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Yo Yo Yo .... does anyone know about this development "Highland Centre" ?
What's the true market value at this moment ?
What are the different between a mix development and purely Apartment or Condo development?
What's the potential of this building apartment?
Worth buying ?
Thank you ..... :)
might have potential for en-bloc, as ard that area there are 3 new condo coming up.
1) stadia ..... almost TOP
2) wembly residence .... just launch at avg 900+psf
3) lauching soon by fraser centerpoint
i think this area is slowing blooming .... more condos will be build there as it is quite close to the mew serangoon mega mall and mrt.
Anyone know what's the plot ratio around that area? Notice that most of the building there are very short (max 5 floor) even the new condo build there are very low. Don't know whether there might have potential for en-bloc.
Cheers
Recently show an advertisement. There is a unit for Sale in Highland Centre asking for 800k with an area of 1765sqft ........ seems attractive ... need an advice from the pro, if I have 2 choice, Highland Centre and Rio Vista which is along D19 .... which should I buy ?
Cheers
Hi,
Can anyone advice us about Highland Centre. We are interested in buying that area.
Cheers
:D
icyhand: There is an adv. on this property. Here's the link. :)
http://cgi.ebay.com.sg/ws/eBayISAPI....STRK:MESELX:IT
Happy Hunting .....
Total Results: 2
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Date PostedAsking PricePSFDistrictBuilt-up AreaBedroomsType
Asking
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Posted
Orga- nizer
PRIVATE Condo
$1,800k
($595psf)
Highland Centre
19
5.95
4
3025
07 Dec
Add
PRIVATE Apartment
$1,390k
($755psf)
Kovan Primera
19
5.92
4
1841
22 Nov
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1
Condo
$1,800k
Highland Centre
19
5.95
4
3024
07 Dec
Remove
Mr Ong Kheng Hwa: +65 98152391
Another listing on this property
Seems that price had moved quite fast with this old development .... from less than $300/sqft to $600/sqft :scared-1: (now owner asking) ..... those who bought early this year, must be laughing their way ....... :tongue3:
Compare to the new devoloper just next door (Average $850), price is still attractive as it is a freehold development.
Negative point: Maintance fees quite high, and no facilities ......
Advice Needed..... An Agent called yesterday, saying that he has 2 units at this project for sale.
1.Owner is asking at S$710/sqft......:doh: @1765sqft
2.Owner is asking S$1,850,000 for a 3025sqft unit.
Worth Buying ?
Last transaction price was $430/sqft. :scared-3: :banghead:
Thx
The units are definitely overpriced.
There are a few factors involved in the purchase of a residential unit in a mixed development such as Highland Centre:
a. maintenance fees are usually high especially for an older project like Highland Centre where wear and tear is already starting to manifest itself
b. share value for residential units is typically low as compared to those for the commercial units in the project
c. certain commercial types such as pubs and bars can drastically affect the perception of safety and security in the project
d. en-bloc potential is constrained by the fact that few developers are interested/experienced in the redevelopment of a mixed-use project
e. even in the unlikely event of an en-bloc sale taking place, residential units get much lesser returns than the commercial units due to the great disparity in share value
Max I would personally pay for a unit in such a development in Highland Centre vicinity is $500 psf and that's because of today's bubbly market. In bearish times, $400 psf is already considered high. Anything more is just stretching it.
Just my two cents view.
Quote:
Originally Posted by DuffyDuck
A mixed-use development has a commercial component and a residential component. The commercial component is limited to a maximum of 40% of the built-in area. The residential component is limited to a maximum of 60% of the total project built-in area. All units are strata-titled. Commercial units generally have higher share value as they contribute a larger percentage of the high maintenance required for commercial-centric common elements such as the central air-conditioning chillers, lifts, escalators, etc.
The distribution of share value can be as high as 90% for commercial and 10% for residential. This severely restricts the up-side for any residential units due to the big gap. Even a hybrid 50% SV 50% SA (strata-area) sharing in the event of en-bloc sale does not provide much for the residential units. This is one of the reasons residential units in a mixed-use development do not fetch high prices.
