More Runway To Build Bigger

Research evidence excerpt

More Runway To Build Bigger

Update

July 28, 2026 06:59 AM GMT

Morgan Stanley Asia (Singapore) Pte.+MSingapore Housing | Asia Pacific Derek Chang

Equity Analyst

More Runway To Build Bigger Derek.Chang@morganstanley.com +65 6834-6512

Key Takeaways

Large and mega en bloc redevelopment sites will get 6-7 years to complete and

sell (up from 5.5 years). ASEAN Property

Asia Pacific

We see the extended timeframe reducing sell-through risk for developers and Industry View In-Line

from a policymaker standpoint incentivises the private sector to rejuvenate

housing.

15-month wait-out for private-property owners buying non-subsidised HDB resale

flats also removed.

That said, the latest policy changes do not signal a material move and we remain

cautious on our Singapore developer coverage.

The extended ABSD timeline ( Exhibit 1 ) is the relatively more consequential move

for listed developers. The 40% rate - 5% non-remittable and 35% remittable - is

unchanged, but qualifying en bloc sites acquired from 29 July 2026 receive six years

to complete and sell if they yield 700-1,399 units, and seven years if they yield at

least 1,400 units; mega sites must sell 50% by year six.

We see this as a targeted easing of underwriting and sell-through risk for

developers, especially for those evaluating larger en bloc developments, but gives

no relief to existing projects. From a policymaker standpoint, this lowers

dependence on government land sales and incentivises housing rejuvenation by the

private sector.

Separately, the 15-month wait-out for private-property owners buying non-

subsidised HDB resale flats has been removed. While it likely improves liquidity in

public housing and could bode well for prices in that segment (especially with the