News Highlights Friday 27 June_2008

Ho Bee's robust sales prompt more launches
Some developers are riding on the pick-up in home-buying mood created by Ho Bee's Dakota Residences preview last week to launch their own projects. Ho Bee has sold 95 units at Dakota Residences since last Friday. The average price is $976 psf. Sim Lian is developing two 39-storey blocks of 616 units for the Clover By The Park condo at Bishan St 22. It features three-bedroom and four-bedroom units to penthouses and suites of six bedrooms. The first phase released earlier this week comprises one tower with 308 units. It has sold about 100 units since it began previewing the development on Wednesday at an average price of $750 psf. Next to Kovan MRT Station, there is a 512-unit condo getting ready to be released at an average price expected to be $850-900 psf.

- The Business Times, P6




SLA to auction off eight vacant plots for homes
The Government has put up eight small plots of vacant land on sale, some in prime districts like Ridout Road, near Peirce Road. These infill sites have been popular with buyers who want to build their homes from scratch - but the catch is that the sites are on 99-year leases, and some of them are oddly shaped. They are either in landed estates that have been left untouched by nearby developments, or are plots once used for public purposes. The appeal of such sites is that they can be customised to suit the buyers' needs and since the upfront investment is lower, the yield of the investment is higher for such 99-year properties, said SLA. An auction for six infill sites late last year attracted fairly brisk bidding and ended with sale prices ranging from $1.3 million to $12.1 million.

- The Straits Times, H28




6th Design, Build and Sell site up for sale in Toa Payoh
HDB is selling a site on Lorong 1A Toa Payoh under the Design, Build and Sell Scheme (DBSS) - the sixth since the first such site was awarded in January 2006. The latest site measures 295,790.9 sq ft and has an allowable gross floor area (GFA) of 1.24 million sq ft. The successful tenderer has to build at least 30% of the flats with a floor area equivalent to 4-room or smaller flats. Consultants agree that the launch price of the development is not likely to be more than that of City View @ Boon Keng, which has an average price of $520 psf. Knight Frank said that potential DBSS units are not considered when calculating future private home supply. Therefore, it is more likely to affect supply and demand of HDB homes.

- The Business Times, P8




Office rents nearing peak as supply increases: Report
A CBRE report said the impact of the US sub-prime crisis, rising inflation in Singapore and modest economic growth have dampened the office sector and slowed rent rises. Prime office rents edged up 10 cents or 0.6% in the second quarter to $16.10 psf a month on average. The rise over the first half has been 7.3%, below the 92.3% for the whole of last year, said CBRE. An encouraging sign is that there are still many ongoing negotiations. Rents of top office buildings rose 9.6% in the first half compared with 96.5% in the whole of last year. Such Grade A rents averaged $18.80 psf a month in the second quarter, up from $18.65 in the first period. Cushman & Wakefield said that while office rents may have peaked, they will probably stay at the current levels for the next 12 months given tight supply. According to CBRE, the vacancy of Grade A space - now 0.6% - will remain tight as no new top-grade office developments will be completed before the second half of next year. The vacancy rate for fringe areas rose from 4.6-7% in the second quarter because of new completions. The Government has also introduced transitional office sites to help ease the shortage. There will be about 10.2 million sq ft of new space coming on stream between now and 2012, with about 22% of known supply from now to 2012 already been pre-committed.

- The Straits Times, H30



S'pore consumers far more optimistic than rest of region
Singapore remains much more optimistic than its counterparts, according to the MasterCard Worldwide Index of Consumer Confidence. The study looks at perceptions about employment, the economy, regular income, the stock market and quality of life to establish sentiment for the next six months. Singapore scored 87.3 points for the second half of this year, outstripping the overall Asia-Pacific confidence level of 56 points. Consumer sentiment on employment, the economy and regular income were exceptionally high.

- The Business Times, P8



UAE's Etihad opens new office in S'pore
Abu Dhabi-based Etihad Airways could increase flights and frequencies through Singapore and regional countries. The opening of a Singapore office in Suntec Tower Two is a strong signal of the airline's commitment to Singapore and the region, said Etihad's regional general manager for Asia-Pacific South and Australasia.

- The Business Times, P17



Dakota Residences
-348 units with choice of 2, 3, 4-bedroom apartments and penthouses, ranging from 1,023-3,714 sqft
- Near Dakota MRT Station, Sports Hub, CBD, Kallang Riverside
- Zero instalment home loan package till TOP by DBS
- Dakota Crescent
- 99-years leasehold
- The Straits Times, H3
Clover by the Park
- New condo in Bishan
- Two 39-storey of 616 units
- 3, 4-bedroom, suite and penthouse
- Full condo facilities with 50m lap pool
- Developer: Sim Lian Group
- The Straits Times, H9


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