Showflat of the three-bedroom loft at Holland Residences
SINGAPORE: Hot on the heels of the successful private preview of City Developments Ltd’s 177-unit Cube 8 on Thomson Road, with 85% of the units sold in four days at an average price of S$1,250 (RM3,025) psf, Allgreen Properties started private previews at its 83-unit high-end condominium, Holland Residences, last Monday.
All 35 units released in the first phase were taken up by Wednesday, and another 33 units were subsequently released. As at last Thursday, 54 of a total of 68 units released had been sold, says Joseph Tan, executive director of residential services at CBRE, the sole marketing agent for the project.
Units released ranged from one-bedroom apartments to four-bedroom penthouses. Average transacted prices were S$1,575 to S$1,824 psf. To date, all 10 one-bedroom apartments measuring 602 sq ft have been sold at an average price of S$1.06 million to S$1.1 million, and all 20 two-bedroom apartments of 957 to 979 sq ft have also been snapped up for S$1.63 million to S$1.73 million.
In the development are two types of three-bedroom apartments: 10 units are ground-floor loft units that come with a Jacuzzi on the balcony, two bedrooms on the ground floor and a master bedroom on the second level. These three-bedroom loft units range from 1,883 to 1,915 sq ft. There are also 24 typical three-bedroom apartments on a single level sized at 1,356 to 1,453 sq ft. The majority of the three-bedroom apartments sold were the smaller units, says CBRE’s Tan, and they went for S$2.16 million to S$2.98 million each.
Three of the 10 four-bedroom duplex penthouses in the project were sold at S$3.5 million to S$3.6 million, while one single-storey four-bedroom apartment of 1,872 sq ft was sold at S$3.3 million, with a second under negotiation.
According to Tan, 80% of the buyers were Singaporeans and 20% were foreigners, comprising four Indonesians, three Malaysians, a Hongkonger and an Indian national. Based on the percentage of smaller units sold, Tan reckons that a good 60% of the buyers are investors, as owner-occupiers usually opt for the larger units.
There were also three multi-unit purchasers, who bought two to four units each, says Tan. One was a family who bought four units for their own use. Another buyer was said to have bought a three-bedroom loft unit and an adjoining one-bedroom apartment on the second level to create a larger residence. The third multiple-unit purchaser was an investor.
Allgreen Properties could be expected to raise prices slightly “probably over the weekend”, says Tan.
In the pipeline for launch is Allgreen’s 536-unit The Cascadia condo on Bukit Timah Road, which is expected to start private previews after Chinese New Year, says Yong Voon Chen, general manager of Allgreen. The showflat is being built.
CBRE's Tan (right) with Yong: As at last Thursday, 54 of the 68 units released have been sold
A total of 187 units in The Cascadia were sold in late 2007, of which 182 units were sold en bloc to two property funds — MGPA and a private Spanish fund — at prices averaging S$1,400 to S$1,500 psf. According to market sources, the freehold project is likely to be priced in that region when relaunched. This is pretty much in line with prices achieved at the 336-unit Floridian next door, jointly developed by Far East Organization and Wing Tai Holdings. As at end-December, URA data shows that 131 units had been sold at a median price of S$1,400 psf.
Allgreen is also looking to launch the 110-unit [email protected] on Handy Road as well as its 300-unit Sky Suites on Enggor Street (next door to Far East Organization’s 280-unit Altez) in the coming months.
Word on the street is that private previews of the 97-unit Centennia Suites on Kim Seng Road are likely to begin on the first weekend of February. Units at the high-end condo are said to range from two-bedroom apartments of 1,238 sq ft to four-bedroom units of 2,303 sq ft, while penthouses are from 3,315 to 4,004 sq ft. Prices at Centennia
Suites are expected to be in the “early S$2,000 psf range”, according to property consultants.
Centennia Suites, which is a redevelopment of the former Kim Seng Plaza, is located next to The Trillium, a 231-unit project comprising three 29-storey towers and scheduled for completion later this year. The project was sold out when launched in early 2007 at an average price of S$1,700 psf. Centennia Suites and The Trillium are both developed by Lippo Group. In anticipation of the launch of Centennia Suites,
some owners of The Trillium are already engaging in “forward pricing” and putting their units for sub-sale with indicative prices in the range of S$1,800 to S$2,200 psf, according to agents.
In the luxury segment, Ho Bee Group and its joint-venture partner, Malaysian giant conglomerate IOI Properties, are targeting to preview Seascape after the Chinese New Year. The 151-unit condo is located at Sentosa Cove and overlooks the sea. Construction is already underway, with temporary occupation permit expected by year-end or early next year. Sentosa Cove has been seeing renewed interest from highnet-worth individuals with the opening of Genting Singapore’s Resorts World integrated resort. At the start of the year, YTL Corp launched Kasara — The Lake Collection, where villas were sold at prices ranging from S$14 million to S$22 million.
MCL Land is expected to start private previews of its 608-unit condo The Estuary at the corner of Yishun Avenue 1 and Avenue 2 after the Chinese New Year, according to property agents. The project will have a mix of one- to four-bedroom apartments housed in seven 15- to 17-storeys blocks. Prices are expected to range from S$720 to S$850 psf, according to marketing agents. MCL Land had won the sprawling 209,077 sq ft, 99-year leasehold site near Khatib MRT station in a government tender in March 2008 with a bid of S$213.5 million, which works out to S$350 psf per plot ratio (psf ppr).
With more private previews in the offing, homebuyers and investors will be spoilt for choice.
