, 23 July 2009

Property developer TID will hold a preview of its newest condominium project - Optima@Tanah Merah - before the end of this month.

Located next to the Tanah Merah MRT Interchange along New Upper Changi Road, commuters will be able to get to the city centre by train in less than 20 minutes and to Changi International Airport in about 6 minutes.

The 99-year leasehold development has 297 units that feature one-bedroom studio apartments, 2- to 4-bedroom units plus 18 penthouses which come with open balconies and terraces.

TID is a joint venture between Japan's largest listed developer, Mitsui Fudosan, and Hong Leong Group Singapore.

Its portfolio includes projects such as the St Regis Hotel and Residences, Parc Emily, Oceanfront on Sentosa, as well as The Gale, which was launched recently.

Hong Leong said interest in Optima is already building up, with over 1,000 enquiries received over the past two months.

The project is expected to receive its Temporary Occupation Permit (TOP) by 2014. - CNA/al

Preview Of Two Condo Projects Planned For Next Week

Source : The Business Times, July 24, 2009

One is next to Ang Mo Kio Hub and the other beside Tanah Merah MRT Station

TWO 99-year-leasehold condominium projects next to MRT stations are slated to be previewed next week - Far East Organization's Centro Residences next to Ang Mo Kio Hub and TID's Optima@Tanah Merah.

Price expectations: Market watchers suggest Optima (left) could be priced at about $750-$800 psf on average, while prices at Centro Residences are tipped to start from $1,150 psf

Prices at the 34-storey Centro Residences are tipped to start from $1,150 per square foot (psf). Far East bought the site at a state tender in September 2007 for $601 psf per plot ratio. That was a record price for suburban condo land.

Analysts reckon Far East's breakeven cost for the project could be close to $1,000 psf.

They suggest that Far East is releasing the project, which is along Ang Mo Kio Avenue 8, to ride on the current home buying momentum but it may release only about 100 or so units initially and sell the rest as construction proceeds to extract higher prices progressively. The condo has a total of 329 units.

Far East is starting its preview on Wednesday evening and will release two and three-bedroom units.

A typical two-bedder of about 800 square feet could cost about $900,000, while a typical three-bedroom apartment of 950 sq ft may be priced on average at about $1.15 million.

As for Optima, beside the Tanah Merah MRT Station, market watchers suggest it could be priced at about $750-$800 psf on average.

They based this estimate on current average pricing for Waterfront Key in Bedok ($735 psf) and Dakota Residences ($900 psf) and adjusted for locational differences.

The 297-unit Optima will be a 14-storey project comprising one-bedroom studio apartments as well as two, three and four-bedroom apartments plus 18 penthouses.

Developer TID is a joint venture between Mitsui Fudosan of Japan and Hong Leong Group Singapore.

Another Hong Leong unit, Tripartite Developers, previewed The Gale along Upper Changi Road two weeks ago. The 329-unit freehold project, priced at $650 to $725 psf, is over 80 per cent sold.

With the release of Centro and Optima, the pipeline of suburban condos on 99-year-leasehold sites bought at state tenders will shrink further.

This will increase impetus on developers to trigger the release of sites on the government's reserve list, analysts say.

Already, the government has announced the release of two sites from this list this week - at Chestnut Avenue and Dakota Crescent.