Issue 328

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 CONTENTS FROM THE

p2 4 Things We Can Learn From Cockroaches

EDITOR
Welcome to the 328th edition of the
Singapore Property Weekly.
to Survive the Next Financial Crisis
Hope you like it!
p9 Resale Property Transactions
Mr. Propwise
(August 27 August 31)

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 SINGAPORE PROPERTY WEEKLY Issue 328

4 Things We Can Learn From Cockroaches to

Survive the Next Financial Crisis
By Property Soul (guest contributor)

Typhoon Hatolanded in Southern China a few

weeks ago. Hong Kong and Macau were
struck head-on with strong winds and heavy
rain. A widely-shared Youtube video of Macau
showed thousands of cockroaches getting out
of their underground hiding places and
crawling one after the other over a sea wall. It
was a well-coordinated effort to march to
higher grounds to flee from possible flooding
caused by the tropical cyclone.

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 SINGAPORE PROPERTY WEEKLY Issue 328
Response to natural disasters:
cockroaches versus humans
It is impressive to see how cockroaches can
prepare an advance contingency plan when
theres a perceived danger ahead. They
managed to escape to safety in an orderly
manner to avoid unnecessary casualties. It is
said that animals and insects have the sixth
sense to predict natural disasters.
Unfortunately, as humans we dont possess
the same sense.
When Typhoon Hato attacked Macau, the
local observatory downplayed the severity of
the storm and held back public warning to
avoid any financial impact on the casinos. As
a result, over half of the city had water and
electricity cutoff. Casino guests gambled
under dim lights with no air conditioning. It
also resulted in a death toll of 12 because
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many residents reported to work and the
victims were trapped in flooded carparks.
Despite huge government reserve from
gambling taxes, technology to predict bad
weather has not been upgraded since
Macaus return to China in 1999. The typhoon
signal number is determined by one person
Macaus weather chief. Similarly, not much
has been done over the past decades to
solve the problem of flooding in low-lying
areas.
Are cockroaches smarter than humans?
Well, didnt they just prove that they have
more advanced life-saving skills and better
group coherence compared with us? Studies
show that cockroaches live in closely-knitted
egalitarian societies. When everybody is
equal, it is easy to make group decisions.
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 SINGAPORE PROPERTY WEEKLY Issue 328
When no one has a secret agenda, the group
can make collective decisions for the greater
good.
Remember the 2008 financial crisis?
Have you read Reuters recent article Nine
years on, another Lehman Brothers
bankruptcy (Sept 2)?Remember how the
collapse of Lehman Brothers triggered the
global financial crisis in 2008? Nine years
later, the debts have not been settled yet.
Last Thursday, two affiliates of the failed
investment bank filed for Chapter 11 to
generate $485 million cash for Lehman
Brothers.
The 2008 financial crisis was caused by the
US housing bust and subprime mortgage
debts. On the eve of the financial crisis, the
Federal Reserve tried in vain to avoid a total
collapse of the financial markets after
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dumping hundreds of billions to bail out
mortgage banks and bond dealers.
It is a strange thing, but when you are
dreading something, and would give anything
to slow down time, it has a disobliging habit of
speeding up. J.K. Rowling, author of Harry
Potter
Similar to many financial crises, the 2008
version started with a banking panic. When
IndyMac Bank was taken over by the
government on July 11, hundreds of nervous
depositors gathered outside the bank since
FDIC only insured up to $100,000 (in
Singapore, it is capped at S$50,000 per
person).
U.S. Treasury Secretary Henry Paulson then
reassured the public in a talk show that the
US banking system is solid and there would
be a $25 billion bail-out of
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 SINGAPORE PROPERTY WEEKLY Issue 328
Fannie Mae and Freddie Mac. Shares of the
two government-sponsored enterprises
tumbled.
when reality can no longer sustain the
exaggerated expectations when people
continue to play the game although they no
