Asia Square's Tower 1 over 50% leased at
premium rents
Asia Square's Tower 1 is more than 50 per cent leased at rents which are a premium over the market rate, developer MGPA said in an update yesterday.
Asia Square: Citi is taking up
250,000 sq ft of office space and a 5,000 sq ft banking hall
For example, new tenants looking to take up space in one of the
mid-rise floors at the 43-storey Tower 1 will pay 'double-digit' rents,
said John Saunders, chief executive of MGPA's Asia unit.
MGPA, or Macquarie Global Property Advisers, is a private equity real
estate fund management firm.
Market watchers pegged the current market rate for prime office rents
for the area at $9-10 per square foot (psf) per month.
But newer buildings such as Asia Square, which is in the new Marina Bay
commercial district, command a premium because of features such as large
floorplates, said Chris Archibold, head of markets at Jones Lang LaSalle.
Mr Saunders likewise said that Asia Square is not just a great address
but also a great working and business environment.
'Commercial buildings today have to offer more than just location and
connectivity to amenities. There are so many choices that tenants have
become much more discerning and exacting in standards,' he said.
Asia Square's Tower 1, which will offer some 1.2 million sq ft of
office space, is slated for completion in June 2011. The integrated
commercial development also has a second tower, Tower 2, which will yield
780,000 sq ft of office space when it is completed in 2013. MGPA is also
building a hotel with about 300 rooms and 70,000 sq ft of retail space.
Asia Square project is built on two adjacent sites the group won in
government land tenders in 2007.
MGPA also confirmed yesterday that banking group Citi has inked a
10-year lease to take up more than 250,000 sq ft of office space from
levels 17 to 24, as well as a 5,000 sq ft retail banking hall, in Tower 1.
Citi, which will occupy nearly a quarter of the net lettable office space
at the tower, will be Asia Square's largest tenant.
The bank will spend some $85 million in capital expenditure related
costs for the renovation and relocation to Asia Square from its current
location at Centennial Tower and Millenia Tower, it said.
- 2010 November 24 SINGAPORE
BUSNESS TIMES
Although office is doing fine at Marina
Bay, retail less lofty
Singapore added over four million sq ft
of retail space in the past two years.
The worst hit market segment this year
is the city area outside of Orchard/Scotts Road covering places such as
Marina Centre/Bay and Raffles City, where the average gross monthly rental
value for prime first-storey space fell 2 per cent for the whole of this
year to $23.90 per square foot in Q4 2010 from $24.40 psf in Q4 2009, says
property consulting group DTZ.
The fourth quarter of 2010 alone saw a
0.8 per cent quarter-on-quarter slide. This marked the third consecutive
quarterly dip for these locations, which remained dogged by supply
pressure with the opening of The Shoppes at Marina Bay Sands, Marina Bay
Link Mall and Esplanade Xchange this year.
'Malls in the other city areas will
continue to feel the brunt of ongoing developments in the area,' said DTZ
South-east Asia research head Chua Chor Hoon.
'New retail space from developments in
the next two years, such as Gardens by the Bay, Asia Square I and the
second phase of Marina Bay Link Mall will continue to put pressure on the
rents of surrounding malls,' she added.
In the Orchard/Scotts Road location,
the average monthly rent for prime first-storey space rose a marginal 0.3
per cent quarter on quarter to $39.80 psf in Q4 2010 after staying flat
for four consecutive quarters.
The full-year 2010 increase was also
0.3 per cent.
Commenting on the small rise posted for
the fourth quarter in Singapore's prime shopping belt, DTZ said: 'With the
opening of five major malls in 2009 and 2010 in the Orchard/Scotts Road
area, there will be little new supply coming on stream in 2011 and 2012
along the premier shopping street. This is giving rents a boost as demand
catches up with supply.'
The group's data also showed that the
average monthly rent for prime ground floor suburban mall space inched up
0.3 per cent quarter on quarter to $33.70 psf in Q4 2010. The full-year
rise was 0.6 per cent.
'Demand for space in the suburban areas
continued to be robust, despite the unveiling of major malls like nex
which soft opened in Q4 2010 as well as Clementi Mall, which will open
early next year. With rising employment and wage increases, suburban malls
continue to benefit from their immediate catchment of residents,' DTZ
said. -- 2010
December 21 BUSINESS
TIMES
$35m for Marina Bay waterfront promenade
The government will spend $35 million
to complete the 3.5 km waterfront promenade around Marina Bay, said the
Urban Redevelopment Authority (URA).
On the boardwalk:
The Marina Bay Sands stretch will
have a two-tier promenade. The lower level will have water-taxi
landing points and berthing points for boats
To date, stretches along The Esplanade
are already accessible to the public with work underway at One Fullerton
to make the promenade there more pedestrian-friendly.
