Hong Fok launches 360-unit residential property at Concourse
http://www.channelnewsasia.com/stori...374771/1/.html
Hong Fok launches 360-unit residential property at Concourse
By Ng Baoying, Channel NewsAsia | Posted: 09 September 2008 2004 hrs
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SINGAPORE: The 88 serviced apartments at the Concourse will be redeveloped into a 360-unit residential property. Developer Hong Fok Corporation said the 99-year leasehold units will be "priced to sell" in today's softer property market.
Ninety units of Concourse Skyline will be launched over the next few days in Singapore and Hong Kong. They will be sold at a price of between S$1,580 and S$1,800 psf – about S$1.3 million for a single bedroom unit.
Joseph Tan, executive director, Residential, CB Richard Ellis, said: "This year, in terms of a broad range of transactions, we still see transactions between S$1,500 and S$3,300 psf. So in a sense, we are a bit below that. That's why it's priced to sell."
Hong Fok said while the current serviced residences saw occupancy rates hover around 90 per cent, those units only used up about 60 per cent of the total space available. The remaining 40 per cent was wasted on corridor space.
The developer will tear down the current two towers and rebuild them with the same facade at an estimated S$200 million.
Hong Fok said construction costs are expected to soften by the time building works start in early 2009 and the development will be ready for accommodation by end-2012.
Concourse Skyline will offer a view of the Marina Bay Sand integrated resort and the Singapore Sports Hub.
Units at the 40-storey and 28-storey towers will be designed by top architect Philip Cox, and will include one- to four-bedroom apartments, sky suites, penthouses and super penthouses.
Hong Fok is positive on market sentiment and said it has already received enquiries on about 25 units.
Cheong Sim Eng, executive director, Hong Fok Corporation, said: "With the buyers on hand, we wouldn't want to wait. We have planned this more than two and a half years ago. With the F1 coming, we don't need to wait for a better time to launch."
Analysts from DTZ and CB Richard Ellis noted that three multi-billion-dollar projects – the Kallang Riverside, the Ophir-Rochor Corridor and Marina Bay – surround Concourse Skyline, putting it in good stead for capital appreciation and future rental potential.
- CNA/so
Hong Fok launches Concourse Skyline
http://www.businesstimes.com.sg/sub/...96242,00.html?
Published September 10, 2008
Hong Fok launches Concourse Skyline
Developer releasing 90 residential units in first phase
By EMILYN YAP
MAINBOARD-listed property developer Hong Fok Corporation yesterday launched the first phase of a new residential development on Beach Road - the Concourse Skyline.
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Clearly prized: The site is at the heart of major attractions such as the upcoming Marina Bay IR
Comprising two towers and a podium complex, the 99-year leasehold development will house 360 units when completed in 2013. Units consist of one to four-bedroom apartments and penthouses, with one-bedroom apartments making up some 40 per cent.
Hong Fok is releasing 90 units in the first phase, and average sale prices could range from $1,500 to $1,800 per sq ft (psf) for the apartments. One-bedroom units, for instance, can go up to 893 sq ft. None of the development's 10 penthouses will be released for now.
The Concourse Skyline is 'priced to sell', said Hong Fok's director SE Cheong, adding that prices would have been higher had the units been sold when the property market was stronger not long ago. He estimated that the first phase could be sold out in a month.
DTZ and CB Richard Ellis are marketing the property and according to DTZ's executive director of research Ong Choon Fah at a media briefing yesterday, 'this project has generated a lot of interest from investors as well as potential owner-occupiers'. Besides Singapore, potential Hong Kong buyers will also get a preview.
One of the Concourse Skyline's selling points is its location. Some units offer sweeping waterfront views, and the site is at the heart of major attractions such as the upcoming Marina Bay integrated resort and Gardens by the Bay.
'We are confident of the location,' said CBRE executive director of residential services Joseph Tan, explaining why the launch went ahead in today's quieter property market.
'We believe there is strong underlying demand in the Singapore market for appropriately priced and unique developments,' Hong Fok's Mr Cheong said.
Depending on take-up for the first phase, Hong Fok could release another 30 units in the next phase.
Mr Cheong said that he would be comfortable holding back remaining units for later launches once around 120 units are sold.
Hong Fok also announced yesterday that it is developing a 68-unit serviced apartment project at the Mid-Levels in Hong Kong through its subsidiary, Winfoong International.
The project is slated for completion in early 2010.
Hong Fok shares closed half a cent higher at 50.5 cents yesterday.
