The highly restrictive Additional Buyers’ Stamp Duties (ABSD) levied on foreign buyers has put the brakes on almost all foreign purchases. I have always maintained that if a foreigner chooses to pay the 60% ABSD, there is something that should be scrutinised. Imagine this, a foreigner purchases an SGD$5 million property. He pays SGD$3 million as ABSD. His total acquisition cost, including the usual Buyers’ Stamp Duty and other fees amount more than SGD$8 million. As a foreigner with more than SGD$8 million, he would have choices galore. He has access to properties all around the globe. If that individual can purchase properties from all over the world, what is his motivation to pay more than SGD$8 million for something that is perhaps valued at around SGD$5 million? This means that the moment he purchases the property, the asset that he is holding is worth much less than what he paid for. This, in investing sense, is purely illogical. However, if that individual acquired his monies relatively easily, then he would not mind losing that value. Foreign buyers are almost non-existent. In fact, if I were the authorities, I would question and scrutinise the very few purchases by foreigners. I would want to understand the motivation and purpose for such a purchase. Well, if there were no clear motivation for the buyer to purchase Singapore properties then it would be prudent to scrutinise his source of funds for the property purchase.

So then, foreign property purchases have slowed to a trickle. This perverts the normal demand for Singapore properties. Foreigners would be less motivated by things like familiarity and proximity to other family members. For example, if my family members and I have been living in a certain part of Singapore, say Toa Payoh, then if there is a new property launch in Toa Payoh, I would be more likely to be enticed to make a purchase because I want to live near my family members and also to live in a part of Singapore that I am familiar with. This is why, to me, properties like Chuan Park are selling well as compared to a property like Aurea. There are fewer existing families living around Aurea as compared to Chuan Park. Hence there will be less “familiar” buyers for Aurea. Go to Chuan Park and the typical buyer will be someone who lives or lived around the area. Or has family members living in the area.

Location, despite what we have always focused on, may not weigh as much on current buyers’ consideration in today’s market. Familiarity with a particular location is high on buyers’ consideration. This is why many developers look at marketing their projects to HDB upgraders. This can be seen in the weak bids for land in areas with less HDB upgraders. Let me turn you back to end 2024 where the Marina Gardens Crescent site drew just one bid of SGD$770.5 million, or SGD$984 per square foot per plot ratio (psf per) This bid was too low and URA did not award this site to the bidder. This bid is nearly 30% lower than the neighbouring Marina Gardens Lane site. This is the site on which One Marina Gardens is located on. This one Marina Gardens Lane site was awarded to the Kingsford Group in July 2023 for SGD$1.03 billion or SGD$1,402 psf ppr. Look around this area. There are no residential properties around the area. It is inconceivable that someone will walk into the One Marina Gardens sales gallery and say, “I lived in this area for the past few decades and would like to purchase a unit in this development due to my familiarity with the location”.

Details about the development

One Marina Gardens is a 99-year leasehold development. The total site area is 12,245.10 square meters. The development consists of 937 units spread across two blocks. The two blocks are 30 and 44 storeys. It will also have commercial units like 2 restaurants, 2 shop units and a childcare centre. There will be 445 carpark lots. The expected completion is in 2029.

Where is the development located?

One Marina Gardens is located along Marina Boulevard.

One Marina Gardens Location Map

It is located right next to exit 4 of Marina South MRT Station. Marina South MRT Station is one of the stations on the Thomson East Coast Line. Marina South MRT Station is not yet opened. It is scheduled to open in tandem with developments in this area. I believe that this means that when One Marina Gardens is completed, Marina South MRT Station will be operational. For the purposes of this review, we will refer to TE22 Gardens by the Bay MRT Station rather than TE21 Marina South MRT Station.

Travelling from Gardens by the Bay MRT station to Orchard MRT station would take a total of 13 minutes over 6 stations. The cost is $1.59.

Gardens by the Bay MRT to Orchard MRT

Travelling from Gardens by the Bay MRT station to Raffles Place MRT station would take a total of 5 minutes over 2 stations. The cost is $1.19.

Gardens by the Bay MRT to Raffles Place MRT

The drive from One Marina Gardens to Raffles Place would take approximately 7 minutes and the distance travelled is about 2.7 kilometres.

The drive from One Marina Gardens to Raffles Place

The drive from One Marina Gardens to Orchard Road would take approximately 18 minutes and the distance travelled is about 6.5 kilometres.

The drive from One Marina Gardens to Orchard Road

One Marina Gardens is located at the fringe of the Marina Bay Financial District. I do not think that residents would drive to Raffles Place. I believe the short train ride would be the most ideal option. As a point of reference, the Google Map query was done in the afternoon at about 4pm. Hence traffic is light. If you are driving during peak hours, do factor in additional travelling time.

Who is this development for?

I genuinely think that if you believe in the concept of catchment areas, then why are you not considering properties in and around the Marina Bay Financial District? Are your tenants not coming from people who work in offices in the area? If so, I do think that if you are looking to purchase for rent, then this is the ideal property for you. I am a person who always focuses on what is around the area. If the area is littered with offices with highly paid employees, then this is a huge plus.

One of the reasons I can offer as to why many Singaporeans do not think this way is because of the ABSD. On multiple properties, ABSD applies. Hence Singaporeans only have one property purchase which is not subject to ABSD. If so, that first property is likely to be a property in a location which they are familiar with. In certain cases where a married couple plans to have two private properties, one under the husband’s name and another one under the wife’s name, then this is an ideal second property.

Marina One Residences One Bedroom for rent

A simple search on PropertyGuru would show that a 1 bedroom condominium at Marina One Residences is going for about $4,800 a month.

According to a recent Business Times article, the 1 bedroom units at One Marina Gardens starts at SGD$1.16 million.

Working out the yield based on an assumed rent of $4,800 a month or $57,600 per annum,

$57,600 / $1,160,000 = 4.97% per annum

Of course there are a few assumptions when it comes to my calculation. I am making the assumption that the 1 bedroom unit at One Marina Gardens can be rented out for $4,800 in about four years time. I believe my assumption is reasonable because it is likely that rents are likely to increase in the next four years, albeit at a much slower pace. The $4,800 is based off the current rent in an older development. Secondly, the purchase price is based on the lowest priced unit. However, if you factor in a higher purchase price, you would still receive a yield of more than 4%.

Ever heard the notion that yields tend to be lower in the city centre? Well not necessarily so. Especially when current property prices in the Outside Central Region (OCR) are so close to the prices in the Core Central Region (CCR) and Rest of Central Region (RCR). Try going to Chuan Park and getting a 1 bedder for less than SGD$1 million. I do not think it is possible. Then look at the prices at developments in areas that are so much closer to Singapore’s Central Business District (CBD).

Hence I firmly believe that if I were looking for a property with good rentability, One Marina Gardens is something I would look at.

The selling points of the development

Rentability and closeness to the MRT station and Singapore’s CBD. If location is the prime determinant of how much one should pay for a certain property, is the market making a mistake in looking away from developments in the Marina Bay Area?

Oh yes, heard of the Marina Bay Development Plan? The Greater Southern Waterfront?

If you require more information about developments in this area, you can refer to the URA website on The Marina Bay Story.

If you need more confirmation that there will be developments in the area, this is the URA Master Plan. The reddish pink areas where One Marina Gardens sits on are zoned Residential with Commercial at 1st storey. Those in white are White sites. It is clear that this is an area slated for future development. There will be HDB flats built in this area as well. It was announced in 2023 that more homes are planned in central locations to let more people enjoy city living. Marina South is one of those areas stated. With HDB flats in the vicinity, the usual amenities that are associated with HDB neighbourhoods are likely to also follow suit. Hence, if you do not have a food centre or supermarkets in the vicinity currently, if HDB flats are built here, then all these conveniences should make their way to this neighbourhood.

URA Master Plan

Possible bad points of the development

There is another plot of land slated for development right next to One Marina Gardens. This would block, perhaps partially, the sea view of units facing the sea. However, it is likely that there will be many new developments in the area so having an unblocked view would not be a permanent thing.

