Bulk sales harder? GuocoLand has options for Leedon

MANY residential property developers are concerned about the impact that an impending move to plug a stamp duty loophole may have on bulk sales, but GuocoLand is likely to escape the brunt of it - at least for its Leedon Residence condo.

Of late, the grapevine has it that GuocoLand, which is controlled by Malaysian tycoon Quek Leng Chan, has received several enquiries for bulk sales for the completed freehold project in District 10. As at end-February, 300 of the 381 units have been sold. Under Singapore's Qualifying Certificate (QC) rules for foreign housing developers, GuocoLand has to sell the balance units by June 15 to avert paying punitive extension charges to the government.

In the past few days, however, there has been much concern among developers on whether they can still pull off bulk sales in such projects via a sale of shares in the company that developed the project. This is after the government revealed on Tuesday that it is looking to change the law so that companies primarily holding Singapore residential property will be subject to higher stamp duties when there is a significant change in ownership of the company. This means they will be subject to the same stamp duties payable in the direct purchase and sale of …