Category Archives: Property Market / Real Estate

Popular condo site draws 15 bids

Posted on 8 Oct 2009 | Comments Off on Popular condo site draws 15 bids

Top bid for Serangoon land parcel higher than expected at $221m

DEVELOPERS have again shown how hungry they are for land.

RELATED LINKS   Top 5 bidders

Hong Leong Holdings has topped the tender for a popular condominium land parcel at Serangoon Avenue 3, which attracted a whopping 15 bids at its close yesterday.

The top bid, made through Intrepid Investments, came in higher than expected at $221.2 million, or $529 per sq ft (psf) of gross floor area. It is about 13 per cent ahead of the second highest bid of $195.9 million, or $468.3 psf of gross floor area, from Far East Organization’s Tuas Hi-Tech Park.

The high offer price is 164 per cent above the trigger bid of $83.7 million, or about $200 psf of gross floor area. This is the minimum bid submitted by a developer to trigger a site for sale from the Government’s reserve list.

Analysts had mostly expected the 1.38ha plot next to Lorong Chuan MRT station to draw bids of between $350 psf and $450 psf. Continue reading →

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Asian banks move to avoid property bubble

Posted on 8 Oct 2009 | Comments Off on Asian banks move to avoid property bubble

Central banks and regulators across Asia are moving to prevent property price rises spiraling out of control by due to growing fears of property bubbles forming.

The Singapore property and South Korea property sectors have already been affected by tighter borrowing rules over the past month, while media reports suggest that the India property market is set to follow suit. China and Hong Kong have also warned banks to avoid reckless lending to homebuyers.

“This is a positive, albeit tentative, sign that Asia has learnt from the experience of the west,” said Rob Subbaraman, chief Asia economist at Nomura. “It is prudent to lean against the formation of asset price bubbles.”

Property values in several countries in Asian, especially Hong Kong and Singapore, have appreciated dramatically in recent months, due to greater residential demand on the back of record low interest rates.

One of the greatest property price rises in Asia has been recorded in Singapore, where the average price of a home rose by 16% in the third quarter of this year compared to the preceding quarter. The Singapore government has now moved to pre-empt any speculative bubble from forming by abolishing two bank lending schemes that had allowed buyers to defer mortgage payments on uncompleted developments.

Source : homesoverseas – 7 Oct 2009

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