Singapore moves to discourage shoebox apartments

Singapore will cap the number of homes that can be developed in suburban projects as it seeks to curb the increasing trend of so-called shoebox apartments.

The government plans to limit the number of homes for apartment projects outside the city’s central area to “discourage” shoebox units, the Urban Redevelopment Authoritysaid in a statement posted on its website today. The new rules will be implemented from Nov. 4.

The island state’s population growth, scarce land and surging property values have prompted developers to shrink housing space.

Residential prices surged to a record at the end of 2011 in a city that’s about half the size of Los Angeles, and the government said in May it’s concerned that shoebox apartments are mushrooming as private home sales surged to a three-year high with record purchases of units that are smaller than 50 square meters (538 square feet).

“The new guidelines will discourage new developments consisting predominantly of ‘shoebox’ units outside the central area, but at the same time give flexibility to developers to offer a range of homes of different sizes to cater to the needs of various demographic groups and lifestyles,” according to the statement.

Shoebox units will increase more than four-fold to about 11,000 units by the end of 2015 from 2,400 at the end of last year, the authority said.

‘Almost Inhuman’

Singapore should curb the trend of shoebox apartments because they are “almost inhuman,” said Liew Mun Leong, chief executive officer of CapitaLand Ltd. (CAPL), Southeast Asia’s biggest developer. The government should intervene because these projects are “wasting” the country’s scarce land resource, he said in the interview in May.

The smaller apartments helped boost sales, comprising 2,766 units or 42 percent of the sales in the first quarter, Li Hiaw Ho, executive director at CBRE Research, said in an e-mailed statement in July.

Home sales have climbed to 12,254 units this year through June 30, according to data from the authority. Suburban projects will be the “driving force” for developers in the second half of 2012, PropNex said.

The government’s guidelines are a “welcome move” amid concerns of smaller homes dominating the suburbs, according to Jones Lang LaSalle.

Consumer Trends

“The policy itself is well thought through,” Jones Lang, a Chicago-based property brokerage, said in an e-mailed statement. “Central area, where land prices are high, is excluded thereby allowing market forces to continue to dictate the relevant housing form especially through the measures of financial affordability and equally that of consumers’ preferences and trends.”

The government doesn’t want shoebox units to form a “disproportionately large portion” of the housing supply in Singapore, the Urban Redevelopment Authority said today. Some new housing developments are made up mostly of these smaller units, sometimes as much as 80 percent of a project, it said.

A large concentration of such developments could add stress to the local road infrastructure with more units that the government had planned for, according to the statement.

By Pooja Thakur - Bloomberg

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Singapore moves to discourage shoebox apartments

Singapore will cap the number of homes that can be developed in suburban projects as it seeks to curb the increasing trend of so-called shoebox apartments.

The government plans to limit the number of homes for apartment projects outside the city’s central area to “discourage” shoebox units, the Urban Redevelopment Authoritysaid in a statement posted on its website today. The new rules will be implemented from Nov. 4.

The island state’s population growth, scarce land and surging property values have prompted developers to shrink housing space.

Residential prices surged to a record at the end of 2011 in a city that’s about half the size of Los Angeles, and the government said in May it’s concerned that shoebox apartments are mushrooming as private home sales surged to a three-year high with record purchases of units that are smaller than 50 square meters (538 square feet).

“The new guidelines will discourage new developments consisting predominantly of ‘shoebox’ units outside the central area, but at the same time give flexibility to developers to offer a range of homes of different sizes to cater to the needs of various demographic groups and lifestyles,” according to the statement.

Shoebox units will increase more than four-fold to about 11,000 units by the end of 2015 from 2,400 at the end of last year, the authority said.

‘Almost Inhuman’

Singapore should curb the trend of shoebox apartments because they are “almost inhuman,” said Liew Mun Leong, chief executive officer of CapitaLand Ltd. (CAPL), Southeast Asia’s biggest developer. The government should intervene because these projects are “wasting” the country’s scarce land resource, he said in the interview in May.

The smaller apartments helped boost sales, comprising 2,766 units or 42 percent of the sales in the first quarter, Li Hiaw Ho, executive director at CBRE Research, said in an e-mailed statement in July.

Home sales have climbed to 12,254 units this year through June 30, according to data from the authority. Suburban projects will be the “driving force” for developers in the second half of 2012, PropNex said.

The government’s guidelines are a “welcome move” amid concerns of smaller homes dominating the suburbs, according to Jones Lang LaSalle.

Consumer Trends

“The policy itself is well thought through,” Jones Lang, a Chicago-based property brokerage, said in an e-mailed statement. “Central area, where land prices are high, is excluded thereby allowing market forces to continue to dictate the relevant housing form especially through the measures of financial affordability and equally that of consumers’ preferences and trends.”

