easing rules boost condos

Could Easing En-Bloc Rules Finally Revive Singapore’s Ageing Condos?

Singapore's aging condos face extinction as 30% hit their 30s. Could slashing the en-bloc threshold from 80% to 70% ignite urban renewal? Developers remain skeptical.

As Singapore’s condominium stock continues to age, with over 30% of developments now at least 30 years old and projections indicating this figure will rise to 40% within the next decade, the Ministry of Law announced in November 2025 a thorough review of the Land Titles (Strata) Act policies governing collective sales.

The current framework requires 80% owner consent for developments at least 10 years old and 90% for newer properties, a one-size-fits-all threshold that market participants argue creates significant logistical challenges for larger estates with diverse ownership profiles.

The decline in collective sale activity underscores the urgency of this review. Only four en bloc sales reached completion in 2024, a stark contrast to the 36 transactions recorded in 2018.

Industry stakeholders have proposed reducing the consent threshold from 80% to 70%, while others advocate for tiered requirements tied to development age, with lower thresholds specifically targeting larger, older properties.

Under current rules, a single owner holding more than 20% of voting rights can effectively block a sale from proceeding, a structural impediment that has frustrated multiple collective sale attempts.

Recent cases illustrate these difficulties. Laguna Park commenced its fifth collective sale attempt in December 2025, having secured 50% owner agreement, though all four previous attempts failed to achieve the 80% threshold. The tight timelines for collective sales further complicate resident engagement and procedural approvals.

Loyang Valley, placed for collective sale for the third time since 2018, received no bids, reflecting developer hesitation amid complex regulatory requirements and planning uncertainties regarding road access, transport links, and neighborhood development plans.

Developers have demonstrated a preference for Government Land Sales sites over en bloc acquisitions due to the straightforward process and absence of holding costs, including the typical six-month rent-free period granted to residents before demolition. Beyond financial considerations, the emotional toll on homeowners facing displacement adds another layer of complexity to collective sale proceedings.

The 836 condominium developments currently at least 30 years old are projected to reach 1,160 by 2035 if none are sold collectively, intensifying pressure on Singapore’s urban renewal objectives.

En bloc sales remain integral to demolishing older, less densely built structures and replacing them with developments capable of housing more residents with improved facilities. Dissenting minority owners may file disputes with the Strata Titles Board on various grounds including procedural irregularities or unfair distribution of proceeds.

The Ministry of Law indicated that reform proposals will be announced when ready.

Singapore Real Estate News Team
Singapore Real Estate News Team
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