Singapore projects target HK buyers in inaugural property festival in HK

Singapore

A PROPERTY festival featuring residential projects in Singapore will take place in Hong Kong next weekend, with some local developers looking to market their developments to Hong Kong residents.

The inaugural Singapore Property Festival, organised by the South China Morning Post, will be held on Sept 28 at the JW Marriott Hotel in Hong Kong. Among the exhibitors are CapitaLand, GuocoLand, United Industrial Corp, CEL Development, Bukit Sembawang Estates and Aurum Land.

According to the organiser's website, over 20 residential projects in Singapore will be featured at the event.

While Hong Kong has always been on the radar for developers, it is unsurprising that developers are taking a keener interest in marketing their projects in Hong Kong, said PropNex Realty chief executive Ismail Gafoor.

Singapore is seen as a resilient market to overseas investors, compared to others such as Shanghai or Tokyo, noted Mr Ismail. At the same time, in the wake of last year's cooling measures, the take-up rate for some projects haven't been up to expectations, especially compared to the pace seen in prior years, he added. Developers have a five-year deadline to sell all their units to avoid being hit by the additional buyer's stamp duty.

The festival comes amid media reports that the ongoing protests in Hong Kong may be prompting some Hong Kong property buyers to turn their attention to Singapore.

One of the exhibitors, CEL Development - the property arm of Chip Eng Seng Corporation - will be marketing Park Colonial, a 99-year leasehold project in the Bidadari enclave.

In response to queries, Michael Ng, executive director of CEL Development, said that CEL hasn't seen any significant increase in apartment sales from Hong Kong buyers in recent months. It plans to monitor the market further before deciding whether to step up marketing efforts in Hong Kong.

A spokesperson for Aurum Land said: "There has been an increase in enquiries from Hong Kong. Our projects have always attracted buyers from an array of nationalities." Aurum Land will be marketing two freehold projects - NYON at Amber Road and The Hyde at Balmoral Road - at the festival.

Some market watchers have also noted increased enquiries out of Hong Kong.

"Anecdotally, we've noticed some potential buyers coming in from Hong Kong, enquiring about luxury properties and some have made purchases recently," said Christine Sun, head of research & consultancy at OrangeTee & Tie. "But the numbers are still not large, so we do see a potential market from Hong Kong."

Hong Kong buyers bought 47 and 78 non-landed homes in Singapore in 2018 and 2017 respectively, research from OrangeTee & Tie shows.