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Old 22-05-2020, 10:27 PM   #1
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Developer En Bloc Cost

So the cost to pay to existing owners is negotiated.

Then does developer negotiate with gov on how much to top up lease to 99 yr? This negotiation happens before or after negotiation with owners, or same time?
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Old 22-05-2020, 10:41 PM   #2
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So the cost to pay to existing owners is negotiated.

Then does developer negotiate with gov on how much to top up lease to 99 yr? This negotiation happens before or after negotiation with owners, or same time?
I think itís after
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Old 22-05-2020, 10:46 PM   #3
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So the cost to pay to existing owners is negotiated.

Then does developer negotiate with gov on how much to top up lease to 99 yr? This negotiation happens before or after negotiation with owners, or same time?
In before Developers enbloc freehold easier
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Old 22-05-2020, 10:49 PM   #4
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so developer negotiate with owners first, then owners issue an Option to developer, then developer negotiate with gov, if price good then developer exercise the Option to buy from owners?
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Old 22-05-2020, 10:51 PM   #5
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so developer negotiate with owners first, then owners issue an Option to developer, then developer negotiate with gov, if price good then developer exercise the Option to buy from owners?
I think condo owner put up notice for bids
And min reserve price
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Old 22-05-2020, 10:53 PM   #6
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So the cost to pay to existing owners is negotiated.

Then does developer negotiate with gov on how much to top up lease to 99 yr? This negotiation happens before or after negotiation with owners, or same time?
lease top up cost calculated by SLA, dont think there's any negotiations (since when will the govt negotiate haha)
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Old 22-05-2020, 10:54 PM   #7
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lease top up cost calculated by SLA, dont think there's any negotiations (since when will the govt negotiate haha)
So i can kaypo and check any 99YL land's top up price from SLA?
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Old 22-05-2020, 11:00 PM   #8
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"Lease Top-Up

Here, the property owners apply to the SLA to top their lease back up to 99 years again, with the payment of a land premium. So for example, if thereís 50 years left on the land, owners can top up another 49 years so that the lease reverts back to 99 years.

This premium is assessed by the SLAís Chief Valuer on a case-by-case basis, taking into account factors such as the number of years remaining in the leasehold.

At this point, itís in SLAís discretion whether to approve or reject the application. In making its decision, SLA considers various factors of the lease including whether the extension would fit in with the governmentís long-term intention with the land and whether the proposed use would optimise the landís use."

Application is needed before the computation for top up, so i guess you can kaypo and check for any 99yr lease.. if you can get the whole development to apply for fun
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Old 22-05-2020, 11:05 PM   #9
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"Lease Top-Up

Here, the property owners apply to the SLA to top their lease back up to 99 years again, with the payment of a land premium. So for example, if thereís 50 years left on the land, owners can top up another 49 years so that the lease reverts back to 99 years.

This premium is assessed by the SLAís Chief Valuer on a case-by-case basis, taking into account factors such as the number of years remaining in the leasehold.

At this point, itís in SLAís discretion whether to approve or reject the application. In making its decision, SLA considers various factors of the lease including whether the extension would fit in with the governmentís long-term intention with the land and whether the proposed use would optimise the landís use."

Application is needed before the computation for top up, so i guess you can kaypo and check for any 99yr lease.. if you can get the whole development to apply for fun


So who apply? the current owners or the developers (who already finished negotiation with existing owners, i.e. the upcoming new owners)?

if current owner apply, then how does SLA know if the 'fit' is there? because nobody knows which developer will win, or even bid in the first place.

If developer paid first and apply, what if SLA sabo developer and said not fit?
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Old 23-05-2020, 12:21 AM   #10
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home owners/developers can apply, so it'll depend on the situation

If owners ownself want to top up lease to continue staying there, they apply.

If developers wants to en bloc the condo, they apply.

Application as in to send in proposals of what is to be done with the land

Eg for developers they'll send in their proposal of en bloc-ing to build a new 99 leasehold new launch (so i guess before any en bloc is considered developers will ask SLA first to see if the land is required back by the govt)

For home owners it'll basically be something like 'we like the development, would wish to extend lease to 99 years for our future generation, can? if can, how much?' Then SLA will see if they need the land back for redevelopment or not

*info might not be 100% accurate as I do not work for SLA*
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Old 23-05-2020, 01:01 AM   #11
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home owners/developers can apply, so it'll depend on the situation

If owners ownself want to top up lease to continue staying there, they apply.

If developers wants to en bloc the condo, they apply.

Application as in to send in proposals of what is to be done with the land

Eg for developers they'll send in their proposal of en bloc-ing to build a new 99 leasehold new launch (so i guess before any en bloc is considered developers will ask SLA first to see if the land is required back by the govt)

For home owners it'll basically be something like 'we like the development, would wish to extend lease to 99 years for our future generation, can? if can, how much?' Then SLA will see if they need the land back for redevelopment or not

*info might not be 100% accurate as I do not work for SLA*
Thanks. This actually makes more sense to me now.
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Old 23-05-2020, 05:27 PM   #12
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Only the owners or their appointed rep can apply to URA / SLA.
The enbloc sales comm will appoint a marketing rep who will get an architect to submit. That is why most enbloc tenders already know hw much is the premium to be paid to SLA.

The successful tenderer will always put a condition that if their own submission later on discover that the premium is higher, they can back out of the deal with no penalty.

https://www.straitstimes.com/busines...148b-price-tag

https://www.straitstimes.com/busines...-bloc-for-208b
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Old 23-05-2020, 05:46 PM   #13
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Does developer need to top up to 999 year lease if it's a 999 year land?
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Old 23-05-2020, 05:49 PM   #14
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Does developer need to top up to 999 year lease if it's a 999 year land?
I heard yes
that's why It's either Freehold or 99YL no one would go for the middle type
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Old 23-05-2020, 06:16 PM   #15
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Only the owners or their appointed rep can apply to URA / SLA.
The enbloc sales comm will appoint a marketing rep who will get an architect to submit. That is why most enbloc tenders already know hw much is the premium to be paid to SLA.

The successful tenderer will always put a condition that if their own submission later on discover that the premium is higher, they can back out of the deal with no penalty.

https://www.straitstimes.com/busines...148b-price-tag

https://www.straitstimes.com/busines...-bloc-for-208b
sugoi
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