Condo-style flats popular; private homes see encouraging sales

THOUSANDS of people flocked to check out some of the new housing developments on sale over the weekend, scenes more reminiscent of a boom, not a recession.

As one industry watcher told The Straits Times: ‘The mass market is still moving. If you price it correctly and reasonably, people will still buy.’

The hottest ticket in town was clearly the Parc Lumiere project, which drew an astonishing 6,500 visitors over the weekend.

Buyers had begun queueing last Friday before its viewing period started on Saturday, with 829 people eventually in the line for flats in the estate, which is being developed under the Design, Build and Sell Scheme (DBSS).

There was no balloting for the project: Just turn up and book.

Developer Sim Lian Group said it has already sold 306 units out of a total of 360. All the four-room flats, priced between $378,000 and $425,000, have been sold.

Only the low-floor five-room flats are left. The five-roomers are priced from $462,000 to $575,000.
‘After going through Premiere @ Tampines, we thought we would try another way of selling. When you do it by ballot, a lot of people just try for fun. A lot who were keen didn’t get the chance to book,’ said Sim Lian executive director Diana Kuik.

But some potential buyers felt the walk-in selection sale method, essentially a first-come, first-served sale, was inconvenient. One said the sale came at too short a notice for him to take leave to queue. A parent said her son had been waiting for the project but was travelling in Europe.

Sim Lian said it has had feedback from happy buyers, including a pair of siblings happy to get a unit next to each other.

The second DBSS project, The Peak @ Toa Payoh, also had a busy weekend with 1,711 applications lodged as of 6pm yesterday for the 1,203 units.

This project by developer Hoi Hup Sunway is being sold by ballot, with applications open until next Tuesday.

About 22,500 people had visited the showflat from last Wednesday until it closed yesterday, said Ms Kellie Liew, executive director of projects at HSR Property Group, the marketing agent for The Peak. More than half of the applicants are interested in the five-room flats, with about 30 per cent looking at the four-roomers, she said.

In the private home market, the freehold The Arte in Jalan Datoh attracted about 1,000 people over the weekend, said developer City Developments (CDL).

The average price at the 336-unit project – which boasts relatively large flats – is $880 psf, with most units going for under $2 million each.

CDL said it sold another 20 units over the weekend for $30 million, bringing total sales to 170.
‘The sales volume indicates that buyers have greater confidence in the property market and in the future of their investment,’ said CDL group general manager Chia Ngiang Hong.

‘This reinforces CDL’s view that the current market is now attracting savvy but cautious investors.’
A large number of buyers have private home addresses, he said, with many saying they want to invest in another property or to move into a ‘new and upscale residence’. CDL said it has extended the interest absorption scheme to these buyers.

Two other large projects that were launched last month also saw encouraging sales.

A further 22 apartments were sold at the 457-unit Mi Casa condominium in Choa Chu Kang in the past week, bringing total sales to 202 units. Prices hovered around $635 psf.

More than half of the 646 units at Double Bay Residences in Simei have been sold. This was the best-selling project last month, with 264 units being bought.

About 60 per cent of the 68-unit Verdure in Holland Roadhas also been sold since its preview more than a week ago.

Source: Straits Times, 21 April 2009

Developer says it may open bookings today if queue grows longer

HUNDREDS of potential buyers queued overnight at the Parc Lumiere site in Simei hoping to secure one of the new condo-like apartments that are not due to go on sale until next Tuesday.

An estimated 200 people had joined the line by 5pm, hoping to land a unit in the latest project developed under the Design, Build and Sell Scheme (DBSS).

Buyers do not have to chance a ballot like in usual DBSS developments but can book a unit on the spot. The average selling price at the Parc Lumiere is $425 per sq ft.

Two tents sheltering rows of chairs have been set up outside the project’s show flat – one for those interested in ‘booking’ a flat and one for those who want a viewing.

The booking tent was teeming with interested buyers yesterday.

Developer Sim Lian Group, which brought in extra cooling units and gave those queuing free lunches, planned to start bookings on Tuesday but may end up opening bookings today if the queue lengthens.

