Novo Place launch

The Singapore Land Authority has just revealed its Land betterment Charges (LBC) to be paid for the next six months, which will start on September 1.

Novo Place launch is easily accessible through the established transport system.

The reduction of LBC in the Use Group B2 (Residential Non-Landed) in the range of an average% is likely to be greeted by cheers from developers. In the 118 sector, 112 will see reductions in LBC rates that range between three% up to 11%. LBC rate for the other seven sectors will remain the same. The largest drop by 11% was noted for the sectors 11, 12 13 14 and 11, which are The Marina Bay area, Shenton Way as well as Raffles Quay.

On the other hand, LBC for Use Group A (Commercial) experienced an average in the range of 0.4%. The increase ranged from 3% up to% were reported for 12 of 118 sectors however, no changes were recorded for the other sectors. This slight rise could be due to the Return-to-Office trend which may put pressure downwards on the vacancy rate.

In the same way, Use Group C (Hotel/Hospitality) was averaging rise by 3%. The LBC for only two industries was unchanged, while an increase in the range of three% up to% were recorded for the other 116 sectors. The growth for the Use Group C was the highest likely due to the positive prospects for the hospitality and tourism sector.

There are no changes to LBC for the other Use Groups which includes Utilization Group B1 (Residential and landed) as well as the Use Group D (Industrial).

Read more: DB2 showcases Orchard Sophia starting at $2,750 psf, with absolute costs ranging from $1.23 million to $2.29 million

DB2 showcases Orchard Sophia starting at $2,750 psf, with absolute costs ranging from $1.23 million to $2.29 million

City Developments Limited (CDL) C09 -0.15%has acquired the Bespoke Hotel Osaka Shinsaibashi for 8.5 billion yen ($78.5 million). The purchase was done through CDL’s indirect wholly owned affiliate, M&C Sakura TMK, and will be CDL’s third hotel acquisition before 2023. The company acquired The Sofitel Brisbane Central hotel in Australia in March and also the Nine Tree Premier Hotel Myeongdong II in South Korea in July

The Bespoke Hotel has 256 rooms that are freehold. Bespoke Hotel was officially opened in the year 2019 and is situated at the Osaka’s Shinsaibashi commercial district. It is walking distance to a variety of popular shopping areas and malls like the well-known Midosuji Avenue and Shinsaibashi-suji shopping street. There are two stations in the city. Nagahoribashi as well as the Shinsabashi stations are both just a 4-minute and 6-minute walk, respectively.

According to CDL the hotel is in a good position to reap the benefits of the revival that is taking place in tourism Japan. Particularly, the tourism industry in Osaka should grow over the next few years.

It is already the home of Universal Studios Japan, which is the third most visited theme park by 2022, with 12.4 million visitors. Osaka will also host the six-month World Expo in 2025, which is expected to attract 30 million people.

Additionally the $10 billion ($13.5 billion) MGM Integrated Resort is scheduled to open in Osaka in the year 2030. This resort will offer entertainment, casinos shopping, hotels and MICE (or meetings incentives, conferences, meetings as well as exhibitions) amenities, set to receive 20 million guests each year after the resort’s debut.

“Japan’s tourist industry regenerated significantly post-pandemic and we thought this was a perfect opportunity to grow our hotels portfolio. The group is the owner of the hotel with 329 rooms, Millennium Mitsui Garden Hotel in Tokyo Ginza as well as other rental apartments situated in Yokohama as well as Osaka. This investment aligns with our company’s plan to continuously expand and diversify our real estate portfolio.” states Kwek Leng Beng who is CDL’s chief executive officer.

Read related post: The Arden will be previewed by Qingjian Realty on July 29, with pricing starting at $1,688 psf

The Arden will be previewed by Qingjian Realty on July 29, with pricing starting at $1,688 psf

Global workspace solutions company IWG has opened its 25th IWG centre within Singapore in HarbourFront Tower Two on Monday 14 August. The brand new facility was inaugurated as a joint venture with local investment firm Seraphim Holdings.

The new center will be managed by the IWG’s Regus brand. Other brands from IWG’s workspace solutions in Singapore include Signature, Spaces, and No18.

HarbourFront Tower Two is a 16-storey office building that is located within Keppel Bay Tower and Harbourfront Tower One. The upper level in Tower Two houses the terminal for the cable car that connects Sentosa Island to Mount Faber. It is situated close to Harbourfront Centre and VivoCity.

Regus located at HarbourFront Tower Two is spread across 11,000 square feet across all 11th floors. The center will feature 180 workstations, 48 desks, 33 offices for private use and five meeting rooms.

“HarbourFront Tower Two is at the heart of the changing landscape of Singapore’s southern coastline, that provides access to a vibrant and exciting environment that combines work, life and play seamlessly” states Jeff Kwan, chief investment officer at Seraphim Holdings.

The new centre is IWG’s 10th workspace out of the city center, following the opening of Regus at the Hiap Hoe Building in Balestier in March 2022. “Across Singapore’s decentralised districts we continue to witness an increasing requirement for flexible work spaces caused by the growth of hybrid work,” states Darren Rogers, country manager of IWG in Singapore.

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One Pearl Bank sold two penthouses for $6.8 million and $7.5 million

Within the Lucky Heights residential enclave off Upper East Coast Road in District 16, a brand-new semi-detached home located at 11, Lucky View was completed last month. The three-story property that comes with the basement, sits on an elevated plot of land, offering many of the rooms within the house with uninterrupted views of the estate.

