Tag Archives: CITY Developments Ltd

Developers offering fewer indirect discounts

Once popular with private homebuyers, indirect discounts like furniture vouchers and cash rebates have become less prevalent, reported The Business Times.

In fact, only three percent of some 3,850 non-landed private homes sold by developers since 25 May had indirect discounts, with an average discount of 1.7 percent of the transacted price. The units were from 18 of the 132 projects that saw sales since 25 May, according to an analysis of developers’ new sales data.

Notably, legislative amendments requiring developers to submit detailed transaction data to the Controller of Housing every week took effect on 25 May this year. The said data is then published by the Urban Redevelopment Authority (URA).

Aside from the transacted prices of units, developers are also required to declare the value of benefits given to buyers, such as rental guarantees, cash rebates, furniture vouchers, and the absorption of legal fees or stamp duties, which would otherwise conceal the actual value of the units sold.

“There was a season when discounts, rebates and other perks were dangled as carrots to attract buyers. However, these may be relatively passé today,” said Tan Tee Khoon, managing director of KF Property Network, a Knight Frank subsidiary.

This is because developers may find it pointless to give out cash rebates now that such data has become public information, said Savills research head Alan Cheong., As such, developers who need to urgently clear their stock in order to meet the Additional Buyer’s Stamp Duty (ABSD) and Qualifying Certificate (QC) requirements are more likely to lower prices directly.

The QC rule requires developers to pay extension fees for condominium units sold within two years of the project’s completion. Since December 2011, housing developers were also required to develop residential sites acquired and sell all the units within five years to qualify for an ABSD remission on land cost.

Projects offering indirect discounts since May to qualify for the remission of ABSD include The Venue Residences, Jewel @ Buangkok, Pollen & Bleu and The Glades. Those unaffected by ABSD or QC include Keppel Land’s Corals at Keppel Bay, City Developments Ltd’s D’Nest and Coco Palms, and Far East Organization’s The Seawind.

Haze: Developers take precautions

Singapore’s property developers are closely monitoring the haze situation that has seen the city-state blanketed in smoke from forest fires in Indonesia for much of the week.

The Pollutant Standards Index (PSI) reached a record high of 401 at noon on Friday lunchtime – putting air quality in the city-state will into the “hazardous” range.

Chng Kiong Huat, Executive Director, Property Services, Far East Organization, told PropertyGuru: “In view of the poor air quality conditions, Far East Organization is working closely with our partner contractors to conduct thorough risk assessments of all on-going projects.

“We consider the health and safety of our construction partners an important priority and support all contingency and mitigation measures to protect the construction workforce from the unhealthy levels of pollutants rendered by the haze.

He added that possible measures being considered include issuance of protective masks and the imposition of stop work orders if the air quality persists at the very unhealthy level.

“Together with our partner contractors, we will continue to monitor the situation and implement the necessary safety measures as recommended,” he said.

A spokesperson for CapitaLand said: “CapitaLand is closely monitoring PSI readings to ensure that the health, safety and well-being of our staff, tenants, shoppers and serviced residence guests are safeguarded.

“The Group is making appropriate masks available to all its 1,960 staff in Singapore and has informed them of precautionary measures. Staff at all of our properties have also been briefed to advise our tenants, shoppers and guests on these precautionary measures.

“To ensure that the Group responds to such contingencies in a timely and effective manner, CapitaLand Group managers are empowered to assess and allow staff to work from home when the need arises.

“At our worksites, we have worked closely with our main contractors and sub-contractors and stepped up vigilance over workers’ health, safety and well-being. Besides briefings on precautionary measures, we are working with our contractors to ensure that appropriate masks are issued. We have also stopped work temporarily when visibility is affected and at some parts of our projects that are under construction.”

A spokesperson for City Developments Ltd (CDL) said: “In response to the worsening haze conditions, CDL has issued an Environmental, Health and Safety (EHS) alert to all our builders to remind them to be vigilant and to comply with all advisories and guidelines issued by the relevant government agencies including the National Environment Agency and the Ministry of Manpower.

“The builders are to monitor the situation closely and must conduct risk assessments to take the necessary EHS measures to protect the welfare of their workers on the worksite which is a top priority.

“CDL employees have also been activated to keep a close surveillance on all worksites to monitor the situation.

CDL has advised all its builders to take appropriate protection measures which include the provision of masks, identification of more vulnerable employees, e.g. those with heart or lung problems, avoiding non critical outdoor works involving high physical effort, assessing the exposure of outdoor works depending on PSI level as well as implementing more rest rotations.

“With poorer visibility, there is also more safety monitoring onsite,” the spokesperson added,

A spokesperson for the Housing Development Board (HDB) confirmed that its contractors are required to abide by Ministry of Manpower guidelines. HDB is continuing to monitor the situation closely, the spokesperson added.

Source – PropertyGuty – 21 June 2013