S'pore tempts overseas property developers
S'pore tempts overseas property developers
SINGAPORE (AFP): Singapore invited overseas developers
yesterday to explore opportunities in this land-short city-state
and offered to be a strategic partner in joint ventures elsewhere
in the Asia-Pacific region.
"I welcome you to exploit the tremendous opportunities in
Singapore and in the Asia-Pacific region," National Development
Minister Lim Hng Kiang told a property sector conference.
He said Singapore's understanding of the region and
government-level contacts and cooperation with countries like
China, Indonesia and Vietnam were among factors which made it an
ideal partner.
"Let Singapore be your springboard to this dynamic region,"
Lim said.
The minister noted what he called "some correction and
consolidation" underway in the Singapore property market after a
decade-long bull run which saw real-estate prices appreciate
sharply.
The government has in the past year imposed credit and tax
curbs to cool an overheated private property market and drive out
speculators, and announced measures to reform the public housing
system.
Over the last decade, value of office space in the island
increased about 14 percent per year on average while private
residential property values have appreciated by 17 percent
annually, Lim said.
The value of construction contracts last year totaled S$19
billion (US$13.57 billion), up from four billion dollars in 1986.
Lim attributed the strong growth over the decade to 1996 to
comprehensive, long-term plans for physical development, steady
release of commercial, industrial and residential land for
development, and Singapore's status as a regional hub.
"Singapore's growth as a global trading and financial hub has
contributed significantly to the development of the real estate
industry," he said. "Foreign real estate companies have been
actively tendering for land in our land sales programs."
The real-estate industry could look forward to more
"tremendous growth opportunities" here, Lim said.
Singapore's development plans include a new downtown which will
double commercial space, a waterfront township and a new
entertainment district, he said.
Lim said business parks with back-up facilities for
"knowledge-intensive" industries and warehouses to support
Singapore's ambition of becoming a regional logistics hub hold
out other opportunities for developers.