The government in Singapore conducts a regular programme of releasing state lands that are for sale to the private sector for office, residential, industrial, retail, and other types of developments that is in line with the demand of the market. SLA or Singapore Land Authority assists the government in the management of land sales system. It exists to achieve the best returns from state land sales and for them to assign and manage the sales agents of the state’s land. SLA also ensures that land is available and that the processes of land sale will comply with statutory guidelines considering the fact that land is slated for release through the tenders and auctions of the government. Here are important facts related to the land sales policies in Singapore that you will want to know.
- SLA ensures that all sales of slate lands by the URA or Urban Redevelopment Authority, JTC or JTC corporation, HDB or Housing Development Board, LTA or Land Transport Authority, and the SLA itself are done in the most transparent and open manner through the reasonable public auctions or tenders.
- The lease administration for sites that are sold and the issuance of land titles will be SLA’s responsibility. The application for sale of site by public tender deposit is at the 5% of the minimum price because it should be consistent with the 5% tender deposit of the tendered land price that is specified for government sale sites.
- The tender period for reserved sites, which is 4 weeks, is only applicable to routine residential sites. However, sites that are big and complicated such as the New Downtown site will have 8 to 12 weeks tender period.
- Within two weeks after the date of the signed agreement, the government will launch the reserved site that is for sale. The period of 6 weeks for contractual purposes, it is a contingency for any unexpected delays.
- Once an application has already been accepted for a reserved site, any subsequent applications will not be processed. They will be given back to the applicant unopened. All developers are rest assured that it will always be kept strictly confidential.
- Once the agreement is signed, the applicant cannot withdraw the application. The deposit will be forfeited once he or she withdraws.
- For the sale of site done through public auctions, the SLA has stated a minimum deposit for every land parcel that is payable in the day of the auction by cashier’s order. But if the minimum deposit is less than 5% of the given sale price, the purchaser will need to pay the additional deposit to the authority, it can be done before 5 p.m. at the cashier order’s office on the next day of the auction.
- There will be no refund even if the certain minimum deposit is more than 5% of the given sale price. The amount that is overpaid will be used on the next payment which will occur within 28 days after the award for the land premium.
- Now you have a general idea on what the land sales policies are in Singapore. You will want to gather more details from SLA or Singapore Land Authority.