The home shares a wall with a semi-detached house just to the left. To the right, work is in progress for the building of a bungalow on the adjacent land-plot located at 17. Lucky View. The detached six-bedroom home with an underground basement is set to be completed by the closing in the current year.

The two adjoining land-plots which cover a total of 8,750 square feet were initially owned by one title. The property is located at the end of an unassuming cul-de-sac, close to Lucky Heights, the freehold site was bought through the relatives of a businessman Mr. Wee in August of 2018 for $8.3 million or $1,001 per sq ft in accordance with an agreement with URA.

The site was home to a semi-detached three-storey home that was built around the middle of 2000. The Wees bought this site with the goal to tear down the old structure and constructing a brand new house entirely from the ground up. “We have been searching for a site that would allow us to build a multigenerational residence,” says Wee.

The site located at 11 Lucky View appealed to the family due to its tranquil location and closeness to the many options for lifestyle and leisure on the East Coast. The plot’s location at the bottom of a slope was a challenge from a construction perspective however, the other features made it a compelling choice for the family to move forward with buying the property and beginning the process of building.

The choice was taken to divide the land into two. One area of 3,569 sq feet allocated for a brand new semi-detached house that would be built to replace the home that was upon the property. The second plot, which is 5,181 square feet was set aside for the construction of a detached house.

The two homes are put on the market through a tender process to be launched on Sept. 2. The houses are priced between $20 million, but it is possible that the Wee family is open to selling each house independently, says Haden Hee from PropNex Realty, who has been appointed to manage the sale. The semi-detached house that has an constructed area of 4882 square feet it is priced from $8.5 million. The bungalow, with a constructed area of 5,702 square feet and is priced at 12 million.

Design inspired by real life experiences
The homes located at 17 and 11 Lucky View took longer than planned to finish partly because of the disruptions brought on by the covid-19 pandemic. However they were not in a hurry. Wees were not in a hurry. “We weren’t in any need to build the house in a hurrythat we built], which was a blessing because it allowed us to spend the time to ensure that the house was designed to be exactly as we wanted it,” Wee says.

He imagined a house that would reflect his family’s heritage and experiences throughout their lives that span from their Peranakan origins to their journeys all over the world. Construction and interior design firm Winco Construct & Decor was involved in the execution of this idea and work in the design of interiors to both houses. Nic & Wes Builders was selected to supervise the design and construction of the exteriors of the houses as well as oversee general project coordination.

The final product showcases an eclectic style color scheme. The house is located at eleven Lucky View, the semi-detached home is modern with a few distinct elements. For example, a collection of perforated panels featuring intricate leaf designs is placed in front of the house starting from the second floor and provide the house with an unique exterior and also greater privacy. The family’s private collection of art are displayed on various surfaces, including whimsical works of Chinese cartoonist Hou Xiaoqiang, which are displayed in the kitchen, and along the staircase, which serve as focal points throughout the home.

The most striking feature of the semi-detached residence is the basement level. Due to the location of the house on an uphill slope rather than having a standard basement, which is surrounded by under ground 11 Lucky View is an open basement that leads to a large deck. This pool has been designed to look like the famous sun-bleached cave homes that are found in Santorini, Greece, a area that the Wees have visited during their vacation. Nearby to the pool is an entertainment space inside that is decorated with Peranakan elements, including antique Peranakan tiles laid out across the wall. There is also an integrated display cabinet that has the doors made of rattan.

Nearby at 17 Lucky View, the house is more colonial in style, influenced by famous Singapore buildings like The Raffles Hotel, as well as the historic Raffles Institution (RI) building in a nod to Wee’s days being a RI schoolboy. The home has wall panels that are whitewashed, Palladian windows and terraces outside on the third and second floors, with elaborate balustrades. There are also other details.

Combining the various design and architectural aspects was not easy according to Askae Loh, director at Winco Construct & Decor. “The most important thing was to integrate all the various concepts in a manner that was also cohesive,” he says. He is extremely pleased with the end result, and attributes it to the collaborative effort of the company as well as members of the Wee family.

Built for multigenerational families
The Wee family’s personal experiences have affected the design and style that the properties in 11 and 17 Lucky View In terms of practicality they were built to be able to accommodate families, while having areas to entertain. “We were looking for an area where we could gather our family and friends close,” The Wee family shares.

The houses are both large enough to be a multi-generational residence in its own right, says PropNex’s Hee. The semi-detached property is home to five bedrooms and the space is big enough to create an additional room on the upper level. The bungalow is home to six bedrooms as well as the possibility of a lift and a pool as well as an underground car park that could accommodate six cars. Or, the homeowner could opt to transform a portion of the spaces in the basement into extra bedrooms Hee adds. Each home also has an area for helping out that has an attached toilet.

In the case of the Wee family It was crucial to have common areas that were spacious and spacious. In both houses bedrooms are generously balanced, and numerous windows as well as skylights and balconies were added to give ample sunlight, ventilation and outdoor space.

Compelling proposition
Hee believes that the two homes provide a compelling offer for potential buyers. “At an asking cost of 20 million, for each of the properties it comes out to $2,286 per square foot for the total size of 8,750 sq feet that is less than a lot of houses that have been sold in the region,” he says.

In March of last year, a semi detached house located near 65 Sennett Lane fetched $8.65 million in the form of $2,211 per square foot on its 3,913 square feet. Three months after, a semi-detached property located at 37 Lucky Heights with a land size of 3,229 square feet was sold for $7.52 million, or $2,328 per square foot. In the course of this year the semi-detached property located at five Lucky Gardens occupying a site that was 1,804 square feet was auctioned off for $4.69 million, which is $2,599 psf.

