Singapore, Malaysia finalise land swap deal

[sleek]

Singapore, Malaysia finalise land swap deal
By S Ramesh | Posted: 20 September 2010 1614 hrs

SINGAPORE : Singapore and Malaysia have settled a land swap agreement for four land parcels in Marina South and two land parcels in the Ophir-Rochor area.

This goes toward implementing the 1990 Points of Agreement (POA) on Malaysian Railway Land in Singapore.

These details were revealed by Singapore Prime Minister Lee Hsien Loong and Malaysian Prime Minister Najib Razak after they met in Singapore on Monday.

The Singapore government will vest the four land parcels in Marina South and the two land parcels in Ophir Rochor in M-S Pte Ltd - the company formed to look into the implementation details.

This is in lieu of the three parcels of POA land in Tanjong Pagar, Kranji and Woodlands, as well as parcels of land in Bukit Timah.

Giving details, a joint statement said the four Marina South parcels are located at the heart of the financial business cluster in Singapore's Marina Bay.

The two Ophir-Rochor parcels are located next to the Kampong Glam historic district in a new growth corridor that is being developed as an extension of Singapore's Central Business District. - CNA /ls

[DC33_2008]

They sure know how to choose.

[cashrich]

They sure know how to choose.

6:4 says it all.. nevermind.. lose some, win some.

5:5 is fair

7:3 is not fair.

[august]

It is fair lah... Msia is giving up FH land that it could squat on forever in exchange for 99LH. The political impasse has now been converted into a commerical deal, very gd for Spore actually. For Msia to bite of cos have to offer them prime plots at the new downtown.

[sleek]

M-S likely to seek joint venture with established developer
By Ryan Huang | Posted: 20 September 2010 2256 hrs

SINGAPORE: With the land swap agreement between Singapore and Malaysia settled, market watchers have said the company in charge of developing the land parcels would likely seek a joint venture with an established developer.

The joint company, M-S Pte Ltd, is 60 per cent owned by Malaysia's Khazanah Nasional. The rest of it is owned by Temasek Holdings.

The Marina South site will be among the six land parcels to be jointly developed by M-S Pte Ltd. The other site is at Ophir-Rochor.

Both areas are white sites, which means they can be used for mixed developments like a combination of retail, residential and office space.

Market watchers said the sites could be put up for sale but they believe M-S Pte Ltd would prefer a joint venture with an established player.

SLP International executive director of research and consultancy Nicholas Mak said: "(The) M-S development will probably have a more active role after the two parcels of land are injected into its portfolio, so they can still participate in the development of these two sites and perhaps guide in the future development.

"Another reason is that there will be other joint ventures in Iskandar Malaysia, between Singapore and Malaysia. So (these) two sites can also be part of that bigger portfolio".

The four parcels at Marina South have up to a gross floor area of 341,000 square metres.

Experts said this could accommodate a 50-60 storey building with a gross plot ratio of 13.

The two land parcels at Ophir-Rochor have a gross floor area of about 160,000 square metres. This could possibly accommodate a 25-storey building with a plot ratio of six.

Observers also expect developments at the Tanjong Pagar area once the railway station is relocated to Woodlands by July next year.

"The present railway track cuts across Singapore from north to south," Mr Mak said.

"With its removal, there will be parcels of land formerly divided (by) the railway track (that) could be amalgamated, and their true market potential could be realised.

"For example a larger parcel of land could have greater flexibility in its development and therefore realise a higher market value."

The land swap deal is part of the Points of Agreement (POA) signed in 1990 between Singapore and Malaysia.

-CNA/wk

[Komo]

now the thomson line can take over!

[rattydrama]

How will the existing railway line left over by Malaysia be dealt with? This is a long stretch of lines from Tg Pagar to Woodlands.

Some say keep the line for nostalgic reason and convert into some speedy train services to ease road congestion. Viable?

If it turns true, could be bad news for property owner near the vicinity.

[rattydrama]

It is fair lah... Msia is giving up FH land that it could squat on forever in exchange for 99LH. The political impasse has now been converted into a commerical deal, very gd for Spore actually. For Msia to bite of cos have to offer them prime plots at the new downtown.

erm... 99LH, never leave anything behind for Malaysia's next next generation in Singapore??

Sensitive issue. Well, SG garment think long term.

[mr funny]

http://www.businesstimes.com.sg/sub/...04866,00.html?

Published September 21, 2010

Land swap settles 20-year dispute

Land parcels in Marina South, Rochor-Ophir in lieu of Malayan Rail land; arbitration on DC dispute

By TEH SHI NING


(SINGAPORE) Singapore and Malaysia have finalised a swap deal to resolve a long-standing dispute over land owned by the Malayan Railway within Singapore and paved the way for greater cooperation.

