2H2012 GLS: No let-up in sites for new homes...

The Singapore government will continue to inject new supply of land for residential development in the second half of the year to meet strong demand for private homes.

In a joint statement, the National Development Ministry and the Urban Redevelopment Authority said the new sites can yield some 14,200 private homes, including 3,100 executive condominium (EC) units.

The Government Land Sales Programme for the second half of the year will comprise 15 Confirmed List sites and 24 Reserve List sites.

Under the Reserve List system, a site will only be put up for tender if the developer's minimum bid price is acceptable to the government.

The two agencies said that 13 of the sites on the Confirmed List are for residential development and can potentially yield 7,100 units, comparable to the supply made available in the first half of the year.

This, to ensure there is adequate supply to meet private housing demand.

Majority of the private residential sites are located in the suburban areas or at the city fringe.

As of first quarter this year, 38,000 units of private homes, including 1,800 EC units are still unsold, according to the statement.

Source: Channel News Asia

With the deluge of new sites that will be offered and backlog of unsold private homes that are already in the pipeline, it be interesting to see how long prices will hold, especially if the EU economies continue to falter...

.