‘I’m overwhelmed,’ said Sim Lian executive director Diana Kuik. ‘We didn’t expect them to come on Friday before seeing the show flat.’

The walk-in-selection process – a first for new flats in recent years – involves a basic pre-screening process while certain conditions must be met before buyers can book a unit.

They must then pay a deposit of 5 per cent of the purchase price. The final confirmation of a buyer’s eligibility will be determined by the HDB.

Flats will be booked on a first-come first-served basis, which is why potential buyers like Ms Florence Lim turned up at 8am yesterday.

The assistant sales manager, who is in her 40s, took leave to queue and was intending to stay overnight, taking turns with her husband and son. She was first in line and hopes to get a five-room flat.

‘I’ve aimed here for a long time, ever since I applied for The Premiere (at Tampines) but was unsuccessful,’ she said.

Ms Queena Tan, 30, who works in advertising, said she preferred a new DBSS unit to a resale HDB flat, adding: ‘I like this area as it’s rather peaceful and accessible.’

Ms Tan and her fiance will take turns to queue and they plan to stay in line until the booking period begins, even if it is not brought forward to today from next Tuesday.

‘With the upcoming university and the development of Changi Business Park, we expect increases in the prices of houses in this area. That’s why we feel it is a good investment,’ she added.

Some in the queue jumped at the chance to buy a flat that did not require too much extra work.

‘We want the balcony and the fittings, and it’s in move-in condition so we don’t need to fork out extra to renovate,’ said bank executive Cheong C. H., 30.

Ms Kuik of Sim Lian believes the small number of units available – 240 five-roomers and 120 four-room units – ‘maybe makes some buyers anxious’.

‘There could also be some pent-up demand as there have been no new HDB flats in Simei and Tampines for the past 12 years, with the exception of The Premiere @ Tampines,’ she said.

Knight Frank director of research and consultancy Nicholas Mak said the strong response ‘is another indication that the buying interest in the mass market is still quite buoyant’.

He added that the purchasing power of some first-time buyers may limit the take-up rate of the four- and five-room flats.

‘It’s going to be interesting, seeing as there are no three-room flats. Four-room flats will probably sell quite well but five-room flats may need some demand from HDB upgraders.’

The four-roomers at 1,012 sq ft each are priced at between $378,000 and $425,000. Five-room flats range from 1,152 to 1,195 sq ft and are priced at between $462,000 and $575,000 each.

March sales of private homes revealed that HDB upgraders were the most active group of buyers. It may be that this group is also interested in DBSS projects, which offer condo-like fittings at what is perceived to be a slightly lower price.

Source: Straits Times, 18 April 2009

THE buzz continues at property launches on the island. City Developments said yesterday that it achieved about $190 million of sales from selling about 150 units at The Arte at Thomson since March 21.

The freehold project is priced at $880 psf on average. No premium is being being charged for an interest absorption scheme (IAS) that CDL has extended to buyers. The scheme means buyers pay just the initial 20 per cent to CDL and defer paying the bulk of their purchase price until The Arte is completed. However, buyers have to take up a housing loan at the point of purchase.

CDL has released 180 of the total 336 units in the project, which comprises two 36-storey high towers.

The majority of The Arte’s buyers have private home addresses. Most of the units are going for under $2 million.

Over at Holland Road, Bukit Sembawang is releasing more units at its freehold Verdure from today. It has sold 14 of the 34 apartments in the five-storey project released last weekend. Verdure comprises 69 apartments, with an average price of about $1,350 psf, and six strata semi-detached homes, which cost about $4.8 million on average.

Bukit Sembawang had previously offered an IAS without charging any premium, but from today, buyers will have to pay 2 per cent more to benefit from the IAS.

Over at Tembeling Road in the Katong area, Alpha Land International is offering a small development with a total of 12 apartments. Prices in the five-storey freehold project, which is expected to be completed towards the end of this year or early next year, range from $663,840 (for an 818 sq ft two-bedroom unit) to $1.64 million (for a 2,379 sq ft four-bedder penthouse).

Alpha Land is offering an early bird discount in the form of renovation packages ranging from $10,000 to $25,000, depending on the size of the units. Tembeling Court is being marketed by Texan Associates.