Malaysian Prime Minister Najib Razak has accepted Prime Minister Lee Hsien Loong's revised and 'improved' land swap offer of six Marina South and Ophir-Rochor land parcels, in lieu of six railway land sites - three in Tanjong Pagar, Kranji and Woodlands and three others in Bukit Timah.

'That, I think, settles a matter which has been outstanding now for nearly 20 years,' Mr Lee told reporters at a joint press conference with Mr Najib yesterday, following a morning of meetings.

'It is a matter of immeasurable satisfaction,' he said, adding that it would allow both sides to 'move forward' to co-operate on a wide range of areas.

Yesterday's meeting was the third this year between Mr Lee and Mr Najib. Talks in May saw a breakthrough in the impasse over Points of Agreement (POA) signed in 1990, and were followed by meetings in Putrajaya in June to discuss valuation.

The four Marina South parcels, with a site area of 2.62 hectares and total permissible gross floor area (GFA) of 341,000 square metres, are next to Marina Bay MRT station near the Marina Bay Financial Centre. The two Ophir-Rochor parcels, with a site area of 2.67 hectares and total permissible GFA of 160,020 sqm, sit next to the Kampong Glam Historic District in an area now being developed as an extension to the Central Business District.

These will be developed by M-S Pte Ltd - of which Malaysia's investment holding arm Khazanah Nasional Berhad owns 60 per cent and Singapore's Temasek Holdings owns the other 40 per cent - once Malaysian railway operator KTM vacates the Tanjong Pagar railway station for the Woodlands Train Checkpoint by next July. Malaysia's railway Custom, Immigration and Quarantine facilities will be co-located at Woodlands too.

'We are both delighted, as well as relieved, that we can put this behind us, and move forward,' Mr Najib said of the land swap deal, which he described as 'not only legally correct but also politically correct in the sense that it can be accepted by the peoples of Malaysia and Singapore' and one that ought to 'survive the test of time'.

However, the two parties did disagree over whether development charges should be levied on the three POA land parcels in Tanjong Pagar, Kranji and Woodlands.

As both sides agreed that the land swap is to be done on the basis of 'equivalent value' the development charge (paid by any developer redeveloping sites to a higher intensity or value use) needs to be taken into account in valuation of sites being swapped.

Malaysia agreed that M-S Pte Ltd should pay development charges for the Bukit Timah parcels, but interprets the 1990 POA to say that development charges should not be levied on the other three sites. Singapore interprets the POA as not affecting its usual development charge laws.

'Our view is yes, the Malaysian view is no. And we can't just toss a coin,' Mr Lee said. Both countries have thus 'agreed in a spirit of friendliness and amicable resolution' to refer the matter to the Permanent Court of Arbitration, an intergovernmental organisation providing dispute resolution services and based in The Hague.

Both parties are willing to accept the arbitration award and the process will not affect the POA and other bilateral initiatives announced in May.

These include a 50-50 joint venture between Khazanah Nasional Berhad and Temasek Holdings to develop a wellness township in Iskandar Malaysia, as well as the joint development of a rapid transit system between Johor Bahru and Singapore to improve connectivity.

'With this agreement, one of the biggest thorns in the flesh for bilateral relations has been effectively removed. Other outstanding bilateral issues remain (eg price of water, CPF money, Third Link), which suggests the path ahead will not be without potential obstacles,' said Citi economist for Malaysia and Singapore, Kit Wei Zheng.

But there seems to be 'considerable political will on both sides to overcome obstacles in the larger interest of mutual co-operation', said Manu Bhaskaran, head of economic research at Centennial Asia. Synergies between the Iskandar region and Singapore will also help, he noted. Iskandar has the land and labour Singapore is short of, while Singapore buying into the Iskandar concept would send a strong signal of confidence and encourage more foreign investment there.

[mr funny]

[mr funny]

http://www.businesstimes.com.sg/sub/...04851,00.html?

Published September 21, 2010

ANALYSIS

Plum sites for Malaysia, planning ease for Singapore

Both sides have reason to be pleased; iconic projects and linear parks appeal to observers

By KALPANA RASHIWALA


(SINGAPORE) Pardon the cliche. But the land swap deal between Singapore and Malaysia announced yesterday is being hailed as a win-win situation.

Here's the deal. The Malaysian government gives up properties such as the Tanjong Pagar Railway Station site which, as things stand now, it can't harness for redevelopment to the best and highest use.

In exchange, it gets an opportunity to develop two plum sites - one behind the Marina Bay Financial Centre and flanked by two MRT stations; the other at Ophir/Rochor roads, also boasting connectivity and adjacent to the buzzing Bugis-Bras Basah area, which is shaping up as an entertainment and education hub.

