Issue 334

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 CONTENTS FROM THE

p2 Chinese Developers Have Been Buying Up

EDITOR
Welcome to the 334th edition of the
Singapore Property Weekly.
Land in Singapore Who Exactly Are They?
Hope you like it!
p11 Resale Property Transactions
Mr. Propwise
(October 9 October 13)

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 SINGAPORE PROPERTY WEEKLY Issue 334

Chinese Developers Have Been Buying Up

Land in Singapore Who Exactly Are They?

By Property Soul (guest contributor)

Since the start of the year, cash-rich property

developers from mainland China have been
actively participating in Government Land
Sales (GLS) tenders. Aiming to expand their
footprint in Singapore, they have set new
records in bidding prices for residential sites.

This is no doubt a big windfall for the

government. But not for local developers who
may be involuntarily priced out of their
hometown by their better-off counterparts
from China.

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 SINGAPORE PROPERTY WEEKLY Issue 334

Facing thin margins and a depleting land According to Jones Lang Lasalles Global
bank, they may have to explore the collective Capital Flows study, institutional investors
sale market or venture abroad for greener from China snapped up office buildings,
pastures. hotels and residential properties totaling $33
billion last year, up 53 percent from a year
Aggressive globalization of Chinese
ago. The amount is excluding individual home
developers
purchases by Chinese buyers.
On the other hand, Chinese real estate
companies are compelled to expand
overseas amidst a competitive and slowing
domestic market. It is also an important
hedge against the possible depreciation of
the Chinese yuan.

Starting from end of last year, the Chinese

government has imposed tighter capital
controls to discourage capital outflow. But
bigger property developers may have already
exported a significant amount of money
outside the country.

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 SINGAPORE PROPERTY WEEKLY Issue 334

Knight Frank published its latest Asia-Pacific

Residential Review in May. The chart above
may show that Hong Kong is the biggest
cross-border buyer between 2007 and 2016
with a lion share of 74.5 percent. But many of
the so-called Hong Kong developers are
subsidiaries of Chinese developers listed in
Hong Kong. The actual picture should show
the total of Hong Kong and China figures that
represent an 80.2 percent of cross-border
residential purchase volume. In contrast,
Singapore-based developers are lagging far
behind with only 7.3 percent of the total
volume.

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 SINGAPORE PROPERTY WEEKLY Issue 334
In terms of actual dollars, the total investment West Coast Vale) for sale by public tender
amount of Chinese developers in the from January to August this year.
purchase of overseas residential land has
On average, there were as many as 13
gone from practically zero in 2009 to more
bidders going after the same plot of land.
than US$2.5 billion in 2016. In the first three
Even big guys were easily outbid by foreign
months of this year alone, they have invested
players. For smaller local builders, the chance
over US$5.1 billion in the Asia Pacific
of winning any tender was even slimmer.
residential market.

Between 2012 and 2016, the favorite country

of the Chinese builders was Australia (36.5
percent), followed by Hong Kong (23.7
percent), Malaysia (19.7 percent) and
Singapore (15.4 percent).

Report card of local versus Chinese

bidders

Singapore may not be a major hotspot for

overseas expansion of Chinese developers,
yet they still snapped up three out of the eight
sites (Lorong 1 Realty Park, Stirling Road and

