Sentosa Cove bungalow fetches record $39m

Business Times: Thu, Mar 01

IN the latest sign of a revival in the high-end bungalow market, a seafronting bungalow at Cove Drive has changed hands at $39 million, a record absolute price for a bungalow in the upscale waterfront residential district of Sentosa Cove. This surpasses the previous high of $36 million for a bungalow on Paradise Island that was transacted in 2010. That worked out to $2,403 per square foot (psf) on land area of 14,983 sq ft for the waterway-facing property. In the latest deal at Cove Drive, the price works out to $2,448 psf based on the land area of 15,929 sq ft. The property is understood to have been sold by a Singaporean to a buyer from India who is said to be involved in the resources sector. The completed bungalow includes five bedrooms, a spacious living area and an entertainment room. Newsman Realty represented the seller. Residential properties on Sentosa Cove have 99-year leasehold tenure. On mainland Singapore, too, talk in the market is that another headline-grabbing price may be set in a Good Class Bungalow Area (GCBA) involving a vacant plot at Jervois Hill. The agreed price is said to be $31 million or about $2,050 psf based on the freehold site's land area of around 15,120 sq ft. A Singaporean investor is thought to have entered a deal to sell the land to a party who is said to have paid a higher-than-normal option deposit. The deal also involves a completion period of one year - longer than the usual three months. Word on the street is that the buyer will be applying to become a Singapore citizen. Purchases of landed homes on mainland Singapore by foreigners (including permanent residents) is restricted. Such buyers have to obtain permission from the Land Dealings (Approval) Unit or LDAU. Applicants have to fulfil certain criteria before permission is granted, including being a Singapore PR and making significant economic contribution to the country. Sentosa Cove is the only place in Singapore where non-PR foreigners may buy a landed home, though still subject to LDAU approval. A foreigner (including a PR) may own only one landed home in Singapore (including Sentosa Cove) and this must be used for own occupation. The land area for the property must not exceed 15,000 sq ft. Property market watchers say the $2,050 psf for the Jervois plot is a new high for the area. 'That's the kind of pricing one would expect in the Nassim and Dalvey areas,' said a seasoned GCB agent. Last week, BT reported that motoring tycoon Peter Kwee had sold a vacant plot of about 23,920 sq ft at Nassim Road for about $47.8 million or $2,000 psf. The psf record price for a GCBA is held by 6 Chatsworth Road, which transacted at $2,081 psf in July last year. This slightly surpassed the previous record of $2,038 psf for 16 Cluny Road set in February 2011. That deal in turn broke the previous high of $1,899 psf for 32H Nassim Road in October 2007. However, the Chatsworth bungalow and 32H Nassim Road have smaller land areas than the typical minimum GCB plot size of 15,069.50 sq ft. When GCBAs were gazetted in 1980, they included some smaller existing sites. These are still considered GCBs as they would be bound by the other GCB planning rules if they were to be redeveloped. For instance, such plots cannot be further sub-divided. Another recent GCBA deal is at Wilby Road, where an old two-storey bungalow sold for $15.2 million or $1,093 psf. The site area is 13,906 sq ft. RealStar Premier Group represented the buyer. Other recent bungalow deals outside GCBAs are said to include a property at Jalan Arnap in the prime One Tree Hill locale, which fetched $12.5 million or about $1,710 psf based on land area of about 7,300 sq ft. On site is an over 30-year-old bungalow. At Jalan Jambu Ayer in the Binjai Park area, an old bungalow on a rectangular plot with land area of about 7,212 sq ft and wide frontage of about 17 metres is understood to have changed hands recently for $9 million or about $1,248 psf. At Sunset View in the Clementi area, RealStar brokered the sale of a freehold bungalow for $7.5 million or $1,190 psf based on land area of 6,302 sq ft. After an initial knee-jerk reaction to the introduction of the additional buyer's stamp duty (ABSD) that took effect on Dec 8, house hunters have started to return to the bungalow market since the Chinese New Year period. On Sentosa Cove, Newsman Realty managing director KH Tan said foreign interest is returning, with potential buyers from places like China, Indonesia and India. 'They come from a range of backgrounds, including, industrialists (eg in the coal-mining industry) and even developers from China. Some have children studying in Singapore while others find Singapore an interesting global city. They believe there's room for substantial price appreciation in Singapore bungalow prices.' On the GCB front, Coldwell Banker Realtors managing director Alexs Chua said although transaction volumes have slipped, transacted prices are generally holding well. 