Condo sales in S'pore hit by bad news from US
Two newly released projects sold fewer than 20 units each, as homebuyers' caution deepened after the bad news coming out of the United States. CapitaLand’s Wharf Residence sold just over 10 units. The 173-unit condominium off River Valley Road is priced between $1,500 per sq ft (psf) and $1,900 psf. Unit sizes start at about 1,000 sq ft, so a two-bedroom unit costs $1.6 million to $1.7 million. Frasers Centrepoint sold about 19 of the 48 units it released at Woodsville 28 near Potong Pasir MRT station. Units are priced at an average of $880 psf with two- and three-bedroom units, starting from 829 sq ft, with an average two-bedder costing about $755,000. OLA Residences in Mountbatten Road has sold only about 10 of its 50 units. Average of $1,200 psf. Two smaller projects, The Scenic@Braddell in Braddell Road and Jubilee Residence in Pasir Panjang, have sold about 10 units each, putting them at the halfway mark in sales. The Scenic is priced at $820 psf to $850 psf, while Jubilee is going for $900 psf. Sales has been slowed despite reports of large crowds at showflats. Savills said that buyers are still waiting to see if prices go down further, and this will continue until the US situation stabilises. There are definitely buyers with enough money to buy new properties. Cheaper projects are seeing better sales. Buyers have picked up more than 60 of the 212 units at Beacon Heights (999-year leasehold condo developed by Kim Eng Securities) in St Michael's Road for an average price of $800 psf.
-The Straits Times, H18 (see attached “In the Pipeline”)
Hope in sight for Tampiness Court sale?
An eleventh-hour bid by the owners of Tampines Court to save their collective sale from petering out seems to be paying off. The deal was in danger of collapsing after the sales committee delayed seeking mandatory Strata Titles Board (STB) approval for the sale. The STB had scheduled to hear the case only next month, but the sales agreement with Far East Organization and Frasers Centrepoint expires this Friday. As a result, the sales committee last week applied successfully to the High Court to have the STB hear the case earlier. At yesterday's hearing, those who objected to the sale had their say, clearing the way for lawyers for majority and minority owners to submit closing statements in writing by Thursday. The STB had initially set yesterday's hearing for Aug 7, but that would have killed the $405 million collective sale as it would come after the July 25 deadline.
- The Straits Time, H31
Johor’s Horizon Hills attracts foreign buyers
With a golf course set within a residential township, the resort-style Horizon Hills in South Johor is attracting considerable overseas interest, more than 60 per cent of buyers in launched precincts are foreigners. Singaporeans make up more than half of the foreign buyers. The rest come from countries as far as Sri Lanka, the United Kingdom, South Africa, the US, Japan and India. Spanning 1,200 acres, the township comprises 13 precincts with bungalows, semi-detached, cluster and terrace homes. Bungalows with golf course frontage went for RM2 million (S$837,220) on average, while semi-detached units cost around RM900,000 (S$376,749). Savills Singapore expected land prices in the area rise due to development and growing foreign investment in Iskandar Malaysia. Savills Singapore is the marketing agent for Horizon Hills in the region.
- The Business Times, P32
Indo to cut taxes on income, dividends by '09
Indonesia plans to cut the maximum taxation rates for personal and corporate income and reduce charges on dividend revenue. The government and a parliamentary commission last week approved a cut in the maximum tax rate on personal income to 30 per cent from the current 35 per cent, and set a single rate of 28 per cent for most companies next year, falling to 25 per cent in 2010. Indonesia will halve the rate on dividend revenue to 10 per cent from 20 per cent for personal tax payers and exempt dividends that companies earn from subsidiaries from taxes. Indonesia is trying to get more of its 243 million citizens to register as tax payers to boost revenue collections. The new rates, effective next year, are pending approval by a plenary session of the nation's parliament.
- The Business Times, P17