One Marina Gardens

Pricing 4/5

Prices start from $1.15 million or about SGD$2,762 psf. Yes you can get a Marina One Residences unit for $1,993 psf but then for some reason there is also an outlier that transacted at $2,522 psf. The average psf for transactions within the last 1 year is $2,112. Assuming an average price of about $2,900 psf, One Marina Gardens is going for a 37% premium over Marina One Residences. Of course you are getting a new lease and this is in an area with a lot of new developments. Hence you will need to factor this into the premium that you are paying.

Marina One Residences Past Transactions

Location 4.5/5

I believe this area is going to be filled with amenities as private developments as well as HDB developments start to fill the area. One Marina Gardens is the closest you can get to the Marina South MRT Station. The thing about the URA is that once it has announced developments in the area, it is most certainly going to happen. I believe in time to come this area is going to develop into an extremely desirable area.

If there were no ABSD on purchases beyond a Singaporean’s first property, I would seriously consider a property like One Marina Gardens.

Yours sincerely,

Daryl Lum

My other recent Singapore property reviews:

My review of Aurea by Far East Organization and Perennial Holdings

My review of Parktown Residence by CapitaLand, UOL and Singapore Land

The post My review of One Marina Gardens by the Kingsford Group appeared first on Daryl Lum's Blog.

However, this was a place where people came to get their Thailand fix. Be it at the numerous mookata outlets or just shopping at the Thai Supermarket. If you want to reminise about Golden Mile Complex, a friend of mine did a vide just before it shuttered. I had the honor of joining him when we went to shoot most of these scenes.

The smidge of positive news is that Golden Mile Complex, well the building at least, is to be conserved. This means that the developer cannot demolish the building. It can retrofit and structure, make it somewhat new. The commercial portion of the development will be called The Golden Mile.

So now this place is called Aurea. That is the residential building that is to be built next to Golden Mile Complex or the new The Golden Mile. For whatever reason or purpose, I am unsure. It really sounds weird. Well to me at least. If you want to build a residential building next to the commercial building, which is the conserved Golden Mile Complex, why not name it something close to the old name? One Golden Mile perhaps? Remember One Pearl Bank?

Well who am I to give advice to the developers? Namely Far East Organization (Far East) and Perennial Holdings (Perennial). Far East is the largest private developer in Singapore. It has developed over 780 developments including 55,000 private homes since 1960. This is what it says on their website. Perennial, well they hold many iconic era estate across Singapore. A few of notable mention are Chinatown Point, Capitol and CHIJMES. They too develop real estate and have presence in China, Singapore, Malaysia and Indonesia.

Yes the developer profile is strong. It has to be. Golden Mile Complex was sold en bloc for SGD$700 million in 2022. You would need to be someone, or some group, with considerable financial muscle to be able to make such a purchase. After making the purchase, you would then need to top up the lease to a fresh 99-year period. This is exactly what the developer of Aurea did. Hence the fresh 99-year lease starts from 18 November 2024.

Details about the development

Aurea is a 99-year leasehold development. It will be built next to the refurbished and conserved Golden Mile Complex. That building, as mentioned, will be named The Golden Mile. The total site area is 144,908 square feet comprising of 188 residential units, 156 offices, 2 levels of retail and 19 medical suites. The expected completion of the project, namely the expected date for the project to obtain its temporary occupation permit is in the 2nd quarter of 2029.

The residential development, Aurea, will consist of a good mix of 2, 3 and 4-bedroom types. The 4-bedroom types come with private lift access.

Where is the development located?

Aurea is located at 802 Beach Road. It is located right next to The Golden Mile which has an address of 800 Beach Road.

The Aurea Location Map

The nearest MRT Station is Nicoll Highway MRT Station. The walk is 700 meters. It will take approximately 9 minutes. I am assuming that there will exist a link between The Aurea, The Golden Mile and Golden Mile Tower. This would mean that the portion that is relatively unsheltered would be from the St. John’s Headquarters onwards.

The walk from The Aurea to Nicoll Highway MRT Station

Nicoll Highway MRT Station is located along the Circle Line. The train journey to Raffles Place MRT Station will take approximately 8 minutes over 4 stations and will cost $1.29. You will need to make a change from the Circle Line to the North South Line at Marina Bay MRT Station.

Nicoll Highway MRT Station to Raffles Place MRT Station

The train journey to Orchard MRT Station will take approximately 12 minutes over 6 stations and will cost $1.40. You will need to make a change from the Circle Line to the North South Line at Dhoby Ghaut MRT Station.

Nicoll Highway MRT Station to Orchard MRT Station

The drive from Aurea to Raffles Place will take about 13 minutes and the distance travelled is about 5 kilometers. This Google Map query was done in the middle of the day on a weekday. Therefore, traffic conditions are generally light. You will need to factor in peak hour traffic if you are driving this route during peak hours in the morning and just after office hours.

The drive from Aurea to Raffles Place

The drive from Aurea to Orchard Road will take about 15 minutes and the distance travelled is about 3.8 kilometers. Once again, this Google Map query was done in the middle of the day on a weekday.

The drive from Aurea to Orchard Road

The selling points of the development

The location of Aurea is extremely prime. This is located at Beach Road, just at the edge of the Central Business District (CBD). In fact, if you consider Bugis as within the CBD (and there is no reason not to as it is located after the ERP gentry, then Aurea is one of the closest residential developments at the edge of the CBD. The other two notable ones, which are nearer, are Concourse Skyline and City Gate Residences. Anything nearer and you would be beyond the ERP gentry. In that case, the development that is just within the CBD would be DUO Residences.

The next selling point, allegedly, would be the price per square foot for a unit in Aurea. Based on what is reported, prices at Aurea are expected to start from SGD$2,750 per square foot. In the current market, this psf is reminiscent of new developments in places like Lorong Chuan and Tampines. Well it should still be marginally higher but would it not make sense to pay about 10-20% more for a development located along Beach Road than say Lorong Chuan?

If you were to compare the past transacted prices of City Gate and Concourse Skyline, Aurea is approximately a 20-25% premium from the resale prices at City Gate and Concourse Skyline. City Gate’s 99 year leasehold is from 2014 (88 years left) and Concourse Skyline’s 99 years stated from 2008 (82 years left). Aurea’s 99-year lease started in November 2024 (almost full 99 years). Aurea has 12.5% more lease than City Gate and 21% more lease than Concourse Skyline. Being a new development, closer to the food centre and amenities and linked to The Golden Mile, I would think that the premium is reasonable. New developments tend to have a premium of about 20+% over comparable developments in the vicinity.

A huge plus, and this is a real advantage, is that just across Aurea is Golden Mile Food Centre and wet market. Just across Aurea is a cluster of HDB developments. There is a community centre right next to the market as well, Kampong Glam Community Centre. Walk further north and you can avail yourself to another huge market and wide variety of shops at North Bridge Road. This is perhaps the ideal city living with a heartland feel. That was one of the reasons why the old Golden Mile Complex was so popular. It was right smack in the middle of a HDB enclave, surrounded by a slew of amenities as well as being centrally located in Singapore. The perfect blend of connectivity and convenience.

Possible bad points of the development

Possible road noise from Nicoll Highway perhaps? The developer clearly thinks that this could be an issue. On some of the unit type plans there exits “acoustic mitigation”. Clearly to mitigate the sound coming from somewhere. Therefore it is important to pick a good unit if you are looking to purchase a unit at Aurea.

Aurea

Pricing 4/5

It perplexes me why buyers persist with buying outside core central region properties when properties in Beach Road are going for rather similar psf. Is location of a development not one of the key factor of a sound property investment? If you intend to pay in excess of $2,500 psf for a leasehold property, I would think that it should be somewhere close to the city centre.

Location 4/5

I have been going on and on about Aurea’s location. Perhaps the downside of this would be the walk to the MRT station. Be it that it is unsheltered for about half the journey, the walk is actually not that far and this is so close to the city centre. Picture this, you like in a property like Aurea. You cross the road to a food centre and all the usual HDB amenities you can find at HDB shophouses. You are linked to a mall. You walk to Nicoll Highway MRT Station and get to your workplace at Raffles Place, all in under 20 minutes. (Walk 9 mins and train ride 8 minutes).

Now compare that to you living in The Chuan Park. Is this location in Chuan Park better? I am not so sure…

The Chuan Park’s surrounding

Property investment should be very simple. Purchase a property where people will want to live. Amenities, location and connectivity are all factors that should come into play. Then look at the price. Does it make sense to what is around the area and current market.