PropNex’s Hee anticipates that prices for land properties in the region to continue to grow in the near term particularly when you consider the movement of the market during the past year, with units with fresh 99-year leaseholds within the Outside Central Region hitting new price benchmarks that are higher than $2,000 psf. “Already there is a reacting by bringing in transacted prices for landed properties within Lucky Heights jumping by over $200 per sq ft in the last one year” He adds.

He is expecting the 11th and 17th editions of Lucky View to garner significant interest. “Discerning buyers and smart investors are aware of the characteristics of the site attractive, such as the aspect that it’s an open-land plot with freehold rights in a highly desirable location,” he observes.

Additionally, the finished semi-detached home and the nearly completed bungalow provide a ready-to-move-in solution for potential buyers, allowing buyers to move in to new residences in a short time. Apart from saving time, buyers could save on reconstruction cost, which has increased as a result of this pandemic. Hee adds.

A tender is open for both 11 and 17. Lucky View will close on the 8th of October.

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Mirah Investment & Development offers luxury vacation houses and villas in Bali

Wing Tai Holdings announced on July 28 that its wholly owned subsidiary Wincove Investment has withdrawn from the purchase by en bloc of Holland Tower for $76.3 million which it had made public four and a half months prior the 15th of March.

This Singapore-listed property developer has cited “non-fulfilment of certain terms” for the reasons behind withdrawing from the deal. Wing Tai declined to comment further when asked.

Holland Tower is a 14-storey apartment block that has only 19 units comprising they are mostly 1,873 square feet three-bedroom units. The property is located on a 21,878 square feet freehold elevated site located at 10. Holland Heights, a quiet road that is located just from Queensway.

According to the URA Master Plan 2019, the site is designated “Residential” which is located in the Holland Park Good Class Bungalow (GCB) Area, which is located in District 10 in prime location.

Setback limitations
It is situated in an area known as the Holland Park GCB Area, the Holland Tower site was given the status of a “special waiver” to allow apartment redevelopment. However it’s subject to strict setback restrictions like the height and gross floor area (GFA). Because it is located close to Queensway which is an area classified as a Category 2 road and is in Land Transport Authority (LTA) language means major arterial road. There is a setback of 15m also.

To build a new condominium block that is 14 stories, URA stipulates a minimum setback of 34m in a GCB Area. URA also prohibits an increase in areas of gross floor, or the amount that dwellings are permitted.

Due to the strict development control that are in place, it could be difficult to follow a developer’s development plan for a new project, as per an experienced property experienced.

Holland Tower has a built-up area of 43,691 square feet according to the existing Gross plot ratio 2.0. “Developers might modify the site in its current built-up area subject to the approval of the appropriate authorities.” SRI Capital Market managing partner Low Choon Sin commented in the press release of March 15.

It was SRI Capital Market’s Low The company, which is the sole marketing agency for Holland Tower has brokered the deal. CTLC Law Corporation was the appointed legal counsel on behalf of the owner’s Holland Tower.

When asked, SRI Capital Market declined to comment on this story.

“Luxurious and iconic development for residential homes’
The ideal project for the site could be a luxurious boutique condominium that consists of a majority of large-format apartment units. Wing Tai planned to “leverage its excellent location advantages to build a luxurious and renowned residential project with amazing views unblocked from the greenery that surrounds Holland Park and the Singapore city skyline” according the the executive Director Tan Hwee Bin in the group’s press release on March 15.

Some experts believe that its plan may be scuppered by site restrictions and limitations.

The $76.3 million transaction price to purchase Holland Tower translates to a land value of $1,764 per square foot in plot proportions. “The cost is harder to determine because of site limitations and constraints,” says a property consultant who would not be identified. “However taking that a typical development site located in the top Holland region, the break-even cost could be around $2,800-2,900 psf with the median selling price for the new project within the range of $3,200-$3,300 per square foot.”

Foreign buyers with high net worth or Permanent Residents (PRs) generally prefer condominiums located in areas like the Core Central Region (CCR).

The cooling measures are being re-examined
But, the government’s recent cool measures announced on April 27 which included an extra buyer’s tax (ABSD) to foreigners increasing to 30% to 60%% up to 60% and a reduction in the demand.

Based on Huttons Data Analytics, the number of non-landed residential properties bought by foreign buyers has decreased dramatically between 112 and 66 units by May, reducing to 27 units, or 2.5% of all such transactions in June.

Certain developers were reacted by postponing launch of their luxury developments within the CCR. City Developments (CDL), for example, had originally planned to unveil their 246 unit Newport Residences, an redevelopment of the old FujiXerox Towers located on Anson Road, on April 29. But, following the cooling measures taken in April 27 CDL announced it was going to postpone the Newport Residences’ preview would be “postponed indefinitely”.

Exiting from En bloc deals
It’s not the first time that a developer has pulled out of an en bloc acquisition. Hong Hong Kong-listed Shun Tak Holdings, for example, pulled out of its en bloc acquisition from High Point 2 1/2 years before, due to the introduction of cooling measures that went into effect on Dec 16 2021. Most notable was the rise by ABSD for foreigners ranging from 20% to 30%% up to 30%%.