The government doesn’t want shoebox units to form a “disproportionately large portion” of the housing supply in Singapore, the Urban Redevelopment Authority said today. Some new housing developments are made up mostly of these smaller units, sometimes as much as 80 percent of a project, it said.

A large concentration of such developments could add stress to the local road infrastructure with more units that the government had planned for, according to the statement.

By Pooja Thakur - Bloomberg

Related posts:
Singaporeans living in shoebox, the 'Mickey Mouse'
Singapore millionaires who don't feel rich

Singapore moves to discourage shoebox apartments

Singapore will cap the number of homes that can be developed in suburban projects as it seeks to curb the increasing trend of so-called shoebox apartments.

The government plans to limit the number of homes for apartment projects outside the city’s central area to “discourage” shoebox units, the Urban Redevelopment Authoritysaid in a statement posted on its website today. The new rules will be implemented from Nov. 4.

The island state’s population growth, scarce land and surging property values have prompted developers to shrink housing space.

Residential prices surged to a record at the end of 2011 in a city that’s about half the size of Los Angeles, and the government said in May it’s concerned that shoebox apartments are mushrooming as private home sales surged to a three-year high with record purchases of units that are smaller than 50 square meters (538 square feet).

“The new guidelines will discourage new developments consisting predominantly of ‘shoebox’ units outside the central area, but at the same time give flexibility to developers to offer a range of homes of different sizes to cater to the needs of various demographic groups and lifestyles,” according to the statement.

Shoebox units will increase more than four-fold to about 11,000 units by the end of 2015 from 2,400 at the end of last year, the authority said.

‘Almost Inhuman’

Singapore should curb the trend of shoebox apartments because they are “almost inhuman,” said Liew Mun Leong, chief executive officer of CapitaLand Ltd. (CAPL), Southeast Asia’s biggest developer. The government should intervene because these projects are “wasting” the country’s scarce land resource, he said in the interview in May.

The smaller apartments helped boost sales, comprising 2,766 units or 42 percent of the sales in the first quarter, Li Hiaw Ho, executive director at CBRE Research, said in an e-mailed statement in July.

Home sales have climbed to 12,254 units this year through June 30, according to data from the authority. Suburban projects will be the “driving force” for developers in the second half of 2012, PropNex said.

The government’s guidelines are a “welcome move” amid concerns of smaller homes dominating the suburbs, according to Jones Lang LaSalle.

Consumer Trends

“The policy itself is well thought through,” Jones Lang, a Chicago-based property brokerage, said in an e-mailed statement. “Central area, where land prices are high, is excluded thereby allowing market forces to continue to dictate the relevant housing form especially through the measures of financial affordability and equally that of consumers’ preferences and trends.”

The government doesn’t want shoebox units to form a “disproportionately large portion” of the housing supply in Singapore, the Urban Redevelopment Authority said today. Some new housing developments are made up mostly of these smaller units, sometimes as much as 80 percent of a project, it said.

A large concentration of such developments could add stress to the local road infrastructure with more units that the government had planned for, according to the statement.

By Pooja Thakur - Bloomberg

Related posts:
Singaporeans living in shoebox, the 'Mickey Mouse'
Singapore millionaires who don't feel rich

A durian tree became a thorny issue in Singapore flat residents!

Root of a problem: A resident looking at the durian tree that has become a bone of contention among neighbours in Moulmein Road, Singapore.

SINGAPORE: A durian tree in Moulmein Road, Singapore, became a thorn in relations among residents of a HDB block of flats nearby when fights ensued over who could claim the fruits.

The Straits Times reported that the dispute began three years ago when a resident, known only as Chua, said he was just looking at the tree when another resident, R. Lim, shouted at him to stay away from “his tree”.

He claimed his father planted the tree 20 years ago.

Last week, resident Lily Wee called police after Lim, a businessman in his 50s, shouted expletives at her when she wanted to take a durian.

“There are three kinds of people in this world – the good, the bad and the ugly. He belongs to the last group,” said Wee, calling Lim a “durian bully”.

Residents would wait under the tree each fruiting season, sometimes for hours, to take the ripened fruits.

“We can always get fruit from Geylang, but we choose to wait here to kio liu lian,” said a resident known as Patrick, referring to a Hokkien phrase expressing the thrill of getting free durians.

About 100 durians could be harvested each year from the single tree, which first bore fruit seven years ago.

Frustrated over the fiasco, some residents had asked for the tree to be chopped down, but the Moulmein-Kallang municipal council had let the tree be.

It will, however, put up two notices stating that the neighbourhood trees belong to the Housing Board and are maintained by the town council.

Resident Peter Yang approved of not chopping the tree, and said neighbours had begun to bond as they queued and chatted while waiting for the fruits to fall.

“Despite a little bit of nonsense, you still get some good out of it,” he said.

- The Star/Asia News Network

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