The URA said development will now turn
to the waterfront promenade along Marina Bay Sands, Marina Bay Financial
Centre, and the Central Promontory site. Completion is targeted for around
end-2009.
The design, by Australia's Cox Group,
will include a new eco-friendly visitor centre.
The Cox Group also designed the double
helix pedestrian bridge linking Bayfront to Marina Centre where the Art
Park is also sited.
At a press briefing held yesterday, URA
revealed details of the promenade design and this includes plans for the
Central Promontory site to be used as an interim event space and public
space during national events such as the Marina Bay Countdown.
Currently, it is hosting the Singapore
Biennale's Containart Pavilion, designed by Shigeru Ban.
URA also said it will continue to work
with other agencies and stakeholders to programme activities on the site.
Another design feature of the Cox Group
scheme is a two-tier promenade along the Marina Bay Sands stretch. This
part of the promenade will have a granite-paved upper level promenade and
a lower level timber boardwalk with water-taxi landing points and berthing
points for boats incorporated.
The lower level boardwalk will include
tiered seating and steps that will go down to the water's edge and double
as seats for watching events at the bay.
Other design features include
interactive misters programmed using a system of sensors that monitor
ambient temperature, humidity and movement.
There will also be water jets and
specially designed 'breeze shelters' that will feature solar-powered fans.
When completed, the 3.5 km waterfront
promenade will form part of the longer 11.7 km waterfront route around
Marina Reservoir, which will link the Gardens by the Bay, the Marina
Barrage and the new Sports Hub.
To date, the government has pumped in
more than $4.5 billion to facilitate development of Marina Bay. This
includes building the common services tunnel as well as the Marina
Barrage. - 2008 September 17
BUSINESS
TIMES
Something
for everyone: Set by the water's edge,
Marina Bay is envisioned to be a Garden City by the Bay, an array
of opportunities for people to explore new lifestyle options,
exchange new ideas and information for business, and be
entertained by rich leisure and cultural experiences
Realising the Marina Bay vision
The vision for Marina Bay is that of a
high-quality, 24/7 live-work-play environment, one that encapsulates the
essence of the global city Singapore is envisaged to be.
Coming
attractions: Building on Singapore's green legacy, three
world-class waterfront gardens (above) of about 100 hectares are
planned for the area
Waterfront business
districts such as Canary Wharf in London and Pudong in Shanghai have come,
in recent years, to signify urban progress and prosperity. They have
raised the international profile of their respective cities while spurring
growth and investment.
The Singapore
example is in Marina Bay. A seamless extension of Singapore's flourishing
central business district spanning 360 hectares of prime land for development,
Marina Bay is our city's most exciting and ambitious urban project that
will support our continuing growth as a major business and financial hub
in Asia.
Set by the water's edge and with our
signature city skyline as a backdrop, Marina Bay is envisioned to be a
Garden City by the Bay, a 24/7 destination presenting an exciting array of
opportunities for people to explore new living and lifestyle options,
exchange new ideas and information for business, and be entertained by
rich leisure and cultural experiences in a distinctive environment.
The groundwork for the expansion of the
existing CBD (Central Business District) and its transformation into a
waterfront business district focused around Marina Bay had been laid as
early as the late 1960s. Land adjacent to the CBD was reclaimed in phases
between 1969 and 1992.
The Master Plan for Marina Bay focuses
on encouraging a mix of uses (commercial, residential, hotel and
entertainment) to ensure that the area remains vibrant around the clock.
The concept of 'white' site zoning also
gives developers more flexibility to decide on the mix of uses for each
site, including housing, offices, shops, hotels, recreational facilities
and public spaces.
To cater for good connectivity and
seamless extension, the development parcels at Marina Bay were planned
based on a grid urban pattern which extends from the existing road network
within the CBD. This grid creates a flexible framework with a series of
land parcels that can be amalgamated or sub-divided to meet different
requirements as well as changing demands and allow the phasing of
developments.
Creating signature districts
In the planning of Marina Bay, specific
attention was paid to creating value. The land parcels are located within
a series of distinctive districts, each focusing around attractive public
open spaces and tree-lined boulevards which will provide signature address
locations for developments.
Along the waterfront and fronting key
open spaces, building heights are kept low. This maximises views to and
from individual developments further away from the waterfront, enhancing
their attractiveness and creating a dynamic 'stepped-up' skyline profile
as well as more pedestrian scaled areas.
The successful development of Marina
Bay is supported by state-of-the-art infrastructure. To date, the
government has pumped in more than $4.5 billion to facilitate development
of the area.
