The government’s plan to restrict purchases of farmland is driving up selling pressure on investors who helped build hundreds of thousands of luxury homes on farms across Taiwan, but will have difficulty finding buyers, a report by Evertrust Rehouse Co (永慶房屋) said yesterday.
The real-estate broker said that farmhouses for sale surged 70 percent year-on-year in the first four months of this year, compared with a 7 percent increase for residential houses and a 3 percent gain for office space, the report said.
“The figures reflect anxiety on the part of sellers to flee the market,” as the Council of Agriculture plans to limit purchases of farmhouses to farmers, likely starting at the end of next month, Evertrust researcher Andy Huang (黃舒衛) said by telephone.
Under the tightened regulations, only people with agricultural insurance or substantial plans to engage in farming can build or acquire farmhouses.
The plans come amid warnings from civic groups that land available for farming has rapidly dwindled due to property speculation since 2000, when the government lifted a ban limiting farmland to agricultural use.
The past 15 years have seen 7,600 farmhouses built in Yilan County, with its farming area declining by 1,900 hectares, the groups said.
On average, two farmhouses have been sold each day in the past five years, with 60 percent of them resold within three years of being purchased, they said.
In Yilan, property speculation bloomed in 2006 after the completion of the Hsuehshan Tunnel and prompted the Yilan County Government to temporarily suspend reviews of identification of farmers and to stop issuing building permits for farmhouses and farm facilities.
Nationwide, farmhouse deals dropped 37.2 percent to 5,068 last quarter from the previous year, while trading value shrank 52.2 percent to NT$28.64 billion (US$932.66 million), the report said, citing government statistics.
“The market has taken a downturn judging from both transaction volume and prices,” Huang said.
It will be difficult to find buyers for farmhouses, which have been popular as retirement or vacation homes, the report said.
Many buyers have turned farmhouses into bed-and-breakfast inns.
The highest number of farmhouses for sale are in Taichung at 2,863, followed by Hualien at 2,472 and Kaohsiung at 2,279, the report said.
The number is 2,038 in Taoyuan and 1,881 in Yilan County, the report said.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
Gold surged to a fresh record on Friday, fueled by US dollar weakness and low interest rates, while silver headed for its best month since 1979. Spot bullion is up more than 10 percent this month, as US real yields lingered near record lows. While the ferocity of rallies in gold and silver cooled in the middle of the week, most market watchers predict there might be more gains ahead. Both metals have added about 30 percent this year, with gold and silver exchange-traded funds boosting holdings to a record, as concern about the fallout from the COVID-19 pandemic fuels demand for
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion