The Singapore government will be reducing the supply of private residential units due to falling demand.
In a press statement, the Ministry of National Development (MND) said that there is a large supply of around 44,000 private housing units in the pipeline. There are also around 24,000 existing private housing units that remain vacant.
The demand has continued to fall since the introduction of the property market cooling measures in July 2018.
Overall transaction volume declined for the third straight quarter in the first three months of 2019. Meanwhile, developers’ demand for land has also moderated.
MND announced today the second half of the 2019 (2H2019) Government Land Sales (GLS) Programme. It comprises five Confirmed List sites and eight Reserve List sites.
These sites can yield about 6,430 private residential units, 92,000 sqm gross floor area (GFA) of commercial space and 1,100 hotel rooms.
The five Confirmed List sites are private residential sites – including one Executive Condominium (EC) site – which can yield about 1,715 private residential units.
The Reserve List comprises four private residential sites (including one EC site), three White sites and one hotel site. These sites can yield about 4,715 private residential units, 92,000 sqm GFA of commercial space and 1,100 hotel rooms.
MND added that it will continue to monitor the property market closely and adjust the supply from future GLS Programmes.