theblueark
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Total layman here
Let's say right now I'm looking at 99 yr condo vs 99 yr HDB, I can expect both to hit 0 value when 99 years are up right?
But realistically what are the odds of either hitting 99 years?
For condos under private developers, the land they pay for end le then what? Buy again and build new condo? What happens to the ones currently staying there?
For HDB right now, I think it's obvious, I feel govt will not let it hit 0 but will just buyout the rest at a damn low nominal price when left maybe 10-15 years, ask the residents to FO and get other flats elsewhere. So far in the future, different plots of lands will have different strategic uses le mah
SLA dictates how the land private property is built on can be used. After lease ends, the land goes back to SLA.
HDB dictates how the land HDB flats are built on can be used. After lease ends, the land goes back to HDB.
CURRENTLY, SLA has been allowing third party developers to come in and buy up old land (once the collective owners of that land come to an agreement to sell, i.e en-bloc sale), and SLA grants them a new 99 year lease. But SLA is not obligated to do this, they can just as well say no and let the lease run out, leaving the land free for other purposes.
CURRENTLY, HDB has said they might let some flats run down to zero in the future. Previously, HDB had selectively chosen some blocks to take back and give the owners a new home (SERS).
Whether one owns private property or HDB, the land owners in those cases have zero obligation to give any compensation when the lease runs out. It's just that private land can be sold to third party developers to generate govt revenue (that can be spent helping Singaporeans in other ways) while HDB land is more of a cost to the govt (that can help Singaporeans by providing affordable housing). In finding the right policies, the govt needs to find the balance between the two.