Holland Hill Lodge owners’ bullish bet
SINGAPORE: The strong response to Allgreen Properties’ private preview of Holland Residences at the corner of Taman Warna and Holland Road last week has created a buzz among owners of apartments at Holland Hill Lodge at the corner of Queensway and Holland Hill.
Last week, the owners of the 11 units at the development collectively put up their three-storey apartment block for sale by tender, with an indicative price of S$15 million to S$16 million. Based on the land area of 9,903 sq ft and a plot ratio of 1.6 under the URA 2008 Masterplan, the price translates into S$1,038 to S$1,107 psf per plot ratio, says Credo Real Estate, the marketing agent for the project.
Given that 100% of the owners have agreed to the en-bloc sale, “we don’t need the Strata Titles’ Board [STB] approval”, says Alvin Chua, one of the apartment owners at Holland Hill Lodge. “Once the option is signed, the sale can be completed in three months. It’s a hassle-free transaction,” he adds. “What’s more, there is no other site on the market of this bite size within 1km of this area.”
Credo Real Estate’s executive director Yong Choon Fah agrees. The quantum price is not only palatable to most contractors and private investors-cum-developers but is also attracting interest from some of the listed boutique developers, given its prime location and freehold status.
Developers or investors can also retain the existing building since it’s still in good condition even though it was built 12 years ago. The building can be refurbished and the units reconfigured for conversion into corporate residences or serviced apartments, subject to approval by the relevant authorities, says Yong. If an investor pays S$15 million, he would effectively be paying S$1,158 psf for the existing strata area of 12,949 sq ft, she estimates. “This is 20% to 28% lower than the average selling price of S$1,450 and S$1,600 psf achieved at Lush on Holland Hill and Parvis, respectively.”
Alternatively, the site can be redeveloped into a brand-new 12-storey block with 22 units averaging 620 sq ft. “There aren’t that many small units available for sale in this area,” notes apartment owner Chua. “Even the smallest unit at Parvis starts at 990 sq ft.”
Chua, a 32-year-old banker and property investor, was one of the earliest buyers on the first day of private previews at the 248-unit Parvis on Holland Hill last November. He purchased a three-bedroom apartment for S$1,500 psf, he says. The high-end condo is jointly developed by Ho Bee Group and MCL Land and just a short walk up from Holland Hill Lodge.
To date, 85% of the units at Parvis have been sold and prices have been adjusted upwards by 2% to 3%. Smaller units are fetching around S$1,700 psf, while larger ones are priced at about S$1,600 psf. Only two of the 51 two-bedroom units and five of the 76 four-bedroom apartments are still available.
Next door to Parvis is listed construction and engineering firm BBR Holdings’ Lush on Holland Hill. Around half of the 56 units in the project have been sold, at an average price of S$1,450 psf. The unit sizes are also large, with the smallest being a two-bedroom apartment of 1,218 sq ft.
Hence, Credo’s Yong believes there is demand for one-bedroom apartments in the vicinity, given the proximity of the area to the future MRT station on Farrer Road. The strong sales seen at Holland Residences, where all the one- and two-bedroom apartments were snapped up in a matter of days, shows the popularity of one-bedroom units in the Holland area, she observes.
Chua (left) and Peh standing in front of the Holland Hill Lodge, which
has been put up for collective sale, with an indicative price of
S$15 million to S$16 million
Even in Holland Hill Lodge, there are only two units of 538 sq ft, says Chua. He bought his unit in early 2007 and currently lives in it, although he had wanted to buy it as an investment. Prior to that, he lived in the 67-unit Olina Lodge, also on Holland Hill.
Another owner of a unit at Holland Hill Lodge is James Peh, who owns a freight forwarding business. He purchased his apartment in mid-2007 as an investment. “I bought it because I was staying in this area and I had just sold something else and didn’t want to miss out on the opportunity,” he admits. “It’s also the draw of this area.
Once you have lived here, you will always want to stay in this neighbourhood.”
Peh’s bet was that with only 11 owners, it would be easier to facilitate an en-bloc sale. Most en-bloc sales committee members have been spooked by events at Horizon Towers, where as recently as last week, minority shareholders were still reportedly suing some of the members of the original sales committee. “Our case is different,” says Peh. “All 11 owners have agreed to the sale, so we are able to bring it to market quickly and the market is hot.”
This is not the first time that the property has been put up for en-bloc sale. The last attempt was in October 2007, with the indicative price then also in the S$15 million to S$16 million range. “Our timing was bad,” recalls Chua. “At the time when our tender closed, it was the start of the global financial crisis and everyone was sitting on the fence.”
But, the owners are hoping that they will be second time lucky. The most recent transaction at Holland Hill Lodge was for the largest unit, a 2,185 sq ft apartment, which sold for S$1.36 million, or S$622 psf, according to a caveat lodged with URA Realis. In 2007, during the last property boom and collective-sale fever, units in the project had changed hands at prices ranging from S$702 to S$799 psf, with one unit sold for a high of S$975 psf.
If the sale goes through, based on the indicative price, the owners stand to see a 50% to 60% premium above the existing market value, estimates Yong. Some property consultants suggest that the asking price is “a little aggressive”, based on current transaction prices.
But, Peh reckons that for boutique developers, the quantum amount is appealing. He is optimistic that “it could be 100% sold in a matter of days, like Alexis on Alexandra Road”. The tender for Holland Hill Lodge closes on Feb 25.
This article appeared in the Feb 1 to 7, 2020 issue of The Edge Singapore.
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