'Some sellers are revising their prices now - not because prices are set to fall but rather they have realised they had overpriced right from the start. In the prime GCB locations such as Nassim, Dalvey or Tanglin, sellers would rather withdraw their properties from the market than lower their prices. 'However, in the less prime GCB estates where demand is not as strong, some sellers have adjusted their asking prices and usually these are the motivated ones. Those who don't need to sell their GCBs acknowledge that this is not exactly the best time to do so,' he added. Under the ABSD regime, PRs pay 3 per cent ABSD on their second and subsequent residential property while Singaporeans pay the same ABSD rate on their third and subsequent residential property. Foreigners, however, must pay 10 per cent ABSD on any residential property purchased in Singapore.  Source: Business Times Susan Lim sells home at Sentosa Cove for $39m Straits Times: Fri, Mar 02 EMBATTLED surgeon Susan Lim has sold her sea-facing bungalow in Sentosa Cove for $39 million, a record absolute price for the upmarket enclave. It is believed the home - a plush residence said to have five bedrooms and an entertainment room - was bought by an Indian national from the energy sector. A few months ago, his purchase would have attracted the standard 3 per cent stamp duty, but the measures that came in on Dec 8 imposed an additional 10 per cent duty on foreign home buyers. So the buyer will now have to stump up about $5 million in levies for the privilege of buying Dr Lim's home. Sentosa Cove is the only place where non-permanent resident foreigners can buy landed homes, although transactions still need government approval. Dr Lim's 15,929 sq ft estate in Cove Drive - likely two adjoining plots that had been merged - was priced at $2,448 per sq ft (psf). That is well above auction prices achieved for 12 vacant Sentosa Cove bungalow plots in the southern precinct where Cove Drive is located. Each plot went for between $656 and $1,039 psf in August 2006, or between $5.56 million and $8.15 million each. They do not include the construction costs. But even taking into account these costs, Dr Lim most likely has made a handsome profit from the sale. The Lim sale smashes the old record of $36 million - or $2,403 psf - paid for a 14,983 sq ft bungalow on Paradise Island in the northern part of Sentosa Cove. Mr Shen Bin, a Chinese national and Singapore permanent resident, is believed to have bought the property in May 2010. Mr Shen is said to be the son of billionaire entrepreneur Shen Wenrong, chairman of China-based steel manufacturer Shagang Group. The island experienced tepid sales volumes last year, so this latest mega-deal could revive the sector. Only 79 caveats - 24 for landed and 55 for non-landed homes - with a total value of $737.6 million were lodged with the Urban Redevelopment Authority last year. And there were only 12 new home sales last year, forcing some developers to look towards renting out completed but unsold projects. The lacklustre 2011 followed a better year when 203 caveats - 62 landed and 141 non-landed homes - with a value of $1.7 billion were lodged. With 75 caveats lodged, 2008 was the only year with lower sales volumes than 2011 since caveats started being lodged for Sentosa Cove in 2004. Dr Lim was in the limelight after she took the Singapore Medical Council (SMC), which regulates the medical profession, to court. She had wanted to block an inquiry by a second medical disciplinary committee to look into complaints of overcharging. There were allegations that she charged a member of the Brunei royal family $24.8 million for seven months of treatment and made false representations in invoices rendered to her. The patient died of cancer in 2007. Dr Lim later gave a 50 per cent discount. After losing her case in both the High Court and the Court of Appeal, she has to bear the cost of her own legal fees as well as those of the SMC. In such civil suits the losing party has to pay a part of the winning party's legal charges. This is in addition to the fees Dr Lim has to pay her own lawyers. She will also have to pay costs for both hearings. [e-mail] Source: The Straits Times Top banker owned S$39m Sentosa Cove bungalow Mar 2, 2012 - PropertyGuru.com.sg The bungalow at Sentosa Cove (pictured) sold for a record S$39 million was once owned by Deepak Sharma, Chairman at Citi Private Bank and his wife Susan Lim, a well-known surgeon, reported The Business Times. The sea-fronting property achieved the highest selling price ever for a bungalow on Sentosa Cove, exceeding the previous high of S$36 million set in 2010. Sharma, a veteran banker, and also co-Chairman at the Private Banking Industry Group (PBIG), bought the property and negotiated for its eventual sale, according to a source. Prior to becoming a Singapore citizen, he was an Indian national. He married Dr. Lim in 2000. Dr. Lim is believed to be the first surgeon in Singapore to perform a liver transplant. She also made news last year when she attempted to block an inquiry by the Singapore Medical