Parliamentary question asked on 9 January 2012:
Mr Gerald Giam Yean Song asked the Minister for National Development what is the compensation that the residents of the flats in the Rochor area affected by the upcoming land acquisition will receive if they choose not to relocate to the new flats in Kallang.
Mr Khaw Boon Wan:
All HDB flat owners at Rochor Centre will be compensated for their existing flats based on the prevailing market values as at the date of announcement of the acquisition, i.e. 15 Nov 2011. This is regardless of whether they decide to take up the new replacement flats in Kallang. The market value will be assessed by a qualified and professional private valuer licensed by the Inland Revenue Authority of Singapore after a thorough physical inspection of each flat.
On top of the market compensation, all the flat owners will be paid reasonable expenses, which comprise a removal allowance as well as stamp and conveyancing fees to buy a comparable replacement flat.
They are also given a relocation package, similar to those offered under the Selective En bloc Redevelopment Scheme (SERS). They will be assured of a new replacement HDB flat in the vicinity of Kallang MRT station, which they can purchase at subsidised prices frozen as at 15 Nov 2011 and will further enjoy a 20% price discount (up to $30,000) if eligible.
If they choose not to relocate to the new flats in Kallang, they may apply for a new flat elsewhere under HDB’s public sales exercises and enjoy the same relocation benefits, including the price discount. Alternatively, they may choose to sell their existing flat with the relocation package in the resale market, which will typically fetch a premium above the compensation. With the sale proceeds, they may then find alternative accommodation on their own.