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Proposed en bloc reforms could bring ageing estates, commercial sites back to the market

But mismatched price expectations and project viability continue to shape outcomes, say market watchers

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City Plaza site up for sale at S$970 million, may be rezoned for residential use

No ABSD is payable on the acquisition of the property based on its current commercial zoning

Chong Xin Wei

Published Mon, Aug 10, 2026 · 02:49 PM

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Built in the 1970s by City Developments Ltd, City Plaza comprises 66 apartments and 384 strata retail units. PHOTO: HUTTONS

[SINGAPORE] Owners at City Plaza have put the freehold mixed development in Geylang on the market with a guide price of S$970 million, in a third attempt at a collective sale.

Owners of the complex have made two previous collective sale attempts.

Its first try in 2018, at a reserve price of S$1.05 billion, secured 53 per cent support from owners, falling short of the 80 per cent threshold required to launch the sale. A second attempt in 2021, at a lower reserve price of S$970 million, garnered 79.3 per cent support, narrowly missing the threshold.

Under the 2025 Master Plan, City Plaza is currently zoned for commercial use with a gross plot ratio of three.

The complex can be redeveloped into a residential-led mixed-use development with commercial uses on the first storey, subject to the requisite planning and statutory approvals, said marketing agent Huttons on Monday (Aug 10).

An outline planning advice has been obtained from the Urban Redevelopment Authority on Jul 9, 2026, following about five months of planning engagement with the authority and other government agencies.

An outline application is a proposal that allows building owners and developers to test out a proposed land use, plot ratio or building height of a property. The document is valid for six months.

The land betterment charge (LBC), if applicable, will depend on the eventual redevelopment proposal pursued by the buyer.

“Based on our preliminary assessment, the indicative LBC could range quite significantly depending on the redevelopment concept pursued,” said Terence Lian, head of investment sales at Huttons Asia.

Older developments often face rising maintenance costs and ageing infrastructure.

Proposed en bloc reforms could bring ageing estates, commercial sites back to the market

Developments that are between 40 and 59 years old would need at least 70% of owners to agree to go ahead, down from the current 80%.

Lower consent hurdle among changes proposed for en bloc sales to spur redevelopment, protect minority owners

City Plaza, completed in 1980, was CDL's first mixed-development project.

City Plaza owners eye another mega en bloc attempt with S$970 million reserve price

For instance, LBC is estimated at approximately S$15 million for a full commercial redevelopment, while a residential with commercial on first storey revamp could put the figure at about S$158 million.

“These figures are indicative only and would ultimately depend on the purchaser’s proposed development scheme, the applicable LBC rates and the relevant authorities’ assessment at the material time,” said Lian.

No additional buyer’s stamp duty (ABSD) is payable on the acquisition of the property based on its current commercial zoning.

City Plaza is one of the final major redevelopment opportunities within Paya Lebar Central, Lian said.

He added that the lack of ABSD payable and the substantial planning work undertaken with the authorities ahead of the tender launch “create a compelling investment proposition that is increasingly difficult to replicate in today’s market”.

City Plaza occupies a site of about 13,146 square metres (sq m). Built in the 1970s by City Developments Ltd, it comprises 450 units – 66 apartments and 384 strata retail units. It is known for its wholesale shops, which mainly sell clothing.

The complex is close to Paya Lebar MRT station. It also faces Kinex shopping mall – which The Elegant Group acquired from UOL in September 2025 for S$375 million – and is walking distance to Paya Lebar Quarter and SingPost Centre.

The Elegant Group, linked to Chinese businessman Zhao Zhichao, is also redeveloping Tanjong Katong Complex in the vicinity. Its portfolio includes The Clementi Mall, which it acquired from Cuscaden Peak for S$809 million last December, as well as Grantral Mall @ Clementi, Grantral Mall @ Macpherson and Changi City Point.

The tender for City Plaza closes on Oct 13.

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Ry-Anne Lim &Jeanne Mah

Published Tue, Aug 4, 2026 · 09:53 PM阅读简体中文版 (beta)

Older developments often face rising maintenance costs and ageing infrastructure. PHOTO: BT FILE

[SINGAPORE] Ageing developments sitting on huge sites that have struggled to secure owner support could get a fresh shot at redevelopment under proposed changes to Singapore’s collective sales regime.

