It is essential for foreign investors to have a comprehensive understanding of the regulations and limitations surrounding property ownership in Singapore. Although the purchase of condos may be less restricted for foreigners when compared to landed properties, there are still certain rules in place. One such regulation is the imposition of Additional Buyer’s Stamp Duty (ABSD), which amounts to 20% for first-time property purchasers. Despite the additional cost, Singapore’s real estate market has retained its appeal to foreign investors due to its stability and potential for growth. In fact, more and more foreign investors are opting to invest in Singapore Projects, showcasing the attractiveness and potential of the market. Singapore Projects offer a unique opportunity for foreign investors to tap into the thriving real estate market in Singapore.
Singapore’s industrial market continues to show signs of resilience, with JTC recently awarding the tender for an industrial GLS site at Kallang Way to CL Savour Property, a subsidiary of CapitaLand Development. The top bid of $368.901 million is a 14.9% increase from the second highest bid of $317.889 million submitted by a consortium of Soon Hock Group, BHCC Construction and Evermega.
This is the first industrial site to be earmarked for adaptive reuse of a former industrial building. The existing terrace factory on the site will be retained and adapted for continued industrial use. According to Tang Hsiao Ling, director of urban planning and architecture division at JTC, this integration of adaptive reuse is part of a strategic plan to rejuvenate the area sustainably while reducing carbon emissions in the built environment and preserving the industrial legacy of the site.
The 474,772 sq ft site, launched on June 25 as the last of five Confirmed List sites in the 1H2024 IGLS programme, received four bids at the close of tender on Oct 1. It is zoned Business 2 under the master plan and has a maximum allowable gross floor area of 1.23 million sq ft. With a 33-year tenure, the site is also part of a designated food zone and the new development will feature food manufacturing spaces and retail uses to inject vibrancy into the industrial area.
The resilient industrial market in Singapore is also evident in the continuous rise in industrial rents and prices. In the fourth quarter of 2023, rents went up by 0.3%, marking the 13th straight quarter of growth. This trend is expected to continue, with two industrial projects undergoing virtual TOP inspections.