Over 5,000 new private residential units set to be launched in H1 2023
Dec 29, 2022
AT least 10 private residential projects offering over 5,000 housing units are slated to be launched in the first six months of 2023, with some five developments expected to come to market in the first quarter.
Five projects said to be lined up for a Q1 launch will yield around 1,800 units – about 40 per cent of the number of units launched in the eleven months between January and November 2022, when Urban Redevelopment Authority (URA) data showed that developers launched 4,592 new units, excluding executive condos.
First to market will be Sceneca Residence, while
The Botany at Dairy Farm, Terra Hill, Blossoms by the Park and Lentor Hills Residences are also expected to be launched within the first three months of the year.
Half of the new supply to be launched for sale in the first half of 2023 will sit in city fringe locations, and several will be major projects that should be “well-received in the market”, said Huttons senior research director Lee Sze Teck.
These include three large mixed commercial and residential developments within Singapore’s Core Central Region (CCR): The massive 748-unit Marina View Residences condo on the Marina View Government Land Sales (GLS) site, developed by IOI Properties; City Developments Limited : C09 -1.7%’s (CDL) 246-unit Newport Residences at Anson Road; and the 215-unit project at the former AXA Tower site on 8 Shenton Way, developed by a Perennial Holdings-led consortium.
The last mixed-use development launched in the area is
One Bernam at Tanjong Pagar, which comprises a 351-unit condominium. It pulled in an average selling price of S$2,650 per square foot (psf) when launched in May 2021.
Data from URA Realis also showed that new sales in the area fetched a median price tag of S$2,841 psf in the past few months. Meanwhile, resale prices for private homes in the area ranged from S$913 to S$5,695 psf.
First out in the first quarter is Sceneca Residence, a 268-unit project at Tanah Merah Kechil Link being built by MCC Singapore, local investment group The Place Holdings and Malaysian property developer Ekovest Development. The mixed-use development will be sold at indicative prices ranging from S$1,996 to S$2,069 psf, depending on the room type. One-bedroom units are priced from S$958,000, two-bedroom units from S$1.3 million, three-bedroom units from S$1.8 million, and four-bedroom units from S$3 million.
Other upcoming projects slated for a Q1 launch include the 598-unit
Lentor Hills Residences at Lentor Hills Road, developed by Hong Leong Holdings, GuocoLand and TID; and Sim Lian Group’s The Botany at Dairy Farm, a 385-unit condo at Dairy Farm Walk.
Based on statistics from URA Realis, the median price for new private homes in the Lentor area was S$2,107 psf, and ranged from S$1,586 to S$1,621 psf in the Dairy Farm area.
Lentor Hills Residence will be GuocoLand’s second launch in the area, coming on the heels of its Lentor Modern project.
Lentor Modern, an integrated mixed-use development, sold 508 out of 605 units at a median price of S$2,106 psf over its launch weekend in September 2022, making it the year’s best-selling condo with a take-up rate of 84 per cent at launch.
Half of the new launches expected in the first six months of the year can be found in the city fringe, or Rest of Central Region (RCR) — three being located in District 5 (Pasir Panjang and Buona Vista) and two in District 15 (Joo Chiat and Tanjong Katong).
In District 5, homebuyers can expect to see the launch of the 270-unit Terra Hill condo at Yew Siang Road, developed by Hoi Hup Realty and Sunway Development on the site of the former Flynn Park condo that was sold en bloc for S$371 million in September 2021. Another two projects coming up in the same district are EL Development’s 275-unit
Blossoms by the Park and Kingsford Group’s 142-unit The Hill@One-North at Slim Barracks Rise.
As for District 15 in the east, there will be CDL’s 638-unit Tembusu Grand condo at the Jalan Tembusu GLS site and The Continuum, a 807-unit freehold condo developed by Hoi Hup Realty and Sunway Development.
PropNex Realty predicts that such launches in the RCR will lead the market with new average benchmark prices, mainly due to the higher land cost to acquire these sites at the recent state tenders.
CDL, for instance, had secured the GLS land parcel at Jalan Tembusu in January 2022 with a S$768 million bid. Based on the site’s maximum permissible gross floor area of 589,744 square feet (sq ft), this translates to about S$1,302 psf per plot ratio.
The real estate firm also expects prices of private suburban homes – or homes in the OCR – to remain firm, rising marginally from 2022 prices as overall supply climbs.
Altogether, ERA Realty expects around 30 new projects to be launched in 2023, compared to the 21 project launches in 2022.
Major launches in 2022 met with strong demand after an initial slow period in the first few months of the year as would-be buyers took stock of market cooling measures introduced in December 2021. After GuocoLand’s Lentor Modern, UOL’s
Amo Residence was the next best-selling project of the year, moving 366 units at a median price of S$2,110 psf, followed by CDL and MCL Land’s Piccadilly Grand, which sold 344 units at a median price of S$2,168 psf.
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Originally Posted by reporter2