The previous week, on the 9th of December 2021 Shun Tak announced it had won the tender for the group deal to purchase High Point for $556.7 million. In the announcement the developer announced its plan to transform the property to become a luxurious residential project that will be completed in 2027.

Shun Tak did not proceed with the 5% down payment on the High Point en bloc deal due the 23rd of December, 2021. The developer even canceled its tender deposit of $1 million.

In the Holland Tower’s instance, Wing Tai may have already made five% deposit. On the basis of the $76.3 million price of the purchase 5, the 5% is $3.815 million.

There is also a possibility that the collective sale committee at Holland Tower submitted an application for the Strata Title Board (STB) to have a sales warrant sent to the purchaser which is in this case Wing Tai.

When the sales contract is issued to the developer The next 5% payment is due. Because Wing Tai has cancelled the agreement and will not continue with the subsequent payment of 5% payment.

“However in the event that the sales conditions weren’t satisfied, the deposit would normally have to be refund,” according to a property consultant.

The latest episode of Holland Tower is likely to put a damper on the market for collective sales that is already stagnant.

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The median price of Lentor Hills Residences is comparable to the median price at the 605-unit Lentor Modern

Over the weekend, three brand-new projects were showcased (July 29-30) The 324 unit TMW Maxwell in Tanjong Pagar; the 78-unit Orchard Sophia on Sophia Road; and the 105-unit The Arden on Phoenix Road in Bukit Batok.

“It’s been at the very least four yearsfrom the pre-Covid era in which three projects were viewed concurrently,” says Ismail Gafoor the CEO of PropNex. “However each of the three projects have different appeal to groups of people.”

TMW Maxwell is a redevelopment of the old Maxwell House by an alliance of Chip Eng Seng, SingHaiyi Group and Chuan Investments. The mixed-use project has 324 housing units ranging from the fourth through 20th floors along with 11 commercial spaces that extend from the basement up to the third floor.

The development is located on Tras Street, just off Maxwell Road, in District 2. “Its closeness in proximity to Tanjong Pagar, known for its lively nightlife and unique restaurants, will draw buyers who are interested in city living and a thriving urban lifestyle,” adds Marcus Chu, CEO of ERA Singapore.

Over 1000 people toured at the TMW Maxwell sale gallery on its first weekend of operation. In TMW Maxwell, 62% of the studios are dimensions ranging from 476.3 to 479.4 sq feet. They are constructed as “flip/switch devices” equipped with furnishings that are “transformed” and range from a moveable walk-in wardrobe to the queen-sized Murphy bed, which is paired with a sofa as well as a open-plan workspace.

“Many people were delighted with the contemporary amenities and the transformative capabilities of the units with flip/switch that the company offers,” says Raymond Chia the chief executive officer of the group companies Chip Eng Seng and SingHaiyi. These units are aimed at “multi-hyphenates which includes a lot of young investors and executives,” he adds.

Justin Quek, deputy CEO of OrangeTee & Tie, describes the studios with flip/switch as “fresh modern, exciting as well as relevant for the audience who will be impressed by the concept of live-work-play in the vibrant neighborhood of Tanjong Pagar”.

Around 85% of the units at TMW Maxwell are priced within the area between $1.5 Million to $2.5 million. Prices start from $3,188 per ftf.

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On July 22, Qingjian Realty and Santarli Realty will preview Novo Place EC

The URA’s Central Region office rental index saw a slowing of q-o-q growth rate of 2.3% in 2Q2023, after two consecutive months that recorded 5.1% q-o-q growth in 4Q2022 and 1Q2023. The rate of growth has decreased, however, it’s the seventh consecutive year of increased growth from 3Q2021.

JLL’s research shows the average monthly gross rents for Grade-A offices within the CBD decreasing in 2Q2023, with just 0.2% q-o-q growth. Rental growth for the quarter has slowed down since 2H2022 when it slowed between 3.0% q-o-q in 3Q2022 to 1.2% in 4Q2022 and 1.1% in 1Q2023.

“It’s an indication that Singapore offices leasing industry is slowing off on the backdrop of the prolonged macroeconomic headwinds” claims Tay Huey Yang, JLL head of research and consulting. “The negative outlook for the economy and the constant downgrades from economists made occupiers wary and a majority of them choosing to renew their leases at lease expiry or the appropriate size to control expenses.”

In the past, difficulties in getting approval for capital expenditures has slowed expansion and relocation operations, Tay adds, particularly for firms with headquarters on the US and Europe, Middle East and Africa (EMEA).

Certain occupiers who decided to look at the long-term, they went on by negotiating deals to upgrade their premises to better facilities. Some significant lease deals in 2Q2023 include US Investment bank Morgan Stanley taking up 100,000 sq ft over five floors in the new IOI Central Boulevard Towers and French advertising company Publicis Groupe’s move to 55,000 sq ft of office space in Guoco Midtown office tower, which was granted a Temporary Occupation Permits in the 1Q2023.

“More occupiers are focusing on space optimization and some are even resizing to make their footprint more efficient,” says Tricia Song, CBRE head of research for Southeast Asia. This could have led to a greater psf monthly rent in the 2Q2023.

Leasing enquiries have declined from large occupiers
However, leasing inquiries particularly from large office tenants are “noticeably limited” since the beginning of 2023, according to JLL’s Tay. She anticipates that some of the ongoing negotiations on mid-to-large pre-leasing contracts for projects being constructed to conclude within the next few months. Leasing is mainly driven by occupiers who have “smallish needs” she says.