Council. The case went all the way to the Court of Appeal but was dismissed. Meanwhile, the buyer was revealed to be Shael Oswal, an Indian citizen involved in the mining business. The S$39 million price tag for the 99-year leasehold property works out to S$2,448 psf for a land area of 15,929 sq ft, and features a spacious living area, five bedrooms and an entertainment room. Sentosa Cove is the only area in Singapore where non-PR foreigners are allowed to buy landed homes. Indian national buys Susan Lim's Sentosa Cove home for $39 million Buyer from India is said to be involved in the resources sector. Fri, Mar 02, 2012 BT, AsiaOne   Friday, Mar 02, 2012 BT, AsiaOne Indian national buys Susan Lim's Sentosa Cove home for $39 million (Above) Prime property: The bungalow has five bedrooms, a spacious living area and an entertainment room. It sits on a land area of 15,929 sq ft and has a 99-year leasehold tenure. By Kalpana Rashiwala, with additional reporting by AsiaOne IN the latest sign of a revival in the high-end bungalow market, a seafronting bungalow at Cove Drive has changed hands at $39 million, a record absolute price for a bungalow in the upscale waterfront residential district of Sentosa Cove. This surpasses the previous high of $36 million for a bungalow on Paradise Island that was transacted in 2010. That worked out to $2,403 per square foot (psf) on land area of 14,983 sq ft for the waterway-facing property. A look inside Sentosa Cove Click on thumbnail to view According to The Straits Times, the home is believed to be owned by embattled surgeon Susan Lim, who was alleged to have charged a member of the Brunei royal family $24.8 million for seven months of treatments. She was also said to have made false representations in invoices. She later took the Singapore Medical Council (SMC) court to block an inquiry by a second medical disciplinary committee looking into complaints on overcharging. In the latest deal at Cove Drive, the price works out to $2,448 psf based on the land area of 15,929 sq ft. The property is understood to have been sold by a Singaporean to a buyer from India who is said to be involved in the resources sector. The completed bungalow includes five bedrooms, a spacious living area and an entertainment room. Newsman Realty represented the seller. Residential properties on Sentosa Cove have 99-year leasehold tenure. The previous record for a Sentosa Cove home was the sale of a 14,983 sq ft bungalow on Paradise Island. Located in the northern part of Sentosa Cove, the bungalow is believed to have been bought by a Singapore permanent resident from China, Mr Shen Bin. The $36 million home Click on thumbnail to view  He is believed to be the son of Shen Wen Rong, the president of Chinese firm Sha Steel. The elder Mr Shen is listed as the 13th richest person in China in the 2011 Hurun Wealth Report. On mainland Singapore, too, talk in the market is that another headline-grabbing price may be set in a Good Class Bungalow Area (GCBA) involving a vacant plot at Jervois Hill. The agreed price is said to be $31 million or about $2,050 psf based on the freehold site's land area of around 15,120 sq ft. A Singaporean investor is thought to have entered a deal to sell the land to a party who is said to have paid a higher-than-normal option deposit. The deal also involves a completion period of one year - longer than the usual three months. Word on the street is that the buyer will be applying to become a Singapore citizen. Purchases of landed homes on mainland Singapore by foreigners (including permanent residents) is restricted. Such buyers have to obtain permission from the Land Dealings (Approval) Unit or LDAU. Applicants have to fulfil certain criteria before permission is granted, including being a Singapore PR and making significant economic contribution to the country. Sentosa Cove is the only place in Singapore where non-PR foreigners may buy a landed home, though still subject to LDAU approval. A foreigner (including a PR) may own only one landed home in Singapore (including Sentosa Cove) and this must be used for own occupation. The land area for the property must not exceed 15,000 sq ft. Property market watchers say the $2,050 psf for the Jervois plot is a new high for the area. 'That's the kind of pricing one would expect in the Nassim and Dalvey areas,' said a seasoned GCB agent. Last week, BT reported that motoring tycoon Peter Kwee had sold a vacant plot of about 23,920 sq ft at Nassim Road for about $47.8 million or $2,000 psf. The psf record price for a GCBA is held by 6 Chatsworth Road, which transacted at $2,081 psf in July last year. This slightly surpassed the previous record of $2,038 psf for 16 Cluny Road set in February 2011. That deal in turn broke the previous high of $1,899 psf for 32H Nassim Road in October 2007. However, the Chatsworth bungalow and 32H Nassim Road have smaller land areas than the typical minimum GCB plot size of 15,069.50 sq ft. When GCBAs were gazetted in 1980, they included some smaller existing sites. These are still considered