Development charge rate for condos climbs up an average 2.7%

New rates are effective starting today.

Following a half-yearly basis consultation with its chief valuer, the Ministry of National Development raised the development charge rates of three use groups with the condo group increasing the most at 2.7% on average. The revised rates are effective beginning 1 September 2016 until 28 February 2017.

MND’s release revealed that DC rates for 39 out of 118 sectors of use group B2 or residential non-landed properties crept up by 5% to 12%, the largest of which applies to sector 48. It includes the River Valley Road, River Valley Close, Kim Yam Road, Martin Road, Martin Place, and Mohamed Sultan Road.

DC rates for 61 of 118 sectors in use group C or hotels and hospitals also went up by 2% to 5%, and 1.4% on average.

The lowest increase was in use group A or the commercial group, which inched up by only 0.6% on average. 14 of 118 sectors have increases in rates ranging 4% to 5%.

The new rates also apply to cases which are granted provisional permission (PP) or 2nd and subsequent extension to the PP on or after the effective date, MND said.

There was no movement in any of the remaining use groups including industry, landed residential, and civic and community institutions, it added.