A Common Services Tunnel housing
electrical and telecommunication cables and other utility services
underground is being built, making repeated road diggings a thing of the
past. An extensive road and rail network has also been planned, with three
MRT stations to be built in the area as part of the new Downtown rail
line.
A new vehicular and pedestrian bridge
will link Bayfront to Marina Centre. The 280m pedestrian linkway - the
longest in Singapore - will sport a dynamic double helix structure.
Together with a new waterfront promenade, this will create a continuous
walking loop connecting up the necklace of attractions and open spaces
around the Bay.
Another key infrastructural project is
the Marina Barrage. When officially opened in 2009, it will turn the
existing water body into Singapore's first reservoir in the city. This
will serve as a new source of fresh water for Singapore and a new
lifestyle attraction allowing for a variety of water-based activities and
events to take place. It will also house Singapore's tallest fountain
project.
The softer touch
Having provided for much of the
'hardware' for the new business district, it became clear that URA had to
go beyond its traditional roles of urban planning and land sales
management. To this end, the Marina Bay Development Agency was set up
within URA to focus on the 'software' for developing the area. Since then,
URA has embarked on a full spectrum of marketing, promotion and place
management activities to showcase the uniqueness of this new destination.
To generate more buzz, a calendar of
events and activities for public spaces and water bodies has been put in
place in partnership with various agencies and the private sector.
Signature events, like the Marina Bay Singapore New Year's Eve Countdown,
have become a new urban tradition. Marina Bay has also become the
definitive venue for a host of sporting events like the F1 Powerboat Race,
the Oakley City Duathlon and the Great Eastern Women's 10km run.
The shape of things to come
While it will take more than a decade
for the entire area at Marina Bay to be fully developed, a host of
projects that will offer people from all walks of life exciting and
attractive options to live, work and play are already taking shape. These
upcoming developments have contributed significantly towards enhancing the
area's reputation as a location that offers something for everyone: a
tropical living environment among lush greenery; a bustling global
business hub and a lifestyle locale presenting a kaleidoscope of
entertainment and leisure choices.
LIVE - by the Bay.
Marina Bay has fast become one of the city's most popular and prestigious
residential addresses, with a number of outstanding projects already
under construction.
The Sail @ Marina Bay will be the
tallest residential development in Singapore at 245 metres when it is
completed in 2009. It boasts two towers - one at 70 storeys and the other
at 63 storeys. Meanwhile, the Marina Bay Financial Centre incorporates the
55-storey Marina Bay Residences, comprising 428 luxury apartments, and the
Marina Bay Suites, a 66-storey development offering 221 exclusive bayside
units.
WORK - by the Bay.
With its prime location in the heart of Singapore's future downtown,
Marina Bay continues to be a magnet to global investors and tenants
seeking premium office space in a prime location.
The development of Marina Bay will help
to further position Singapore as one of Asia's leading financial centres,
doubling the size of the existing financial district. The new growth area
set aside for the seamless extension of the existing financial district is
more than twice the size of London's Canary Wharf and will provide some
2.82 million square metres of office space, equivalent to the office space
within Hong Kong's main business district, Central.
Already, a nucleus of office
developments is forming with the development of One Raffles Quay, the
soon-to-be-completed Marina Bay Financial Centre, and the two recently
sold sites at Marina View. Several global banks and multinational
corporations, including UBS, Deutsche Bank, DBS and Standard Chartered,
are already located or will be locating in these developments.
PLAY - by the Bay.
The 'fun' factor at Marina Bay is expected to be raised to a new high when
the Marina Bay Sands Integrated Resort opens its doors in 2009. With its
impressive design featuring a sky park and three soaring 50-storey hotel
blocks with landscaped balconies, the area's most anticipated project will
add a new dimension to our city skyline.
The
Marina Bay Sands Integrated Resort will house, among other things, a
casino, 110,000 sq metres of meeting and convention facilities, and
an ArtScience Museum
The integrated resort is poised to be a
world-class development that will house a casino, two theatres, 110,000 sq
metres of meeting and convention facilities, as well as about 2,500 hotel
rooms. Other attractions at the integrated resort include restaurants in
the form of two floating crystal pavilions and an ArtScience Museum, the
rooftop of which becomes an amphitheatre with tiered seating.
Building on Singapore's green legacy,
three world-class waterfront gardens of about 100 hectares have been
planned for the area. With the first phase of the project slated for
completion in 2010, the Gardens at Marina Bay will be another unique
destination attraction for those visiting Singapore and a green sanctuary
for people living and working in the city.
Each garden will feature a distinctive
design and character. All three gardens will also be interconnected via a
series of pedestrian bridges to form a larger loop along the whole
waterfront and linked to surrounding developments, open public spaces,
transport nodes and attractions.
