Jan 20, 2010

Urban Suites selling well despite price hike

Indonesians make up bulk of the buyers of CapitaLand's project

By Harsha Jethnani

PHASE 2 of CapitaLand's Urban Suites' launch has attracted keen interest from buyers who have snapped up units despite a hike in prices.

The 50 units released in Jakarta, Indonesia, last week were all sold out, while at home an additional 16 sales have been clinched since Phase 1 of the project's launch closed in early January.

The popularity of the development was undiminished by an increase in prices - from between $2,400 and $2,700 psf in Phase 1, to $2,500 and $2,800 psf in Phase 2 - for the units located in District 9 between Cairnhill, Hullet and Saunders roads.

The latest sales mean that 126 out of the 140 released units in the 165-unit condominium have been sold. The 26 two-bedroom apartments are now completely sold out.

Two of five available penthouses are off the market, with the remaining ones expected to fetch a quantum price of about $9 million. The penthouses range from 3,378 sq ft to 4,715 sq ft and are equipped with private pools.

Though no exact figures were provided, the company said only a few three- and four-bedroom apartments remained to be sold.

CapitaLand will preview the remaining units - by invitation only - to buyers tomorrow. Unlike Phase 1, when only multiple purchases were allowed, units will be open to single-unit purchasers. The 1 per cent discount offered to multiple-unit buyers in Phases 1 and 2 will continue.

Another upward revision in prices is a possibility, according to CapitaLand Residential Singapore chief executive officer Patricia Chia.

The development has attracted a high level of interest from foreigners, with 70 per cent of units bought by those overseas. And most of them were Indonesian, CapitaLand said.

'Indonesians have a preference for freehold if given a choice. This is one of the very rare freeholds on Orchard Road,' said Ms Chia.

The stronger market is set to lead to more high-end project launches from CapitaLand this year.

Urban Resorts - neighbouring Urban Suites and previously Silver Towers - consists of 64 three- and four-bedroom units. Unit sizes are larger than those at Urban Suites, starting at 2,000 sq ft for a three-bedder.

Ms Chia added: 'Everybody expects 2010 to be the return of the high and luxury-end residential market. I think at the right opportunity, we will launch.'

Showflats for units at CapitaLand's Interlace in Alexandra/Depot Road are likely to be ready for viewing after the opening of the Sentosa integrated resort, Ms Chia said.

Details of the company's future launches at Farrer Park and Nassim Hill have not been disclosed.

[email protected]