PRIVATE RESIDENTIAL DEVELOPERS (Fittings)

PRIVATE RESIDENTIAL DEVELOPERS

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(Fittings): **

4.

Prof. Ivan Png Paak Liang asked the Minister for National Development if he will persuade private residential developers to offer buyers the option not to take delivery of fittings, without any refund of payment, and so reduce solid construction waste.

Mr Mah Bow Tan: I believe that developers decide on the type of fittings to be used in their developments based on their understanding of target clientele's general preferences and tastes. If fittings provided are not to their customers' taste, sales of the property would be affected. Similarly, potential purchasers also choose property units based on the total product offered, including finishes and fittings.

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Hence, there may be very few purchasers who would actually choose not to take delivery of fittings provided for in private residential developments. This is especially so if there are no cost savings or refund of payment to be derived from such an arrangement for the purchaser. The Controller of Housing has informed me that he has not received any request from purchasers or developers to dispense with the specified fittings in residential projects, and there are very few requests by developers or purchasers to provide options for fittings.

I would like to assure Prof Ivan Png that, for those few purchasers like himself who want some flexibility in the standard fittings provided, there are no rules to prohibit such variations. The Controller of Housing, who regulates housing developers, will allow the standard Sales and Purchase Agreement to be amended to cater for such variations in building finishes and fittings agreed to between the developer and purchaser. The developer and the purchaser would however have to come to a mutual agreement on this matter, the same way as they come to an agreement on other terms of the transaction such as price. The extent to which flexibility can be provided is best decided by developers, in negotiation with purchasers, and taking into account marketing, cost and other considerations. Some developers may be prepared to offer some flexibility as a marketing strategy.

There is thus no need for Government to get involved in a matter that can be decided through mutual negotiation of private parties.

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