8th March to 14th March 2022
The Housing and Development Board (HDB) will offer to buy back flats from eligible owners facing difficulties selling their homes due to constraints from the Ethnic Integration Policy (EIP). Low-income families, who are second-timer applicants, planning to acquire an HDB flat will now enjoy higher housing grants.
1) HDB to buy back flats from owners constrained by Ethnic Integration Policy
HDB will offer to buy back flats from eligible owners facing difficulties selling their homes due to constraints from the EIP said Minister for National Development Desmond Lee at the Committee of Supply Debate 2022.
This includes flat owners who purchased their homes from HDB and on the resale market, regardless of whether such a unit was EIP-constrained when it was acquired.
Requests for buyback assistance will be assessed by HDB on a case-by-case basis, taking into account certain criteria such as whether they have fulfilled the Minimum Occupation Period (MOP) and owned the housing unit for at least 10 years.
Moreover, owners should have made “regular genuine attempts over a continuous period to sell the flat at a reasonable asking price while constrained by one or more EIP limits”.
“Based on HDB’s experience, six months is presently sufficient for most flat owners to do so. This may change depending on prevailing market conditions,” said HDB and the Ministry of National Development in a joint release.
Introduced in 1989, the EIP was meant to foster “greater social cohesion” and encourage greater ethnic mixing across the various HDB estates. As more intermarriages between citizens of different races/ethnic groups have occurred over the years, more mixed-race couples buying and applying for flats have also been affected.
2) Housing grant for second-timer applicants from low-income families increased to $50,000
Low-income families who are second-timer applicants for HDB flats will now enjoy higher housing grants, under the enhancements to the Fresh Start Housing Scheme.
Notably, the Fresh Start Housing Grant will be increased to $50,000 from $35,000, revealed HDB and the Ministry of National Development in a joint release.
The changes also allow such households to purchase three-room flats with shorter leases. Currently, Fresh Start families are only allowed to buy two-room Flexi flats with shorter leases.
The shorter leases, which range from 45 to 65 years in five-year increments, make the flats more affordable compared to those with 99-year leases.
The agencies noted that flats sold under the Fresh Start Housing scheme have a MOP of 20 years to ensure a stable home for families and children.
For those who are planning to buy a resale flat, there are various types of HDB grants available to you, depending on your income level and housing type. From the Enhanced CPF Housing Grant (EHG) to the Proximity Housing Grant (PHG), you may be qualified for an amount of up to $160,000. Learn more about how much you can receive by reading this article on CPF housing grant eligibility in Singapore.
Related article: CPF Housing Grant/HDB Resale Grant: Should You Take It to Buy an HDB Flat in Singapore?
3) About 200 assisted living HDB flats to be launched in Queenstown later this year
To support more seniors to age independently within the community, about 200 units of assisted living flats will be launched in Queenstown later this year, marking the second pilot of Community Care Apartments (CCA).
The second pilot will be located within Queenstown’s Health District, where the National University of Singapore, Housing and Development Board (HDB), healthcare partners and grassroots organisations collaborate “to create a built environment that promotes a healthy lifestyle and active and healthy ageing”, said HDB and the Ministry of National Development in a release.
Related article: Would You Live Near a Hospital in the Age of Endemic COVID-19? We Ask 5 Singaporeans
Aside from the 200 CCA units, the project will also feature other flat types, with common facilities including fitness stations, roof gardens and community living rooms to promote social interactions among residents.
The agencies said they will provide more specific site details in due course.
According to the PropertyGuru Singapore Consumer Sentiment Study H1 2022, 90% of Singaporeans agree retirement villages are necessary. However, only 41% showed interest in moving into one. 71% of those who were interested would only consider moving when they’re aged 70 or older. These individuals cited the convenience of nearby transport nodes, attractive prices with shorter leases, and amenities like parks as main draws.
4) Dairy Farm Walk site awarded to Sim Lian Group
The Dairy Farm Walk site is 15,663.2m2. Source: URA
The 15,663.2 sq m residential site at Dairy Farm Walk has been awarded to Sim Lian Land and Sim Lian Development after they submitted the highest bid of $347 million, or $980 per sq ft per plot ratio (psf ppr), announced the Urban Redevelopment Authority.
Launched on 21 October 2021, the tender for the 99-year leasehold site closed on 8 March with seven bids received.
“The limited supply in the area, excellent locational attributes and keenness to replenish their landbank prompted developers to bid for the site,” said Huttons Asia CEO Mark Yip.
In fact, the most recent project within the area, Dairy Farm Residences, only has 10 unsold units as of 8 March.
Tricia Song, Head of Research for Southeast Asia at CBRE, said the developer could launch the Dairy Farm Walk site at $1,800 to $1,900 psf.
The Dairy Farm Walk site is about a 10-minute walk to Hillview MRT station on the Downtown Line. Depending on where their units are faced, future residents on higher floors will get unblocked views of the Chestnut Avenue Good Class Bungalow (GCB) area or greenery.
5) Bukit Batok West EC site gets record bid from Qingjian-Santarli JV
Bukit Batok Avenue 8. Source: URA
The executive condominium (EC) site at Bukit Batok West Avenue 8 received nine bids during the close of its tender, with a joint venture (JV) between Qingjian Realty and Santarli Construction submitting the highest bid of $266 million, announced the Housing and Development Board.
Related article: Executive Condo Singapore (2022): 4 Upcoming ECs We Can Expect
This works out to a land rate of $662 psf ppr, which means the JV broke their own record price of $658.9 psf ppr for the EC site at Tampines Street 62 in August 2021.