Sim Lian Group will also launch its 360-unit HDB project Parc Lumiere tomorrow. Offered under HDB’s design, build and sell scheme, units in the Simei development have an average selling price of $425 psf. Parc Lumiere has four and five-room flats, with four-room flats selling for $378,000-$425,000 and five-room flats going for $462,000-$575,000. Source: Business Times, 17 April 2009

POTENTIAL buyers yesterday thronged the showroom for The Peak @ Toa Payoh, a new project built under the Design, Build and Sell Scheme (DBSS).

Four thousand five hundred viewers turned up at the showroom at yesterday’s launch, said Ms Kellie Liew, executive director of projects at HSR Property Group, the marketing agent for The Peak.
Source: Straits Times, 16 April 2009

Most were keen on four- to five-room flats, citing location and HDB grants as factors influencing their decision.

Ms Cerise Chiew, 24, a teacher, hopes to buy a five-room unit. ‘I can get a first-timer HDB grant. Toa Payoh is quite a good location and, if you want to sell in the future, you can get a higher price.’

Service crew member Sharon Ye, 26, was looking at four- and five-room units for her cousin. She said DBSS projects trumped private properties, as owning a private property meant losing out on many benefits, like Public Utilities Board bill rebates and town council subsidies.

Salesman Sam Tan, 38, was considering applying for a four-room flat to be near his mother. He is also eligible for a first-timer grant. He said he would pick a DBSS unit over one in a condominium since he would not use condo facilities, such as a swimming pool or a gym, but would still have to pay maintenance fees.

A few property hunters drew a comparison with Natura Loft, a DBSS project in Bishan, saying prices at The Peak were lower and the location more accessible. But some were not as convinced, including businessman Richard Lim, 37. ‘I’m not going to buy because the room size is very small. I can get a 99-year condo unit for about the same price but bigger.’

Interested buyers have until April 28 to apply for the 1,203 available units.

The Premiere@Tampines’ residents are giving the thumbs-up to HDB’s first condo-style flats

The view is to die for as you stand on the balcony of Mr Alan Teo’s new 17th-floor home, gusts of wind whipping your hair.

Off to the horizon is an unobstructed view of rolling hills and far-off HDB flats that look the size of matchboxes.

Glancing left and right, you take in the sleek lines of the building that houses Mr Teo’s flat. Its smart white paint is a contrast to the brick red of its HDB neighbours.

This scene is from the highest floor of The Premiere@Tampines, Singapore’s first condo-style public housing built by a private developer – in this case, Sim Lian Land.

Excited owners took their keys, and gained possession, to the development last month. Nearly all – about 95 per cent – of them did so, says Sim Lian, but the building is still more than half empty as some residents are still getting renovations done.

Life! toured the swanky building last week and met some of the first residents.

The building, on 2.1ha of land, is HDB living, luxury-style. It has features you cannot get in normal HDB flats, such as your own glass-panelled private balcony, built-in wardrobes, kitchen cabinets and parquet flooring in the bedrooms.

Launched in 2006, The Premiere is the Housing Board’s first privately developed flat under its Design, Build and Sell Scheme (DBSS). There were two-, four- and five-room flats on offer at prices from $138,000 to $450,000 at that time.

But unlike a condo, it does not have facilities such as a gym, tennis courts or a swimming pool.

The Teos got their five-room flat for $428,000 during the launch and count themselves lucky as the project was an instant hit, with 5,914 applications pouring in over just two weeks. Of that number, 1,232 were invited to book a unit after balloting was done, but 121 flats were still not taken up when the deadline expired.

Sim Lian then informed more than 4,000 remaining applicants that units would be released for walk-in selections and long queues formed.

Although his flat came with posh fittings, Mr Teo, 46, a director of a bio-tech firm, tells Life! that he spent $70,000 on a face-lift. This included giving the living room a modern look with ceiling mirrors and a wall with a ‘black diamond’ theme.

As he shows Life! around his flat, he recalls: ‘During the renovations, we had strangers walking into the unit and saying, ‘Oh, we just want to have a look’.’

He says they were probably would-be residents, contractors or curious outsiders. ‘I told them, sorry but this is my home. I can’t just let anyone in,’ he says with a chuckle.

