Please use this identifier to cite or link to this item: https://scholarbank.nus.edu.sg/handle/10635/223185
Title: LAND BANKING VERSUS SHORT-TERM INVESTMENT-TO-SALES CYCLES
Authors: LEE CHUN KIAT
Keywords: Real Estate
RE
Ong Seow Eng
2014/2015 RE
Land Banking
Land Hoarding
Per Square Foot Transaction Prices
Private Residential Developers
Issue Date: 12-Dec-2014
Citation: LEE CHUN KIAT (2014-12-12). LAND BANKING VERSUS SHORT-TERM INVESTMENT-TO-SALES CYCLES. ScholarBank@NUS Repository.
Abstract: The strategy of land banking undertaken by private residential developers in Singapore has often been overlooked as an approach to the development of real estate owing to the large capital outlay involved. Nevertheless, large private developers with strong cash flow positions can leverage on land banking to consolidate their market share and reap benefits from the establishment of this advantageous market position. This research study examines the relationship between land banking and transaction prices in the field of private residential real estate in Singapore. It adds on to the land-hoarding phenomenon identified in Hong Kong and Mainland China where property prices have experienced an upward movement due to the artificial restriction of housing supply by private developers. This study hypothesizes that a positive relationship exists between land banking and per square foot prices of private residential real estate in Singapore. Through the application of hedonic analysis via multiple linear regression models, it was concluded that the strategy of land banking does not produce a premium on transaction prices, but serves to fulfill non-economic corporate objectives instead. Such information can be further applied to the workings of the Government Land Sales program as the sale of sites has a direct impact on the business model of private residential developers in Singapore that undertake land banking as part of their corporate strategies, acting as an engine for growth.
URI: https://scholarbank.nus.edu.sg/handle/10635/223185
Appears in Collections:Bachelor's Theses

Show full item record
Files in This Item:
File Description SizeFormatAccess SettingsVersion 
Lee Chun Kiat 2014-2015.pdf423.73 kBAdobe PDF

RESTRICTED

NoneLog In

Page view(s)

12
checked on Feb 2, 2023

Download(s)

3
checked on Feb 2, 2023

Google ScholarTM

Check


Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.