Focal point for the community
Marina Bay is a prime example of a
visionary masterplan that is not only well on its way to becoming a new
focal point for the local community, but it has also drawn worldwide
attention and interest. Testament to this is its achievement in attracting
close to $16.5 billion worth of private investments to date from
international investors and developers from the US, Hong Kong, Australia,
Europe as well as the Middle East.
Chain
event: A 280m pedestrian bridge - the longest in Singapore -
will, together with a new waterfront promenade, create a
continuous walking loop connecting all the attractions and open
spaces around the Bay
Moving forward, Marina Bay will
continue to be the centrepiece of Singapore's urban transformation,
providing the city with the opportunity to attract new investments,
visitors and talents.
The URA, as the Development Agency for
Marina Bay, is committed to our long-term and strategic plans to meet the
area's future development needs. We will continue to adopt a holistic and
integrated approach in designing the area with people in mind, work with
partners and communities to implement key infrastructure, and carry out
active promotion and place management activities. We will also engage
investors to garner more interesting business concepts and ideas. This
will take us closer to our vision of making Marina Bay a choice
destination for all, one that promises Singaporeans and visitors alike a
brand-new, live-work-play experience.
- 2008 March 22 BUSINESS
TIMESChing
Tuan Yee is Executive Architect, Urban Planning Section, Urban
Redevelopment Authority, while Benjamin Ng is Place Manager, Marina Bay
Development Agency, Urban Redevelopment Authority
2nd phase of Marina Bay Financial Centre
sold for $907m
The Urban
Redevelopment Authority (URA) yesterday gave a detailed breakdown of
the price paid by the consortium developing the Marina Bay Financial
Centre for the second and final phase of the 99-year leasehold site.
The consortium exercised an option on
Feb 16 to buy the remaining portion of the site which can be developed
into a gross floor area (GFA) of 194,000 square metres at a total land
price of $907.67 million, URA said in a statement announcing yesterday's
signing of the building agreement for the second and final phase of the
site.
Based on URA's figures, the unit land
price works out to $435 psf of potential gross floor area. The consortium
had earlier paid an option fee of about $63.6 million for the right to
purchase the remaining site.
Part of this option fee, amounting to
$23.9 million, can be used to pay for the balance land. Thus, the net
amount of land price payable by the consortium for the remaining site is
$883.8 million.
The consortium members are Keppel Land,
Cheung Kong Holdings/Hutchison Whampoa, and Hongkong Land. The group was
the highest bidder for the site, with a $381 psf per plot ratio offer,
when the tender closed in July 2005.
When the consortium signed the building
agreement for the first phase of the project, amounting to 244,000 square
metres of GFA, in October 2005, it had taken an eight-year option to buy
the remaining 194,000 square metres of GFA.
URA said that the approved
development mix for phase 2 would comprise mainly office and residential
uses with a small retail component. However, the consortium can propose
changes to the development mix and seek URA's approval.
- by Kalpana Rashiwala SINGAPORE
BUSINESS TIMES March 9, 2007
Marina Bayfront office block to turn into
homes? Owner may want to cash in on demand for city dwelling
Could Marina Bayfront office block,
currently occupied by Merrill Lynch at Marina Square, make way for
apartments boasting views of The Esplanade and Marina Bay?
Not efficient now: High-rise
apartments on the site can deliver higher values, says a property
consultant
Industry sources say that the issue is
being mooted by some quarters in Marina Centre Holdings Pte Ltd (MCH). Any
change of use will, of course, have to be approved by the planning
authorities.
MCH is a 53 per cent subsidiary of
mainboard-listed Singapore Land, the property arm of United Industrial
Corporation. In addition, UOL Group owns about 21 per cent of MCH.
When contacted, an MCH spokesman
said 'we are not aware of any redevelopment study' on Marina Bayfront
office tower.
However, market watchers say that it
would not be surprising if MCH's board is mulling the issue, given that
several Central Business District office blocks are already headed that
way - including Natwest Centre and 1 Shenton Way - cashing in on hot
demand for apartments in the city.
'This trend of redeveloping offices
into apartments raises pressure on MCH, like any office property owner in
the CBD, to seriously explore the possibility of redeveloping its office
property into apartments to extract greater value from the asset,' says a
property analyst.
Agreeing with this view, a property
consultant says: 'The Marina Bayfront office block isn't very efficient
right now, because of its layout and it's only six storeys high. Probably
the highest and best use for the site may be high-rise apartments, which
can deliver higher values, compared with the existing office building.'
And the 15-year-old office block may
face stiff competition when Marina Bay Financial Centre (MBFC) and other
future office developments in the vicinity - such as the project on the
former NCO Club on Beach Road - come up later, reckon office market
watchers.