The deal for Singapore is that with the return of Keretapi Tanah Melayu's (KTM) 78-year-old Tanjong Pagar Railway Station site and other lands, it can embark on more comprehensive planning of the future extension of the CBD in Tanjong Pagar, integrating this with the vision for a new bustling waterfront district after container port terminals in the vicinity move out eventually, as Knight Frank chairman Tan Tiong Cheng points out. This planning exercise is timely, given that the formulation of the Urban Redevelopment Authority's (URA) 2011 Concept Plan for Singapore is around the corner, to be followed by the 2013 Master Plan.

'The train station has been an eyesore and Singapore will gain if it is able to rejuvenate that part of the city through this deal,' Mr Tan says.

Singapore, through Temasek Holdings, will also have a 40 per cent share in M-S Pte Ltd, the entity in which the land parcels in Marina South and Ophir-Rochor will be vested. Malaysia's Khazanah Nasional will hold the majority 60 per cent stake.

'There is opportunity to develop iconic projects given the location and size of the plots,' says DTZ executive director Ong Choon Fah. Both sites are zoned 'white', which means a range of permissible uses could be allowed.

The 2.67-hectare land at Ophir Road has a 6.0 plot ratio, potentially yielding about 160,020 square metres (1.72 million square feet) gross floor area (GFA).

This site was formerly on the reserve list of the Government Land Sales Programme (up to first half 2010). While on the reserve list, the site had minimum stipulations for office and hotel space, at 40 and 15 per cent respectively of GFA. The land to be vested in M-S Pte Ltd sits in a U-shape around the iconic Art Deco-styled Parkview Square and is near the existing Bugis MRT Station as well as the future Downtown Line interchange station at Bugis.

In Marina South, the land to be vested in M-S Pte Ltd is 2.62 hectares and has a 13.0 plot ratio, allowing a project with up to 341,000 sq m (3.67 million sq ft) GFA. It is flanked by the existing Marina Bay Station and the future Downtown Station.

There's also surrounding greenery. Perhaps M-S can recoup some of its investment in this project by including a residential component for sale.

When the Tanjong Pagar Railway Station site is returned to Singapore, it could eventually make its way into the Government Land Sale Programme, say market watchers.

Perhaps some parts or features of the existing rundown railway station could be conserved in some form and incorporated into a new development to retain a slice of history.

The lands currently occupied by KTM's railway tracks - running near places like Holland Road, Upper Bukit Timah and Woodlands - are today considered 'sterilised' as they cannot be used to their fullest development potential. At the same time the trains running on them create a 'disamenity' in the form of noise pollution to nearby residents.

Once these sites are returned to Singapore, they can be turned into linear parks as has been done in some places in the US, Mrs Ong suggests. Some of the railtrack land could also be sold by the state to owners of adjoining properties who wish to enlarge their plots - such as owners of Good Class Bungalows or to a developer who is buying surrounding properties through a collective sale.

By swapping KTM's land in Singapore for two prime sites in the Marina South and Rochor areas, 'Malaysia gets an opportunity to develop something that is more in line with the market,' says Mrs Ong.

The devil in this arrangement will be in the details. Temasek and Khazanah will have to agree on just what they plan to build on these prime sites. Decision making could be bureaucratic and laborious.

The developments will hopefully enable the realisation of URA's planning intentions for the areas in addition to being well timed to catch market cycles.

[mr funny]

http://www.straitstimes.com/PrimeNew...ry_580877.html

Sep 21, 2010

singapore-malaysia agreement

Six land parcels for joint development 'worth billions'

By Joyce Teo

MARINA BAY PARCELS
OPHIR-ROCHOR PARCELS

THE six prime sites in Marina Bay and Ophir-Rochor that will be developed jointly by Singapore and Malaysia could be worth billions, say property experts.

All the plots are white sites, meaning they can be developed for commercial, hotel or residential use.

Two are in the Ophir-Rochor zone and may be worth up to $950 million in all, Mr Nicholas Mak, the executive director of SLP International's research and consultancy division, said after a back-of-the-envelope calculation.

The other four plots in the prime Marina South area could be worth from $1.8 billion to $2.2 billion, he estimated.

These estimates are based on factors such as the land area, land usage, current market conditions and what similar land parcels nearby can fetch.

The four parcels in Marina South have a combined site area of 2.62ha and a gross floor area of 341,000 sq m, the Ministry of National Development said yesterday.

When the land for the nearby Marina Bay Financial Centre (MBFC) was sold at tender, it fetched nearly $2 billion in total. The site included 244,000 sq m of land for phase one of MBFC, and when that was put up for tender in 2005, it attracted a top bid of about $1 billion.