Quote:
Originally Posted by DuffyDuck
Recently there was a collective sale of the residential units in the neighbouring Kovan Centre (also a mixed-use development). This was made possible because of several interesting factors that are difficult to replicate in other projects:
a. the buyer Roxy-Pacific had just bought over the entire commercial space from Ho Bee who had owned all the units - it thus made sense for Roxy-Pacific to also acquire the residential units to have total and complete ownership of the building and the FH land that it sits on
b. Roxy-Pacific was looking to replenish its nearly depleted land bank (it has since acquired several pieces of land for development)
c. All the commercial units were owned by a single entity (compared to individual commercial unit owners in other projects which will complicate the collective sale process)
d. physical location of Kovan Centre is more attractive as it sits distinctly apart from other buildings (compared to most other mixed-use developments which are positioned in a terrace-like fashion amongst other buildings)
e. property market was going through a bullish phase (it's weakening now as evidenced by the reduced number of uncompleted properties sales last month and this month)
f. few other developers are interested/experienced in redeveloping a mixed-use development i.e. very small pool of would-be developer-buyers left in the market
In view of the above, it would be technically more difficult to pull off an en-bloc successfully of any other mixed-use development in the vicinity. Would-be buyers of residential units in mixed-use developments such as Highland Centre need to factor this into the price that they would pay to avoid overpaying on the hyped-up promise of en-bloc potential.
Just my two cents view.
Quote:
Originally Posted by kitkat
The plot ratio for the mixed-use developments in that area is 3.0.Quote:
Originally Posted by DuffyDuck
The buildings are low-rise because of technical height restrictions by URA. This is likely due to the proximity to the Paya Lebar airbase (flight-path).
Samsara:
The reason for us to consider the area because my parent would like to stay somewhere near to my brother who is currently staying at Sengkang Area. Beside that, the size of the unit are quiet big compare to where we are staying now which we are planning to sell away. (Fortune Jade @ Dunman Road)
Will be going down to see both units this coming weekend.
Thank you for your Advice. So anything above $650 is over priced?
If your primary consideration is proximity to your brother's place, there are many other projects in Hougang or even Sengkang that can give you even better pricing at less than $600 psf e.g. Park Green, Evergreen Park, The Florida or Rio Vista. You will not only get a better view since these are high-rise but also access to facilities within the projects themselves. These are 99-year leasehold though so if your mind is set on FH then they are not suitable.
The bottomline is, if you are thinking of getting a Highland Centre unit because of the "en-bloc potential" and are going to pay more than $500psf for it, I think you will find it hard to break-even later on.
Just my two cents view.
Quote:
Originally Posted by DuffyDuck
Samsara: we had been to the Condominium that you mention.
Rio Vista: $625/sqft
Evergreen : $525/sqft
The Florida: $575-600/sqft
Rio Vista is among the best Condominium in that area. But price has been moving up from 685k for a 1249sqft to recently sold 780k for the same size unit.
Evergreen, the poorest among the 3 projects, don't like it.
The Florida project is not as good as Rio Vista. Price moved case of next door Rio Vista.
Beside that all these projects are 99 leasehold compare to freehold.
Price wise its 99 leasehold compare to freehold.
Seen other projects like Choon Kim House, Jansen area,Simon Plaza dll....
For pricewise, Highland seems a bargin.
We are not hoping for a en-block as we are planning to stay and long term investment.
Any other recommendation?
If you can stay in Highland Centre, I believe you can stay in any of the three. In terms of amenities and "condo" feel, these three will beat HC hands-down anytime. The only drawback is the 99-year LH tag. In any case, asking prices of properties across the board are crazy today. If you are not in a hurry, I think a large correction is due soon. As Warren Buffett has often said, "when people are greedy, be fearful. Be greedy when others are fearful". Today, we are seeing lots of greed on the streets. It is inevitable.
I would disagree that paying $600+psf for Highland Centre is a bargain. $400+psf to $500 psf perhaps but not $600+psf.
Even the asking price of Simon Plaza unit has gone through the roof. It's madness.
Quote:
Originally Posted by DuffyDuck
Samsara: Thank you for your reply. In this case we will look around 1st and sell our property at Dunman Road.
Cheers
Minor correction: Florida is EC (if this is relevant for your comparison)Quote:
Originally Posted by DuffyDuck
So Highland is FH which you prefer?
To be near Sengkang, maybe can consider this one though must add that it's LH so not something you really like. However, don't rule it out yet ... other factors to consider: convenience, developer, full facilities ... etc.
http://www.propertyguru.com.sg/proje...ompass-heights
Samsara: How about the project at Bedok area, Eastwood Centre? Same theory as Highland Centre :beats-me-man:
Eastwood Centre is 99-year leasehold + mixed-use development - double whammy.