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 SINGAPORE PROPERTY WEEKLY Issue 334
Key Chinese players in Singapores
property market
Who exactly are these Chinese developers?
How are they different from local developers?
Below are five of them who are regulars at
GLS tenders and have acquired GLS land
parcels recently.
1. Qingjian Realty () of 480 units were sold in the first month.
Qingjian Realty (South Pacific) Group is the
Singapore real estate subsidiary of Qingjian
Group, a Qingdao-based conglomerate with
different businesses including building and
construction, consultancy, investment and
logistics.
With 11 projects under its arm now,Qingjians
expansion in Singapore was not all smooth
sailing from the beginning.
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It started as a sub-contractor of HDB flats in
1999 and became a main contractor in 2004.
Their first development opportunity finally
came in 2008. Natura Loft, the first DBSS
project built by a foreign developer, was
launched during a financial crisis. Combining
the buyers doubt about this first Chinese
developer in the property market, only 80 out
Qingjian pushed the rest of the units using the
incentive of a lucky draw to win a Volkswagen
Tiguan and a Beetle Cabriolet.
When Qingjian launched the Punggol EC and
condo projects in 2011 and 2012, again the
market coincided with the introduction of
cooling measures and sales were slow.
In May 2016, Qingjian closed the biggest en
bloc deal in nine years
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 SINGAPORE PROPERTY WEEKLY Issue 334
by paying S$638 million for Shunfu Ville, a
privatised HUDC estate in Thomson. In the
same month, they paid the top bid of S$301
million for Le Quest, a mixed commercial and
residential site in Bukit Batok.
To differentiate themselves in a market
dominated by big local players, Qingjian
introduced smart homes in recent EC projects
iNz Residence and The Visionaire
2. Nanshan Group ()
After the Chinese Economic Reform in 1978,
Nanshan Groups legendary founder Song
Zuowen led the whole Shandong village from
agriculture to the path of industrialization. It is
now a highly-diversified conglomerate with
operations in aluminum, textile, finance,
tourism, aviation, education and real estate.
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Nanshan Group Singapore Co. was under the
leadership of the founders eldest son Song
Jianbo whose family resided in Singapore.
The company has been eyeing to expand in
the Singapore property market for a long
time. In the past 12 months, it participated in
8 out of 11 tenders in GLS auctions.
In 2013, the company bought Park Regis
along Merchant Road for S$250 million. A
year later, it acquired the former Midlink Plaza
at S$270 million and redeveloped it into the
396-room Mercure Singapore Bugis.
In the same year, Nanshan submitted the
highest bid of S$173.57 million to beat 17
other bidders and bought the residential site
at Sin Ming Avenue. The plot was used to
build Thomson Impressions.
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 SINGAPORE PROPERTY WEEKLY Issue 334
Following that, it spent S$160 million to
acquire the old Irving Industrial Building in Tai
Seng through a collective sale. The
Singapore office of Nanshan Group also
moved into the new building after it was
completed
3. Logan Property ()
Headquartered in Shenzhen but listed in
Hong Kong, Logan Property Holdings has
three businesses: property development,
property leasing and construction contracts.
The Singapore subsidiary was incorporated in
August last year.
Besides its residential property projects in
Chinas Pearl River Delta region, Logan
Property is also well-known for having
the worlds youngest (and prettiest)
billionaire in Forbes 2014 billionaire list.
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Hong Kong resident Perenna Kei Hoi Ting
has a net worth of US$1.3 billion at age 24
when her father, Logan Property founder Kei
Hoi Pang (Ji Haipeng), gave her 85 percent of
the company through a family trust and
multiple companies for taxation purposes.
In Singapore, Logan Property is well-known
for partnering with Nanshan Group to submit
the highest bid for the residential site in
Queenstown Stirling Road. The bidding price
of S$1.003 billion broke the record price at a
government land auction.
Logan Property told the media that the price
of S$1,050 psf was reasonable. The Chinese
developer believed that the project would be
profitable since it meets the companys
targets for internal margin and internal rate of
return.
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 SINGAPORE PROPERTY WEEKLY Issue 334
4. CSC Land Group () residential land parcel in West Coast Vale.

CSC Land Group is a subsidiary of China 5. Fantasia Investment ()

Construction (South Pacific) Development Co
Pte Ltd (CCDC) which is a regional branch of
China State Construction Engineering
Corporation (CSCEC).
The 60-year-old Beijing-based construction
company CSCEC is ranked the third largest
in the world and the 20th largest general
contractor in terms of overseas sales.
Since 1992, CCDC has been a sub-contractor
in Singapore before becoming a main
contractor for condominiums, HDB projects,
recreation clubs, tertiary institution campuses
and other industrial projects.
Fantasia Investment, a unit of Hong Kong-
listed Chinese developer Fantasia Holdings,
has only one project in Singapore a 168-
unit freehold project named 6 Derbyshire in
Novena area. Recently, the company has an
aggressive plan to invest in the US, Taiwan
and Singapore property markets.
In June, the Chinese developer came under
the limelight when it led the consortium with
Sun Renwang and Yang Xinping that sent in
the highest bid of $75.8 million for a landed
housing site in Lorong 1 Realty Park in
Hougang.

In February, China Construction put in the top The winning bid was 22 percent above than
bid of $292 million to beat 8 other bidders, the second-highest offer of $62.02 million
including fellow Chinese developers Nanshan from Singhaiyi Investments and Haiyi Wealth.
Group and MCC Land () for the Ten other bids ranged from $29.88 million to

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 SINGAPORE PROPERTY WEEKLY Issue 334
$62.02 million. International Property
Advisors Ku Swee Yong said Fantasia has
probably done its feasibility studies using
different metrics from other developers.
Whatever the reason, at least Fantasia
bagged its plot of land and the government
should be happy about the high winning bid.
How reliable are Chinese developers?
In my book No B.S. Guide to Property
Investment, I highlighted three critical factors
to look for in a property developer:
experience, reputation and attitude.
How many similar projects have they built in
the past?
Do they specialize in commercial or
residential development?
Is this their first residential project in
Singapore?
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Do they have the vision to build the best-in-
class projects?
How did they deal with complaints in the
past projects?
A good developer focuses on every single
detail of the project. It sets high standard in
construction, offers professional
workmanship, and provides good quality
fixtures.
Regardless of the country of origin of a
developer, buyers are advised to do their own
homework for background check before
committing on the purchase.
By guest contributor Property Soul, a
successful property investor, blogger, and
author of the No B.S. Guide to Property
Investment.
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Non-Landed Residential Resale Property Transactions for the Week of Oct 9 Oct 13

