Tag Archives: URA

suburban condominiums marching above $1,200 per sq ft

Land For SaleDespite several rounds of cooling measures, land prices have continued to rise resulting in most suburban condominiums exceeding the $1,200 per sq ft (psf) price threshold.

Most suburban residential sites under the Government Land Sales programme that have not been officially launched are expected to go beyond the $1,200 psf price tag. 2 of which have already been marketed

The site at Sengkang West Way is the only site that is expected to launch close to $1,000 psf. On the opposite end, the most expensive launches are scheduled to launch at New Upper Changi RoadYishun Ring Road and Ang Mo Kio Avenue 2, all of which are expected to cost more than $1,400 psf. These developments are in sync with the trend of recent suburban launches that hit above the $1,200 psf on average, some of which include the J Gateway in Jurong which launched at a median price of $1,486 psf and Urban Vista that was launched at a median price of $1,503 psf. Location Plan for Land Parcel at Ang Mo Kio Avenue 2

Analysts predict that the market is able to withstand a threshold of $1,500 psf if total prices remain relatively affordable. Tightening credit may dampen sales volumes in the medium-term, but suburban condominium prices should remain at an affordable price of up to $1.5 million.

Research experts say that prices are increasing because developers are building smaller units with higher psf prices and the demand for suburban condos come mostly from buyers upgrading from their Housing Board flats.

The increase in suburban condo prices alternatively boost the popularity of executive condos (ECs), making them significantly more affordable than suburban condos, but this may not be for long as even EC prices are set to go beyond $800 psf soon.

 

Source – iProperty.com, URA

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Record price for Executive Condominium (EC) site in Jurong

An executive condominium (EC) site in Yuan Ching Road/Tao Ching Road opposite Jurong Country Club has attracted a top bid of S$418.53 per square foot per plot ratio (psf ppr), a new record high for an EC site. The site, which can yield about 610 homes, also received a total of 16 bids. the top bidder was a consortium comprising Evia Real Estate (5), BBR Development, CNH Investment and OKP Land. The buzz in the location, following strong sales at J Gateway condo last month, also contributed to the strong demand for the EC plot. Thanks to URA’s Jurong lake district master plan

Jurong Lake District1

Jurong Lake District1

Its $418.53 psf ppr bid suppressed  the previous EC land record of $392 psf ppr set for a plot in Tampines Central 7 in 2011 that is now being developed into The Trilliant. Past transaction shows that units at The Trilliant is sold at around $850 psf range.

The breakeven is estimated to be in the region of S$700-$750 psf, which translates to a selling price of about S$900 psf. This could set a all time high record for the EC market.

EC SITE JURONG YUAN CHING

EC SITE JURONG YUAN CHING

YUAN CHING ROAD / TAO CHING ROAD (EC)

LAND ATTRIBUTES
STATUS TENDER CLOSED ON 30 JUL 2013
SITE USE EC
SITE AREA (SQM) 20,213.1
SITE GFA (SQM) 60,639.3
HIGHEST BID ($M) 272.8
HIGHEST BID ($PSF) 418.0
NUMBER OF BIDS 16
DEVELOPER’S BREAKEVEN ( Estimated )
LAND ($M) 272.8
CONSTRUCTION ($M) 130.5
LAND FINANCING ($M) 19.1
PROFESSIONAL / LEGAL / TAXES ($M) 32.0
MARKETING / OTHERS ($M) 5.5
EST. TOTAL COST ($M) 459.9
EST. BREAKEVEN ($PSF PPR) 705

 

Source – Straits Time, HDB, Propertyguru, Squarefoot Research, URA

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