"SingAPORE: Singapore risks gentrification and stratification if it leaves public housing to market forces," said Minister for National Development Desmond Lee on Sunday, September 25. Such issues are visible in successful cities around the world, as invisible but powerful socioeconomic forces segregate where people live according to their means," he said.
To prevent this from happening in Singapore, the Prime Location Public Housing PLH model was launched last year to build Housing and Development Board HDB flats in central locations so that these areas do not become exclusive neighbourhoods that only the well-to- do can enjoy in private housing, said Mr Lee.
Under the PLH model, selected Build-to-Orb BTO flats in prime locations will come with extra subsidies, but those who later sell their units have to pay HDB a percentage of the resale price.
A 10 year minimum occupation period - double that of typical projects - applies before owners can sell their flats.