Postal Area Transacted Price Postal Area Transacted Price

Project Name Tenure Project Name Tenure
District (sqft) Price ($) ($ psf) District (sqft) Price ($) ($ psf)
3 THE ANCHORAGE 1,238 1,570,000 1,268 FH 9 CAIRNHILL PLAZA 2,852 4,300,000 1,507 FH
3 TANGLIN VIEW 1,141 1,300,000 1,139 99 9 CASA NOVACREST 1,421 2,080,000 1,464 FH
4 CORALS AT KEPPEL BAY 958 1,874,000 1,956 99 9 8 @ MOUNT SOPHIA 1,378 1,950,000 1,415 103
4 REFLECTIONS AT KEPPEL BAY 1,690 3,126,970 1,850 99 9 THE REGALIA 1,249 1,750,000 1,402 FH
4 REFLECTIONS AT KEPPEL BAY 1,098 1,896,510 1,727 99 9 HORIZON TOWERS 2,314 2,600,000 1,123 99
4 REFLECTIONS AT KEPPEL BAY 1,098 1,824,130 1,661 99 10 LEEDON RESIDENCE 4,704 9,968,000 2,119 FH
4 REFLECTIONS AT KEPPEL BAY 1,076 1,774,080 1,648 99 10 MADISON RESIDENCES 1,464 2,960,000 2,022 FH
4 REFLECTIONS AT KEPPEL BAY 1,152 1,852,620 1,609 99 10 THE TRESOR 1,012 1,790,000 1,769 999
4 REFLECTIONS AT KEPPEL BAY 1,830 2,934,470 1,604 99 10 THE SIXTH AVENUE RESIDENCES 1,356 2,288,000 1,687 FH
4 REFLECTIONS AT KEPPEL BAY 1,098 1,760,220 1,603 99 10 ASTRID MEADOWS 1,938 3,150,000 1,626 FH
4 REFLECTIONS AT KEPPEL BAY 1,109 1,776,390 1,602 99 10 VALLEY PARK 1,109 1,790,000 1,615 999
4 REFLECTIONS AT KEPPEL BAY 1,012 1,530,000 1,512 99 10 REGENCY PARK 3,175 5,070,000 1,597 FH
5 ONE-NORTH RESIDENCES 592 860,000 1,453 99 10 SOMMERVILLE PARK 1,948 3,040,000 1,560 FH
5 LANDRIDGE CONDOMINIUM 1,830 2,160,000 1,180 FH 10 THE TESSARINA 1,625 2,400,000 1,477 FH
5 BLUE HORIZON 904 880,000 973 99 10 THE TESSARINA 3,670 4,568,000 1,245 FH
8 THE URBANITE 484 710,000 1,466 FH 11 6 DERBYSHIRE 474 1,093,088 2,308 FH
8 CITYLIGHTS 1,894 2,593,000 1,369 99 11 VIVA 1,345 2,798,000 2,080 FH
9 PATERSON SUITES 1,679 4,280,000 2,549 FH 11 THE GLYNDEBOURNE 1,959 4,000,000 2,042 FH
9 RIVERIA GARDENS 1,432 2,790,450 1,949 FH 11 28 SHELFORD 1,195 1,600,000 1,339 FH
9 8 RODYK 1,130 2,200,000 1,947 FH 11 SKY@ELEVEN 2,820 3,700,000 1,312 FH
9 WATERMARK ROBERTSON QUAY 947 1,720,000 1,816 FH 12 THE MEZZO 560 730,000 1,304 FH
9 BELLE VUE RESIDENCES 1,938 3,486,600 1,800 FH 12 TREVISTA 1,787 2,238,000 1,253 99
9 TIARA 1,507 2,700,000 1,792 FH 12 THE ARTE 1,528 1,900,000 1,243 FH
9 ROBERTSON 100 893 1,550,000 1,735 FH 13 8@WOODLEIGH 1,152 1,450,000 1,259 99

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 SINGAPORE PROPERTY WEEKLY Issue 334