Tricia Song, Head of Research for Southeast Asia at CBRE, noted that Qingjian was “the developer of the nearby mixed-use development – Le Quest back in 2016, and may have confidence in the location”.
She explained that developers’ preference for ECs may be due to the fact that such units are generally not affected by property cooling measures and wealth property taxes since they are for owner-occupiers and first-timers.
An adjacent EC plot at Bukit Batok West Avenue 5 is set to be launched for tender in June 2022. The upcoming site is larger and could potentially yield 495 units residential units.
Related article: Government Land Sales (GLS) Programme Guide (Updated With GLS Sites for 1H2022)
6) BCA to launch $63mil Green Mark incentive scheme for existing properties
A new $63 million incentive scheme will be launched by the Building and Construction Authority (BCA) to help building owners green their existing properties, reported Channel News Asia.
The Green Mark Incentive Scheme for Existing Buildings 2.0 (GMIS-EB 2.0) will allow building owners to secure grants based on emission reductions achieved by retrofitting their developments, subject to certain caps.
Notably, building owners can choose design strategies and technologies from a list of approved works, which include retrofits to cooling systems and installation of automation systems and sensors.
The scheme will be available from Q2 2022 and applies to privately owned commercial, light industrial or residential buildings with gross floor areas (GFA) or more than 5,000 sq m.
Related article: 10 Eco-friendly Condos in Singapore That Are BCA Green Mark Award-Certified
7) Yishun HDB jumbo flat sold for over $1mil
A 187 sq m executive flat in Yishun was sold for $1.038 million last month – making it the second HDB flat within a non-mature estate to be sold for over one million, reported TODAY.
A 177 sq m maisonette in Hougang was the first flat within a non-mature estate to be sold for $1 million.
Related article: Battle of the Big Flats: Maisonette, Jumbo Flat, Executive Flat, 3Gen Flat, 5-Room Flat
Located at Block 652 along Yishun Avenue 4, the jumbo flat can be found between the fourth and sixth floor of the 12-storey block.
PropNex Realty’s Head of Research and Content Wong Siew Ying said buyers are willing to pay a premium for “generously sized” flats since they are in limited supply. She added that such flats are favoured by families looking for a more spacious living environment.
However, she described the sale as an “outlier”, saying it does mean that flats in Yishun or other non-mature estates will be sold for over $1 million with increasing frequency.
The COVID-19 pandemic and enduring work from home arrangements have shifted property buying preferences, with more opting for larger spaces over location. In the Singapore Property Market Report Q1 2022, it was postulated that momentum for million-dollar HDB flat transactions will be sustained in the quarter. With HDB resale prices rising for the 20th straight month and 29 million-dollar HDB flats transacting in Feb 2022, this prediction is proving to be true.
Related article: HDB Estates With Flats Trending Towards 1 Million Dollars: Where Will The Next Estate Be?
8) Residential development site at Hillview Terrace on sale for $255.4mil
Source: Colliers
A total of 23 factory units located at 26 – 38D Hillview Terrace have been put up for joint sale by tender with a reserve price of $255.4 million, revealed exclusive marketing agent Colliers.
The 999-year leasehold terrace factories have a combined site area of 119,813 sq ft, which could be amalgamated with the adjoining access road and an electrical substation to form a bigger site area of 157,540 sq ft.
Colliers shared that the Urban Redevelopment Authority (URA) has granted a one-off, time-limited bonus residential gross plot ratio (GPR) of 0.3 above the 1.62 provided under the 2019 Master Plan. This effectively raised the allowable GPR to 1.92.
With a maximum allowable gross floor area of about 302,478 sq ft, the site could yield around 330 units, subject to the authorities’ approval.
The public tender for the site closes on 12 April.
9) 11 more Thomson-East Coast Line stations to open in 2H 2022
Transport Minister S Iswaran revealed that 11 more Thomson-East Coast Line (TEL) MRT stations will start operations in the second half of this year, reported Channel News Asia.
“This will connect residents in the north directly to many destinations in the city and significantly shorten travel times. Those who live or work near new stations like Great World, Maxwell and Shenton Way will have direct connections to the entire MRT network,” Iswaran said during the debate on his ministry’s spending plans.
He also shared that 24 Jurong Region Line (JRL) stations are set to be completed from 2027, while the Cross Island Line is expected to be completed in stages from 2030.
Iswaran noted that a wider and denser network strengthens resilience at the system level.
“When these lines are completed, we would have increased our rail network by 50% to 360km,” he said.
By 2030, the government aims to have 8 in 10 households living within a 10-minute walk of an MRT station. With more HDB flats near MRT stations, it will be much easier to get around the island and even go car-free.
10) 23 retail shops up for sale for $80mil
Among the 23 retail units, one of the available shops is located at 710A Ang Mo Kio Avenue 8. Source: ERA Realty
A portfolio of 23 strata retail shops has been launched for sale via expression on interest (EOI) for $80 million, reported Singapore Business Review citing ERA Realty.
The portfolio consists of two HDB shops in Ang Mo Kio and Toa Payoh as well as 21 strata shops spread across Far East Plaza, Peninsula Plaza, Sims Lim Square and People’s Park Complex.
Buyers can acquire the shops either individually or collectively as a portfolio.
“The investment quantum of about $80 million for the entire portfolio is palatable to the market. With the portfolio 100% tenanted, buyers can mitigate the short-term volatility while looking forward to future capital appreciation,” said Steven Tan, ERA Realty’s Capital Markets and Investment Sales Managing Director.
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Cheryl Chiew, Digital Content Specialist at PropertyGuru, edited this story. To contact her about this story, email: cheryl@propertyguru.com.sg