The family of four had to vacate their previous Tampines flat on Jan 15 as the buyer wanted to move in before Chinese New Year. Since renovations for the new unit were not completed, they stayed at an NTUC chalet in Pasir Ris for 10 days.

Although they made it into their Premiere unit in time for Chinese New Year, they visited relatives instead because the home was not ready for guests. Mr Teo says: ‘We still had a stick in the living room propping up those mirrors on the ceiling.’

Happy dwellers
Other eager owners who have moved in include Mr Patrick Lim. The 42-year-old father of three settled his family into The Premiere on Jan 25, just a day before Chinese New Year. His five-room flat cost $407,000 and he spent $15,000 on minor installations and furniture.

Mr Lim, who is a businessman and has an office five minutes away, says the location is convenient, with everything – from malls to a supermarket to sports facilities – just a stone’s throw away.

He jokes: ‘When my friends ask me, ‘Does it come with a pool?’, I say yes, and open my window to show them our Olympic-sized swimming pool.’

He is referring to the public Tampines Swimming Complex just across the road.

Another satisfied resident is Mr Timothy Chao, 42, who works in the shipping business. He got his five-room flat on the fifth floor for $364,000.

The family of five consider their north-south facing unit ‘a good buy’, being away from the glare of the afternoon sun in the west.

‘I also like the fact that it’s quiet and peaceful on our side since we don’t face the central. We’ll enjoy it for now,’ says Mr Chao. His flat overlooks an empty field, which will be used for residential purposes in the future, say the authorities.

Announced by the Government in 2005, DBSS products were aimed at meeting the needs of buyers who could not afford private homes when the property market was rising.

Under the programme, developers are free to design and price the flats as long as they work within the rules of public housing. This means they have to sell the flats to families earning no more than $8,000 a month – the limit for households buying public housing. Other eligibility factors such as family nucleus and priority for first-time buyers also apply.

There are also slightly higher services and conservancy charges, due to more lifts and precinct facilities such as link buildings and playgrounds.

So far, three more DBSS projects by other developers have followed, with the fifth one also by Sim Lian Land, to be launched in the second quarter of this year, in Simei Road.

Other happy Premiere dwellers include newlyweds Muhammad Shahril Rahmat and Suraya Sukiman, both 26, whose four-room unit cost $297,000.

The couple made their purchase while they were still dating two years ago and got married in August last year, making them eligible for an HDB grant of $30,000.

Mr Shahril, a finance executive, stayed with his in-laws while waiting to move in because there was no space for the couple in his family’s Bedok executive maisonette.

The couple settled into their lovenest on Jan 24 and Mr Shahril says: ‘My entire extended family have visited us and they were all quite surprised by the bathroom fittings and the balcony. Most
four-room HDB flats do not come with these.’

He wants to put grilles at his laundry-drying area for security reasons, but otherwise does not intend to do any major renovations yet due to ‘budget constraints’.

He has spent about $15,000 on painting and lighting, and basic furniture.

The one remaining feature that his home lacks is a sofa set, which was actually ordered before he collected his keys.

He says with mock exasperation: ‘What to do? First to order, last to arrive.’

What is so ‘private’ about a privately developed HDB property like The Premiere

• Units come with bay windows and picture-frame windows – frames are only along the sides, with an unobstructed glass panel at the centre that is typical of private developments.The generous use of glass and bay windows has a lightbox effect.
• Open balconys are included for all units. In HDB flats, this feature is mostly limited to five-room units.
• Each flat comes with built-in floor-to-ceiling wardrobes.
• Kitchens come with cabinets, cooker hood and a hob – features not found in standard HDB flats.
• There is tiled flooring for all units for the living room, dining room and kitchen. Similar finishings are the standard only in HDB Premium flats.
• Bedrooms are fitted with teak parquet floors and air-conditioning.
• Bathrooms are equipped with water heaters, fittings and mirrors with back-lighting, which are not found in HDB flats.
• Each unit has a small ‘yard’ that can be used to hang laundry. This is designed on the inner side of the building and hence, concealed from the public eye.

Source: Straits Times – 7 Feb 2009