THE recent bullish land bids by developers are boosting sentiment in the residential market. Higher land prices translate into higher sale prices and the price gap represents capital growth upside for the surrounding projects that are priced more competitively, particularly those that are also new developments.
On the Reserve List of the 1H2018 Government Land Sales programme announced by the Ministry of National Development is a 1.7ha site on Sims Drive. According to Tricia Song, head of research for Singapore at Colliers International, the site is attractive and likely to be triggered. “The site is within walking distance of the Aljunied MRT station, which is five stations away from town,” says Song. The parcel is also beside the 1,024-unit Sims Urban Oasis by GuocoLand, which was 94% sold as at December 2017.
Last June, Eunosville, a 330-unit privatised HUDC development, was sold en bloc for $765.78 million. The estimated break-even price for the new project is $1,400 psf and the launch price could be close to $1,600 psf, according to a report by DBS analysts Rachel Tan and Derek Tan. Eunosville is located close to the Eunos MRT station, which is two stops further away from Raffles Place than the Aljunied MRT station.
Sims Urban Oasis, located within walking distance of the Aljunied MRT station, was one of the top five best-selling projects in November 2017. The median price of $1,508 psf for the 35 units sold that month is about 6% lower than the projected launch price for the Eunosville redevelopment project.
Sitting on a 2.4ha site, Sims Urban Oasis offers generously sized units, including larger unit-types that are ideal for growing and multi-generational families. There is also ample space for its facilities, which number more than 50, including two Olympic-length swimming pools, a Sky Park that offers views of the Sports Hub and Marina Bay, shops and a childcare centre.
Sims Urban Oasis has more than 50 facilities, including two Olympic-length pools and a Sky Park that offers views of the Sports Hub and Marina Bay
Sims Urban Oasis is located in the city-fringe area, within a 10-minute drive of the CBD and a 15-minute drive of Changi Airport. The Nexus International School is constructing a $232 million campus within walking distance of Sims Urban Oasis. When completed in 2020, it will be the second international school in the area, with the other being James Cook University. The students and faculty members could be a source of tenants for those looking to rent out their units at Sims Urban Oasis.
REPUTABLE DEVELOPER WITH PROVEN TRACK RECORD
The developer of Sims Urban Oasis, GuocoLand, has been listed on the Singapore Exchange since 1978 and is renowned for its track record. GuocoLand’s luxury development, Leedon Residence, received its Temporary Occupation Permit (TOP) in June 2015 and won the Development Excellence award at last year’s inaugural EdgeProp Singapore Excellence Awards.
Another luxury development by GuocoLand is Martin Modern, in prime District 9. According to Colliers’ Song, the project was a contributing factor to the 1.6% increase in prices in the Core Central Region in 4Q2017. GuocoLand was also awarded the Landmark Development Leadership Award by BEI Asia 2017 for its exemplary contribution to Singapore’s built environment with the completion of Singapore’s tallest building, Tanjong Pagar Centre.
THOUGHTFUL HOMES THAT OFFER FLEXIBILITY
If you are looking at an investment that offers flexibility, consider the four-bedroom dual-key units and five-bedroom units at Sims Urban Oasis that range from 1,442 to 2,034 sq ft.
The dual-key units comprise a studio apartment and a larger apartment. They are considered one unit and share a common entryway, but each apartment has its own door and can effectively be separated into two units. Dual-key units are popular with rental investors who could reside in the larger apartment and lease out the smaller one. There are also landlords who prefer dual-key units over regular units as they can be rented out to two different sets of tenants. They are also popular with married couples who wish to live with their parents and desire privacy. Owing to their unique configuration, dual-key units offer a unique value proposition for buyers.
The spacious five-bedroom units are ideal for multi-generational and growing families
The five-bedroom units are ideal for multi-generational and growing families. The ample space meets the needs of various members of the family. And you can finally get to design that man cave of yours, an entertainment room or an office suite.
Sims Urban Oasis received its TOP in 4Q2017 and is ready for immediate occupation. With limited choice units and prices starting from $1,450 psf, the development is expected to sell out soon.
Sims Urban Oasis received its TOP in 4Q2017 and is ready for immediate occupation
This article appeared in The EdgeProp Pullout Issue 814 (January 22, 2018) of The Edge Singapore.