Demand for office space from the tech industry specifically has dropped down to around 20% of leases signed in 1H2023, a decrease from 46% in 2022, claims Wong Xian Yang, head of research for Singapore and Southeast Asia, Cushman & Wakefield (C&W).

The tech industry is the second-largest contributor to office demand. However, it has been replaced by the finance sector which was responsible for nearly 49% of CBD new leases in the 1H2023 period this year, an increase from 21% in the previous year.

“Financial and professional service firms have helped to offset a slowdown in demand for tech offices,” says C&W’s Wong. As Singapore’s wealth management sector grows professionals’ services such as legal or certification and education are entering a lot that are office spaces in the CBD.

“Correction mode” in 2H2023
The availability of office space is expected to increase over the next few months, due to the imminent conclusion of IOI Central Boulevard Towers yielding 1.26 million square feet of office space that is Grade A and growing shadow space, says JLL’s Tay.

CBRE’s Song note that the area of the shadow spaces inside offices within Downtown Core Downtown Core “remains quite high” however vacancy rates have been very low. But, “the shadow space may ultimately result in a higher the vacancy rate” Song warns. “Global macroeconomic headwinds as well as corporates cutting costs could worsen this situation during 2H2023.”

In the near-term the demand for office space is expected to outpace supply, says JLL’s Tay. She expects landlords of properties that have high vacancy rates being under pressure to reduce the asking rents in order in order to draw or keep tenants. “As this is the case, pressure upward on office rents needs to ease, and eventually give an opportunity for downward pressure to ease,” notes Tay.

Thus, JLL does not rule out the possibility of CBD Grade Office rents per month could be in an “correction phase” within 2H2023, which could drag down growth for the entire year to moderately negative zone.

The sale of the strata-titled freehold floor of offices at Solitaire located at Cecil at record-breaking price of $4,100 to $4.300 per square foot may be a factor in this 1.0% q-o-q uptick in the URA’s office property price index during 2Q2023 despite it being flat in the 1Q2023 JLL’s Tay notes.

“The rising demand for office buildings that are strata-titled has pushed up the capital value, especially due to the restrictions on the future strata subdivisions of commercial properties in a few precincts in the Central Region,” says Lam Chern Woon, Edmund Tie director of research and consulting.

Recent modifications in the Residential Property Act (RPA) could attract more attention to office buildings in the strata or commercial buildings usage that won’t require foreign buyers to get an approval for purchases on sites designated Residential or Commercial Lam adds Lam.

“With the high-net worth segment and the family offices becoming prominent market players deal-making could occur for assets with a value around $500 million or less,” adds JLL’s Tay. “This could boost confidence in the market for investment sales and support office costs.”

In the meantime, high interest rates in relation to the slashed office yields will keep institutional investors off the market and big-ticket en bloc office deals remaining tepid According to Tay.

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A number of new retail stores opened during the quarter increased the total absorption of retail space, which increased to 290,520 square feet in 2Q2023, reversed an increase of 75,320 sq ft in the first quarter of 2023.

“Last quarter was a busy time for the opening of new brands that are not yet available on the market like Sun as well as Sand Sports in Raffles City and international luxury brands such as Aluxe, Grand Seiko and Atelier Cologne. Markets also welcomed new food and drink (F&B) entry points like Mister Donut, Luckin Coffee, Jamba Juice and Chaffic Bubble Tea as well as there were several returns to the market by F&B and other lifestyle brands like Ben’s Cookies and Marimekko; all of which prove the confidence of retailers with Singapore,” says Lam Chern Woon director of the research department and consultancy for Edmund Tie.

Opening of The Woodleigh Mall in 2Q2023 was a further proof of the growing demand for retail spaces, like the rising pre-commitment rates for upcoming retail developments, like One Holland Village and Pasir Ris Mall, says Angelia Phua, director of consulting of research and consulting in JLL Singapore.

“In market capitalization, growth in rental in the 2Q2023 period likely pushed prices up, because investors remained in favor of good retail assets, including suburban malls due to their favorable outlook for rent and the high scarcity value,” she says.

This meant that the retail market was distributed across all geographic segments. In the Orchard Road planning area, Orchard Road planning area recorded the highest increase in sales, regaining the sharp shrinkage of 258,240 sq ft in the 1Q2023 quarter to a positive 32,280 sq ft of space in the last quarter.

“As more workers return to work Retail spaces located in the Rest of Central Area have also seen an increase in the demand for them,” adds Lam.

Therefore, the occupancy rates for The Orchard Road area and Central Area both experienced an rise by 0.7% to 86.8% and 90.5%, respectively. In the end both retail prices as well as rental rates for Central Area increased. Central Area rose by 0.3% per month in the 2Q2023, which was a turnaround after five quarters of consecutive declining.

For the Central Area, Orchard Road rate of vacancy has increased by 13.2% after hitting a lowest in the region of 13.9% in 1Q2023. “Orchard the prime retail market is the most sought-after destination for international brands getting ready to expand in the wake of a boom of tourism that is inbound,” says Wong Xian Yang who is the head of the research department for Singapore in the region of SEA for Cushman & Wakefield.

He believes Central Region Retail rents to be able to recover, supported by the constraints of new prime retail inventory and an anticipated return of Chinese tourists. He also said that the monthly arrivals of visitors to Singapore have surpassed one million in March and are set to exceed Singapore Tourism Board’s prediction of visitor numbers of 12 million to 14 million in the entire year 2023.

