Something is not quite working out for the government’s plan to deal with the problem of aging HDB flats. Is it because its master development programme is being rushed and not in sync with Singaporeans’ perceived, if not legitimate, right to undisrupted lives – or, more important, right to decide?
Why has there been no major problem with the other effort to help prevent a decline in property value as the flats got older? The upgrading projects have been carried out smoothly. Where substantial, and subsidised, top-ups were required, residents voted and lived with their decisions. In some estates, you could see the differences caused by the exercising of community decisions. For example, in Paya Lebar Way, off MacPherson Estate, one part is clearly well landscaped and the another barely. But that’s democracy.
Residents have a big say. They were consulted and involved and later much more prepared to put up with the temporary disruption or live with the result of their decision. The whole upgrading journey was not minor. They came in drawn out phases because HDB estates were built in phases.
To give you a rough idea: The first groups of HDB flats (if we discount the Singapore Improvement Trust units in places such as Kallang Airport, Prinsep Street and Tiong Bahru) were in Queenstown/Redhill, Toa Payoh and MacPherson, followed by Ang Mo Kio, Woodlands, Jurong, Clementi, Bedok, then Sembawang, Yishun, Bukit Panjang, Chua Chu Kang, Hougang, Serangoon and later Bishan and Simei. The SIT flats were built in the late 1950s (lease life left – less than 30 years). Remaining lease life for the oldest Toa Payoh flats would be around 40 years, for Ang Mo Kio around 50, and so on.
As Lee Hsien Yang said, the time bomb is ticking away. Once the lease has shortened to a certain time length, it would not be easy to get loans, meaning, buyers would have to cough up the money themselves to buy the flats. Values would drop.
So what is happening now?
HDB owners know full well that their flats have a fixed life span – 99 years. Otherwise, how are subsequent generations going to be housed on this small island? And 99 years is not something uniquely Singaporean, other countries or cities have such leases too. But there are reasons HDB owners may be helpless or even feel short-changed by current government approach to handling HDB flats as the authorities unveil whatever development plans down the road.
I would presume most occupants of SERS-eligible or even VERS-type flats are older ones and not exactly young BTO buyers. They have stayed put in their neighbourhood and have grown roots. Indeed, not a small number might have taken advantage of government programmes to encourage families to stay near one another.
From a national and big picture perspective, getting back certain plots of land from a number of people for development may be necessary, especially when they do get alternate places nearby. But a certain amount of transparency and notice (where possible) is advisable.
The whole idea of government is to be fair, clear and consistent – from the outset.
Otherwise, there is going to be such a bloody mess of panic, disruption and total communication chaos when the real ticking bombs of expiring 99-year leases begin to explode one by one.
Where are the Chinese visitors?
Chinese tourists were once the dominant tourists. Then came the Covid-19 pandemic and the slowing down of China’s economy.
Suddenly, they are not coming. The latest arrival figures for the first half of 2022 go like this: There were 1.5 million arrivals in the first half of 2022. The top five visitor markets were Indonesia, India, Malaysia, Australia and the Philippines.
Will Maroon 5 at the F1 draw the Chinese? Or the Bloomberg New Economy Forum? Not likely.
Our tourist industry people better buck up their English and Bahasa. The future looks increasingly regional.
Tan Bah Bah, consulting editor of TheIndependent.Sg, is a former senior leader writer with The Straits Times. He was managing editor of a magazine publishing company.