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Novo Place EC achieves 57% sales on launch day at an average price of $1,654 psf
By Cecilia Chow | November 17, 2024

Novo Place EC sold 286 units (57%) when sales bookings began yesterday, Nov 16 (Photo: Samuel Isaac Chua/EdgeProp Singapore)

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Sales bookings at the 504-unit Novo Place began on the morning of Nov 16. Jointly developed by Hoi Hup Realty and Sunway Developments, the executive condo (EC) sold 286 units or 57%, at an average price of $1,654 psf.

"It is a strong take-up, reflecting robust demand from buyers seeking an affordable private residential lifestyle," says Mark Yip, CEO of Huttons Asia. "The take-up rate could have been even higher if not for the 30% quota for second-timers."

The split between first- and second-timer buyers was 47% and 53%, respectively. "The government may want to consider increasing the quota for second-timers," Yip suggests. "The balloting for second-timers in one month is likely to see strong demand."

Explore comprehensive data about all ECs, including the average profit at 5 and 10 years

Second-timers are those who have previously purchased subsidized housing, either as a new or resale HDB flat or an Executive Condominium (EC).



The 30% quota — equivalent to 151 units — set aside for second-timers at Novo Place was fully taken up by 1 pm on launch day, says Ismail Gafoor, CEO of PropNex. However, he adds that second-timers will have another opportunity to purchase units at Novo Place when the quota is lifted 30 days later, allowing them to make bookings starting from Dec 16.

Of the 287 units sold at Novo Place, 76% of buyers opted for the deferred payment scheme, while 24% chose the normal payment scheme, according to Huttons.

The three-bedroom plus-study units are 97% sold, while the four-bedroom units are fully sold (Photo: Samuel Isaac Chua/EdgeProp Singapore)

ECs are the only housing segment that offers homebuyers the option of a deferred payment scheme. This scheme lets them lock in their preferred unit first and service the loan later. "It eases the financial burden of HDB upgraders who still have an outstanding loan on their flat," says Yip.

Another advantage of buying a new EC is that HDB upgraders are granted upfront remission on the Additional Buyer's Stamp Duty (ABSD). "They can continue to stay in their existing flat and sell it within six months of collecting the keys to their new EC unit," adds Yip.

Located in Tengah's Plantation district, Novo Place will be within walking distance of the upcoming Tengah Park MRT Station on the future Jurong Regional Line. The station is expected to be completed by 2028.

Read also: Emerald of Katong hits 99% sales at launch, averaging $2,621 psf

The EC project comprises seven 18-storey residential blocks, and the unit mix comprises three—to four-bedroom plus-study units. The three-bedroom plus-study units are 97% sold, while the four-bedroom units are fully sold. The four-bedroom plus-study units are more than half sold. The sales results are in line with demand from HDB upgraders who want a bigger space and greater flexibility in terms of space use, notes Huttons’ Yip.

Novo Place is the second EC project launched this year. The first, the 512-unit Lumina Grand at Bukit Batok West Avenue 5 by City Developments Ltd, was launched in January. It is 84% sold to date, at an average price of $1,510 psf.

"With future EC launches expected to be priced higher due to rising land and construction costs, current EC buyers are already in a more advantageous position," says Eugene Lim, key executive officer of ERA Singapore.

Last 10 transactions at Lumina Grand

Source: EdgeProp Buddy

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