Private housing supply to be cut

Ministry of National Development said it is releasing 6,475 private residential units for the upcoming land sales programme, the lowest supply since the first half of 2007.
Ministry of National Development said it is releasing 6,475 private residential units for the upcoming land sales programme, the lowest supply since the first half of 2007.PHOTO: ST FILE

Private housing supply for the first half of next year under the Government Land Sales programme will be cut by nearly 20 per cent, the Ministry of National Development (MND) said yesterday.

It cited concerns over the large supply pipeline from buoyant collective sales during this cycle, and slower demand in the wake of the July property cooling measures.

MND said it is releasing 6,475 private residential units for the upcoming land sales programme - the lowest supply since the first half of 2007, when 5,475 units were offered. The upcoming supply is 19.5 per cent lower than the 8,040 units released in this year's second half.

The ministry said the supply pipeline now stands at 45,000 units. In contrast, developers' demand for land is moderating, and overall transaction volumes have fallen following the cooling measures.

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Correction note: An earlier version of this article wrongly attributed concern over "rising global economic uncertainty" to MND. We are sorry for the error.

A version of this article appeared in the print edition of The Straits Times on December 07, 2018, with the headline 'Private housing supply to be cut'. Print Edition | Subscribe