For strata-titled commercial buildings in particular, the amendments could be a game changer, industry players said.

The amendments, unveiled by the Ministry of Law (MinLaw) on Tuesday, include lowering the consent threshold for an en bloc sale to 65 per cent for developments over 60 years old, and 70 per cent for those aged 40 to 59 years.

Other proposed changes include halving the signature collection period to six months, lengthening the restriction period after a failed attempt, and extending the collective sale regime to certain non-strata-titled private residential developments where flat owners hold long leases but do not own the underlying land.

While the proposals are expected to expand the pipeline of potential collective sales, property players cautioned that trade-offs and commercial realities remain.

SRI capital markets managing partner Low Choon Sin said: “In practical terms, the changes appear targeted at facilitating the renewal of genuinely ageing developments, rather than simply making (the en bloc process) ‘easier’ across the board.”

Alan Cheong, Savills Singapore executive director for research and consultancy, noted that much of the “low-hanging fruit” had already been redeveloped in earlier collective sale cycles, leaving a smaller pool of viable options today.

Three ‘compelling’ candidates for renewal

Among the more “compelling” remaining candidates are older, larger residential developments built in the 1970s and early 1980s, he added. “These estates typically occupy sizeable land parcels and, in many cases, possess significant redevelopment potential under current planning parameters.”

These include the 918-unit Braddell View, said to be able to yield 2,600 new homes if redeveloped; the 516-unit Laguna Park, which could offer 1,700 new homes; and the 660-unit Pine Grove, which could house over 2,000 new units.

Developments that are between 40 and 59 years old would need at least 70% of owners to agree to go ahead, down from the current 80%.

Lower consent hurdle among changes proposed for en bloc sales to spur redevelopment, protect minority owners

The three condominiums, completed between 1978 and 1984, are now more than 40 years old and have each undergone unsuccessful collective sale attempts, PropNex chief executive Kelvin Fong noted.

Taken together with the recent changes to the ABSD remission framework for larger en bloc redevelopment projects, Tan Hong Boon, executive director at AlpsEdge Real Estate, expects the proposed amendment to encourage older and larger projects to restart collective sale attempts.

Lee Sze Teck, Huttons Asia’s senior director of data analytics, estimates that there are around 150 private non-landed projects aged between 40 and 59 years old, and fewer than 10 that are 60 years and older. These face mounting maintenance problems and expenses.

Around 40 per cent of these older developments are located in District 9, 10 and 11, he said. Examples include the freehold Pandan Valley, the 999-year Ridgewood condominium in the Holland area, and the 99-year leasehold Hillcrest Arcadia in Bukit Timah.

The amendments would also support the “timely renewal” of ageing commercial and mixed-use assets in established precincts such as the Central Business District and Orchard Road, and help keep Singapore’s “key commercial districts competitive and vibrant”, the Real Estate Developers Association of Singapore (Redas) said.

The lower consent threshold, in particular, could prove especially significant for commercial developments which are not subject to additional buyer’s stamp duty (ABSD), said Realion Group chief executive Desmond Sim.

“We’ve done a few where we missed the 80 per cent mark by fewer than five units, so (the lower consent thresholds) could be a game changer,” he said.

Lee said the debate surrounding the planned development of sites such as Gillman Barracks and Maju Forest highlights the limited options available for meeting future housing needs.

In 2025, only five out of at least 16 collective sale attempts were successful. The year before, just four sites put on the market found buyers.

Hurdles remain

Still, industry players say a lower threshold alone may not get collective sales across the finish line; pricing is still a key determinant.

“One potential obstacle to a collective sale is the reserve price, which may render redevelopment economically unviable,” said Cheong. That is particularly so when substantial Land Betterment Charges and lease top-up premiums are factored into development cost, he added.

Foreign owners who bought in before the higher ABSD regime came into force pose another challenge, he said. Since April 2023, foreigners have been subject to a 60 per cent ABSD rate when buying a residential property. Should the sale proceed, they may be outvoted and face significantly higher acquisition costs at prevailing ABSD rates when seeking a replacement home.

