Property launches here see sustained interest

http://www.businesstimes.com.sg/sub/...44572,00.html?

Published August 4, 2009

Property launches here see sustained interest


(SINGAPORE) Property launches again attracted strong interest at the weekend - days after the government warned buyers against over-committing themselves.

'Our ground checks last weekend revealed that buyers continued to throng showflats,' DMG & Partners Securities analyst Brandon Lee said in a note yesterday.

TID - a joint venture between Hong Leong Group and Japan-listed developer Mitsui Fudosan - has sold all 297 units at Optima@Tanah Merah since the public preview began on Thursday last week. Buyers include HDB flat owners and private property owners, who took up the units at an average price of about $810 per sq ft.

In response to the huge turnout at the showflat, TID held two rounds of balloting for apartments at the 99-year leasehold project. Some 600 ballots were cast.

The 'showflat was filled to the brim, with over 200 people at any one point, and insufficient agents to tend to all visitors', Mr Lee said in his note.

Far East Organization reported good sales for Centro Residences at Ang Mo Kio. About 65 per cent - or 93 of 144 units released in the first phase - have been sold at prices from $1,100 psf.

According to the group's executive director and property sales chief operating officer Chia Boon Kuah, most buyers took up units for their own occupation or as investments for their children. Half of them are HDB upgraders, while the other half are private housing owners.

Seeing potential for property values in the Ang Mo Kio area to rise, Far East plans to market the 329-unit Centro Residences in phases until it obtains its temporary occupation permit (TOP). Phase two sales will begin next year and phase three the year after next. 'We are confident that Centro Residences will be fully sold before TOP,' Mr Chia said.

National Development Minister Mah Bow Tan said last Wednesday that signs of speculation are re-emerging in the property market. The government is watching the situation closely, he stressed. Industry views are mixed as to whether his comments will cool buying sentiment.

http://www.straitstimes.com/Money/St...ry_411987.html

August 4, 2009 Tuesday

Sold out in 3 days

297-unit Optima homes sold for around $810 psf; other launches also see strong demand

By Joyce Teo, Property Correspondent


SINGAPORE may still be mired in recession, but tell that to the home hunters who are flocking to the latest launches.

In the east, a new 297-unit condominium development on the doorstep of Tanah Merah MRT station completely sold out in the three days that followed its preview last Thursday.

Units at Optima went for an average price of around $810 per sq ft, or from $470,000 to $2.06million per unit.

Demand remained strong even after developer TID - a joint venture between Hong Leong Group and Mitsui Fudosan - raised prices by 5per cent, from $790 psf on Thursday to $830 psf by Friday.

Keen buyers were already seen queueing days before the launch of the 99-year leasehold condominium.

And TID had to conduct a ballot of 120 units for 300 buyers just before midnight on Thursday to prevent them having to camp out overnight for the public launch the next day.

Buyers were a good mix of HDB upgraders and investors, said the Hong Leong Group spokesman.

City Developments has now put on fast track the launch of its 396-unit project at the former Hong Leong Garden condominium site.

Over in Ang Mo Kio, another new suburban launch has attracted relatively strong demand, though some price resistance may have settled in over the weekend.

The 329-unit Centro Residences has sold 93 out of the 144 units that were released for sale last week.

Most of the units sold were two- to three-bedders. The smallest two-bedders have been sold, leaving those from 872sqft and above, and priced from $1million.

Far East Organization said yesterday that 50per cent of the buyers are HDB upgraders from nearby towns, while the rest are residents from private estates.

Prices at the 99-year leasehold condominium started from $1,100 psf - a price level more typical of city-fringe or prime projects, property watchers observed.

'Such prices can get you a freehold condo in Upper Bukit Timah,' said Mr Nicholas Mak, a former property consultant. 'Buyers should be a bit more rational. Demand at such price levels shows that some buyers may be getting carried away by the current euphoria.

'If they are hoping for capital appreciation, they must ask themselves who is going to buy from them at an even higher price when a three-bedroom unit in a suburban project is usually priced less than $1,000 psf,' he added.

Elsewhere, some other fairly new launches continued to attract buyers, but at a much slower pace.

Waterfront Key in Bedok Reservoir sold another eight units at an average price of $735 psf, bringing total sales to 193 out of 278 released units.

At the 329-unit The Gale in Flora Road, sales remained around the 90per cent level cited late last week.

[email protected]