Yours sincerely,

Daryl Lum

The post My review of Aurea by Far East Organization and Perennial Holdings appeared first on Daryl Lum's Blog.

Location is not as poignant a selling point as before. With the proliferation of MRT stations across the island, many developments are “minutes walk to MRT”. The question is usually “how many minutes, really?” but many buyers do not ask that question. They take it as gospel truth that the number postulated on the brochure is accurate. There has to be a standard of measure. In most cases, flip out your phone and use Google Maps. If you use Google Maps consistently to determine how far a development is to the train station, then this consistency will provide you with a proper yardstick. Simple as it sounds but I do not believe that many buyers actually do this.

So what is a true USP?

Let’s focus on the word unique.

Unique stands for one of its kind. Unlike anything else.

As such, I find it hard to fathom how being 5 to 10 mins from the MRT station is unique. The term USP is a misnomer to begin with because there is almost nothing that one development has that is one of its kind. I mention this because I am trying to highlight how the various developments are so similar in their offerings. Basically new developments in Singapore are generally the same in terms of their facilities, layout and overall unit types.

So when is a development unique? Well, if we apply a strict definition of the word unique, then never. For those that come very close to being unique, one thing stands out. Integrated developments.

So what are integrated developments?

They are property developments where there is a residential component built in conjunction with a retail mall, a transport hub, possibly other amenities like a hawker centre and/or community centre. You like above and come down to a shopping mall, an MRT station, bus interchange and more.

The upcoming Parktown Residence is one such example. It is an integrated development located in Tampines. The condominium is named Parktown Residence, the retail mall below it is named Parktown. There is a transport hub below as well. There is an MRT station and an air-conditioned bus interchange. There is also a community club, a community plaza and a hawker centre. Oh and it is kind of linked to Tampines Boulevard Park.

How many of such integrated developments exist in Singapore? We speak of integrated developments being a residential and commercial development integrated with a transport hub. There are nine. They are:

1. The Centris
2. Hillion Residences
3. North Park Residences
4. Sengkang Grand Residences
5. Compass Heights
6. Pasir Ris 8
7. Bedok Residences
8. Park Town Residence

Details about the development

Parktown Residence is a 99-year leasehold development. The 99-year lease started from 9 October 2023. The total land area of Parktown Residence is 50,680 square meters. This makes it the largest integrated development out of the nine listed above. There will be a total of 1,193 units. Parktown Residence is jointly developed by CapitaLand Development, UOL Group Limited and Singapore Land Group Limited. Back in 2024, this consortium obtained this plot of land with a top bid that crossed the $1 billion mark. In fact, their bid was an eye-watering SGD$1.206 billion.

Here is the unit mix of Parktown Residence

1-Bedroom + Study, 43 and 47 square meters, 73 units
2-Bedroom,  55 square meters, 160 units
2-Bedroom Premium, 63 and 67 square meters, 292 units
2-Bedroom + Study, 71 square meters, 134 units
3-Bedroom, 86, 87 and 88 square meters, 135 units
3-Bedroom Premium, 98, 99 and 100 square meters, 158 units
3-Bedroom Premium + Study, 108, 109 and 110 square meters, 115 units
4-Bedroom, 124, 125 and 126 square meters, 57 units
4-Bedroom Premium, 138 and 139 square meters, 47 units
5-Bedroom, 156 square meters, 22 units

Where is the development located?

Parktown Residence is located along Tampines Street 62.

Parktown Residence Location Map

It is located close to Tampines Ikea.

Close to Tampines Ikea

Tampines is quite large so I believe this would serve as a point of reference. The Tampines North Interchange is a temporary one. Once Parktown Residence is completed, there will be an interchange located within the integrated development.

I would usually put up the walking time to the nearest MRT station and shopping mall. However, since Parktown Residence is going to be an integrated development, the MRT station and the shopping mall is located right below the development.

The MRT that is located within the integrated development is Tampines North MRT Station. It is the sixth station on the Cross Island Line. The Cross Island Line will run from the east to the west of Singapore. It will go through locations like Loyang, Pasir Ris, Hougang, Serangoon North, Ang Mo Kio, Sin Ming, Bukit Timah, Clementi and West Coast. It is slated to be the longest MRT line in Singapore with about 27 stations. It should opening in phases with Phase 1 going from Aviation Park to Bright Hill opening at around 2030. Eventually the Cross Island Line should be fully completed around 2040.

A point of interest might be how long it would take to walk to Tampines Ikea. In the vicinity is Courts and Giant as well. It would take approximately 27 minutes to walk to Ikea from Parktown Residence. The total distance would be 2 kilometres.

Who is this development for?

I’ve decided to ask this question in my reviews moving forward. This question is actually very important because who this development is for will also determine who you can possibly sell this property to in the future. How many times have I encountered a property owner and he comments, “I want to sell my property to a rich Indonesian!”. When I ask him where his property is located, he answers, “Woodlands!”. Really? You really think wealthy individuals will look at your overpriced property in Woodlands? Especially when they can buy property not only in Singapore but literally the whole world. Well, this development, Parktown Residence, is mainly for HDB upgraders. People who live in Tampines generally, from my conversations with the people I know who live in Tampines, want to continue living in Tampines. Tampines is an area that is littered with amenities. However, if this property is for HDB upgraders, then it bears considering that people who live in the HDB properties nearby are able to afford to upgrade.

When I mean afford, it does not mean that a property seller sells his HDB for a certain price and he can purchase a resale Parktown Residence for the exact same price. What I mean is whether the HDB upgrader has the cash on hand to make that leap. Let’s face it, our property market is living off leverage. Without housing loans, most, if not almost all buyers will not be able to afford to buy private properties.

A 2-bedroom unit, at launch would average at about $1.628 million. This is an estimation after taking the per square foot pricing to hover around $2,400 and multiplying it by 63 square meters (678.126 square feet).

A buyer will need to fork out 25% downpayment on that property assuming it is his first property. The cash component is 5%. The figures are as such:
5% cash = $81,400
20% CPF = $325,600

If you break it down this way, you will realise that the cash component is not prohibitively high. The thought of maintaining that loan over the span of up to 30 years seldom crossed any buyers’ mind. This is because we live in a property market where our primary property is seen not only as a place to live but as a form of investment that will be disposed of once the property has risen in value. In fact, many see their primary property as an investment first and a home second. This is what global inflation has done to the property market. Can the property market continue its upward trajectory? No one really knows.

So what are the transacted prices of HDB properties around Parktown? Currently, the highest price for a 4 room flat is $820,000. These buyers would have bought their flats for probably less than $500,000. This means that if they were to sell their flats, they would obtain in excess of $250,000 after accounting for CPF plus accrued interest.

Now you understand why the HDB upgraders are so essential to developments in the heartlands? It is not only important. It is essential. HDB upgraders free up cash when they upgrade from the flats that they obtained through the Build to Order (BTO) scheme.

So let’s consider a situation 5 years from now. Let’s say you as a buyer purchase a 2-bedroom in Parktown Residence. Now you want to sell it. What are the numbers you will need to crunch and can a HDB upgrader still afford it?

A 2-bedroom unit, at launch would average at about $1.628 million. This is an estimation after taking the per square foot pricing to hover around $2,400 and multiplying it by 63 square meters (678.126 square feet). This is the same calculation from above. Going at a conservative rate of a 2% increase in price over 5 years, This works out to be $1,797,444.

A buyer will need to fork out 25% downpayment on that property assuming it is his first property. The cash component is 5%. The figures are as such:
5% cash = $89,872
20% CPF = $359,488

Not much of a difference is it?

For the sake of this discussion, I know some are going to comment that this is not a fair comparison because going from a 4-room HDB to a 2-bedroom unit at Parktown Residence means losing one bedroom. I am just making this assumption that this is the typical “upgrade” route. Even though moving to something smaller is not something I would personally embark on. However, this is the feasible “upgrade” that I would think individuals could make because a 3-bedroom might be prohibitively high in terms of the loan quantum.

The selling points of the development

I’ve mentioned this at the beginning of this article. It is the fact that it is an integrated development. Oh and the largest integrated development out of the 9 integrated developments in Singapore.