The retail rents of areas like the Orchard Road area will continue to drive growth in the near term as a growing number of new and high-end brands open shops on the belt of shopping according to Wong However, he says: “The overall retail market is still volatile due to economic uncertainty and the long-term high cost of living will remain a burden on retail sales and consumer confidence”.

“Underpinned by a fairly limited supply pipeline, we anticipate to see Central Region retail rents to reach their peak by the end of 2023 with a more complete recovery in tourism and a more clear economic direction,” concurs Lam.

“Considering Singapore’s status as a safe-haven and the favorable demand-supply fundamentals that are present in Singapore’s retail property market, as well as the limited supply of assets that can be traded rising rents will support the cost of premium floor space in high-quality retail properties, despite the higher expectations for yields in a high interest rate environment” Phua says. Phua.

Novo Place contact number

Five years ago in the year 2005, when Fairhaven became announced to be sold collectively, Dennis Leong, founder and CEO of DB2 was not the one to offer for it. However, it caught his attention in the year 2020 when Fairhaven returned to the market for collective sale along alongside the neighboring Sophia Ville. The developer paid $62 million to purchase both of the freehold sites situated on Sophia Road in prime District 9.

Novo Place contact number to be obtain showflat appointment and get a copy of official project details and floor plans.

The two sites resulted in a land surface of 23,881.5 sq feet. “Buying only one parcel isn’t as appealing since you’d only be able to construct an area of 20-30 units,” says Leong. “You must purchase both of them to create a rectangular area.”

The total site space of the site is 23,881.5 sq ft. In addition, the five-story condominium Orchard Sophia will comprise 78 units. Around 15% of them are one-bedders that range between 441 sq ft and 484 sq feet. The majority of them are two-bedders with 581 sq feet to 710 sq feet, making 55 of the units (71%). Three bedders with 764 sq feet comprise only three units, whereas three-bedroom units with dual keys of 829 sq ft up to 829 sq ft make up 5 units within the development.

Leong would like the project to convey the sensation like “staying in a luxurious hotel” starting from getting to the drop-off location or the basement carpark, all the way until the lobby. “I hope that the hotel will be exclusive to residents, no matter if they are proprietors and tenants” Leong confides.

DB2 contracted Ong & Ong as the designer, with EcoPlan Asia as the landscape architect, and Creative Mind Design as the interior designer of the showflats and the interiors of the units at Orchard Sophia.

According to the URA Master Plan, the site has plot ratio of 2.1 that means it could be able to go up to 24 floors. However, because the site is located in Istana Park and is a security concern the building’s height was limited to five stories. This presented an interesting counterpoint to Lai Tien Yong, Ong & Ong studio director-architecture. “There aren’t any taller structures within the area,” he says. “So it’ll be the tallest structure within the region, given its position at the highest point on the hill. Residents will still be able to enjoy an aerial panorama from Orchard Road and Istana Park.”

Based on the orientation of the units within these two buildings, both of which are located in the northwest-southeast, approximately 75% of the units in Orchard Sophia will enjoy unblocked city views, claims Lai. Another 25% of units will be able to see the inner courtyard as well as the lap pool that is 20m in length. Additionally the gap between the two blocks is an air tunnel, so the units will benefit from an excellent cross-ventilation system the developer says.

Alongside the standard balcony, which functions as an extension from the living space Each bedroom will also have an “Juliet balcony” according to Lai. “During Covid, we noticed numerous people who wanted to build small gardens on their balconies” Lai says.

The brass-colored mesh that is placed on the façade has a double purpose beyond its aesthetics: it serves as a privacy screening and shading device that can cut off the sun’s glare in the words of Lai.

‘Creating a semi-Mohamed Sultan vibe’
What makes this development stand out from other developments that are located in The Sophia Road neighbourhood is the area of 6,000 square feet of landscaping and deck on the roof. “We are trying to create an almost Mohamed Sultan-like vibe in this area,” says landscape architect and director of Ecoplan Asia Thanapong Boonyasiriwat (Gong).

Before planning the landscaping, Gong studied the surrounding neighborhood “to see what the competition was” He says. He discovered a neighborhood full of boutique developments so dense that the electrical and mechanical services occupied the entire roof and left no room to plant a garden.

Gong determined to transform his rooftop to something “edgy” and evoke the energy of a luxury resort. Gong divided the rooftop into various areas: a quiet one that is devoted to wellness and spa with a spa pool another one for fitness, with the possibility of an outdoor gym and a social quarter that has the sunken lounge, which is a place for people to meet in the evening, and a bar and dining quarter for guests to entertain family and friends with a capacity of 10 guests.

Due to the numerous higher education institutions in the vicinity, like LaSalle College of The Arts, Nanyang Academy of Fine Arts (Nafa), School of the Arts (Sota) and Singapore Management University (SMU) in close their proximity to Dhoby Ghaut MRT interchange station, Orchard Road malls and the CBD, Gong reckons the population of residents will likely to be students who attend the schools and young executives from abroad who are looking for an ideal address in the Sophia region.

“It’s ideal for people who would like to entertain at home but don’t have the space in their home to host parties,” says Gong. “They are able to entertain their guests on the roof and host celebrations there.”

‘Boutique-hotel feel’
The property has St Margaret’s Primary School nearby and Anglo-Chinese School (Junior) within a one-kilometre distance the at DB2’s Leong isn’t averse to young families with the two or three children of schooling age. “The two and three-bedroom apartments are perfect for families with small children,” he says.

