Friday, February 8, 2013

Luxury developer says no to offering discounts

Feb 8, 2013 -

Following the latest round of property cooling measures in Singapore, many developers have been offering “incentives” to buyers in the form of discounts to offset the stamp duty hike.

But builders of super prime properties have resisted such sales tactics. According to Alain Fanaie, Group CEO of China Sonangol Group, developments on “prime” spots do not need to attract buyers through such discounts.

“We do not foresee developers who are holding very prime sites to discount as scarcity value will override other considerations and we certainly do not expect a compromise on the specifications to save on construction costs,” said Fanaie.

The developer recently launched 21 Angullia Park, a luxury condo project comprising 54 apartments with units averaging S$4,500 per sq ft. Designed by SCDA Architects, the development is located at the junction of Orchard Boulevard and Paterson Road.

It achieved a sales value of about S$60 million even before the official launch, with all the buyers so far being foreigners and permanent residents (PRs) from countries like Indonesia, Australia and Monaco.

Meanwhile, Fanaie noted that Singapore’s residential property market remains very attractive to “high-net-worth foreign and local investors for its robustness”.

“We feel that for the luxury segment buyers, an additional 5% ABSD (additional buyer's stamp duty) on top of what was introduced earlier (15% in total) should still be palatable as Singapore remains very attractive for its political stability, quality of life and safety.”

Martin Koh | 86666 944 | R020968Z
Sherry Tang | 9844 4400 | R020241C

Senior Sales Director
DTZ Property Network Pte Ltd (L3007960A)

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