Luxury developers Maybe Hit Most

Headline Luxury developers maybe hit mostMediaTitle The Business TimesDate 08 Dec 2011 Color Black/whiteSection Top Stories Circulation 35,050Page No 2 Readership 108,000Language English ArticleSize 223 cm²Journalist N/A AdValue S$ 899Frequency Daily PR Value S$ 2,696 Luxury developers maybe hit most By MINDY TAN and market will also be hit ana is likely to have a strong im tions in Singapore involve MICHELLE TAN lysts say pact on the prime and very rich foreigners a SINGAPORE Developers The latest measures af mid prime markets as de price insensitive crowd of luxury property may be fect a group that has come mand could potentially be Lee Sze Teck senior the worst hit by the latest to form a significant por reduced by 25 per cent A manager of research and government measures to tion of property buyers more moderate impact on consultancy at Dennis Wee cool prices analysts say al here Said Terence Wong the suburban mass market Group DWG noted that though the knock down im from DMG Research For is expected added Mr Ong while the policy would gen pact would likely be felt eign buyers have increased Png Poh Soon head of erally affect developments throughout the market on the mass market front research at Knight Frank targeting foreign buyers it The government yester over the past few quarters Singapore postulated a might not have that large and this could have been a knee jerk impact of the AB an impact on those purchas day announced an addition al buyer s stamp duty AB trigger behind this latest SD on home buyers senti ing super luxury develop move ments ments SD over and above the cur Research house 1IFL Se But he qualified Genu The new residential mar rent stamp duty effective curities Pte Ltd noted that ine home buyers are not ket measures may drive de from today foreigners and permanent likely to be affected al mand to other segments Among other things an residents comprised though they may defer their After this round of meas additional buyer s stamp around 20 per cent and 15 buying decisions in the next ures the office and industri duty of 10 per cent will be per cent respectively of all few months on hopes of al markets will turn out to imposed on foreigners and non landed excluding exec cooling prices be non sustainable as inves corporate entities that buy utive condominiums trans tors will be driven to those According to Jones Lang any residential property actions in the third quarter LaSalle s head of research areas noted Ku Swee Share prices of develop of 2011 while corporate en Chua Yang Liang an im Yong chief executive of In ers such as Wing Tai SC tities constituted another 2 pact should be felt almost ternational Property Advi Global and Ho Bee all with per cent making them a sig immediately In most cas sor substantial exposure to the nificant demand source for es within the first 30 days The measures have eco high end segment could domestic properties there will be some impact nomic and political implica see near term corrections The ABSD wi upset for The subsequent 30 days tions and it seems that the The more diversified play eign buyers as they will feel will show whether the mar government is taking ef ers like CapitaLand and discriminated against but ket is deep enough to sus forts to mitigate the impact Keppel Land are unlikely to the calibration of the ABSD tain the additional stamp of foreign buying by mak be as affected share clearly sends out the mes duty ing it more expensive for price wise said Kiln Eng sage of Singaporeans But some felt the most foreigners though its ulti analyst Wilson Liew first Credo Real Estate ex expensive segment may not mate efficacy remains a big City Developments an ecutive director Ong Teck be affected much A grow question mark said Song other developer with signifi Hui said ing number of high profile Seng Wun economist at cant exposure to the local In particular the ABSD luxury property transac CIMB

Luxury developers Maybe Hit Most

by Perry Lai on Dec 09, 2011

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Luxury developers Maybe Hit Most — Document Transcript