With the mix of units in Orchard Sophia, Leong expects to see interest in buying from both end-users and investors. “Young couples will be drawn to two bedrooms,” he says. “Those who require to study in a space but don’t want give up one bedroom can make use of the family shelter. It can be used as an area for study, pantry, or even a helper’s room.”

Creative Mind Design’s interior designers Creative Mind Design also ensured that the rooms exude a luxurious hotel atmosphere. “We were looking to create a warm and welcoming feeling starting the moment you enter and also as you walk through the pathway,” says the firm’s director of design Alvin Tan. “We combined the palette of materials and colors to blend in with the architectural.”

In keeping with modern interiors, the living area tiles are huge porcelain tiles with a matte finish. The kitchen cabinets come with a built-in storage rack to store condiments and spices. The polished kitchen backsplash as well as the counter constructed from sintered stone was chosen for the kitchen because of its toughness, says Tan and “to give a unique contrast to the floor’s matte finish”.

The developer provides top-quality brands of fittings and appliances, for example, Smeg kitchen appliances, Bosh washer and dryer, as well as Franke kitchen faucets as well as mixers. Bathrooms are outfitted by Gessi bathroom faucets as well as shower set-ups. Hansgrohe Accessories, water closets from Duravit, and Geberit the flush plate.

The showflats in the two-bedroom unit as well as the triple-bedroom dual-key units are designed to provide homeowners with suggestions on how to make work and storage areas, according to Constance Tew, creative director at Creative Mind Design.

Tew discovered DB2 refreshing. “When she first got to know Dennis Leong I was able to hear him talk about the way he wanted Orchard Sophia to be more like the boutique hotel and one that people are happy to call their home,” she relates. “The common boutique developer typically wants to carve out small spaces, make use of inexpensive materials, and then sell their venture quickly.”

The focus is on boutique, freehold projects
DB2 has been involved in the property development industry since Leong created the company in the year 2006. Leong has concentrated on residential freehold projects. Some of his previous developments include the freehold Siglap V comprising 114 apartments on the upper levels and retail units at the top floor. The project is located in District 15’s prime area within the Siglap area It was inaugurated in the year 2010 and was it was completed by 2013. In the Kovan region, DB2 launched the 164-unit freehold, mixed-use project Promenade Pelikat located on Pelikat Road in 2012. The project located in District 19 was completed in 2015.

Boutique developments within prime districts created by DB2 includes the 10-unit Ten Shelford that was first launched in. The freehold development situated on Shelford Road in prime District 11 was completely sold by 2014. The 84-unit freehold Devonshire Residences was established in 2011 and then was sold out. The property is situated at Devonshire Road, it sits in the prestigious District 9 and was completed in the year 2015.

According to Leong the prices for absolute units for Orchard Sophia will start from $1.23 million for a one-bedroom unit to $2.29 millions for three bedrooms apartment. In a psf model the prices will begin at $2,750 per square foot.

“Orchard Sophia is attractive from an psf perspective,” says Ismail Gafoor chief executive officer of PropNex. “Notably it has the new launch of 99-year leasehold suburban properties within the Outside Central Region (OCR) priced between $2,000 and $3,000 psf as well as 99-year leasehold city fringe, or Rest of Central Region (RCR) projects that cost $2,400 to $2,500 per square foot.”

Based on Marcus Chu, CEO of ERA Singapore, the median price of condos purchased in District 9 during 1H2023 was $2877 psf. “With Orchard Sophia starting from $2,750, there is bound to be high interest from homeowners as well as the investors” Chu says.

“With the decreasing price gap among CCR as well as RCR new projects We can expect more sophisticated homebuyers and investors to zero into CCR purchases now,” adds Chu.

The first launch of a new initiative in the CCR in 2023.
The most recent launch of the CCR was in November last year and included the 72-unit freehold Hill House on Institution Road, off River Valley in the District 9 According to Huttons Data Analytics. So far 17 units in Hill House have been sold for an average of $3,003 psf in accordance with caveats that were lodged. Another project that was announced this year included the 38 unit Sophia Regency across the road from Orchard Sophia. The prices of the freehold development began at $2,850 per square foot. At this point there haven’t been any caveats filed for the development.

“Orchard Sophia” will mark the initial CCR project to be launched in 2023.” claims Mark Yip director of Huttons Asia. The development is situated within District 9 which is a five-minute walk from the Dhoby Ghaut MRT interchange.

Yip thinks that the attractive quantum units and dual-key units offered by Orchard Sophia are likely to draw those who are end-users, or investors. “Looking at the mix of units the ideal market for this unit is likely to include families, singles, or investors” Yip says.

Targeting end-user, investor demand
Justin Quek, deputy CEO of OrangeTee is convinced that Orchard Sophia’s distinctive character as a draw for Singaporeans as well as expatriates that like the privacy of “boutique-style condominium living”. “Professionals in the education and creative industries are the most likely targeted market, given the number of arts and international schools located in the area,” he observes.

Quek is also expecting interest from first-time homebuyers, particularly Singaporeans who are looking for the option of moving into as well as renting out the apartment after the project is complete. Orchard Sophia is scheduled for completion by 1Q2027.

As per PropNex’s Gafoor Gafoor, the developers have taken the rivals into account and priced their units accordingly.

Orchard Sophia is previewing on the same weekend (July 29-30) as TMW Maxwell on Tras Street in the Tanjong Pagar neighbourhood.

“There’s very little overlap since the two companies Orchard Sophia and TMW Maxwell have different target markets,” he says. “But investors with budgets between $1.5 million to $2 million have the option of choosing.”

