New launches test resilience of mass market

ONE of the first significant private condominium launches after the Chinese New Year is IOI Group's The Trilinq, on March 8. The 755-unit development, at the junction of Clementi Avenue 6 and Jalan Lempeng, comprises two 36-storey towers and a 33-storey tower. It is located across the road from Clementi Mall and the Clementi MRT station and bus interchange.

The Trilinq will be the first project that IOI Group is undertaking on its own in Singapore. The Malaysian-listed conglomerate with interests in oil palm plantations and real estate is not new to the city-state. It has a joint venture with listed Ho Bee Investments in two condo projects in Sentosa Cove: the 151-unit Seascape and the upcoming 302-unit Cape Royale (the Pinnacle Collection site), which is expected to be completed in the middle of this year.

IOI Group is also a joint-venture partner with listed construction-cum-property developer KSH Holdings in the 250-unit [email protected] Park on Mergui Road.

IOI Group's latest and most high-profile joint venture is with listed property giant City Developments Ltd (CDL), in the landmark South Beach project.

As for site of The Trilinq, IOI Group was awarded the 262,831 sq ft, 99-year leasehold residential development parcel in a government land tender last January. The company's winning bid was $408 million, or $554 psf per plot ratio (ppr). The bid price was 13% higher than that of the second-highest bidder.

"We had been looking for sites in the Outside Central Region (OCR), and when it came to this site, we actually paid a premium for it," says Lee Yean Pin, the Singapore-based general manager of Clementi Development, the entity under IOI Group that is developing The Trilinq. "We like the location because it's next to the MRT station and in a mature housing estate with full-fledged amenities. It's also next to many popular schools and near one-north and Jurong Gateway."

Typical units are a mix of one- to four-bedroom apartments, with sizes from 538 to 1,518 sq ft, and prices ranging from $855,000 to $1.6 million. There are 11 penthouses, the largest of which is a 4,600 sq ft, five-bedroom duplex with the master bedroom on the attic level and overlooking a private infinity pool.

IOI Group is looking at a launch price of around $1,500 psf after a 7% additional buyer's stamp duty discount and 2% early bird discount. The developer released 200 units on March 7 to those who registered interest in the project. By 2pm, 85 units were snapped up, with the most popular units being the two- and three-bedroom apartments. The development is jointly marketed by CBRE and DTZ.

Meanwhile, the 582-unit Urban Vista, a joint-venture project between Fragrance Group and World Class Land, is expected to start VIP preview in mid-March. According to market sources, given that the location of the 99-year leasehold condo is a short walk from the Tanah Merah MRT station in the east, demand is strong and prices are expected to be hovering around $1,400 psf. The project is jointly marketed by ERA and Knight Frank.

On Pheng Gek Avenue, located next to the Potong Pasir MRT station, is Tuan Sing Holding's Sennett Residence, where balloting is said to have started at 5pm on March 7. The 332-unit 99-year leasehold condo is said to be priced at around $1,400 psf.

Santarli Corp's 214-unit Sant Ritz is targeted to be launched at the end of this month or in early April. The project is on the other side of the Potong Pasir MRT station. Market sources expect the project to be priced in line with the neighbouring Sennett Residence.

This story first appeared in The Edge Singapore weekly edition of Mar11-17, 2013.

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