Sim said the government recognises that key projects from the late 1970s and early 1980s, including the former HUDC estates and Pine Grove condo, need a “helping hand” over the line. However, price expectations have to be realistic.

“At the end of the day, the sole determinant is achieving a price that’s agreeable for buyers and sellers,” he said. “You may have all the garnishes in the world, but the main course still has to work.”

Developers also have more “clear-cut” options in government land sales, Sim added. They do not require demolition, have clearly drawn road lines, and “no surprises, no objections”.

There is also a “very good choice of attractive sites” under the GLS programme, said Jeremy Lake, Savills Singapore’s managing director of investment sales and capital markets. “These are likely to remain the focus for most developers.”

The trade-off, however, is location. While the GLS programme includes “some pockets of prime land” such as the former Turf Club site, Sim said many other sites are in the outskirts, such as Tengah and Chencharu. En bloc sites, on the other hand, are typically located in established neighbourhoods with strong amenities.

The proposed changes could also present new challenges.

“Some owners will certainly be unhappy with the lower thresholds, and most probably, they will object vigorously,” said Lake.

The much shorter signature collection period could also make the process more demanding. SRI’s Low pointed out that while reducing the timeline from 12 months to six months protects owners from a “drawn-out” collective sale process, it also means the collective sale committees must “prepare thoroughly, communicate clearly and build good support from the ground before formally starting the exercise”.

The compressed timeline could prove particularly challenging for large non-residential developments such as industrial, commercial and mixed-use projects, where most units are held by entities rather than individuals, he noted.

Cheong also highlighted the potential knock-on effects on the housing market, in that a wave of successful collective sales would generate a large pool of displaced owners seeking replacement homes.

Given the ageing profile of some owners, Cheong reckons that many may choose to downsize to a resale HDB flat.

The removal of the 15-month wait-out period could push more displaced private homeowners towards resale HDB flats, potentially lifting demand and prices across the wider housing market, he said.

Meanwhile, the redevelopment of large sites into projects with substantially more units than before could eventually add significant supply and “cause indigestion in the spot rental market”, said Cheong.

En bloc changes: More redevelopment of ageing condos, reuse of old buildings yield benefits

As private non-landed homes age, a vibrant collective sales market helps optimise land use

Leslie Yee

Published Tue, Aug 11, 2026 · 07:00 AM

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Many owners of units at ageing condo developments will be happy to be able to divest their homes more easily via a collective sale. PHOTO: YEN MENG JIIN, BT

[SINGAPORE]

Might the buzz be returning to the en bloc market for property deals?

Last month, Kingsford Group signed a deal to buy freehold Tan Boon Liat Building for S$950 million – likely the largest collective sale transaction in Singapore year-to-date, according to Cushman & Wakefield.

The industrial warehouse and showroom landmark located at the crossroads of Outram Road and Zion Road can be redeveloped into a residential-led development.

Late last month, the government announced changes to the additional buyer’s stamp duty (ABSD) regime to support housing developers in undertaking large-scale en bloc redevelopments.

For sites that yield at least 700 homes but less than 1,400 homes upon redevelopment, the completion and sale timelines for ABSD remission was extended to six years from 5.5 years.

For sites that yield at least 1,400 residential units upon redevelopment, the completion and sale timelines for ABSD remission was extended to seven years from 5.5 years.

However, developers will need to sell a minimum of 50 per cent of the homes at the end of six years.

As part of efforts to support the renewal of ageing estates, the Ministry of Law proposed on Aug 4 lower thresholds for older developments to secure an en bloc sale.

The existing requirements of 90 per cent consent for developments less than 10 years old, and 80 per cent for those aged between 10 and 39 years are unchanged.

Under the Land Titles (Strata) (Amendment) Bill, the consent threshold for developments aged 40 to 59 years would be lowered from 80 per cent to 70 per cent, and from 80 per cent to 65 per cent for those aged 60 years and above.

Proposed consent thresholds for collective sales

Table with 2 columns and 4 rows of data. (column headers with buttons are sortable)
Age of development	Consent threshold
Less than 10 years	90%
10 - 39 years	80%
40 - 59 years	[New] 70%
60 years and older	[New] 65%

Source: Ministry of Law

GRAPHIC: david li, bt