Projects that are set to premiere in 2023

December 23, 2022

The first 11 months of 2022 saw 6,981 new homes sold, based on URA data as of Dec 15. Most consultants are projecting new home sales to end the year in the range of 7,250 to 7,500 units. “It’s at the lower end of our forecast of 7,500 to 8,000 units sold for 2022,” says Ismail Gafoor, CEO of PropNex.

Compared to the 13,027 new homes sold in 2021, it represents a 42% to 44% y-o-y contraction in private home sales volume.

The tally of new launches in 2022 is 17 private residential projects and three executive condos (ECs). New private residential units (excluding ECs) launched totalled between 4,500 and 5,000 units — which is the lowest since June 2007 when URA began publishing developers’ monthly sales data, says Lee Sze Teck, senior director of research, Huttons Asia. It is also 53% below the 10,496 units launched across 25 new projects in 2021, Lee adds.

Despite the low number of new projects launched in 2022, “buyers had the benefit of selecting units from unsold inventory carried over from 2021”, says Gafoor. “Most unsold stock was from older projects priced more affordably than 2022’s launches.” For instance, the 1,862-unit Normanton Park was sold out as of July 2022 at a median price of $1,865 psf — lower than the median price of more than $2,100 psf that recent Outside Central Region (OCR) project launches achieved this year, such as Amo Residences, Sky Eden@Bedok and Lentor Modern.



Unsold stock in the market is estimated to be between 15,500 and 16,500 in 2022. “It is far below the 10-year average of 27,000 unsold units, further adding upward pressure on prices,” says Huttons’ Lee.

Consequently, Huttons is projecting private home prices to rise 10% for the full year in 2022, on a par with the 10.6% y-o-y surge in 2021.

PropNex is projecting that overall private home prices will see a 9%–10% growth in 2022, with a more moderate 5%–6% rise in 2023. JLL’s forecasts are a little lower at an 8%–9% increase in 2022 and a 2%–4% in 2023. ERA’s projection is for a 10%–12% price upside in 2022, followed by a more tempered 5%–6% in 2023.



Ready for take-off

With the year drawing to a close, developers are fine-tuning their new projects in the pipeline for launch in 2023. Most consultants and agents are betting on Sceneca Residence being the sole project to kick off before Chinese New Year.

The 268-unit Sceneca Residence sits on top of a 21,528 sq ft retail podium with 19 shop units. The entire project will be linked to the Tanah Merah MRT Station on the East-West Line. The project is jointly developed by Chinese developer MCC Land, Malaysian developer Ekovest Development and Singapore-listed Chinese investment group The Place Holdings in a 51:29:20 split.

EL Development’s 275-unit Blossoms by the Park at Slims Barracks Rise in one-north, and Sim Lian Group’s 368-unit The Botany At Dairy Farm, are likely to be the next to hit the runway, ready for take-off after Chinese New Year.

The Botany At Dairy Farm is adjacent to the 460-unit Dairy Farm Residences by developer United Engineers. Launched in November 2019, the project was fully sold as of January 2022.

More at: https://www.edgeprop.sg/property-new...-premiere-2023