According to a market survey report, despite the perceived high property prices in Singapore, the city state still offers the best value for finding a property and for business relocation cost. The survey also pointed out that Hongkong, London and New York remain the most expensive in terms of property and relocation for business use.
Relocation Cost to Singapore
Singapore was ranked 6th most expensive in terms of the survey. However, based on cost against GDP per capita, Singapore was ranked the top value for business relocation cost. The survey uses the calculation of employee wages versus his real estate cost for accodomation. Based on this concept of calculation, Singapore actually cost less than half for doing business in Hongkong and about 5 times cheaper than in Mumbai.
Mumbai relocation cost the highest
If we take this calculation and sum it out, even Hongkong, with its high accodomation cost, is cheaper compared to Mumbai. The accodomation cost is calculated by the sum of annual rent for both the office and residences that is needed to set up a company by a particular group or individual. This measure is getting more popular as the measure most likely reflects the true cost involved in relocation into a particular location. The measure is inclined towards the traditional work cities whereby residential yields are attractive compared to government bonds. Singapore will be less attractive as the price differential between the 2 measurements is little.
The Hillford in Jalan Jurong Kechil might post a turn around in the survey as the residential yield for the property is very high. This is because the condo is very near to beauty world mrt and therefore will attractive tenants. Moreover, the 60 year lease condo means that the price of the unit is cheaper compared to the condos around its vicinity while rental amount stays the same.