longer believe in it. Eventually a crossover or
tipping point is reached. George Soros,
The Crash of 2008 and What it Means: The
New Paradigm for Financial Markets
On the fateful day of September 15, the U.S.
Treasury thought it was enough to bailout
Bear Stearns,Fannie Mae and Freddie Mac,
and refused to take on more. Lehman
Brothers had to file for bankruptcy. Merrill
Lynch was sold to Bank of America, AIG was
taken over by the Federal Reserve.
Two days later, investors fled the once
considered ultra-safe money-market mutual
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funds. They withdrew a record $144.5 billion
from the financial market in a single day on
September 17. Banks couldnt get the money
they needed to fund their day-to-day
business. The US economy was close to a
complete collapse.
The stock market finally crashed on
September 29. The Dow Jones Industrial
Average fell 777.68 points in intra-day trading
the largest drop in any single day in history.
It created a ripple effect through the financial
system and created widespread panic of the
global markets. Investors were desperate to
sell. They were willing to get out at any price.
How we react to financial crises
Similar to a stampede in the crowd, a market
crash is usually caused by mass panic.
Trampling happens when people are scared
and flee from a perceived danger.
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 SINGAPORE PROPERTY WEEKLY Issue 328
In an overcrowded market, a rumor or a piece
of shocking news can easily trigger irrational
fears which lead to disastrous results.
How do we prevent unnecessary financial
damage and loss of wealth facing the onset of
a financial crisis? Perhaps we can take the
hint from a crowd management expert.
When you start to feel uncomfortable in a
crowd, this is the time to start looking at
leaving. This is very difficult, because if
youve come a long distance, or youve
waited for a long time, for example in front of
a stage, you dont want to leave. Make a
mental note of all the exits in a venue as soon
as you arrive. The natural urge is to use the
same entry when you exit, not because its
safer, but its familiar. Paul Wertheimer,
crowd control expert
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Its easier said than done. In reality, because
of greed and comfort, many people leave that
decision until its too late and end up being
trapped in a large panicking crowd totally out
of control.
The human instinct of self-denial
By the end of the 2008 subprime crisis, the
Dow fell more than 50 percent from its last
peak. The 1997 Asian Financial Crisis
occurred in July when foreign investors fled
the Asian markets which caused the collapse
of the Thai, Indonesian, Philippine and South
Korean currencies.
On the Black Monday of the 1987 stock
market crash, Dow lost 23 percent of its value
or $500 billion dollars. The Wall Street Crash
happened on October 28 and 29 in 1929.
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 SINGAPORE PROPERTY WEEKLY Issue 328
The Dow fell 25 percent in two days. The
stock market dropped 90 percent during the
Great Depression.
Despite history continually repeating itself, we
still choose to believe that this time it is going
to be different, that prices still have room to
go up.
We behave as if the Black Swan does not
exist: human nature is not programmed for
Black Swans. That night, on October 19,
1987, I slept for twelve hours straight. It was
hard to tell my friends, all hurt in some
manner by the crash, about this feeling of
vindication. Nassim Nicholas Taleb, The
Black Swan The Impact of the Highly
Improbable
Consequently, very few people survive an
investment mania unscathed. The bears are
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either mildly hurt because they underperform
on the upside or badly damaged because
they go short too early while the bulls are
eventually devastated because they
overstay by remaining too optimistic too
long. Marc Faber, Tomorrows Gold
Asias Age of Discovery
What can we learn from the cockroaches?
To sum up, what are the things we can learn
from the cockroaches in order to survive the
next crisis?
1. Put aside individual interest. Stay united for
the common good.
2. Plan for an exit strategy right at the
entrance.
3. Look out for signs of crisis. Recognize
early and leave in time.
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 SINGAPORE PROPERTY WEEKLY Issue 328

