CapitaLand to delay condo launch

Developers with deep pockets have the luxury of timing their new property launches to respond suitably to market sentiments.

With the beaten down state of the property market, this is what one major developer has chosen to do - watch the market response to the Total Debt Servicing Ratio (TDSR) phenom and delaying its planned launch of a condominium.

The TDSR hits a buyer's ability to afford a property by capping a borrower's total debt repayments at 60 per cent of gross monthly income.

According to Straits Times, the CEO of CapitaLand Residential Singapore, Mr Wong Heang Fine said it will reschedule its 124-unit Marine Parade project launch slated for late last year to this year, with no specific time frame set. He also hopes that the time frame allocated to developers to sell units can be relaxed, giving the market enough room to equilibrate demand and supply without the risk of having wild swings in prices.

Other CapitaLand projects gear for this year launch are the Coronation Road landed housing development and an Iskandar condo development in Danga Bay, Johor.

CapitaLand allocates less than 10 per cent of its portfolio to residential properties in Singapore.

source: Straits Times