Possible bad points of the development

The sheer size of the development. Imagine having to compete with so many landlords and sellers. The competition in the resale and rental market will be intensely fierce. This is why selecting a good unit if you have the opportunity to do so is so important.

The Cross Island Line is also not up yet. You would have to wait till possibly 2040 for the whole line to be operational. It is also not exactly near Tampines MRT Station and Tampines Mall. It is approximately 2.1 kilometres away. Walking would take 29 minutes according to Google Maps.

I would think that the true benefits of the Cross Island Line would only be felt when it is fully operational. This is something that buyers need to consider when deciding to invest in Parktown Residence. I still find it peculiar when someone tells me that he won’t hold the property for long and hence the 30-year loan is inconsequential but then when the developer sells him a point that will only happen in the distant future, he does not reconcile that with his prior statement.

Also, another point to note is that there will be two executive condominiums (ECs) nearby. Aurelle of Tampines and Tenet. In the future, buyers have more choices when it comes to units in the vicinity. If they find the resale prices at Parktown too prohibitively high, they can always consider the resale units at these ECs. The prices should be lower as the buyers of these properties would have bought them at a lower per square foot pricing.

Parktown Residence

Pricing 3.5/5

Indicative prices are around $2,400 per square foot. I do not have any nearby completed condominium development to compare this to. The closest ones are located in the cluster along Pasir Ris Grove. The premium on the launch price at ParkTown Residence is 50%. This means that if you were to enter the resale market and purchase a unit at D’Nest, the price per square foot is about $1,600. The premium on a new unit at ParkTown Residence is 50% as the indicative per square foot pricing is $2,400. Of course you would have to weigh the fact that you are getting a new property on a fresh lease and a condominium in an integrated development.

Location 4/5

For now, this is not higher than it could be because the train line is not up. Yes, granted that this will be the longest MRT line and it will be crossing Singapore from east to west but that is what the current east-west MRT line is already doing. What is to say that there will not be a long and more well connected train line in the future?

The main consideration for Parktown is the fact that it is sitting in an integrated development.

I have decided to not comment about quality moving forward. This is because quality is dependent on the actual completed product and my only way of rating an uncompleted development based on past developments. However, in this case, this is a joint development of three developers. It would be difficult to assess the product based off their portfolios. Moving forward, I believe that developers will typically jointly develop due to the high cost of land acquisition as well as gradual reduction of risk appetite in the market.

Yours sincerely,

Daryl Lum

The post My review of Parktown Residence by CapitaLand, UOL and Singapore Land appeared first on Daryl Lum's Blog.

The buoyant private property market figure is a precursor to perhaps the largest private property new launch of 2021. Normanton Park should truly test buyers’ appetite for private new homes. I personally am intrigued to see how such a massive development does in the current property buying frenzy.

Details about the development

Normanton Park is a 99-year leasehold development comprising of 1862 residential units spread across 9 24-storey blocks and 22 2-storey strata terraces. There will also be 1 restaurant and 8 retail shops within the development. The development sits on a site area that spans approximately 61,408.9 square meters or 661,005 square feet. Back in October 2017, Kingsford development made headlines when it purchased the previous development, a 488 unit former HUDC estate also named Normanton Park, for SGD$830.1 million. At that point in time, it was the deal with the highest land rate for a 99-year leasehold collective sale. That purchase price was more than SGD$30 million over the reserve price. When we factor in the SGD$231.1 million needed to top up the lease to 99-years and a redevelopment fee of about SGD$283.4 million, this translates to a land price of about SGD$969 per square foot per plot ratio.

Normanton Park made headlines again in the first half of 2019 when the developer, Kingsford Huray Development, a subsidiary of Kingsford Development, was hit with a no-sale licence. This meant that the developer could only start to sell units after the Temporary Occupation Permit (TOP) is obtained. This was due to issues with Kingsford Development’s previous projects, Kingsford Waterbay and Kingsford Hillview Peak. Since then, Kingsford Development has successfully obtained approval to sell units at Normanton Park before obtaining the TOP in December 2020 albeit with certain conditions. For one, all units in Normanton Park must pass BCA’s Quality Mark assessment before applying for a TOP.

Where is the development located?

Normanton Park is located at 1 to 9 Normanton Park. It is located at the end of Portsdown Flyover and at the start of Science Park Road leading up to the National University of Singapore.

Normanton Park Location Map

The nearest MRT Station from Normanton Park is Kent Ridge MRT Station which is 1.2 kilometres away. It is approximately a 15-minute walk and is relatively unsheltered. It would be advisable to take bus services 92 and 92A to get to the MRT Station instead.

The walk from Normanton Park to Kent Ridge MRT Station

Kent Ridge MRT Station is located along the Circle Line. The train journey to Raffles Place MRT Station will take approximately 19 minutes over 8 stations and will cost $1.48.

Kent Ridge MRT Station to Raffles Place MRT Station

The train journey to Orchard MRT Station will take approximately 17 minutes over 8 stations and will cost $1.44.

Kent Ridge MRT Station to Orchard MRT Station

The drive from Normanton Park to Raffles Place will take about 11 minutes and the distance travelled is about 8.2 kilometres. Do note that this Google Map Query was done on a weekend night when traffic conditions are optimal. Do factor in additional time for the usual peak hour traffic.

The drive from Normanton Park to Raffles Place

The drive from Normanton Park to Orchard Road will take about 11 minutes and the distance travelled is approximately 6.6 kilometres. Once again, do factor in additional time during the usual peak hours.

The drive from Normanton Park to Orchard Road

The selling points of the development

This is a mega-development and there are benefits that come with living in a large development. For starters, the facilities are going to be extremely comprehensive. In the last few years of new launches, only Treasure at Tampines is a larger development in terms of the number of units. Due to the sheer number of stakeholders that will be splitting the cost of maintaining the development, the maintenance fee is not expected to be high even though the facilities are extremely comprehensive. The developer, in their marketing materials, heralds more than 100 lifestyle facilities for Normanton Park. Moreover, there is even a restaurant and 8 retail shops that will serve the residents of the development.

There is a huge catchment area as Normanton Park is just next to the Singapore Science Park. Tenants should come from the companies in this area as well as from the National University Hospital (NUH), NUS and Mediapolis.

There is also possible residential developments in the future as evidenced in the URA Master Plan. The forested area across the expressway is zoned as a residential area and there should be residential developments springing up in the future. With it, there should be an uptick in the number of lifestyle amenities in the area.

Possible bad points of the development

The size of the development can be both a boon and a bane. There is a chance that competition in the resale and rental market will be extremely fierce due to the sheer number of units on offer. Unlike Treasure at Tampines where it is surrounded by residential housing and located in a mature estate, it is difficult to see where the HDB upgraders who will crave for units in Normanton Park will come from.

The nearest train station is 1.2 kilometres away which may put off potential buyers and tenants. Location wise, Normanton Park is not close to a train station nor located in a mature estate with ample amenities. This, to me, is a huge consideration for buyers. Developments over the course of time will improve connectivity and the number of amenities in the area and buyers will have to consider their investment time horizon carefully.

My thoughts about the development

I am curious to see how this pans out. The developer has been placed in a negative light due to issues with their previous two developments, Kingsford Waterbay and Kingsford Hillview Peak. However, due to the requirements set out by URA where all units in Normanton Park must pass BCA’s Quality Mark assessment before the developer can apply for a TOP does sound like the buyers will get a well-made development. I do think that the developer’s reputation will weigh on the minds of potential buyers.

I am also not so sure about the location. The lack of connectivity does deter me from recommending this development more strongly to potential buyers. I also do see a potential issue if the traffic flow is not managed and planned well as there is going to be a four-fold increase in the number of units in the new Normanton Park as compared to the old Normanton Park.

Normanton Park

Normanton Park

Pricing TBC

As of writing, pricing had yet to be released.

Location 2/5

I do think that being close to an MRT station is essential when purchasing a property, especially for investment. Kent Ridge MRT Station is currently the closest MRT station to Normanton Park and it is about 1.2 kilometres away.

Quality 4/5

I am going to go out on a limb here and say that because of the strict criteria that the URA has attached to the sale licence, the developer is going to have to ensure that the units at Normanton Park will come out good. Their first two forays into the Singapore property scene, Kingsford Waterbay and Kingsford Hillview Peak were perhaps good experiences for them.

