News Highlights Wednesday 25 June 2008

Bids for Woodleigh condo site lower than estimates
The tender for a residential site at Woodleigh Close has closed, with the URA receiving a top bid of $270 psf ppr. Earlier estimates by property consultants had put the range of bids at $300-$380 psf ppr. The top bid of $270 psf ppr or $87.7 million for the 1.08 ha site near Potong Pasir MRT station came from Frasers Centrepoint. CBRE said that based on the $270 psf ppr bid, the estimated breakeven cost of a new project on the Woodleigh Close site will be $650-$700 psf and a new 99-year leasehold project at the site may be able to fetch $800-$850 psf.

- The Business Times, P12




CapitaLand eyeing sites in India, Vietnam
CapitaLand Ltd said that land prices in Vietnam and India have fallen by as much as 15% this year and it may buy more land in Vietnam and India on expectations that there'll be easier access to choice sites. CapitaLand is also looking at expanding in Japan, where it may acquire properties and set up funds for investments. Plans for Chengdu are also on track for the next five years despite initial delays. CapitaLand, which plans to put 1,500 homes for sale in China this year, said that the Chengdu market remains very resilient and robust.

- The Business Times, P7




Savills fund mgt arm sets up S'pore office
Cordea Savills, the fund management arm of Savills, has set up an office here to attract investors from Asia-Pacific. The office will initially focus on marketing the firm's first Asian property fund - a US$200 million Indian real estate fund - to institutional investors in the region. Cordea Savills intends Singapore to be their long-term base within the region. The two-man office, based at One Raffles Quay, will grow to 10 people in a year. Managing Director of Cordea Savills believes that there is potential for high returns on investment in Indian real estate, given the rapid growth of the country's emerging economy, which is fuelling demand for urban housing and hotels. The fund is also looking at investment opportunities in India's special economic zones.

- The Business Times, P12




Is the easy property money outside Asia?
In the property world, the momentum appears to be with Asia. At the Reuters Global Real Estate Summit, fund managers ING Real Estate and LaSalle Investment Managers, the property arm of British insurer Prudential and Dubai's ETA Star Property Developers said they were raising new funds this year to invest in Asia. Property investment in Asia reached a record US$121 billion last year, up 27% from 2006. Investment in Asia surged 22% in the last six months. Funds raised for Asia are excited about the prospect of Japanese landlords selling offices at discounts and Chinese developers potentially releasing cheap land and unfinished projects.

- The Business Times, P18




Applicants stand better chance in latest HDB sale
The latest Housing Board sale of new flats in Woodlands attracted three applicants for every flat on offer. This shows that recent new rules designed to deter frivolous applications appear to be working, said HSR. The HDB said it had received 1,197 applications for the 382 build-to-order flats on offer. The three-room flats, with an indicative price range of $116,000 to $164,000, attracted 153 applications. There were 1,044 applications for four-room units. Their indicative price is between $184,000 and $257,000, according to the HDB.

- The Straits Times, H2




S'pore has an edge in competing for global talent
Singapore stands a good chance of staying ahead of the competition, the World Cities Summit on urban planning and conservation heard yesterday. President of a Spanish organisation for urban innovations said Singapore is really ahead because it has the capacity to make things happen. He identified Singapore's location and high governance standards as its unique strengths.

- The Business Times, P10




Fourth varsity: 2,500 places, focus on skills across fields
Singapore’s fourth university will take in up to 2,500 students a year and offer three main disciplines: engineering, design and business. The university will be housed in northern, eastern or north-eastern Singapore.

- The Straits Times, P1



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