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Home World Asia Pacific

Increased building height limits near airports could boost land values, unlock urban growth: Analysts

22 June 2025
in Asia Pacific
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Increased building height limits near airports could boost land values, unlock urban growth: Analysts
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SINGAPORE: Relaxing height limits for buildings near airports could improve land values and unlock urban space for various types of developments, analysts say. Their comments came after Minister for National Development Chee Hong Tat said in May that height restrictions on such buildings could be revised later in 2025, potentially paving the way for taller residential and commercial developments.

Speaking in his portfolio then as transport minister, Mr Chee said the proposed changes could enable buildings in various areas across Singapore to be built higher – by up to 15 storeys more for residential use and up to nine storeys more for industrial and commercial purposes. The Civil Aviation Authority of Singapore has been working on this with the International Civil Aviation Organization, which is reviewing its height restriction requirements for the first time since the 1950s. Creating high-rise urban districts closer to airports can boost growth in sectors like tourism, hospitality and aviation-related services, as well as promote broader economic diversification, said Mr Hsieh Cheng-Hsien, an associate professor from the Singapore University of Social Sciences (SUSS). “Through the safe optimisation of airspace facilitated by advanced navigation technologies, Singapore is well-positioned to improve land-use efficiency while maintaining stringent flight safety standards,” he added. “Areas previously restricted due to aviation constraints may be transformed into dynamic, economically productive urban centres.” Singapore has two airports in Changi and Seletar, and four military airbases in Paya Lebar, Sembawang, Changi and Tengah. While the area immediately surrounding Changi Airport may be kept for industrial and warehouse use, neighbouring estates such as Changi, Pasir Ris and Tampines could expect to see taller public and private housing developments, said real estate professor Sing Tien Foo of the National University of Singapore’s (NUS) Business School. He noted however that the noise from busy airport activities could still prevent residential development from being located too close. As for Seletar Airport, which caters to smaller private planes, revised height limits could “intensify” industrial and housing developments in the northern and northeastern coastal areas, Prof Sing said.

Related:

Taller buildings could be allowed near Singapore airports with height restrictions review: Chee Hong Tat

Prof Sing said that for areas near Changi and Seletar airports, land intensity and total land value may increase in the short term, but property prices could decrease if taller buildings can be built with improved construction technologies. “In the long-term, when the supply becomes more elastic and new space can be developed in the same towns and estates, prices could be moderated and stabilised,” he said. Dr Chua Yang Liang, head of research and consultancy at JLL Southeast Asia, also said any potential impact on property values would also depend on factors like corresponding adjustments to land betterment charges, construction costs and other financial considerations.

ADVANCEMENTS IN AVIATION

As cities around the world become more densely populated, there has been increasing pressure to free up land closer to airports. Although this might have seemed like a safety risk in the past, improvements in technology have made it safer for planes to fly in denser urban environments, said experts.

Assoc Prof Hsieh, who heads a joint SUSS-Singapore Flying College programme, noted that modern planes are equipped with advanced flight management systems that enhance climb and descent profiles, support steeper approach angles and improve obstacle avoidance capabilities. Satellite-based navigation methods, too, now provide pilots with “extremely precise” flight paths that minimise risks, said Mr John Tan, lead professional officer of aviation…

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Tags: AirportsAnalystsBoostBuildingChangi AirportChee Hong TatgrowthHeightincreasedLandLimitsUnlockurbanurban developmentValues
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