Yours Sincerely,

Daryl Lum

p.s. Disclaimer: I am a licensed real estate salesperson at the point of writing this review. My real estate agency is the marketing agency for Normanton Park. Buyers can approach me to purchase a unit at Normanton Park and I will earn a commission from the developer. My reason for writing this review is to share my personal view about the developments not as a real estate salesperson but in the neutral context of a buyer and hopefully share some insight to help buyers make a more informed buying decision.

My other Singapore Property Reviews

My review of The Landmark by SSLE, MCC Land and ZACD
My review of Penrose by CDL and Hong Leong Holdings
My review of Forett at Bukit Timah by Qingjian Realty
My review of Clavon by UOL Group
My review of The M by Wingtai Asia
My review of Kopar at Newton by CEL Development
My review of The Avenir by Hong Leong Holdings and GuocoLand
My review of One Holland Village Residences by Far East Organisation
My review of Neu at Novena and Fyve Derbyshire by Roxy Pacific Holdings
My review of Midwood by Hong Leong Holdings
My review of Royalgreen and Juniper Hill by Allgreen Properties
My review of Sky Everton by Sustained Land
My review of Sengkang Grand Residences by Capitaland and City Developments Limited
My review of One Pearl Bank by Capitaland
My review of The Antares by FSKH Development
My review of Parc Clematis by SingHaiyi Group
My review of Piermont Grand by City Developments Limited
My review of Parc Komo by CEL development
My review of Riviere by Frasers Property
My review of Avenue South Residence
My review of 1953 by Oxley Holdings
My review of Uptown @ Farrer
My review of The Florence Residences
My review of Treasure at Tampines
My review of Fourth Avenue Residences
My review of The Woodleigh Residences
My review of Kent Ridge Hill Residences
My review of Arena Residences
My review of Whistler Grand and Twin Vew
My review of Mayfair Gardens and Daintree Residence
My review of Parc Esta
My review of Jui Residences
My review of The Jovell
My review of JadeScape
My review of Stirling Residences and Margaret Ville
My review of The Tre Ver and Riverfront Residences
My review of Park Colonial
My review of Affinity at Serangoon and The Garden Residences

The post My review of Normanton Park by Kingsford Development appeared first on Daryl Lum's Blog.

Details about the development

The Landmark is a 99-year leasehold development comprising of a 39 storey single block with 396 units and a basement car park. The development will be jointly developed by a consortium called Landmark JV which consists of SSLE Development Pte Ltd, MCC Land (Singapore) Pte Ltd and ZACD Group Ltd. The Landmark was formerly Landmark Tower and it was launched for collective sale in April 2018, 11 years after its first unsuccessful attempt. The 139-unit Landmark Tower was eventually sold to a joint venture company Landmark JV for SGD$286 million. The 60,821 square feet unit is zoned for residential use with a plot ratio of 4.0. This translates to a sale price of SGD$1,406 per square foot per plot ratio (psf ppr) which is lower than the SGD$1,515 psf ppr which CapitaLand paid for Pearl Bank Apartments. The owners of Landmark Tower received gross proceeds of between SGD$1.6 million and SGD$4.9 million from the collective sale. The resulting development, The Landmark, is expected to be completed in 2025.

Here is the unit mix of The Landmark:

1-bedroom: 144 units, 495 to 517 sq ft
2-bedroom: 180 units, 678 to 764 sq ft
3-bedroom: 72 units, 1076 to 1141 sq ft

Where is the development located?

The Landmark is located at 173 Chin Swee Road, just next to Pearl’s Hill City Park. It is within walking distance to both Chinatown MRT Station and Outram Park MRT Station.

The Landmark location map

According to Google Maps, the walk to Outram MRT Station will take about 16 or 17 minutes depending on the chosen route. The distance covered is approximately 1.2 to 1.4 kilometres. This route is relatively unsheltered.

The walk to Outram MRT Station

According to Google Maps, the walk to Chinatown MRT Station will take about 7 minutes and cover about 550 metres. This is the closest train station to The Landmark and the walk is relatively sheltered once you navigate to Pearl’s Hill Road.

The walk to Chinatown MRT Station

The train journey from Outram Park MRT Station to Raffles Place MRT Station will take approximately 5 minutes over 2 MRT Stations and will cost $0.92. Raffles Place MRT Station is also on the Green MRT Line.

Outram Park MRT Station to Raffles Place MRT Station

The train journey from Outram Park MRT Station to Orchard MRT Station will take approximately 10 minutes over 5 MRT Stations and will cost $1.12. You will need to make a transfer to the Red MRT Line at Dhoby Ghaut MRT Station.

Outram Park MRT Station to Orchard MRT Station

The train journey from Chinatown MRT Station to Raffles Place MRT Station will take approximately 6 minutes over 3 MRT Stations and will cost $0.92. You will need to transfer over to the Green MRT Line. However, Raffles Place is very close to Chinatown MRT Station. I would think that commuters might just walk to their workplace if they were to navigate their way to Chinatown MRT Station from The Landmark.

Chinatown MRT Station to Raffles Place MRT Station

The train journey from Chinatown MRT Station to Orchard MRT Station will take approximately 9 minutes over 4 MRT Stations and will cost $1.02. You will need to make a switch to the Red MRT Line at Dhoby Ghaut MRT Station.

Chinatown MRT Station to Orchard MRT Station

The drive from The Landmark to Raffles Place will take 5 minutes and will cover a distance of about 3.1 kilometres. That being said, The Landmark is located right on the edge of the central business district (CBD) and if residents were working in Raffles Place, I would think that they might take public transport to work.

The drive from The Landmark to Raffles Place

The drive from The Landmark to Orchard Road will take about 6 minutes and cover a distance of about 3.4 kilometres. Do note that this Google Maps query was done at about midnight so road conditions were optimal. Do factor in the usual peak hour traffic on top of the time shown in this Google Maps query.

The drive from The Landmark to Orchard Road

The selling points of the development

The location. Recent launches have been performing rather well but instead of solely attributing that to a resilient property market, I would also attribute a large part to the good locational qualities of the recent launches. The Landmark sits right on the fringe of Singapore’s CBD. Demand from tenants working in the CBD should be healthy and if this development is priced right, could prove to be an attractive investment proposition for investors.

The availability of amenities right in the heart of the city is another huge plus. Typically with developments right in the city, you would expect not to have frills like coffee shops and convenience store. However, The Landmark is surrounded by HDB flats. There are coffee shops and convenience stores in the vicinity and there is even a Sheng Shiong supermart at Blk 52 Upper Cross Street. This is a huge plus for families looking to buy for their own stay or tenants alike.

I do think that the close proximity to Pearl’s Hill City Park is a huge plus. Singapore is a very built-up city and at times it can look like a concrete jungle but when you have a massive park right next to the city and a condominium right next to it, I do think that this is a huge draw.

The area around Outram MRT Station is an area which I feel will develop greatly. We have the Greater Southern Waterfront where Singapore’s CBD will be extended. On top of that, the 20-year Master Plan for Singapore General Hospital Campus should translate into higher demand for properties in the vicinity.

Possible bad points of the development

It is not exactly next to either Outram MRT Station or Chinatown MRT Station. You would need to walk a bit to get to either train stations. On top of that, there should be some road noise from the Central Expressway (CTE) and Chin Swee Road.

My thoughts about the development

I have reiterated this on multiple occasions. Location is key to renting and reselling. I am looking forward to the Greater Southern Waterfront taking shape and I had previously recommended One Pearl Bank. It is unique and rare to have an interchange with 3 MRT train lines. With the Thomson East Coast Line passing through Outram MRT Station, Outram MRT Station will have 3 MRT train lines passing through.

The Landmark

Pricing TBC

As of writing, pricing had yet to be released.

Location 4.5/5

This is right on the edge of Singapore’s CBD. Moreover, it is located within walking distance to both Outram MRT Station and Chinatown MRT Station. Demand for properties in this area should remain strong. In recent times, we have been seeing some high profile companies set up office in Singapore’s CBD. I do expect this trend to persist as Singapore aims to be a fund management hub.

Quality 4/5

The developers are not unknown. MCC Land had previously developed developments like The Poiz Residences, The Santorini and The Nautical among many others.