GCBs as they would be bound by the other GCB planning rules if they were to be redeveloped. For instance, such plots cannot be further sub-divided. Another recent GCBA deal is at Wilby Road, where an old two-storey bungalow sold for $15.2 million or $1,093 psf. The site area is 13,906 sq ft. RealStar Premier Group represented the buyer. Other recent bungalow deals outside GCBAs are said to include a property at Jalan Arnap in the prime One Tree Hill locale, which fetched $12.5 million or about $1,710 psf based on land area of about 7,300 sq ft. On site is an over 30-year-old bungalow. At Jalan Jambu Ayer in the Binjai Park area, an old bungalow on a rectangular plot with land area of about 7,212 sq ft and wide frontage of about 17 metres is understood to have changed hands recently for $9 million or about $1,248 psf. At Sunset View in the Clementi area, RealStar brokered the sale of a freehold bungalow for $7.5 million or $1,190 psf based on land area of 6,302 sq ft. After an initial knee-jerk reaction to the introduction of the additional buyer's stamp duty (ABSD) that took effect on Dec 8, house hunters have started to return to the bungalow market since the Chinese New Year period. On Sentosa Cove, Newsman Realty managing director KH Tan said foreign interest is returning, with potential buyers from places like China, Indonesia and India. 'They come from a range of backgrounds, including, industrialists (eg in the coal-mining industry) and even developers from China. Some have children studying in Singapore while others find Singapore an interesting global city. They believe there's room for substantial price appreciation in Singapore bungalow prices.' On the GCB front, Coldwell Banker Realtors managing director Alexs Chua said although transaction volumes have slipped, transacted prices are generally holding well. 'Some sellers are revising their prices now - not because prices are set to fall but rather they have realised they had overpriced right from the start. In the prime GCB locations such as Nassim, Dalvey or Tanglin, sellers would rather withdraw their properties from the market than lower their prices. 'However, in the less prime GCB estates where demand is not as strong, some sellers have adjusted their asking prices and usually these are the motivated ones. Those who don't need to sell their GCBs acknowledge that this is not exactly the best time to do so,' he added. Under the ABSD regime, PRs pay 3 per cent ABSD on their second and subsequent residential property while Singaporeans pay the same ABSD rate on their third and subsequent residential property. Foreigners, however, must pay 10 per cent ABSD on any residential property purchased in Singapore. This article was first published in The Business Times. New owner to use S$39m Sentosa bungalow as ‘weekend retreat’ Posts Website By Kai Fong | Yahoo! Related Content Article: Top banker owned S$39m Sentosa Cove bungalow PropertyGuru.com.sg - Fri, Mar 2, 2012 Article: Fewer PRs buying landed homes PropertyGuru.com.sg - Thu, Mar 1, 2012 Article: Sentosa Cove bungalow goes for record S$39m PropertyGuru.com.sg - Thu, Mar 1, 2012 Remember Dr Susan Lim’s bungalow at Sentosa Cove which sold for a record S$39 million Well, the new owner plans to use it only as a weekend retreat. The buyer was earlier revealed to be Shael Oswal, a 33-year-old Indian citizen in the mining business who moved to Singapore in late 2009 and stays around Grange Road. In an interview with Indian tabloid Tabla!, Oswal, a father of two, said it would be tedious for his children to travel to school from Sentosa every morning. His nine-year-old daughter and seven-year-old son are students of Tanglin Trust School. "It is an investment for weekends,” he reasoned. “I can take the children to Sentosa and when we get tired we can stay there." When asked if he plans to buy a yacht next, Oswal jokingly told the tabloid he will have to leave that for another time as “already this is a huge investment”. His mother and wife took up the property search after he decided they needed a place for weekend getaways. "They saw a few in Sentosa but this one is in a very beautiful location. The sea view is great," Oswal said, before adding that some renovation still needs to be done. He has since entrusted the work to an Italian firm and is waiting for his new house at Cole Drive to be ready in three months. The hefty price tag for the 99-year leasehold property works out to S$2,448 psf for a land area of 15,929 sq ft. The bungalow reportedly features a spacious living area, five bedrooms and an entertainment room. Earlier this year, Property Guru reported that the seafront property had previously belonged to Citi Private Bank chairman Deepak Sharma and his well-known surgeon wife Susan Lim, who is currently embroiled in a legal dispute with the Singapore Medical Council. The couple married in 2010. Prior to becoming a Singapore citizen, Sharma was an Indian national. Sentosa Cove is the only place in Singapore where non-PR foreigners are allowed to buy landed home last month?