Novo Place facilities

In 2Q2023, the total occupancy rate of that industrial property market recorded a modest rise by 0.3 percentage points over the previous quarter, resulting in 89.1%, according to the data published on July 27 by JTC in July. The increase was fueled by the multi-user factory and warehouse segments, where new demand surpassing supply.

Novo Place facilities and spacious family-friendly units with a maximum height of 60-70 meters.

“Although the majority of manufacturing clusters contracted in June, the occupancy levels were boosted by the demand from the transportation Engineering cluster” says Leonard Tay director of research and analysis at Knight Frank Singapore. Tay adds that the demand of the cluster for warehouses for storage of inventory and materials in the face of disruptions to supply chains around the world led to the 0.7 percent increase in warehouse occupancy to the level of 91%.

On a year-to-year basis industrial property occupancy decreased by 0.9% y-o-y. JTC is blaming this on an impressive pipeline of new constructions in the last year, with the total stock available increasing by 12.9 million sq ft exceeding the 6.5 million square feet growth in the total stock occupied.

As a result of the growth in occupancy, the rates for industrial properties recorded an increase of 2.1% increase q-o-q in 2Q2023. This marks the 11. consecutive period of increase as rents increased to a cumulative 14.5% from the trough in 3Q2020, according to Tricia Song who is CBRE’s chief of research Southeast Asia. The quarterly increase is less in comparison to those of 2.8% logged in 1Q2023.

The rent increase was driven by the multiple-user segment of factories that grew by 3% in the last quarter, and was then warehouse rents that increased by 1.4% q-o-q. In a year-over-year base, rents for industrial increased by 9.4%.

The industrial property prices also increased during the quarter, increasing 1.5% q-o-q. Lee Sze Teck, senior director of data analytics at Huttons Asia, note that this is in line with the increase that was recorded in the 1Q2023 period. “The price growth appeared to have slowed down since investors resisted increasing prices against a shaky economic environment and a persistently high interest rates,” he comments. In a year-on-year basis the price were up 6.9%.

At the end of June, 6.5 million square feet of industrial space was anticipated to be finished in 2H2023. The upcoming supply of space is single-used factory space comprises around 60% and warehouse space accounts for 22% and seventeen% is made up of multiple-user factories and business park spaces.

In the future, JTC expects demand for industrial spaces to continue to grow despite the uncertainty of the economy. “Nevertheless the new construction continues to come in and occupancy rates rise, they are likely to remain steady,” it states in its most recent quarterly report.

The Knight Frank’s Tay believes that rents and industrial prices will remain stable for the remainder season. “As an innovative open, innovative and neutral business center, Singapore’s basic features provide international companies with a safe flight and a flight-to-quality location for investment and expansion that can boost growth when stability is restored globally,” Tay explains.

Lam Chern Woon, head of research and consulting at Edmund Tie, cautions that the manufacturing industry – which has seen production declines in a yearly basis for nine months from June to June has shown no indications of stabilisation since businesses are still facing rising inflation, as well as higher cost of financing and labour. “We also anticipate trade tensions to escalate and affect the global economy through 2024 in the event that the US is stepping up its rhetoric against China during a election year for the president,” he adds.

He is nevertheless optimistic about the sector of warehouses, that he believes will generate an annual increase in rental of 6-% up to 7%. This is backed by the shortage of high-quality warehouses and facilities, as and a rising demand. “Notably the growing demands from Third-Party Logistics (3PLs) businesses such as life sciences, pharma, and food manufacturing industries is a key factor in driving the need to increased logistical services,” he says.

He also has a positive perspective for the future of high-tech industrial space that are bolstered by the new setups by semiconductor and biotechnology firms as well as the steady interest from technology and Life Science occupiers.

Qingjian Realty will commence previews for The Arden, its exclusive condo located on Phoenix Road, off Choa Chu Kang Road. It will be revealed at a preview party that will run between July 29 and August 7.

The Arden comprises a total of 105 residences, with units ranging from a two-bedder of 657 sq ft to a four-bedroom-plus-study apartment measuring 1,389 sq ft, which includes a flexible layout that the developer has dubbed “CoSpace”. The layout permits homeowners to customize their living spaces to their changing needs.

A typical unit are expected to have a ceiling of 3.2m and penthouses have a ceiling of 4.6m. The units will cost $1,688 per sq ft.

It is situated on located on the site that was the site of the previous Phoenix Heights condo, The Arden is a four-minute walk from Phoenix LRT Station. Phoenix LRT Station and a nine-minute walk to the Bukit Panjang Integrated Transport Hub. “The Arden is in a ideal location to enjoy the advantages of living in close proximity to the soon-to-be Jurong Innovation District (JID) as well as the Jurong Lake District (JLD). With its affordable price, it’s one of the cheapest new developments in the suburban area,” says Marcus Chu the director of ERA Singapore.

Ismail Gafoor, CEO of PropNex agrees. “We believe that the prices for The Arden are competitive and will appeal to a wide variety of buyers, especially considering that a lot of new launches in The Outside Central Region (OCR) have currently trending over $2,000 per square foot in the past year,” he says.

Mark Yip, CEO of Huttons Mark Yip, CEO of Huttons of the 16,000 homes for sale in the private sector there are only 2,000 located in the OCR out of which 464 are located in District 23 in which The Arden is situated. He believes that the project could be able to benefit from the soaring demand for houses within The Choa Chu Kang neighbourhood.