Yours Sincerely,

Daryl Lum

p.s. Disclaimer: I am a licensed real estate salesperson at the point of writing this review. My real estate agency is the marketing agency for The Landmark. Buyers can approach me to purchase a unit at The Landmark and I will earn a commission from the developer. My reason for writing this review is to share my personal view about the developments not as a real estate salesperson but in the neutral context of a buyer and hopefully share some insight to help buyers make a more informed buying decision.

My other Singapore Property Reviews

My review of Normanton Park by Kingsford Development
My review of Penrose by CDL and Hong Leong Holdings
My review of Forett at Bukit Timah by Qingjian Realty
My review of Clavon by UOL Group
My review of The M by Wingtai Asia
My review of Kopar at Newton by CEL Development
My review of The Avenir by Hong Leong Holdings and GuocoLand
My review of One Holland Village Residences by Far East Organisation
My review of Neu at Novena and Fyve Derbyshire by Roxy Pacific Holdings
My review of Midwood by Hong Leong Holdings
My review of Royalgreen and Juniper Hill by Allgreen Properties
My review of Sky Everton by Sustained Land
My review of Sengkang Grand Residences by Capitaland and City Developments Limited
My review of One Pearl Bank by Capitaland
My review of The Antares by FSKH Development
My review of Parc Clematis by SingHaiyi Group
My review of Piermont Grand by City Developments Limited
My review of Parc Komo by CEL development
My review of Riviere by Frasers Property
My review of Avenue South Residence
My review of 1953 by Oxley Holdings
My review of Uptown @ Farrer
My review of The Florence Residences
My review of Treasure at Tampines
My review of Fourth Avenue Residences
My review of The Woodleigh Residences
My review of Kent Ridge Hill Residences
My review of Arena Residences
My review of Whistler Grand and Twin Vew
My review of Mayfair Gardens and Daintree Residence
My review of Parc Esta
My review of Jui Residences
My review of The Jovell
My review of JadeScape
My review of Stirling Residences and Margaret Ville
My review of The Tre Ver and Riverfront Residences
My review of Park Colonial
My review of Affinity at Serangoon and The Garden Residences

The post My review of The Landmark by SSLE, MCC Land and ZACD appeared first on Daryl Lum's Blog.

Details about the development

Penrose is a 99-year leasehold development by a joint venture between CDL and Hong Leong Holdings. Back in March 2019, a 60:40 joint venture between Hong Leong Holdings and CDL submitted the winning bid of SGD$383.5 million for the Sims Drive site. This worked out to SGD$732 per square foot per plot ratio (psf ppr). The 174,648 square foot site will be developed into Penrose which will have a total of 566 units with a child care over 5 18-storey blocks. Units will range from 1 to 4 bedrooms. The 5 blocks will be located at 20, 22, 26, 28 and 30 Sims Drive. The expected completion of Penrose is in the year 2025.

Here is the unit mix for Penrose

1-bedroom, 474 – 517 sq ft, 57 units
1-bedroom with study, 560 – 570 sq ft, 2 units
2-bedroom, 646 sq ft, 69 units
2 bedroom premium, 700 – 710 sq ft, 68 units
2-bedroom with study, 797 – 807 sq ft, 34 units
3-bedroom, 936 – 980 sq ft, 105 units
3-bedroom premium, 1044 – 1098 sq ft, 123 units
3-bedroom with study, 1173-1184 sq ft, 54 units
4-bedroom, 1389-1399 sq ft, 54 units

Where is the development located?

Penrose is located along Sims Drive. It is located next to Sims Urban Oasis and is within walking distance to Aljunied MRT Station. Sims Vista market and food centre is also just around the corner.

Penrose location map

According to Google Maps, the walk from Penrose to Aljunied MRT Station will take about 5 minutes and the distance covered will be about 400 metres. The walk is extremely straightforward though relatively unsheltered.

The train journey from Aljunied MRT Station to Raffles Place MRT Station will take approximately 12 minutes over 5 stations and will cost $1.22. The East-West MRT Line is very well connected and brings travellers right into the heart of Singapore’s city centre.

Aljunied MRT Station to Raffles Place MRT Station

The train journey from Aljunied MRT Station to Orchard MRT Station will take about 15 minutes and will cost $1.38. The more straightforward way to get to Orchard MRT Station would be to travel to City Hall MRT Station and making a switch to the North-South MRT Line. My search was done using the LTA transport mobile app and it served me the result below.

Aljunied MRT Station to Orchard MRT Station

The drive from Penrose to Raffles Place will take approximately 13 minutes and the distance travelled will be approximately 6.8 kilometres. This Google Map query was done on a weekend with optimal traffic conditions. In usual peak hour traffic, post-COVID-19, do expect traffic to be less light than the results shown below.

The drive from Penrose to Raffles Place

The drive from Penrose to Orchard Road is also rather short. According to Google Maps, it will take approximately 13 minutes and the total distance travelled would be about 10.4 kilometres.

The drive from Penrose to Orchard Road

The selling points of the development

I’ve always maintained that properties that are close to train stations on the East-West, North-South and North-East Lines generally have accessibility and adequate amenities. The East-West and North-South MRT lines are the earliest lines and the area around the stations on these lines generally have very good amenities and connectivity to the city centre. Aljunied is a very matured estate and there are food centres, hawkers, a wet market, shops, a library and a polyclinic all around the vicinity of where Penrose is located. Travelling south of Penrose in the direction of Guillemard Road and there are many food options in and around Geylang, Guillemard Road and Old Airport Road. Compare this to less mature areas like Sengkang or Punggol or even to places like Ubi which has a train station along the Downtown MRT line but does not have the same connectivity and abundance of amenities and food options like Aljunied does. Living in a matured estate does have huge perks and advantages for buyers purchasing for their own stay or to have the unit rented out as connectivity and availability of amenities are important to homeowners and tenants alike.

Aljunied MRT station is a mere three MRT stations away from Bugis and four from City Hall. Considering the fact that a recent launch in Bugis, The M, had units that went for as high as $2,937 psf, developments at the city fringe like Penrose do look attractive for buyers seeking a slight tradeoff in terms of location for a rather significant discount in price psf. Just for comparisons sake, The M was launched and sold at prices ranging from $2,127 to $2,937 psf. At the point of me writing this review, there were 387 transaction records of The M on URA’s private residential property transactions search.

Here are five transactions at The M that managed to breach the $2,900 psf mark.

Highest psf transactions at The M

In contrast, prices at Sims Urban Oasis, which is next to Penrose, are in the range of $1,577 psf to $1,631 psf for the year 2020. If we were to compare the average of the top 5 psf transactions for Sims Urban Oasis and The M ($1,598 vs $2914.40), Prices at Sims Urban Oasis are about 45% lower in terms of psf as compared to prices at The M. The savings for moving four MRT stations away from Bugis to Aljunied are huge.

Highest psf transactions at Sims Urban Oasis (for year 2020)

If we were to compare the rents in district 7 (Bugis, Beach Road) to those in district 14 (Aljunied, Paya Lebar area), we can see that the higher prices paid in District 7 do not automatically translate to a proportionate increase in the rents collected. As a practising property agent, I would also highlight that the rental data do not reflect the time taken for a unit to be rented. Properties in District 14, in my personal experience, do take a shorter time to get rented out.

2020 Q2’s Median Rents (non-landed):

• 400-500 sq ft: $2,775 vs $1,800 (35.2% diff)
• 500-600 sq ft: $3,200 vs $2,000 (37.5% diff)
• 600-700 sq ft: $3,200 vs $2,450 (35.2% diff)
• 700-800 sq ft: $3,200 vs $2,300 (24.5% diff)
• 800-900 sq ft: $3,400 vs $2,400 (29.5% diff)
• 900-1000 sq ft: $3,450 vs $2,600 (24.7% diff)
  Source: squarefoot research

This is perhaps the last plot of land around Aljunied MRT station that can be developed into a condominium. Unless of course certain HDB blocks are selected for redevelopment and taken back by the government. In this area, there will be four condominiums competing for buyers and tenants. Tre Residences, Central Grove, Sims Urban Oasis and Penrose. Tre Residences and Central Grove are too close to Geylang for many people’s liking. Sims Urban Oasis and Penrose seem to be viable options for buyers looking to live near Aljunied MRT Station but want to be away from the hustle and bustle that is Geylang.

