SGHOUSING.COM 新加坡房地产网

The tender for Farrer Court, Singapore’s first billion-dollar collective sale, closed yesterday with strong bids, industry players reckon.

Speculation was that CapitaLand was the front runner and was engaged in negotiations late last night. Credo Real Estate, which is handling Farrer Court’s collective sale, declined to comment.

GuocoLand is also believed to have taken part in the tender. It clinched the freehold Leedon Heights earlier this year at $835 million or $1,062 psf of potential gross floor area.

Farrer Court, however, has an even higher absolute reserve price, of $1.2 billion, which works out to slightly over $700 psf per plot ratio (psf ppr) for the 99-year leasehold site. Bids for Farrer Court are believed to have clearly surpassed that.

The official expected price when Farrer Court’s tender was launched last month was $1.5 billion, or around $850 psf ppr.

The District 10 site, a privatised HUDC estate, is unique in being the only private residential site in the Farrer Road and Holland Road vicinity that is accorded a high plot ratio of 2.8 and a maximum height of 36 storeys.

Most of the surrounding sites are designated for either landed housing or low or medium-rise developments of up to five or 12 storeys.

Farrer Court boasts not only the highest asking price in terms of the absolute dollar quantum for a collective sale, it also has the biggest land area at 838,488 sq ft, for an en bloc sale site.

The maximum potential gross floor area of almost 2.35 million sq ft for the site - or about 1,800 apartments averaging 1,250 sq ft - means that a new development on the site would be the biggest condo development yet to be undertaken in Singapore, based on comments when thesite was launched last month.

Source : Business Times - 28 Jun 2007

The government yesterday said that nine sites are on offer under its industrial land sales programme for the second half of this year - three more than the sites it put on the market for the first half of 2007.

The nine sites will together give about 3.74 million square feet of industrial space, up from the 2.79 million sq ft offered in the first half of the year.

However, the increase in the space offered under the industrial land sales programme is not as great as that seen for residential space, market observers said. The number of residential sites on offer through the confirmed list increased from two to eight from the first half of 2007 to the second half.

‘This could indicate that the government may see that the industrial property market is fairly stable with sufficient supply in the short and medium term,’ said Nicholas Mak, Knight Frank’s head of consultancy and research.

As with the first half of the year, just two industrial sites - this time, a 5.1 ha site in Sin Ming Lane and a 2.1 ha site in Jalan Tepong - will be offered under the confirmed list. Both sites are expected to see strong interest.

The Sin Ming Lane plot has the potential to yield a large gross floor area of about 1.37 million sq ft. Potential bidders include car companies and/or workshops because of nearby vehicle inspection centres, said Li Hiaw Ho, executive director for research at CB Richard Ellis (CBRE). ‘The unit price for this plot might be lower as a result of the large land area,’ Mr Li said.

The Jalan Tepong site, on the other hand, is interesting because it has a lease of about 23 years, shorter than the usual tenure of 30 or 60 years. The tenure for the site is only until 2030 to dovetail with future developments in that area. The plot might also fetch a lower price because of the unusual tenure, Mr Li said. ‘Some fresh food companies might bid for the site as food manufacturing is permitted and the site is near to Jurong Port.’

The new reserve list has seven sites, three more than the previous reserve list. The seven sites can yield a total maximum gross floor area of 2.05 million sq ft, less than the 2.40 million sq ft that the four sites on the previous reserve list could yield.

Despite the smaller floor area, the reserve list for the second half seems to be offering a variety of locations, Mr Mak said.

The take-up for factory space was 7.64 million sq ft in 2006 and 1.39 million sq ft in the first quarter of 2007. The market should therefore be able to absorb the gross floor area that can potentially come from the sites on the current reserve list, observers said.

CBRE said average rents for all industrial space increased in the second quarter of 2007, with high-tech space rising the fastest.

Average rents for high-tech space rose 11.9 per cent from $2.10 per square foot (psf) in the first quarter to $2.35 psf in Q2 - the highest quarterly increase in the past five years.

‘The limited supply of office space coupled with rising rents encouraged many qualifying companies to look to high-tech properties to meet their needs,’ CBRE said. ‘Further rent increases for high-tech space during the second half of the year is expected as demand for offices is unlikely to let up while supply of office space will still remain tight.’

Source : Business Times - 28 Jun 2007

Mapletree close to signing on up to 5 more banks at its business hub

ALEXANDRA is emerging as a strong alternative to the central business district (CBD) as banks continue to be attracted to the business hub there.