The first office block at MBFC is
slated for completion in the first quarter of 2010. Merrill Lynch's lease
at Marina Bayfront is also said to end that year, although the bank is
believed to have a renewal option.
If Merrill Lynch decides to move to
MBFC, this will ease any decision by MCH to redevelop Marina Bayfront at
Marina Square, market watchers reckon. Also, redeveloping the property in
2010 could prove timely as it will take out some existing stock from the
office market just as new projects are being completed, helping to ease an
office glut that some consultants predict may develop in about four to
five years' time.
Marina Bayfront office tower was
completed in 1992 and is part of the Marina Square development - which
also includes a shopping mall and three hotels. The entire site - which
has a 99-year lease from 1980 - is zoned for hotel use with a 3.4 plot
ratio (ratio of maximum gross floor area to land area) under Master Plan
2003.
However, given the site's proximity to
a new MRT station under the Circle Line, MCH could make a case to the
planning authority for the site - or at least the Marina Bayfront portion
- to be given a higher plot ratio, say market watchers.
Marina Bayfront has a net lettable area
of about 80,000 sq ft - all leased to Merrill Lynch. The bank houses its
merchant and private bank offices at this location.
It currently also has offices at
Millenia Tower and HarbourFront Centre, and will lease an entire six-storey
office building being built in the HarbourFront Precinct. The new building
will have about 200,000 sq ft net lettable area when completed in the
fourth quarter next year and will house Merrill's global support centre
for its private banking and global markets businesses. It will also be
Merrill's third IT and operations hub worldwide. Merrill Lynch
HarbourFront is being developed by Mapletree Investments.
- SINGAPORE
BUSINESS TIMES March 9 2007
Window on the bay: The
consortium, which includes Japanese and Hong Kong investors, paid slightly
more than $28 million for the 11,012-sq-ft penthouse at Marina Bay
Residences
So who bought the Marina uber penthouse? Consortium linked to Stanley Ho family buys 6
penthouses for over $90m: sources
A consortium linked to Macau casino tycoon Stanley
Ho, and which
includes Japanese and possibly Hong Kong investors, is said to have bought
the 11,012-square-feet uber penthouse and five smaller penthouses at
Marina Bay Residences.
The investment will cost them a total of more than $90 million, sources
say.
BT understands that Mr Ho's son Lawrence may have been spotted at
Thursday night's tender, when the uber penthouse on the top three levels
of the 55-storey project was sold for slightly more than $28 million. It
was packaged with a 4,672-sq-ft single-level penthouse just below it.
The consortium members are also said to have bought two single-level
penthouses at $3,400 per square foot (psf) on Thursday.
And they are understood to have picked up two of the four duplex
penthouses transacted in Wednesday night's tender.
Meanwhile, there has been a surge in the number of apartments offered
for sub-sale at the 428-unit 99-year-leasehold development - going by
advertisements placed by property agents in The Straits Times Classifieds
yesterday.
Two agents that BT spoke to said they have not found buyers for the
units they are marketing. One suggested that asking prices in the sub-sale
market are too high. 'The $2,600 psf to $2,800 psf being demanded by some
of these sellers is close to St Regis prices - and that's for freehold,
branded residences in District 9,' said a senior agent with a major
agency.
Those seeking to sell units at Marina Bay Residences in the sub-sale
market are said to be demanding prices that reflect net profits of
$150,000 to $300,000 for one and two-bedroom apartments, and $700,000 to
more than $1 million for three and four-bedroom units.
'Speculators who have bought several units and are tight on financing
may start to get cold feet now they will have to pay stamp duty by March
14 next year, and may start to dispose of their properties by lowering
their asking prices,' the senior agent predicted.
He advises those thinking of buying units in the sub-sale market to
take into account the fact that they will have to pay the original buyer
of the unit his sub-sale profit virtually upfront, besides having to make
progress payments to the developer. In addition, they most likely will not
enjoy deferred payment, even if the original buyer did.
'In short, anyone who buys in the sub-sale market will have to have
deep pockets and cannot rely so heavily on bank loans,' the agent said.
- by Kalpana Rashiwala SINGAPORE
BUSINESS TIMES 16 Dec 2006
Good start for sale of Marina Bay
Residences
At least 130 units are said to have
been sold on the first day of preview at Marina Bay Residences yesterday -
at prices ranging from $1,700 to $2,000-plus per square foot.
Meanwhile, rival developer City Developments began drumming up
publicity for a nearby project, One Shenton, comprising 341 apartments in
two towers on its 1 Shenton Way site.
CityDev did not provide pricing indication for its 99-year leasehold
project, which will be in 50 and 42-storey towers.
Nor could it specify the launch date - only giving a general indication
that this is expected by year-end or early 2007.