Possible bad points of the development

I would say that if you settled on Penrose, unit selection is key as there will be units facing the Pan Island Expressway. If you were curious to know how loud the sound of the expressway can be, there are HDB blocks in Aljunied Crescent that also face the PIE. Buyers can go to these HDB blocks to experience the sound. Buyers should avoid purchasing units with expressway noise.

My thoughts about the development

I am still waiting for pricing to be released before making a more conclusive judgement of the development. However, if pricing were to hover in and around the $1,600 psf range, which is what Sims Urban Oasis is going for in the resale market, this is perhaps a good development to consider for buyers looking for a city fringe property.

Penrose

Pricing TBC

As of writing, pricing had yet to be released.

Location 4.5/5

This is city fringe. As areas like Bugis start to develop and offer more grade A office space, places like Aljunied stand to benefit from the spillover of tenants working in these areas. Aljunied is also a mere five MRT stations away from Raffles Place MRT. Tenants working in the central business district who want easy access to their workplace yet want a place with adequate amenities at a more affordable price should be drawn to a development like Penrose.

Quality 4.5/5

Hong Leong Holdings and CDL are reputable developers with extensive track records. In times like what we are living in today, you want to purchase from developers who can weather the downturn. There have been cases of, but not widely reported and circulated, of Singapore developers going bust and not following through with their developments. Since we are experiencing an unprecedented economic contraction, I do think that the viability of the developer is important. Hong Leong and CDL do also have a track record of developing good, high-quality developments like 76 Shenton, Commonwealth Towers, St. Regis Residences, South Beach Residences, One Shenton, Cliveden at Grange and many others. A collaboration of two property heavyweights bodes well for Penrose.

Yours Sincerely,

Daryl Lum

p.s. Disclaimer: I am a licensed real estate salesperson at the point of writing this review. My real estate agency is the marketing agency for Penrose. Buyers can approach me to purchase Penrose and I will earn a commission from the developer. My reason for writing this review is to share my personal view about the developments not as a real estate salesperson but in the neutral context of a buyer and hopefully share some insight to help buyers make a more informed buying decision.

You can access more information, floor plans and price lists, about Penrose and other new project launches here.

My other Singapore Property Reviews

My review of Normanton Park by Kingsford Development
My review of Forett at Bukit Timah by Qingjian Realty
My review of Clavon by UOL Group
My review of The M by Wingtai Asia
My review of Kopar at Newton by CEL Development
My review of The Avenir by Hong Leong Holdings and GuocoLand
My review of One Holland Village Residences by Far East Organisation
My review of Neu at Novena and Fyve Derbyshire by Roxy Pacific Holdings
My review of Midwood by Hong Leong Holdings
My review of Royalgreen and Juniper Hill by Allgreen Properties
My review of Sky Everton by Sustained Land
My review of Sengkang Grand Residences by Capitaland and City Developments Limited
My review of One Pearl Bank by Capitaland
My review of The Antares by FSKH Development
My review of Parc Clematis by SingHaiyi Group
My review of Piermont Grand by City Developments Limited
My review of Parc Komo by CEL development
My review of Riviere by Frasers Property
My review of Avenue South Residence
My review of 1953 by Oxley Holdings
My review of Uptown @ Farrer
My review of The Florence Residences
My review of Treasure at Tampines
My review of Fourth Avenue Residences
My review of The Woodleigh Residences
My review of Kent Ridge Hill Residences
My review of Arena Residences
My review of Whistler Grand and Twin Vew
My review of Mayfair Gardens and Daintree Residence
My review of Parc Esta
My review of Jui Residences
My review of The Jovell
My review of JadeScape
My review of Stirling Residences and Margaret Ville
My review of The Tre Ver and Riverfront Residences
My review of Park Colonial
My review of Affinity at Serangoon and The Garden Residences

The post My review of Penrose by CDL and Hong Leong Holdings appeared first on Daryl Lum's Blog.

Details about the development

Forett at Bukit Timah is a freehold development along Toh Tuck Road. It is to be built on the site of the former Goodluck Garden which was launched for collective sale with a reserve price of SGD$550 million back in January 2018. The size of the site spans 33,457.2 square meters. Goodluck Garden consisted of eight blocks of 208 residential units and two commercial shops. In March 2018, it was sold to the Qingjian Group of Companies for SGD$610 million. At that point in time, the en bloc wave was still in place and it was the third largest en bloc deal for the year after Park West (SGD$841 million) and Pearl Bank Apartments (SGD$728 million). This particular en bloc sale hit the news in mid-2018 as 7 minority owners objected to the sale after two failed rounds of mediation. The point of contention was that there was no development charge to be paid to redevelop the site but the homeowners were told by the collective sale committee and the marketing agent that there would be. They felt that without the buyer needing to pay DC charges, they could have sold their properties at a higher price. This, however, was turned down by the high court in November 2018 and the collective sale went through.

Forett at Bukit Timah will consist of 633 units spread over four 9-storey and nine 5-storey residential blocks and two shops. Here is the unit mix:

1 bedroom + study, 474 to 495 sq ft, 76 units
2 bedrooms, 549 to 603 sq ft, 72 units
2 bedrooms + study, 689 to 764 sq ft, 149 units
2 bedroom deluxe, 732 to 764 sq ft, 93 units
3 bedroom, 947 to 980 sq ft, 119 units
3 bedroom premium, 1055 to 1109 sq ft, 28 units
3 bedroom dual-key, 1033 sq ft, 29 units
4 bedroom premium, 1281 to 1356 sq ft, 50 units
4 bedroom suite, 1442 sq ft, 9 units
5 bedroom suite, 1884 sq ft, 8 units

Where is the development located?

Forett at Bukit Timah is located along Toh Tuck Road. If you are travelling along Jalan Jurong Kechil, you will need to make a left turn after Bukit Timah Community Club. The nearest MRT Station is Beauty World MRT Station which is on the downtime line. Amenities that are nearby include Bukit Timah Market and there are a whole array of eateries along the shophouses at Lorong Kilat and Cheong Chin Nam Road. There is a FairPrice Finest at Bukit Timah Plaza and a Giant Supermarket at Beauty World Centre.

Forett at Bukit Timah location map

According to Google Maps, the walk to Beauty World MRT Station will take 11 minutes and cover a distance of about 850 meters. The walk is relatively unsheltered. There is however an entrance to the MRT station on the side of Bukit Timah Market and Food Centre and I believe that that should be the closest entrance to the station.

The walk to Beauty World MRT Station from Forett at Bukit Timah

The MRT entrance next to Bukit Timah Market and Food Centre

The train journey from Beauty World MRT Station to Raffles Place MRT Station will take about 21 minutes over 10 stations. The journey will cost $1.60. The LTA Transport Mobile App suggested this route but I would think that it would make a little more sense to make just one change at Bugis Station to get from the Downtown Line to the East-West Line.

The train ride from Beauty World MRT Station to Raffles Place MRT Station

The train journey from Beauty World MRT Station to Orchard MRT Station will take about 15 minutes over 7 stations. The journey will cost $1.44. You will need to make a switch at Newton to get from the Downtown MRT Line to the North-South MRT Line.

The train ride from Beauty World MRT Station to Orchard MRT Station

The drive from Forett at Bukit Timah to Raffles Place will take about 18 minutes and the distance travelled is about 17 kilometres. Do note that at the time of me doing this Google Map query, Singapore was in the midst of our circuit breaker to curb the spread of COVID-19 and thus road conditions were optimal. Do expect to add on significant time when things get back to normalcy and peak hour traffic is factored in.

The drive from Forett at Bukit Timah to Raffle Place

The drive from Forett at Bukit Timah to Orchard Road will take about 14 minutes and cover a distance of 11.3 kilometres. Once again you do have to factor in typical peak hour traffic.

The drive from Forett at Bukit Timah to Orchard Road

Forett at Bukit Timah is also within a 1-kilometre radius of Bukit Timah Primary School (0.451 km) and Pei Hwa Presbyterian Primary School (0.843 km) and within a 2-kilometre radius of Kemin Primary School (1.499 km), Bukit View Primary School (1.847 km) and Methodist Girls’ School (Primary) (1.817 km).