Real estate company Mapletree, which developed Alexandra Business Hub, says that it is in ’serious negotiations’ to sign on up to five more banks, chief operating officer Tan Boon Leong told BT yesterday.

One of the banks is asking for 550,000 sq ft and another for 350,000 sq ft.

It recently signed up DBS, HSBC and an American bank looking to move some of their operations there. Mapletree says the average space banks are seeking is 100,000 to 150,000 sq ft.

Mr Tan says that while banks had earlier shifted operations to various neighbourhoods, Alexandra is a ‘true alternative’ to the CBD because of its location - 10 minutes from the CBD and its links to major roads leading to expressways.

Prime office rents in Raffles Place have hit record levels, forcing companies to reconsider their space requirements and manage costs, Mr Tan says. According to a CB Richard Ellis report last month, office rents in Singapore are the fifth fastest growing globally.

Office rent at its Alexandra hub is about ‘40 per cent lower’ than going rates in the CBD. While prime office space is said to be going for about $12 per sq ft, Mapletree is asking $7 psf for office space and $4-$4.50 psf for back room operations space.

While financial institutions have earlier shifted some operations to neighbourhoods such as Tampines and Changi, Mr Tan says that Alexandra is preferred because of its proximity to town.

Also, even though Alexandra used to be an industrial area, Mr Tan says there is no ‘image’ problem. ‘When banks see that other banks are coming, they take a second look,’ he said.

Based on demand so far, Mr Tan says he expects 50 to 60 per cent of the new leasable area of 1.6 million sq ft to be taken up by financial institutions. Oil and gas, telecoms and chemical companies may take up another 20 to 30 per cent, while the remaining space may be taken up by companies which offer support services such as IT.

Mapletree expects to have pre-commitment of 40 per cent of the new space by the first quarter next year.

Mr Tan says multinational companies need more space in Singapore to expand and consolidate their regional presence affordably, which is what Alexandra Hub offers. The complex, which cost Mapletree $405 million to build, includes amenities catering for expatriates such as childcare facilities, a gym with a swimming pool, coffee outlets, laundry and garden landscape.

Source : Business Times - 28 Jun 2007

HERITAGE conservation through ‘adaptive reuse’ of a historic building is a well-established architectural and development strategy. This involves upgrading services and facilities to fulfil current needs, structural consolidation to ensure building stability, as well as cleaning, repairs and restoration to original finishes. Attention is paid even to floor materials, interior decoration and furniture, to ensure the integrity of the building’s heritage value.

In many cases, varying degrees of new architectural additions are introduced in the process, giving rise to a synthesis of old and new.

As a strategy that aims to meet competing needs - conservation, the market, and architectural aesthetics and function - an adaptive reuse proposal can be assessed in terms of its architectural merit, integrity of heritage value and commercial viability.

Architectural merit

ADAPTIVE reuse projects with new additions in contemporary materials such as glass and steel are architecturally successful when the juxtaposition is sensitive and well-considered - significantly, it communicates a meaningful dialogue between the historic ‘old’ and the ‘new’.

A good example is the Central Fire Station at Hill Street.

Regrettably, the juxtaposition of ‘old and new’ in the 23 Amber Road proposal is incongruous. Not only is there a mismatch between scale and design, but also it is exacerbated by the proximity and immediacy of the disparity. Rather than engaging in dialogue, the two conflicting architecture styles appear grafted together in a Frankensteinian fashion. Instead of complementing each other, old and new are seriously compromised in a forced marriage of agendas as yet reconciled.

Heritage integrity

ONE of a small and diminishing number of stately historic family houses, 23 Amber Road exemplifies the sea-fronting residential architecture that evolved with the development of the Katong area in the early 20th century.

The charmingly laid-back yet cosmopolitan character of the eastern coastal enclave gave rise to a distinct ambience and a rich cultural heritage that is still palpable today.

In response to its coastal context, architect R.A.J. Bidwell, of the eminent local European firm Swan and Maclaren, designed the house with generous sea-facing verandas, extended along curved ‘butterfly’ wings to maximise both views and sea breeze circulation, creating an inimitable crescent-shape structure unlike any other along the seashore.

The house has two dissimilar fronts - one facing the main road, the other embracing the seafront in symmetrical crescent curves.

Although the shoreline has receded from the house with successive reclamation, the building remains key to the history of Katong, which is at risk of losing its characteristic appeal to an increasing number of indifferent new constructions.

