New launches in the East

/ The Edge Property |

February 11, 2017 8:00 AM SGT

There are several new launches coming up in the eastern region. CEL Development, the property development and investment arm of listed construction company Chip Eng Seng Corp, is expected to open Grandeur Park Residences for preview on Feb 18, with sales to commence a fortnight later. Grandeur Park Residences is next to the Tanah Merah MRT station, and is within an established residential enclave. The 720-unit, 99-year leasehold private condominium is located at the corner of Bedok South Avenue 3 and New Upper Changi Road.

The 99-year leasehold project will have a mix of one- to five-bedroom units comprising a range of compact to deluxe apartments. The project boasts a wellness theme with 90 different facilities, a childcare centre and two retail shops within the compound with a total site area of 262,577 sq ft.

One-bedroom apartments at Grandeur Park Residences will start from 420 sq ft; with one-bedroom-plus-study units from 452 sq ft; two-bedroom apartments are from 560 to 624 sq ft; and three-bedroom units from 883 to 980 sq ft. The four- and five-bedroom apartments are sized from 1,130 to 1,453 sq ft. Prices at Grandeur Park Residences are likely to be comparable with that of the newly completed The Glades, property agents note. The 726-unit, 99-year leasehold condo is a joint venture between Keppel Land and China Vanke Co, and is located on the other side of the Tanah Merah MRT station. To date, more than 85% of its units have been sold.

Recent transactions at The Glades ranged from $797,200 ($1,683 psf) for a 474 sq ft, one-bedder to $2.32 million ($1,190 psf) for a 1,948 sq ft, four-bedroom apartment, according to caveats lodged in January. Average prices are said to be in the range of $1,400 to $1,500 psf, say property agents.

On Feb 9, Chip Eng Seng chairman and CEO Raymond Chia, announced that the average price of Grandeur Park Residences will be at $1,350 psf.

The 720-unit Grandeur Park Residences is expected to preview on Feb 18, with sales to start in early March

Source: CEL Development

Park Place Residences — connectivity

Park Place Residences at Paya Lebar Quarter is likely to preview sometime in the next four to six weeks, according to market sources. The 429-unit, 99-year leasehold condo by Australian property group Lendlease and Abu Dhabi Investment Authority is said to offer strong connectivity owing to its link to the Paya Lebar MRT interchange station. Another plus point is that it is part of a mixed-development which includes office, retail and recreational components.

The last project launched in the vicinity of Paya Lebar Central was Katong Regency, a 244-unit apartment project located on top of One KM Mall by UOL Group. The freehold project is a redevelopment of the former Lion City Hotel and Hollywood Theatres on Tanjong Katong Road. The project was fully sold within a month of its April 2012 launch, with prices averaging $1,600 psf then. Expectations are that Park Place Residences is likely to be priced from $1,500 psf.

“As Park Place Residences at Paya Lebar Quarter is one of the highly anticipated projects in the first half of 2017, sales should be encouraging,” says Tay Kah Poh, executive director and head of residential services of Knight Frank, one of the marketing agents for the project.

Seaside Residences — sea views

Seaside Residences in Siglap in the East Coast is expected to be launched only in April, but potential buyers have already started to register their interest. The 843-unit private condo is a joint development by Frasers Centrepoint, Keong Hong Holdings and Sekisui House.

The 99-year leasehold condo will comprise four 27-storey residential blocks, with units enjoying sea views. It will be located next to the upcoming Siglap MRT station on the Thomson- East Coast Line. Prices are reported to be in the range of $1,550 to $1,650 psf.

“Seaside Residences will be sought after owing to its sea views and proximity to the amenities in the East Coast area,” notes Ong Teck Hui, JLL national director of research.

What’s more, there has not been a sale of a government land site in the stretch fronting East Coast Parkway since 1997, when Cheung Kong Property Holdings purchased the 99-year leasehold site on Bayshore Road for the development of the 969-unit Costa del Sol, which was completed 13 years ago.

Headed towards stability

In 1Q2016, the new projects launched were relatively smaller in size, for instance, the 40-unit 183 Longhaus on Thomson Road by Tee Land, CapitaLand’s 268-unit Cairnhill Nine and BBR Holdings’ 216-unit The Wisteria in Yishun, notes JLL. The potential launches over the next few months are much larger in scale, and therefore, sales take-up in 1Q2017 spilling over into 2Q2017 is likely to surpass that of the previous year.

Last year saw 7,877 new private homes launched for sale. About 51% were fresh launches, compared with 75% the year before, observes JLL’s Ong. “A further reduction of the fresh launch pipeline would mean older launches releasing more units to meet demand,” he says.

Ong reckons the number of significant new launches in 2017 is likely to be 15% fewer than last year’s. However, with the improved residential outlook for 2017, transaction volume and prices heading towards stability, his expectation is that private new-home sales this year could be in the range of 8,000 to 8,800 units, which will surpass the 7,972 units clocked in 2016.

This article appeared in The Edge Property Pullout, Issue 766 (Feb 13, 2017) of The Edge Singapore

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