Good class bungalows (GCB) are all the rage among the elite now with 60 deals worth $900 million between January to August this year, surpassing the $830 million in total during the 2008 period. Some speculate the numbers may be even higher as caveats for some deals done in August may not have been lodged yet. Up to now, the highest full-year value of GCB transactions was achieved in 2006 - involving $1.23 billion across 119 deals.

The year began slowly for the GCB market with just three deals worth about $27.5 million in the first quarter. The action picked up in April, when $56 million worth of GCBs were transacted. It gathered pace in May and June, each month seeing deals amounting to around $188 million. In total, about $432 million worth of deals was done in Q2, with about $436 million in July and August.

According to a Straits Times report on 4 September 2009, CBRE's director, luxury homes, Douglas Wong is now predicting record GCB sales totalling $1.2 billion to $1.4 billion for the whole of this year, encompassing 80-90 transactions.
Symbols of Social Status

Owning GCBs are the epitome of social status in Singapore and indicate a certain level of success by an individual who owns one. There are only about 2,400 such bungalows in Singapore’s 39 gazetted GCB areas representing just 3.5 per cent of total landed housing and a mere one per cent of total private residential stock and because of the limited number, they are highly desired and sought after by the rich and famous.  The average price of such a GCB is approximately $1,000 psf though bungalows in the ‘prime GCB areas’ including Nassim Road and Lady Hill plots can fetch up to $2,000 psf.

Typically, one has to be a Singapore citizen before one can own a GCB. However, Permanent Residents are known to have been given permission by the government on a case-by-case basis to buy small GCBs with land areas of about 15,000 sq ft, depending on their contribution to Singapore

By definition, a bungalow in Singapore has to be at least 400 square metres and no less than 10m wide. This pales in comparison to a GCB that is a minimum of 1,400 square metres. Many Singaporeans however, make the common mistake of thinking any bungalow above 15,000 sq ft is a GCB and often pay a premium for a home that actually falls out of the GCB area. This is untrue as only bungalows in the 39 designated GCB areas are considered Good Class Bungalows.

Strong International Appeal?

Action star Jet Li seems to be sinking deeper roots in Singapore. He and his wife, Nina, bought a good class bungalow (GCB) on Binjai Rise for $19.8 million last month. The price works out to $871 per square foot based on the freehold land area of 22,723 square feet.

After Gong Li, another Jet Li, this signifies Singapore as a well sought-after city to live in.