This week in property: Highlights from July 23 to July 27

By EdgeProp Singapore / EdgeProp | July 27, 2018 6:52 PM SGT
Property highlights of the week from July 23 to July 27:
Singapore-listed TEE Land announced on Jul 26 that it has decided not to exercise its option to purchase Teck Guan Ville at 338 to 364 Upper East Coast. In its announcement TEE Land said that its decision to abort the deal was made “after taking into account the impact on market sentiments and purchasers’ interest arising from the latest property cooling measures announced by the authorities on Jul 5.”
The company is willing to forfeit its 1% deposit. A month ago, TEE Land had announced that it was acquiring the freehold site at Upper East Coast Road for $60 million, which translated to a land rate of $1,300 psf per plot ratio. Teck Ville comprises just 14 units, and all the owners had agreed to the sale. Had the deal been successful, the owners would have walked away with $4.285 million each.
Properties put up for auction surged by 21.7% year-on-year (y-o-y-) to 454 listings (including re-listings) in 1H2018 – the highest level recorded since 2H2009, Colliers International revealed.
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According to its Flash report – which tracked transactions and listings in the property auction market in Singapore – listings from all sectors rose on a y-o-y basis during the period, with the exception of the industrial segment where listings fell by 1.1% to 87.
Compared to a year ago, residential listings increased by 15.8% to 234, office listings rose 30% to 13, while retail listings climbed 60.3% to 117 in the 1H2018. Three other listings were for a vacant land and two medical suites.
The increase in listings was partly driven by more owners opting to sell their properties via auctions and more mainstream brokerage firms entering the auction market.
Owners’ listings rose sharply by 37.3% y-o-y and 3.7% from 2H2017 to 254 listings during the first six months of this year, reflecting an increased interest from owners as they believed auctions would give their properties maximum exposure and the ability to garner the best price.
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A 99-year leasehold residential site at Anchorvale Crescent has been triggered for launch of tender, as announced by HDB. The site will be used for an executive condominium (EC) housing development.
HDB has accepted an application from an unnamed developer to put up the site for sale by public tender, at a minimum bid of $225 million. This translates into a land rate of $460.80 psf per plot ratio (ppr). Despite the government’s property cooling measures, this could indicate that some developers believe that the EC market will still enjoy strong demand.
The land parcel was first made available for sale on the Reserve List of the 1H2018 government land sales programme on June 28. The EC site is 184,461 sq ft and can yield a maximum gross floor area (GFA) of 553,383 sq ft. Up to 550 housing units can be developed on the site.
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