At Marina Bay Residences, the maiden day of previews was open to staff
and directors of the three companies behind the project - Keppel Land,
Hongkong Land and Cheung Kong Holdings - as well as to VIPs invited
yesterday. Bankers, lawyers, architects and doctors are among those who
toured the showflat, which is at One Raffles Quay, BT understands.
The project's developer, BFC Development Pte Ltd, progressively
released more units in the project as it chalked up sales. The 99-year
leasehold, 55-storey development, has 428 units in total.
More units are expected to be released and sold today.
BFC Development's head of residential marketing Kan Kum Wah would only
say in statement last night: 'It is too early to provide any detailed
information.
Yesterday, a number of joint-venture staff members and business
partners have toured the show suite and there has been lots of interest
and all have been very impressed at what is on offer, but it's too early
to provide a sales indication.' -
by Kalpana Rashiwala SINGAPORE
BUSINESS TIMES 13 Dec 2006
Property speculators
are heading for their next gold mine - at Marina Bay Residences, market
watchers say.
Previews begin today and although pricing has not been
finalised, the net average price is expected to be just shy of $1,700 per
square foot.
'We've seen strong interest from Singapore, Indonesia,
Hong Kong, the Middle East and Europe and have received enquiries about
multiple purchases,' the head of marketing at BFC Development, Kan Kum
Wah, said at a news briefing yesterday.
Some parties are keen on several units and others are
eyeing entire floors, said Mr Kan, who described the likely price range of
$1,550 to $2,150 psf as 'a very fair price'.
The indicative average price of just under $1,700 psf
for the 99-year leasehold development is in line with going prices in the
area. Bay-front units in the neighbouring The Sail @ Marina Bay are
changing hands for about $1,600-$1,700 psf in the sub-sale market. The
1,111-unit project is fully sold and has been a speculation hotspot.
So far there have been 162 sub-sales deals at The Sail -
about 15 per cent of the project's total units. But the actual number of
units involved may be higher, as about 10 of these deals involved multiple
units.
Sub-sales are seen as a proxy for speculation.
DTZ Debenham Tie Leung executive director Ong Choon Fah
said yesterday: 'People who are buying in this location have deep pockets.
Besides owner occupiers and long-term investors, there may be some 'specu-vestors',
meaning they are prepared to hold on to their units if necessary but can
be persuaded to sell if they receive a good offer.'
City Developments and AIG began selling units at The
Sail's first tower in October 2004 at an average price of $950 psf and in
the second tower a year later at $1,080 psf initially, eventually
achieving an average of $1,200 psf for the second tower.
More than 40 per cent of the total 1,111 units sold by
the joint developers were snapped up by foreigners.
Over the past three months, units at the development
have changed hands at an average price of about $1,300 psf.
Despite the rapid price gain in the area seen over the
past few years, Mrs Ong believes that there is potential for further
gains.
'We'll have two integrated resorts,' she said. 'A lot of
international companies are choosing Singapore as their hub. And residents
in the Marina Bay area will enjoy the 54-hectare Gardens by the Bay at
their doorstep.'
CB Richard Ellis chairman (Asia) Willy Shee reckons
foreign buyers will account for more than 30 per cent of Marina Bay
Residences buyers. 'We've seen strong interest from both local and foreign
buyers - from Hong Kong, Indonesia, Malaysia, Korea and the Middle East.
We expect a very good sell rate in the next few days,' he said at
yesterday's briefing.
CBRE and DTZ are marketing the project jointly.
Marina Bay Residences, a 428-unit luxury residential
tower, will be part of the Marina Bay Financial Centre project being
developed by Hongkong Land, Keppel Land and Cheung Kong (Holdings).
Offers of more than $20 million have been received for
the 'uber penthouse' of 11,012 sq ft on the top three levels of the
55-storey tower. There will be nine other smaller penthouses in the
project, which will also have units with one, two, three and four
bedrooms.
Prices start from about $1 million for a one-bedder of
710 sq ft. - by Kalpana Rashiwala
SINGAPORE
BUSINESS TIMES 12 December 2006
The Sail @ Marina Bay
Singaporepore's tallest housing development and among the
world's 10 tallest
The five penthouses perched on The
Sail@Marina Bay will be the highest residences in Singapore.
And they will offer breathtaking views of Malaysia and
Indonesia.
But besides giving you a top-of-the-world feeling the
project also has other extras - a hotel-styled concierge service and a spa
and an executive club lounge with dining facilities.
The city and waterfront skyline is also set to be enhanced
by Norwegian-American architect Peter Pran's take on The Sail, the first
condominium at Marina Boulevard, near the proposed Business Financial
Centre.
The project co-owned by City Developments Limited (CDL)
and AIG Global Real Estate Investment Corp will rise 245m above sea level.