Quote:
Originally Posted by DuffyDuck
Went to see 2 units @ this project. First unit was in the afternoon, as the unit was vacant, the other unit, bigger unit went there is the evening as it is owner occupied.
Positive:
-Spacious units, big rooms, hall etc. This cant be found in new projects except if you are buying a penthouse.
-Quiet as there are only 14 units in total.
-Plently of carpark space.
-Near to MRT, Bus Stop, food stall , stadium, super market and its only 2 bus stops away from MEX, Seranggon Central.
Negative:
-No facilities.
-2 lift serving both the residential and commercial (Swipe key needed to access to the residential units which is on the 3rd and 4th floor)
-Maintance is a bit on the highside. $300 per month :doh:
-There is a PUB on the 1st floor (Wondering it is own or rent)
We like the bigger unit of 3025sqft, spacious as what I had mention, but at the price tag of $1,850,000 wasn't really comfortable to go ahead and make any offer.
Will check with the bank for the valuation of this particular unit today.
Cheers
Thanks for sharing.
Please don't get me wrong. Staying in a mixed-use development has its plus points e.g. convenience especially if the project has commercial elements which provide products and services that we require in our daily living e.g. supermarket.
However, there are many caveats which the potential buyer should take into account especially when the asking psf is elevated due to recent transactional activities in the area. One of the most important questions would be: "is the increased value real or just due to the market bubble?". Don't be caught holding the hot potato/baby when the music stops.
As the mixed-use project grows older, the cost of individual maintenance/sinking fund contributions will go up significantly due to the small number of units, especially if there are major components which fail before their projected lifespan e.g. lift motor mechanisms, building air-con compressors/chillers.
Just for comparison, $1.85m can probably get you a nicely done-up FH corner terrace with at least 4 bedrooms and good-size porch at areas such as Serangoon Gardens or Tai Keng, and probably with about 2k+ sf of area.
Quote:
Originally Posted by DuffyDuck
Samsara: Relax , we are just sharing option.... we never buy a mix development before therefore it is a great input for us.
We are not local, therefore we aren't able to buy terrance house :mad:
Just offering another opinion. First consideration is Location, Location and Location. In today's market, FH (except landed properties) or 99 yr LH has less impact if location is good e.g near MRT, amenities, schools etc. Chances are the value of the condo will not drop much. It may even increase as the MRT system becomes more developed.
Chances of selling enbloc will be much higher in the future. URA has a policy of redeveloping older developments so that they do not degenerate into ghettos.
Afterall, more than 80% of residents live in HDB flats and 99 yr LH condos anyway.
Just compare FH Seletaris (with due respect to the residents) and any LH condo in a good location and you know what I mean.
If you restrict your choices to just FH Apts, then the options will be limited.
Many LH Condo or HUDC owners have reaped huge gains recently due to enbloc sales as their developments are in good locations. No reason why that should not continue to happen in the future as land is scarce and developers need to replenish their land bank.
Private Apartment in this area has been climbing slowly.
PRIVATE Apartment
$960k
($642psf)
Foh Pin Mansion, #04 BELOW
19
6.01
4
1496
16 Dec
Add
Recent Official Transactions
Total Results: 4
Sort by:
Contract DatePriceAreaPSFAddress
Tenure
PSF
Area Sqft
Price
Contract Date
22 Yio Chu Kang Road #04-01
Freehold
$432
1765
$762k
20 Nov 09
22 Yio Chu Kang Road #03-02
Freehold
$408
2250
$918k
10 Jul 09
22 Yio Chu Kang Road #03-04
Freehold
$382
2250
$860k
22 Jun 09
22 Yio Chu Kang Road #03-08
Freehold
$396
1163
$460k
11 Feb 09
Are we going to see above $1000/sqft in this area soon :spliff: :tongue3:
Quite unlikely as it's quite a big gap between $400+ psf and $1000 psf. Asking prices are high because of unrealistic expectations on the part of sellers. This is the primary reason for the vast decline in number of sale transactions overall - mismatch between seller and buyer expectations.
Quote:
Originally Posted by brownberry
Finally, we are getting the key of the unit on the eve of Chinese New Year .....:ashamed1: