Developers’ hunger for Singapore land is adding to signs that the city’s housing market is making a comeback after three years of price declines.
As new home sales surge after an easing of property restrictions in mid-March, developers are becoming more aggressive in bidding at land auctions. On average, they’ve paid a 29 percent premium, the highest level in at least five years, according to broker Cushman & Wakefield Inc., which makes comparisons with the past prices of similar properties.
“Sentiment has changed,” said Christopher Tang, chief executive officer of Singapore at developer Frasers Centrepoint Ltd. “The general sense is that the market has bottomed out and like many of the developers in Singapore we are a bit landbank-starved -- we are keen to build our land bank.”
A land auction last month attracted a record 24 bidders, amid swelling demand from Chinese and Malaysian developers. Home buyers are snapping up units at developments like the Seaside Residences condominium, east of the city. New home sales more than doubled in April from a year earlier, a report on Monday showed, after a surge in March to the highest level in nearly four years.
A land auction last month attracted a record 24 bidders, amid swelling demand from Chinese and Malaysian developers. Home buyers are snapping up units at developments like the Seaside Residences condominium, east of the city. New home sales more than doubled in April from a year earlier, a report on Monday showed, after a surge in March to the highest level in nearly four years.
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