It will be Singapore's tallest residential development and
among the world's 10 tallest.
Mr Pran, whose work in Asia includes the Seoul Dome 21 and
the Kwun Tong Town Centre in Hong Kong, has conceived of two towers with
structures like sails catching the wind, a little evocative of the iconic
Sydney Opera House.
Both towers, standing at 70 and 63 storeys, are to be clad
in transparent glass and vertically oriented to replicate the sense of a
waterfall.
The Sail@Marina Bay is so named to capture the energy of a
Singapore advancing into the future.
The 1,111 units will offer a wide selection: one-bedroom
units, which start at 55 sq m, to four-bedroom units as large as 213 sq m
and, of course, the penthouses.
Residents will enjoy seamless connectivity because The
Sail boasts direct underground access to the Raffles Place MRT station and
the retail portion of 1,850 sqm.
Other landmarks within walking distance include The
Esplanade and Lau Pa Sat food centre.
CDL group general manager Chia Ngiang Hong said: "For
executives residing here, they don't even need to join a club because they
can live, sleep and play (here). There is no comparable project in
Singapore."
CBRE and DTZ has been engaged as The Sail's joint
marketing agents here and overseas. Foreigners are expected to make up 30
per cent of buyers.
Prices for the 99-year leasehold project yet to be
determined, but are expected by property consultants to be between $950
and $1,000 psf during the soft launch at the end of next month.
As a point of reference, Far East Organisation's 227-unit
Soho@Central, situated above Clarke Quay MRT station, averages $1,050 per
sq ft. - by Janice Wong 1 Oct 2004
STREATS
1 Nov 2004 - The Sail @ Marina Bay
sold 125 units or 'more than 50 per cent' of the 250 units released over
the weekend when the project was soft launched at $900 per square foot.
Prices at the downtown 99-year leasehold project are expected to climb
to $930-$950 psf by the time it is officially launched in three weeks.
The 1,111 unit development is a joint venture between City Developments
and AIG.
The Sail, consisting of two towers, will also be marketed in Jakarta
and Hong Kong. CityDev chairman Kwek Leng Beng calls it his 'most
beautiful' project, and said he plans to withhold the second 63-storey
tower of 430 units for an institutional en bloc sale later.
Property watchers had expected higher sales for one of the most eagerly
awaited projects of the year. Developers usually chalk up the highest
sales in the initial weeks. - SINGAPORE
BUSINESS TIMES
New office site coming up at Marina Bay Decision hailed amid space crunch in Grade A
office space
2006 Dec : A new
development site at Marina Bay has been activated - and more sites could
be on their way.
In a move that is widely seen as a reaction to the space
crunch in the Grade A office sector, the Ministry
of National Development yesterday said it would put a site at Shenton
Way/Central Boulevard on the confirmed list of the Government Land Sales (GLS)
programme for the first half of 2007, potentially activating a whole
corridor of new sites at Marina Bay.
And in the light of the tight supply of new Grade A
office space, most analysts welcome the move.
DTZ Debenham Tie Leung executive director Ong Choon Fah
says she was not surprised that the site - a white site with primarily
office space - had been put on the confirmed list and expects more sites
in the future. 'You need that momentum to keep (the market) going,' she
said.
She did, however, caution that the release of sites
there had to be 'measured'. 'The plot ratio there is high, so the quantum
of space is also high,' she added.
With the prime office sector buoyant, due primarily to a
lack of new supply, there is concern that there may not be sufficient new
demand for more prime office space.
Savills Singapore marketing and business development
director Ku Swee Yong, however, sees the Marina Bay site sparking a lot of
interest from investors and developers, especially because little has been
said by the owners about the prospect of Phase Two of the Business
Financial Centre.
Savills projects the Shenton Way/Central Boulevard site
could go for as much as $1,200 per square foot (psf) per plot ratio (ppr)
or over 200 per cent more than the $381 psf ppr for the Business and
Financial Centre at Marina Bay in 2005.
Indeed, the burgeoning demand in the office sector
appears to have been particularly targeted in the H1 2007 GLS programme
with new sites at Shenton Way, Outram Road and Anson Road added.
Whether the geographical spread of these sites was
planned to shift focus away from the CBD is hard to say but interest is
also expected to be high.
For the Outram Road/Eu Tong Seng site, Savills expects
prices to hit $700 psf ppr, while for Tampines Grande at Tampines Regional
Centre, prices could be between $500 and $600 psf ppr.
CBRE Research executive director Li Hiaw Ho recalls that
there was only one commercial site for office development six months ago.
For H1 2007, Mr Li estimates that the three sites on the confirmed list -
Beach Road/Middle Road, Shenton Way/Central Boulevard, Tampines Grande -
could yield a possible combined gross floor area (GFA) of up to 2.4
million square feet.