4. Dont panic and evacuate in an orderly

manner.

By guest contributor Property Soul, a

successful property investor, blogger, and
author of the No B.S. Guide to Property
Investment.

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 SINGAPORE PROPERTY WEEKLY Issue 328

Non-Landed Residential Resale Property Transactions for the Week of Aug 27 Aug 31

Postal Area Transacted Price Postal Area Transacted Price

Project Name Tenure Project Name Tenure
District (sqft) Price ($) ($ psf) District (sqft) Price ($) ($ psf)
1 THE SAIL @ MARINA BAY 1,259 2,800,000 2,223 99 9 SKYPARK 2,648 4,400,000 1,662 FH
2 SKYSUITES@ANSON 366 935,000 2,555 99 9 HOLLYWOOD APARTMENTS 990 1,448,000 1,462 FH
2 SKYSUITES@ANSON 366 930,900 2,544 99 9 LEONIE GARDENS 1,733 2,300,000 1,327 99
2 SKYSUITES@ANSON 2,799 6,089,000 2,176 99 9 THE QUAYSIDE 1,367 1,700,000 1,244 99
2 SKYSUITES@ANSON 700 1,414,620 2,022 99 10 GRAMERCY PARK 7,287 21,861,000 3,000 FH
3 DOMAIN 21 883 1,290,000 1,462 99 10 MON JERVOIS 893 2,117,000 2,370 99
3 TANGLIN VIEW 1,141 1,293,000 1,133 99 10 VOLARI 2,174 4,380,000 2,014 FH
4 CORALS AT KEPPEL BAY 936 1,899,000 2,028 99 10 CYAN 1,076 2,130,000 1,979 FH
4 THE BERTH BY THE COVE 1,152 1,550,000 1,346 99 10 RV RESIDENCES 861 1,573,640 1,827 999
4 THE PEARL @ MOUNT FABER 1,302 1,380,000 1,060 99 10 ONE JERVOIS 990 1,800,000 1,818 FH
5 CARABELLE 1,238 1,428,000 1,154 956 10 THE MERASAGA 1,345 2,100,000 1,561 99
5 THE INFINITI 1,345 1,418,888 1,055 FH 10 WATERFALL GARDENS 4,036 6,300,000 1,561 FH
5 PEPYS HILL CONDOMINIUM 3,391 3,250,000 959 FH 10 SOMMERVILLE PARK 1,948 3,000,000 1,540 FH
8 FARRER PARK SUITES 517 700,000 1,355 FH 10 ONE JERVOIS 1,948 3,000,000 1,540 FH
8 KENTISH COURT 1,066 1,030,000 967 99 10 DUCHESS MANOR 1,550 2,330,000 1,503 999
9 REIGNWOOD HAMILTON SCOTTS 2,756 10,800,000 3,919 FH 10 WATERFALL GARDENS 2,196 3,300,000 1,503 FH
9 OUE TWIN PEAKS 570 1,764,300 3,093 99 10 REGENCY LODGE 1,281 1,738,000 1,357 FH
9 THE CLAYMORE 3,348 8,580,000 2,563 FH 10 GLENTREES 1,442 1,950,000 1,352 999
9 ILLUMINAIRE ON DEVONSHIRE 463 1,150,000 2,485 FH 10 VILLAGE TOWER 1,808 2,350,000 1,300 FH
9 CAIRNHILL CREST 1,733 3,500,000 2,020 FH 10 STEVEN'S COURT 2,863 3,530,000 1,233 FH
9 STARLIGHT SUITES 775 1,540,000 1,987 FH 10 THE TESSARINA 1,679 2,000,000 1,191 FH
9 SKYLINE 360 @ SAINT THOMAS WALK 2,131 4,000,000 1,877 FH 11 26 NEWTON 474 1,213,000 2,561 FH
9 THE PROMONT 2,013 3,690,000 1,833 FH 11 CHANCERY PARK 1,679 2,505,000 1,492 FH
9 KIM SIA COURT 1,421 2,500,000 1,760 FH 11 KHEAM HOCK GARDENS 1,787 2,200,000 1,231 FH
9 SOPHIA RESIDENCE 1,324 2,200,000 1,662 FH 11 THOMSON 800 1,625 1,880,000 1,157 FH

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 SINGAPORE PROPERTY WEEKLY Issue 328

