URA to stop developers from profiting off supersized luxury ECs: Khaw
Published on Jan 7, 2013 3:30 PM
National Development Minister Khaw Boon Wan said Monday that he has directed the Urban Redevelopment Agency (URA) to tighten the rules on the developers of executive condominium (EC) projects to prevent them from profitting off the sale of free space.
Mr Khaw said that he was originally "baffled" that developers were "short-changing" themselves by launching such massive units, as they could have made more money by using the space for two or three normal-sized apartments.
After looking into the matter, he realised that developers were using a loophole in the rules to profit from the super-sized units. Currently, they do not have to pay development charges on outdoor roof terraces, as URA wants to encourage developers to build more communal outdoor space for residents to enjoy.
For example, the presidential penthouse suite at the CityLife @ Tampines project has a roof terrace of 1,600 sq ft, on which the developer did not have to pay development charges.
To continue reading, log in if you are a subscriber
If you are not a subscriber, you can get instant, unlimited access here