The Beach Road/Middle Road site, which
includes the former NCO Club, was slated for launch on the confirmed list
this month but will now be released in March 2007 as Urban Redevelopment
Authority needs more time to work out the details for a two-envelope
tender. The impact of all this space coming on stream in the future could,
of course, dampen rental rates in areas like Raffles Place.
Chesterton International head of
research and consultancy Colin Tan believes that the release of office
sites could indicate that planners are concerned about Grade A office
rents rising too high. 'The priority appears to be to keep Singapore
competitive.'
Mr Tan also notes that demand could be
exacerbated by tenants 'hoarding' existing space even though they have
leased newer premises because of the fear that office space will simply
not be available in the future.
Overall, analysts have reacted
positively to the new sites on the GLS programme.
DBS Vickers analyst Wallace Chu lauds the 'variety' in
the choice of sites. For instance, Mr Chu highlighted that Tampines Grande
recognises that businesses will increasingly want to relocate backroom
operations to sub-regional centres to keep operating costs down.
'The government will want to push certain areas but I
don't see problems in absorbing these sites,' he added.
Other prime sites that will be targeted by developers
include a residential site in the city on Handy Road and a suburban site
near Ang Mo Kio MRT Station on Ang Mo Kio Avenue 8. Savills estimates
prices to reach $800 psf ppr and $350 psf ppr respectively.
CBRE's Mr Li said: 'Going by the depleting stock of
99-year leasehold sites that are held by developers, and a gradual shift
in buyers' focus to non-prime residential projects, we expect to see more
activity in GLS programme in 2007.' - SINGAPORE
BUSINESS TIMES Dec 22, 2006
CityDev, AIG target buyers worldwide Analysts say 1,111 unit condo project could reap $380m
profit for partners
City Developments and AIG are targeting buyers not only
from Singapore but all over the world for their 1,111-unit condo project
in the New Downtown at the edge of Marina Bay, which is expected to be
previewed towards the end of next month.
'Because of the stature and size of the project, we want
the widest reach possible for our marketing campaign,' said CityDev group
general manager Chia Ngiang Hong.
This is the biggest residential project that the listed
property giant has undertaken to date.
Buyers are expected to include 'young couples especially
those working in the CBD, singles who want to be near to the pulse of the
city, and cultural and entertainment spots, and silver-haired Singaporean
couples thinking of giving up their suburban homes and enjoying the
conveniences of city living.
'As well, we're looking to draw high net-worth
individuals here and from Indonesia, Malaysia, Hong Kong, China and Europe
who want a second home or are looking for a good investment. Another
source of potential buyers would be funds, financial institutions and
other investment houses,' he added.
To this end, CityDev and AIG have appointed CB Richard
Ellis and DTZ Debenham Tie Leung to sell the 99-year leasehold project
here and overseas. The two firms are free to appoint sub-agents to help
out with the marketing abroad.
The project will have two towers of 70 and 63 storeys,
with the taller tower reaching 245 metres, which would make it not only
Singapore's tallest residential project when it's completed in early 2009
but also one of the highest apartment buildings in the world.
'We're offering the experience of a new lifestyle:
classy New Downtown living at Marina Bay, near The Esplanade, combined
with breathtaking views of the water and parks. The architectural
exuberance will be one of its kind presently not found in Singapore,' said
Mr Chia.
CityDev declined to reveal its planned pricing for the
project, but talk in the market is that the developer is eyeing an average
price of about $950 psf.
The listed property giant bagged the site at an Urban
Redevelopment Authority (URA) tender that closed in May 2002, paying a
land price that works out to $227 psf of potential gross floor area. It
later roped in AIG as 50 per cent partner.
Analysts estimate the breakeven cost for the project is
slightly under $600 psf. CityDev and AIG should be able to reap a pre-tax
profit of about $380 million from the development, say analysts.
About 75 per cent of the 1,111 apartments at the
project, whose name is still being finalised, have one or two bedrooms.
There will also be 174 apartments with three bedrooms and 70 units with
four bedrooms. The five luxury penthouses in the condo range from 3,509 sq
ft to nearly 6,000 sq ft. Three of them are duplex units.
Besides its iconic architecture - one of the towers
resembles a giant sail - the development will have touches of a luxury
hotel, with grand lobbies for the two towers, and even a club level on the
eighth level with facilities like swimming pools, gym, spa, tennis courts
and children's playground. There will also be an aqua gym and hot pool
under the shorter tower.
The development will also have high-rise sky terraces
with an executive club lounge that will have dining facilities, a reading
room and an observatory area. - by
Kalpana Rashiwala SINGAPORE
BUSINESS TIMES 20 Sept 2004