Prices had shot up nearly 15 per cent when the second phase comprising 194,000 sq m was sold in early 2007. That plot went for $907 million.

When developed, the four plots at Marina South could be worth much more.

The two sites in the Ophir-Rochor area - one at Ophir Road, the other at Rochor Road - together form a U-shaped plot around an existing office block, Parkview Square.

They have a combined site area of 2.67ha and could accommodate a total gross floor area of 160,020 sq m, including office space and a hotel with an estimated 480 rooms.

Knight Frank chairman Tan Tiong Cheng said: 'For the Malaysians, it is a win-win situation as they now have two prime locations.

'The Marina South parcels are very strategic prime sites within the new downtown, while the Ophir-Rochor sites are in a vibrant, bustling part of Singapore.'

The plots earmarked for the swop will be developed by a company called M-S Pte Ltd, a 60:40 joint venture between Khazanah Nasional Berhad and Temasek Holdings.

What Singapore gets in the swop are six plots of Malayan Railway land - three in Bukit Timah, and one each in Tanjong Pagar, Kranji and Woodlands.

[Condorich]

Look out for these developments. Forward and Long Term looking.

From the quote above.

In exchange, it gets an opportunity to develop two plum sites - one behind the Marina Bay Financial Centre and flanked by two MRT stations; the other at Ophir/Rochor roads, also boasting connectivity and adjacent to the buzzing Bugis-Bras Basah area, which is shaping up as an entertainment and education hub.

The deal for Singapore is that with the return of Keretapi Tanah Melayu's (KTM) 78-year-old Tanjong Pagar Railway Station site and other lands, it can embark on more comprehensive planning of the future extension of the CBD in Tanjong Pagar, integrating this with the vision for a new bustling waterfront district after container port terminals in the vicinity move out eventually, as Knight Frank chairman Tan Tiong Cheng points out.

There's also surrounding greenery. Perhaps M-S can recoup some of its investment in this project by including a residential component for sale.

When the Tanjong Pagar Railway Station site is returned to Singapore, it could eventually make its way into the Government Land Sale Programme, say market watchers.

Perhaps some parts or features of the existing rundown railway station could be conserved in some form and incorporated into a new development to retain a slice of history.

The developments will hopefully enable the realisation of URA's planning intentions for the areas in addition to being well timed to catch market cycles. end quote

[Wild Falcon]

There will be an MRT line (DTL2) running certain stretches - so no reason to build another duplicate train along the railway track. I think the track should just be preserved as a off-road rail trail for cycling, trekking purposes. Imagine u can cycle to work on flat contiguous land all the way from Woodlands to Bukit Timah to Clementi to Tanjong Pagar without worrying about traffic. That is healthy living.

How will the existing railway line left over by Malaysia be dealt with? This is a long stretch of lines from Tg Pagar to Woodlands.

Some say keep the line for nostalgic reason and convert into some speedy train services to ease road congestion. Viable?

If it turns true, could be bad news for property owner near the vicinity.

[Condorich]

There will be an MRT line (DTL2) running certain stretches - so no reason to build another duplicate train along the railway track. I think the track should just be preserved as a off-road rail trail for cycling, trekking purposes. Imagine u can cycle to work on flat contiguous land all the way from Woodlands to Bukit Timah to Clementi to Tanjong Pagar without worrying about traffic. That is healthy living.

Wishful thinking. Malaysia would agree? Want to ride bicycle can try it there.. long long stretch to KL. International route somemore.

Will either sell as GCB or Condo lah. Some limited park space will also be appropriate.

[jencrs]

Wishful thinking. Malaysia would agree?

Correct me if I'm wrong but what does M'sia have to do with it? I thought the land upon which the tracks are built are returned to S'pore, which is why it's a land swap deal.

But it would be great if Spore preserves at least some of the tracks for trekking and cycling. Where else on this island can be find a track that's there, pretty flat, few traffic lights?

[Condorich]

Correct me if I'm wrong but what does M'sia have to do with it? I thought the land upon which the tracks are built are returned to S'pore, which is why it's a land swap deal.

But it would be great if Spore preserves at least some of the tracks for trekking and cycling. Where else on this island can be find a track that's there, pretty flat, few traffic lights?

Yeah, it could be a mistake on my part.

"What Singapore gets in the swop are six plots of Malayan Railway land - three in Bukit Timah, and one each in Tanjong Pagar, Kranji and Woodlands"

But if the six plots of Malaysian Railway Land are not ALL THE PLOTS owned by them given up. Then I would be right.

You have the details on that?