{"id":89906,"date":"2018-05-30T16:51:50","date_gmt":"2018-05-30T09:51:50","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/property-news\/3-reasons-why-scrapping-the-hsr-project-may-be-bad-for-jurong\/"},"modified":"2018-05-30T17:04:46","modified_gmt":"2018-05-30T10:04:46","slug":"3-reasons-why-scrapping-the-hsr-project-may-be-bad-for-jurong","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/3-reasons-why-scrapping-the-hsr-project-may-be-bad-for-jurong\/","title":{"rendered":"3 reasons why scrapping the HSR project may be bad for Jurong"},"content":{"rendered":"


\nArtist\u2019s impression of the HSR terminus in Jurong East.
\nThe growth prospects of Jurong\u2019s property market may have dimmed after Malaysia\u2019s new Prime Minister Dr Mahathir Mohamad on Monday (28 May) said a \u201cfinal decision\u201d was made to scrap the Kuala Lumpur-Singapore High Speed Rail (HSR) project.
\nBoth countries had previously signed a bilateral agreement in 2016 to undertake the 350km mega project, with Jurong East earmarked as the location of the Singapore terminus. The HSR was expected to reduce travel time from Singapore to KL to just 90 minutes.
\nBut the new Malaysian government plans to cancel the project, which Dr Mahathir said would cost RM110 billion (S$37 billion), amidst a whopping debt of over RM1 trillion (S$337.9 billion) worsened by the 1MDB corruption scandal.
\nThe decision could impact Singapore\u2019s ambitious plans for Jurong\u2019s future. Here\u2019s why:<\/p>\n

1. Impact on property prices
\nConstruction of the new terminus in Jurong was expected to boost property prices in the area. Prices are unlikely to increase as quickly as expected following the announcement, experts told TODAYonline.\u00a0
\n\u201cThose who bought property in Jurong with the purpose of investment would be disappointed as their investments might only bear them good gains many years later,\u201d said Ku Swee Yong, CEO of International Property Advisor.
\nConstruction of the HSR was supposed to start later this year, with the first trains running by 2026.
\nBut ZACD Group executive director Nicholas Mak argued that the health of Jurong\u2019s property market does not depend on the HSR. Among the reasons for this is that the upcoming Jurong Lake District has been designated as Singapore\u2019s second Central Business District.
\n\u201cThe region has its own attractions such as the MRT interchange, new Jurong Region Line, shops, offices and business park that provide jobs and services\u2026 all these come about without the HSR,\u201d he said.
\nInterested in buying property in Jurong? Check out our step-by-step guide to buying a condo.
\nArtist\u2019s impression of the future Jurong Lake District.
\n2. Effect on commercial activity, land bids
\nThose who invested in commercial properties or have shops in Jurong are advised to factor out the influx of Malaysian workers and tourists now that the HSR has been scrapped.
\n\u201cOthers who might have invested in small retail units, and are banking on the day trippers from Malaysia to boost sales may have to adjust their sales expectations drastically,\u201d noted Ku.
\nWhile experts believe that plans for residential and commercial projects in the vicinity are unlikely to be revised as these were conceptualised prior to the HSR plans, they think property developers are more likely to adopt a conservative approach when bidding for land sites.
\n\u201cDevelopers will be a lot more careful and less aggressive with their bid price going forward,\u201d said Ku.
\nChris Koh, director of property consultancy Chris Koh International, added that property developers should no longer leverage on the HSR. \u201cIf I\u2019m a developer, I will not be banking on it to market property anymore, but I would rather sell the other merits of Jurong such as the Jurong Lake District and other amenities in the region.\u201d
\nDid you know that Jurong was once infested with crocodiles? Learn more about how Jurong East has developed over the years. <\/p>\n