Postal Area Transacted Price Postal Area Transacted Price

Project Name Tenure Project Name Tenure
District (sqft) Price ($) ($ psf) District (sqft) Price ($) ($ psf)
12 VISTA RESIDENCES 904 1,280,000 1,416 FH 15 FORTUNE JADE 1,216 1,398,000 1,149 FH
12 OPAL SUITES 409 550,000 1,345 FH 15 TIVOLI GRANDE 1,528 1,650,000 1,079 FH
12 SUNVILLE 1,206 1,160,000 962 FH 15 TIVOLI GRANDE 1,528 1,650,000 1,079 FH
12 RIVERBAY 2,056 1,940,000 944 999 15 EASTWIND MANSIONS 786 825,000 1,050 FH
14 GUILLEMARD EDGE 441 673,000 1,525 FH 15 SERAYA COURT 1,830 1,250,000 683 FH
14 GUILLEMARD EDGE 603 850,000 1,410 FH 16 EASTWOOD REGENCY 517 625,000 1,210 FH
14 CASA AERATA 388 518,000 1,337 FH 16 OPTIMA @ TANAH MERAH 840 1,000,000 1,191 99
14 IDYLLIC SUITES 538 640,000 1,189 FH 16 WATERFRONT GOLD 1,292 1,385,000 1,072 99
14 EUHABITAT 904 1,040,000 1,150 99 16 WATERFRONT KEY 1,324 1,350,000 1,020 99
14 EVERGREEN VIEW 1,109 1,005,000 906 FH 16 THE BAYSHORE 1,012 915,000 904 99
14 ASTORIA PARK 1,173 995,000 848 99 16 CASCADALE 1,012 730,000 721 FH
15 FULCRUM 818 1,418,000 1,733 FH 17 DAHLIA PARK CONDOMINIUM 1,292 1,033,600 800 FH
15 FULCRUM 818 1,413,000 1,727 FH 17 ESTELLA GARDENS 1,119 850,000 759 FH
15 KATONG REGENCY 990 1,620,000 1,636 FH 18 Q BAY RESIDENCES 797 888,000 1,115 99
15 ONE AMBER 958 1,535,000 1,602 FH 18 THE PALETTE 893 860,000 963 99
15 THE BELVEDERE 1,302 2,038,000 1,565 FH 18 CHANGI RISE CONDOMINIUM 1,259 930,000 738 99
15 VIBES @ EAST COAST 420 580,000 1,382 FH 18 LIVIA 1,259 900,000 715 99
15 THE MAKENA 1,647 2,250,000 1,366 FH 18 MELVILLE PARK 1,378 848,000 615 99
15 ST PATRICK'S RESIDENCES 1,496 1,980,000 1,323 FH 19 TERRASSE 538 658,000 1,223 99
15 ESTIQUE 592 765,000 1,292 FH 19 BARTLEY RESIDENCES 1,604 1,900,000 1,185 99
15 MARINE BLUE 1,270 1,639,800 1,291 FH 19 ISUITES @ PALM 635 750,000 1,181 999
15 LEVILLE ISUITES 1,173 1,490,000 1,270 FH 19 TANGERINE GROVE 1,184 1,320,000 1,115 FH
15 COSTA RHU 1,335 1,650,000 1,236 99 19 RESIDENCES BOTANIQUE 850 945,000 1,111 FH
15 FLAMINGO VALLEY 2,228 2,688,000 1,206 FH 19 KOVAN RESIDENCES 1,259 1,360,000 1,080 99
15 HAIG COURT 1,453 1,745,000 1,201 FH 19 PALM GROVE CONDOMINIUM 1,496 1,500,000 1,003 999
15 THE AMBROSIA 1,227 1,470,000 1,198 FH 19 HARMONY @ 1A 969 950,000 981 FH
15 CASERO @ DUNMAN 850 1,000,000 1,176 FH 19 THE QUARTZ 1,163 1,130,000 972 99
15 FLAMINGO VALLEY 1,173 1,360,000 1,159 FH 19 TOHO GREEN 1,690 1,400,000 828 99

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 SINGAPORE PROPERTY WEEKLY Issue 328

Postal Area Transacted Price

Project Name Tenure
District (sqft) Price ($) ($ psf)
19 TOHO GREEN 1,690 1,400,000 828 99
19 TOHO GREEN 1,690 1,400,000 828 99
19 FLO RESIDENCE 1,152 905,000 786 99
19 PALM HAVEN 1,873 1,330,000 710 999
20 CLOVER BY THE PARK 1,216 1,628,000 1,338 99
20 BISHAN PARK CONDOMINIUM 1,324 1,100,000 831 99
21 MAPLE WOODS 1,324 1,970,000 1,488 FH
21 THE BEVERLY 1,518 1,866,000 1,229 FH
21 PANDAN VALLEY 1,335 1,600,000 1,199 FH
21 SUMMERHILL 947 1,038,000 1,096 FH
21 PARC PALAIS 1,238 1,240,000 1,002 FH
21 HILLVIEW GREEN 1,281 1,195,000 933 999
21 HUME PARK I 1,270 1,138,000 896 FH
21 PINE GROVE 1,163 950,000 817 99
22 THE CENTRIS 915 900,000 984 99
23 PARK NATURA 1,776 2,010,000 1,132 FH
23 THE DAIRY FARM 1,389 1,430,000 1,030 FH
23 TREE HOUSE 1,152 1,160,000 1,007 99
23 DAIRY FARM ESTATE 2,131 1,900,000 891 FH
26 CASTLE GREEN 1,216 970,000 797 99
27 THE ESTUARY 926 855,000 924 99
27 THE ESTUARY 1,442 1,100,000 763 99
27 ORCHID PARK CONDOMINIUM 1,141 775,000 679 99
27 ORCHID PARK CONDOMINIUM 1,733 1,020,000 589 99

NOTE: This data only covers non-landed residential resale property

transactions with caveats lodged with the Singapore Land Authority.
Typically, caveats are lodged at least 2-3 weeks after a purchaser
signs an OTP, hence the lagged nature of the data.

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