Finally, The First HDB In Bukit Timah In 40 Years…

HDB seems locked in a constant battle with what Singaporeans call “the rich people areas.” 

HDB seems to view enclaves - be it ethnic enclaves, or areas defined by a certain socioeconomic strata - as areas that need to be broken up. It’s like whack-a-mole for them: all the flats are pricey and centralised? Put in rental flats. There are exclusive landed properties nearby? Put up a block across from it. For the most part, I love it. 

I get that some homeowners don’t, but it’s needed to prevent widening class divisions. We already have such strong stratifications (your social class is obvious from condo, HDB, or landed ownership), the least we can do is to try and make everyone get along. And I think the upcoming housing estate in Bukit Timah is going to be the very icon of this intent. 

There are going to be up to 20,000 new homes on the Turf City site, which is directly facing Binjai Park, one of our pricey landed enclaves in Bukit Timah. Even the government’s statements on this upcoming estate, like calling it “inclusive and highly accessible,” hint at an underlying motive: 

To break up the sense that Bukit Timah - or at least this part of it - is some kind of elite community separate from the rest of Singapore. 

It’s some great imagery: the Turf Club embodies a sport that was, primarily for the wealthy (the F1 races of their day I guess). It was also closely tied to Singapore’s colonial past; and by proximity or otherwise, it remains an area frequented by more affluent expatriates. So reclaiming this area for HDB flats is more than practical; it becomes a metaphor for Singaporean unity, which ideally transcends class. 

And as skeptical as some of us may be about that, I’m sure the intent of the message is clear.

Meanwhile in other property news…

One of the things you learn in property is that “grey areas” can turn black-and-white very suddenly.

I’m referring to the crackdown on the property owners who used the “99-to-1” arrangement. Using this method, a property owner is given only a one per cent share in a second property they buy, thus paying ABSD only on the one per cent. Later they can sell the one per cent back to their co-owner. 

From word on the ground, this was sometimes touted as a “grey area” to property buyers; some of whom claim they were taught to do this by their property agents. Out of 187 cases reviewed by IRAS, 166 of them were found to have avoided taxes this way; and property agents in at least 10 of these cases are under review. 

This isn’t the first time misinformation has cost property owners, by the way. Sometime back, I recall some flat owners claiming they’d been advised to just lock up one room in their flat and rent out the rest. This would count as “not renting out the whole flat” so it could be done before the Minimum Occupancy Period. 

I also recall, a few years back, some new launch buyers being told it’s okay to receive “furniture rebates,” which were essentially a sort of cashback scheme: the idea was to inflate the price for a bigger bank loan, after which a portion would be paid back to the buyer. 

So now who do we listen to? 

For starters, we should probably talk more to our conveyancing firms. Many buyers treat the conveyancing firm as little more than an overpaid form-filler. 

And perhaps the most important thing we can do is to be fully aware that things described as “grey areas” can change in a hot minute. Nothing should be scarier than phrases like “the government knows people do it,” or “everyone does it.” Or that most loaded line of all, “It’s an industry practice.” 

Those lines suggest it’s time to get a bit paranoid, and seriously consider not doing it (i.e., whatever is being suggested).  

Meanwhile in other property news:

• HDB units with high ceilings? Yes, these condo-like public housing units do exist. 
• Do condos in ulu places make money? The answer will surprise you. 
• Property is a long term investment…unless you’re this guy who made $3.5 million in six months. 

• The first condo in Science Park may soon be up for grabs. Yes, that Science Park, the one that looks more like a business incubator than an actual estate. 

Weekly Sales Roundup (13 May - 19 May)

Top 5 Most Expensive New Sales (By Project)

PROJECT NAME	PRICE S$	AREA (SQFT)	$PSF	TENURE
MIDTOWN MODERN	$6,370,000	1808	$3,523	99 yrs (2019)
BOULEVARD 88	$5,202,600	1313	$3,962	FH
19 NASSIM	$5,070,000	1475	$3,438	99 yrs (2019)
J'DEN	$3,588,000	1485	$2,415	99 yrs
ENCHANTE	$3,163,000	1087	$2,909	FH

Top 5 Cheapest New Sales (By Project)

PROJECT NAME	PRICE S$	AREA (SQFT)	$PSF	TENURE
HILLHAVEN	$1,363,060	678	$2,010	99 yrs (2023)
GRAND DUNMAN	$1,390,000	549	$2,532	99 yrs (2022)
THE LANDMARK	$1,531,000	495	$3,092	99 yrs (2020)
LENTORIA	$1,594,000	732	$2,178	99 yrs (2022)
LENTOR HILLS RESIDENCES	$1,786,000	753	$2,370	99 yrs (2022)

Top 5 Most Expensive Resale

PROJECT NAME	PRICE S$	AREA (SQFT)	$PSF	TENURE
ST REGIS RESIDENCES SINGAPORE	$14,000,000	6684	$2,094	999 yrs (1995)
N.A.	$5,800,000	2874	$2,018	FH
ORCHARD SCOTTS	$4,500,000	2282	$1,972	99 yrs (2001)
AMBER 45	$4,260,000	1593	$2,674	FH
OCEAN PARK	$3,920,000	2110	$1,858	FH

Top 5 Cheapest Resale

PROJECT NAME	PRICE S$	AREA (SQFT)	$PSF	TENURE
EDENZ SUITES	$682,888	441	$1,547	FH
GUILLEMARD EDGE	$722,000	409	$1,765	FH
HILLSTA	$735,000	570	$1,288	99 yrs (2011)
RESIDENCES 88	$790,000	506	$1,562	FH
SEAHILL	$818,000	506	$1,617	99 yrs (2011)

Top 5 Biggest Winners

PROJECT NAME	PRICE S$	AREA (SQFT)	$PSF	RETURNS	HOLDING PERIOD
KING'S MANSION	$3,300,000	1604	$2,058	$2,455,000	19 Years
PEBBLE BAY	$3,750,000	2336	$1,605	$2,192,000	25 Years
KIM KEAT LODGE	$2,650,000	1830	$1,448	$1,900,000	20 Years
OCEAN PARK	$3,920,000	2110	$1,858	$1,720,000	14 Years
BLOSSOMS @ WOODLEIGH	$3,750,000	3035	$1,235	$1,643,040	12 Years

Top 5 Biggest Losers

PROJECT NAME	PRICE S$	AREA (SQFT)	$PSF	RETURNS	HOLDING PERIOD
REFLECTIONS AT KEPPEL BAY	$2,150,000	1119	$1,921	-$68,500	14 Years
THE FLORENCE RESIDENCES	$830,000	484	$1,714	$29,000	3 Years
KINGSFORD WATERBAY	$1,030,000	689	$1,495	$32,921	6 Years
THE FLORENCE RESIDENCES	$830,000	484	$1,714	$33,000	4 Years
KANDIS RESIDENCE	$1,070,000	775	$1,381	$44,500	5 Years

Transaction Breakdown

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