Postal Area Transacted Price Postal Area Transacted Price

Project Name Tenure Project Name Tenure
District (sqft) Price ($) ($ psf) District (sqft) Price ($) ($ psf)
14 SUITES @ EUNOS 366 580,000 1,585 FH 16 OPTIMA @ TANAH MERAH 947 1,140,000 1,204 99
14 WATERBANK AT DAKOTA 1,184 1,750,000 1,478 99 16 COUNTRY PARK CONDOMINIUM 1,335 1,505,000 1,128 FH
14 SINGA HILLS 657 947,720 1,443 FH 16 WATERFRONT KEY 915 1,020,000 1,115 99
14 THE LENOX 409 590,000 1,442 FH 16 WATERFRONT KEY 1,206 1,268,800 1,052 99
14 DAKOTA RESIDENCES 1,292 1,838,000 1,423 99 16 WATERFRONT KEY 1,033 1,052,000 1,018 99
14 CENTRA LOFT 441 580,000 1,314 FH 16 WATERFRONT WAVES 1,292 1,280,000 991 99
14 DAKOTA RESIDENCES 1,313 1,704,000 1,298 99 16 LAGUNA 88 1,259 1,080,000 858 99
14 THE WATERINA 1,356 1,660,800 1,225 FH 16 SUNHAVEN 1,755 1,210,000 690 FH
14 SIMS DORADO 861 950,000 1,103 FH 17 EDELWEISS PARK CONDOMINIUM 1,033 830,000 803 FH
14 CENTRAL IMPERIAL 549 600,000 1,093 FH 17 CARISSA PARK CONDOMINIUM 1,324 1,028,000 776 FH
14 CASA SARINA 1,206 1,165,000 966 FH 17 LOYANG VALLEY 1,033 730,000 706 99
15 MEIER SUITES 2,207 3,532,000 1,601 FH 18 NV RESIDENCES 764 730,000 955 99
15 THE SEA VIEW 1,518 2,360,000 1,555 FH 18 EASTPOINT GREEN 1,141 860,000 754 99
15 ONE FORT 1,033 1,480,000 1,432 FH 18 ELIAS GREEN 1,528 823,000 538 99
15 PEBBLE BAY 1,894 2,600,000 1,372 99 19 VIBES@UPPER SERANGOON 409 590,000 1,442 FH
15 ONE EIGHTIES RESIDENCES 1,238 1,680,000 1,357 FH 19 THE VUE 452 582,000 1,287 FH
15 HAIG COURT 1,076 1,300,000 1,208 FH 19 THE LUXURIE 732 825,000 1,127 99
15 CELESTIA 1,044 1,200,000 1,149 FH 19 SUNGLADE 861 950,000 1,103 99
15 CELESTIA 926 1,050,000 1,134 FH 19 THE MINTON 1,109 1,150,000 1,037 99
15 BELLEZZA @ KATONG 1,615 1,780,000 1,102 FH 19 A TREASURE TROVE 1,044 1,070,000 1,025 99
15 LE CONNEY PARK 829 838,888 1,012 FH 19 THE MINTON 980 920,000 939 99
15 GRAND RESIDENCE 1,001 980,000 979 FH 19 COMPASS HEIGHTS 753 705,000 936 99
15 EASTWIND MANSIONS 1,345 1,280,000 951 FH 19 THE QUARTZ 1,270 1,168,000 920 99
15 TORIE MANSIONS 1,356 1,220,000 900 FH 19 THE QUARTZ 1,227 1,125,000 917 99
15 MANDARIN GARDENS 1,528 1,330,000 870 99 19 CASA ROSA 1,130 960,000 849 99
15 NEPTUNE COURT 1,270 860,000 677 99 19 VINA LODGE 2,002 1,600,000 799 FH
16 WATERFRONT GOLD 1,195 1,480,000 1,239 99 20 THOMSON GRAND 1,356 1,680,000 1,239 99

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 SINGAPORE PROPERTY WEEKLY Issue 334

Postal Area Transacted Price

Project Name Tenure
District (sqft) Price ($) ($ psf)
21 SIGNATURE PARK 1,055 1,200,000 1,138 FH
21 SYMPHONY HEIGHTS 1,216 1,250,000 1,028 FH
21 HUME PARK I 1,582 1,400,000 885 FH
21 PINE GROVE 1,938 1,575,000 813 99
22 THE LAKESHORE 1,109 1,030,000 929 99
22 PARC OASIS 1,227 970,000 790 99
23 FORESQUE RESIDENCES 1,130 1,230,000 1,088 99
23 HAZEL PARK CONDOMINIUM 980 1,000,000 1,021 999
23 PARKVIEW APARTMENTS 980 710,000 725 99
25 CASABLANCA 936 732,000 782 99
25 CASABLANCA 1,184 910,000 769 99
26 BULLION PARK 1,238 1,160,000 937 FH
27 THE NAUTICAL 420 555,000 1,322 99
27 THE ESTUARY 915 825,000 902 99
28 SELETAR SPRINGS CONDOMINIUM 2,067 1,351,800 654 99

NOTE: This data only covers non-landed residential resale property

transactions with caveats lodged with the Singapore Land Authority.
Typically, caveats are lodged at least 2-3 weeks after a purchaser
signs an OTP, hence the lagged nature of the data.

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