In the proposal put up by the developer which bought the land, only the part facing the main road is to be retained. The signature crescent wings will be demolished, to be replaced by the new condominium.

Even though a portion of the building will be ’saved’, by disregarding the critical historic significance of the building, the proposal debases the integrity of the heritage value of the house, and that of the Katong historic enclave.

Commercial viability

THE current proposal for 23 Amber Road is clearly tilted towards commercial concerns: It seeks to ‘conserve’ plans for the new condominium before making any accommodation for heritage purposes.

The initiative of Goodland Development is commendable, and the efforts of the URA to negotiate between various government departments for waivers and concessions are well appreciated. Still, it is apparent that these concessions are meant only to save, literally, the leftover remains of the house after ensuring the economic sanctity of the condominium development.

Even then, it is questionable if the effort will be worth it, for the unsatisfactory architectural solution has the effect of undermining the very act of heritage conservation it set out to achieve. The disembodied remains of the house would end up consuming valuable space without a corresponding payback in terms of heritage value and prestige to the new development.

Rather than a win-win solution, we could end up over-compromising all round in a lose-lose situation.

Rethinking priorities

THERE are many ways to approach adaptive reuse projects, but the common principle centres on the integrity of the historic building, which should form the basis of the design, regulatory, or commercial decision.

The best adaptive reuse projects are those that manage to strike a sensible and sensitive balance between the three factors of integrity of heritage value, commercial profitability and architectural merit, through considered commercial programming and innovative design, facilitated by sophisticated conservation policies and regulatory flexibility.

Most importantly, these are premised upon the care and priority placed on history and built heritage by all parties. As such, heritage conservation projects speak volumes about the importance that a society places on history, how it relates to its past, and where its values lie.

Not unlike the Cathay Building, 23 Amber Road suffers the unfortunate fate of belated conservation, after development plans have been set in motion. Given the limitations in such cases, we hope that solutions outside the proverbial box can be explored, especially by the URA, including floor area ratio substitution or even property swop.

Even if compromise is unavoidable, we hope it will be a meaningful and dignified one.

Rethinking architectural heritage

MUCH as original manuscripts and paintings are one-off and irreplaceable evidence of history, architecture constitutes an important material heritage. Most of the time, it is impossible to even reconstruct due to the loss of traditional craftsmanship and building materials that are no longer in production, such as the Malayan rubber tiles in the old Supreme Court.

The significance and communicative power that a tactile and spatial experience of a properly restored heritage structure provides cannot be substituted, whether by virtual simulation, paper documentation, commemorative plaques, or by saving totemic building parts.

To break out of the confusion that often confronts the pro-development state of conservation, it is necessary to challenge the notion that heritage conservation means stagnation and an obstacle to progress.

In many post-industrial economies, including the United States, Britain, Scandinavia and the European Union, heritage conservation has become a highly developed and progressive industry. It has spawned its own research and development fields, as well as exportable high- end technology and specialised services, playing an increasing role in the economy beyond tourism.

Heritage conservation projects are more labour-intensive compared to new constructions of similar finance.When heritage rehabilitation occupies a larger share of the construction industry, it generates proportionately more skilled and specialised employment.

Singapore is well past the phase of massive urban development that was necessary to address its housing shortage. There is no better time than now to actively address the shortfall in the state of heritage conservation. We should aim to move beyond totemic efforts that belie an uncompromising stance towards profit-making, at the expense of a healthy appreciation of our history.

The writers are with the Singapore Heritage Society.

Tan Kar Lin, For The Straits Times and Ho Weng Hin and Dinesh Naidu

Source : Straits Times - 28 Jun 2007

SINGAPORE has no plans to open up its landed property market to foreigners, Minister for National Development Mah Bow Tan said yesterday.

He rejected a suggestion from investment bank Goldman Sachs, which was reported in the Singapore media earlier this week, that there was a high chance the Government would soon ease curbs on foreigners buying landed homes.

Speaking to reporters during a four-day visit to the north-eastern Chinese city of Tianjin, Mr Mah said any change to the rules would deny Singaporeans a chance to own such homes, which are in short supply in the land-scarce country. ‘Landed property has to be treated as a special category. It is important for us to maintain certain privileges for our citizens.’

Under the Residential Property Act, foreigners and permanent residents are barred from buying landed properties without government approval. Those who get the nod can own only one landed property at a time and they must occupy the home, not rent it out.

Source : Straits Times - 28 Jun 2007