3. Some missed opportunities
\nThe HSR project was forecasted to create a total of 111,000 jobs and add RM21 billion (S$6.7 billion) to the economies of both countries.
\n\u201cThis will be a huge setback as lowering transport and connectivity costs would boost trade and increase the flow of talent both ways,\u201d said Maybank senior economist Chua Hak Bin.
\nWhile transport experts said the HSR is a \u201cgood thing to have\u201d as it will significantly reduce travel time between Singapore and Kuala Lumpur, its scrapping is unlikely to have a significant impact on Singapore\u2019s own rail network.
\n\u201cThe project was never about expanding travel capacity between the capitals, it was about providing a better travel option than air and road,\u201d said Walter Theseira, a transport economist at the Singapore University of Social Sciences.
\n\u201cI doubt our rail projects like the Jurong Region Line will be affected as our MRT plans are not conceptualised to hinge on the HSR,\u201d he noted.
\n\u00a0
\nRomesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email\u00a0romesh@propertyguru.com.sg
\n
\nSource : proppertyguru.com.sg\/Property Market
\nRead more…3 reasons why scrapping the HSR project may be bad for Jurong<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Artist\u2019s impression of the HSR terminus in Jurong East. The growth prospects of Jurong\u2019s property...<\/p>\n","protected":false},"author":1,"featured_media":89907,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-89906","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-property-news"],"jetpack_featured_media_url":"https:\/\/i1.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2018\/05\/Jurong-Lake-District.jpg?fit=820%2C410&ssl=1","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-no6","jetpack-related-posts":[{"id":100444,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/high-speed-rail-delay-unlikely-to-impact-singapore-malaysia-ties\/","url_meta":{"origin":89906,"position":0},"title":"High Speed Rail delay unlikely to impact Singapore-Malaysia ties","date":"October 24, 2018","format":false,"excerpt":"\r Artist\u2019s impression of the HSR terminus in Jurong East. The decision to defer the construction of the Singapore-Kuala Lumpur High Speed Rail (HSR) until May 2020 is unlikely to cause a strain between the relationship of both countries, reported Bernama. According to Malaysia\u2019s Economic Affairs Minister Datuk Seri Mohamed\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":113153,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/mahathir-bandar-malaysia-project-to-have-an-hsr-station\/","url_meta":{"origin":89906,"position":1},"title":"Mahathir: Bandar Malaysia project to have an HSR station","date":"December 18, 2019","format":false,"excerpt":"\r Malaysia might also consider scaling down to trim costs, which will see train speeds reduced. Malaysian Prime Minister Mahathir Mohamad has said the revived Bandar Malaysia project will house a Kuala Lumpur-Singapore High-Speed Rail (HSR) project, although Malaysia and Singapore have yet to finalise details of the project. \u201cWe\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":93531,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/plans-for-jurong-lake-district-not-changed-regardless-of-hsr-result\/","url_meta":{"origin":89906,"position":2},"title":"Plans for Jurong Lake District not changed regardless of HSR result","date":"July 10, 2018","format":false,"excerpt":"\r The overall impetus and vision for Jurong Lake District has not changed, regardless of the outcome of the high-speed rail (HSR) project between Singapore and Malaysia, said National Development Minister Lawrence Wong in Parliament on Monday. His statement comes after Malaysian Prime Minister Mahathir Mohamad has announced plans to\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":97362,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/singapore-and-malaysia-agree-to-postpone-high-speed-rail-project\/","url_meta":{"origin":89906,"position":3},"title":"Singapore and Malaysia agree to postpone High Speed Rail project","date":"September 6, 2018","format":false,"excerpt":"\r Artist\u2019s impression of the HSR terminus in Jurong East. While many may be disappointed, Singapore and Malaysia\u2019s agreement to postpone the development of the Kuala Lumpur-Singapore High-Speed Rail (HSR) offers greater clarity on the way forward for the mega project, said Singapore Transport Minister Khaw Boon Wan in a\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":97424,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/jurong-property-prices-not-affected-by-high-speed-rail-delay\/","url_meta":{"origin":89906,"position":4},"title":"Jurong property prices not affected by High Speed Rail delay","date":"September 7, 2018","format":false,"excerpt":"\r Artist\u2019s impression of the HSR terminus in Jurong East. Market experts do not expect the deferment of the Kuala Lumpur-Singapore High Speed Rail (HSR) project to significantly affect property prices within the Jurong area, reported the New Paper. This comes as the HSR only forms part of the blueprint\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":95239,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/govt-takes-over-raffles-country-club-despite-possible-delay-in-hsr\/","url_meta":{"origin":89906,"position":5},"title":"Govt takes over Raffles Country Club despite possible delay in HSR","date":"August 2, 2018","format":false,"excerpt":"\r The Raffles Country Club opened in 1988 and is one of the oldest golf clubs in Singapore. Source: Tourmet.com The local authorities recently took ownership of Raffles Country Club\u2019s land despite the possible postponement of the Singapore-Kuala Lumpur High Speed Rail (HSR), reported TODAYonline. The government \u201ctook site possession\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/89906"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=89906"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/89906\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media\/89907"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=89906"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=89906"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=89906"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}