Singapore Property News

 

The developer said yesterday it has sold 150 of the 200 units released so far in the 99-year leasehold condo next to Layar LRT Station in Sengkang. H20 Residences comprises 521 apartments (ranging from one-bedroom to four-bedroom units and penthouses) and a shop unit.

 

Giving a profile of buyers, CDL said 85 per cent of the 150 units sold were picked up by Singaporeans. The rest were purchased by Singapore permanent residents and foreigners from China, Hong Kong, Indonesia, India, Malaysia and Vietnam. 

 

'The units sold were mainly two-bedroom, two-bedroom + study, three-bedroom and four-bedroom apartment types,' CDL said in its statement yesterday.

 

Sources say that prior to the introduction of the Jan 13 property cooling measures, CDL had eyed an average price closer to $1,000 psf mark. 

 

The group is developing the condo on a plot that it clinched at a state tender in February last year for $365.26 per square foot per plot ratio (psf ppr). Analysts estimate CDL's breakeven cost could be in the $720-750 psf region.

 

Opposite Simei MRT Station, Chip Eng Seng sold another seven units last week at its My Manhattan condo, taking total sales to 82 units. The average price of the 99-year condo is about $1,180-1,200 psf.

 

Chip Eng Seng has so far released 150 of the 12-storey project's total 301 units; it began selling the project on Feb 11. The group clinched the plot at a state tender in May last year for nearly $523 psf ppr. Analysts estimate Chip Eng Seng's breakeven cost could be around $900 psf.

 

Market watchers suggest that price resistance could be setting in among home buyers, especially HDB upgraders who tend to be more price sensitive and who may be fatigued by hikes in private home prices last year. 

 

Urban Redevelopment Authority's price index for private homes rose 17.6 per cent last year. DTZ's research shows that the proportion of caveats for private home purchases lodged by buyers with HDB addresses fell from 41 per cent in 2009 to 35 per cent last year.

 

'The $1,000 psf mark is psychologically important, especially to HDB upgraders, who are price sensitive,' says DTZ's head of consulting & research (SE Asia) Ong Choon Fah.

 

'Before the Jan 13 cooling measures, most developers were talking about launching their 99-year leasehold condos at $1,000 psf or higher, regardless of location. Following the measures, they have moderated their price expectations,' she added.

 

Far East Organization last week sold a total of 42 homes across various projects including The Cape, a 76-unit freehold condo at Amber Road which the group began to preview late February. Half the 42 units sold by the group islandwide last week were from joint-venture projects.

 

BT understands that Far East has sold more than 10 units at The Cape and is likely to officially launch the project – marked by the start of an ad campaign – next week. The average price is said to be in the $1,800-1,900 psf range.

 

'The Cape offers the most luxurious SoHo-living lifestyle with the flexibility for buyers to design and customise their own living spaces,' said FEO's chief operating officer (property sales) Chia Boon Kuah.

 

Property investors looking at non-residential asset classes may wish to consider strata office units at The Adelphi near City Hall MRT Station being put on the market this week by Guthrie GTS and Sun Venture Property. 

 

On offer are 33 strata units adding up to about 58,000 sq ft. The units range from 710 sq ft to 2,008 sq ft and are priced between $1,800 psf and $2,200 psf. They occupy parts of the fifth, seventh and eighth levels of the 10-storey, 999-year leasehold building. CB Richard Ellis is the marketing agent.

 

Source: Business Times News by KALPANA RASHIWALA