The selling points of the development

The development will have a freehold tenure. I must stress that although it does not seem like this is important in the current context, there comes a point in time when homeowners will understand that not all developments will undergo collective sale and redevelopment. As developments get larger it will get harder to get the required consent to sell properties en bloc. This, of course, could be changed with a piece of legislation but then this is not certain. I have a predisposition to recommend clients look at freehold developments over leasehold developments wherever possible.

There are also plans for a future transport integrated transport hub down the road. It will be located at the cross junction of Jalan Jurong Kechil and Upper Bukit Timah Road. This should bring more interest and development to this area.

Future transport hub

Possible bad points of the development

The walk to the MRT station is not exactly near. In fact, there are other developments in the area which are nearer to the MRT station. If buyers are looking to purchase this development to have it rented, they should face a lot of competition from units nearby. In fact, the positive point which I described in the previous paragraph about the future integrated transport hub happening would be something that investors would want to take note of. That plot of land is slated for residential and commercial use and when an integrated transport hub comes up, buyers and tenants would naturally gravitate to that development rather than developments with no direct access to a shopping mall and transport access.

My thoughts about the development

If you are looking to purchase Forett at Bukit Timah for your own stay, it is perhaps one of the better choices as it does not front the main Jalan Jurong Kechil Road which means that road noise will not be a concern as compared to other developments like Terrene at Bukit Timah. That being said, buyers must be aware that more competition will come up especially in the previously mentioned residential and commercial development highlighted previously. At the point of writing, pricing of the development had yet to be confirmed so I cannot say more about whether the development is attractively priced or not. I will add on to this blog article in the future when pricing has been confirmed.

Forett at Bukit Timah

Forett at Bukit Timah

Pricing (To be confirmed)

Location 3/5

In my previous review of Daintree Residence, I gave it a 3.5/5. Forett at Bukit Timah is deeper within Toh Tuck Road and despite its name, this development is not actually located along Bukit Timah. It is not even located along Upper Bukit Timah. This could work for you and your family if you are looking for a quiet enclave off the busy Jalan Jurong Kechill Road.

Bukit Timah Road is a long stretch of road that starts somewhere along Stevens Road and leads all the way down to Upper Bukit Timah Road. The start of Bukit Timah Road is truly very close to Orchard Road but the drive from Forett at Bukit Timah, which would take about 14 minutes and cover a distance of 11.3 kilometres would actually be longer than the drive from Serangoon MRT Station to Orchard Road which would take about 10 minutes and cover a distance of 8.9 kilometres.

The drive from Serangoon MRT Station to Orchard MRT Station

Quality 4.5/5

I think it would be surprising to see me give such a high score to a Chinese developer but like my previous review of Jadescape, I mentioned about their developments being awarded the CONQUAS Star by BCA. BCA uses the same metrics to rate developers and if we were to put aside our bias against Chinese developers then we will see a developer who has built quite a number of good quality condominiums in Singapore.

I personally think that their previous development Jadescape is something that if you are looking to purchase from an investment standpoint, would be something worth considering. Forett at Bukit Timah, less so. Let’s perhaps see how they price this one.

Yours Sincerely,
Daryl Lum

My other Singapore Property Reviews

My review of Normanton Park by Kingsford Development
My review of Penrose by CDL and Hong Leong Holdings
My review of Clavon by UOL Group
My review of The M by Wingtai Asia
My review of Kopar at Newton by CEL Development
My review of The Avenir by Hong Leong Holdings and GuocoLand
My review of One Holland Village Residences by Far East Organisation
My review of Neu at Novena and Fyve Derbyshire by Roxy Pacific Holdings
My review of Midwood by Hong Leong Holdings
My review of Royalgreen and Juniper Hill by Allgreen Properties
My review of Sky Everton by Sustained Land
My review of Sengkang Grand Residences by Capitaland and City Developments Limited
My review of One Pearl Bank by Capitaland
My review of The Antares by FSKH Development
My review of Parc Clematis by SingHaiyi Group
My review of Piermont Grand by City Developments Limited
My review of Parc Komo by CEL development
My review of Riviere by Frasers Property
My review of Avenue South Residence
My review of 1953 by Oxley Holdings
My review of Uptown @ Farrer
My review of The Florence Residences
My review of Treasure at Tampines
My review of Fourth Avenue Residences
My review of The Woodleigh Residences
My review of Kent Ridge Hill Residences
My review of Arena Residences
My review of Whistler Grand and Twin Vew
My review of Mayfair Gardens and Daintree Residence
My review of Parc Esta
My review of Jui Residences
My review of The Jovell
My review of JadeScape
My review of Stirling Residences and Margaret Ville
My review of The Tre Ver and Riverfront Residences
My review of Park Colonial
My review of Affinity at Serangoon and The Garden Residences

The post My review of Forett at Bukit Timah by Qingjian Realty appeared first on Daryl Lum's Blog.

Details about the development

Clavon is a 99-year leasehold development along Clementi Avenue 1. Back in July 2019, two subsidiaries of UOL Group, namely UOL Venture Investments and UIC Homes, submitted the top bid of SGD$491.3 million for the 178,064 square foot (sq ft) plot in a Government Land Sales (GLS) exercise. This translates to about SGD788 per square foot per plot ratio (psf ppr). The maximum gross floor area (GFA) is 623,229.8 sq ft. This top bid from UOL Group beat four other bidders with the next highest bid from MCL Land coming in at SGD$471 million. UOL announced that it plans to develop a 40-storey development with 640 units and the development is expected to obtain its temporary occupation permit (T.O.P.) in 2024. More details of the unit mix will be updated at a later date.

Where is the development located?

Clavon is located along Clementi Avenue 1, next to The Clement Canopy and just opposite Nan Hua High School. The nearest MRT station is Clementi MRT Station and NUS High School, The Clementi Mall, Clementi Stadium, Clementi Swimming Complex, Clementi Sports Hall, Singapore Polytechnic and NUS are all around the vicinity.

Clavon Location Map

According to Google Maps, the walk to Clementi MRT Station will take about 14 minutes and the distance covered will be about 1.1 kilometers. The walk is relatively sheltered if you do choose to walk under the blocks of flats. You could cut across the HDB flats next to Clavon which are currently not completed but are due to complete before Clavon does. You will be walking through the HDB shophouses next to The Clementi Mall as well.

The walk from Clavon to Clementi MRT Station

Alternatively, you could choose to walk to Dover MRT station which would take about 19 minutes and cover about 1.5 kilometers. This walk is rather unsheltered though.

The walk from Clavon to Dover MRT Station

The train journey from Clementi MRT station to City Hall MRT Station will take approximately 23 minutes over 9 stations and will cost $1.56. Raffles Place MRT Station is on the same East-West MRT Line as Clementi MRT Station. You can also get to Outram Park, Tanjong Pagar and City Hall pretty quickly from Clementi MRT Station.

Clementi MRT to City Hall MRT

The train ride to Orchard MRT Station would take an estimated 20 minutes and cost $1.52. The LTA transport app had me switching lines three times. You could probably just switch to the North-South MRT Line at Raffles Place or City Hall MRT Station and that will be just a solitary switch.

Clementi MRT to Orchard MRT

The drive from Clevon to Raffles Place will take approximately 14 minutes and cover a distance of 12.6 kilometres. Do note that this Google Maps query was done during the circuit breaker period in the midst of the COVID-19 pandemic and thus understandably the traffic is extremely light. Do expect typical rush hour traffic when things do get back to normal and I would think that by the time Clevon is completed, traffic conditions would not be as light as they are currently.

The drive from Clevon to Raffles Place

The drive to Orchard Road will take 15 minutes and cover a distance of about 12.6 kilometres. Once again, current traffic conditions are optimal. Do factor in additional time especially during the typical peak hours.

The drive from Clevon to Orchard Road

The selling points of the development

To me, UOL as a developer is a huge plus. I’ve favoured UOL developments previously due to their attention to detail and quality of their finishes and design. UOL developments typically do not feel mass market and usually feel more premium than the competing developments around the area. The development next door, The Clement Canopy, was a joint development by UOL and Singland and thus UOL does have expertise developing in this area. They should be able to better understand what buyers would want and need and perhaps cater to this in their design and unit mix in Clavon.

Another selling point would be that this area is littered with educational institutions of higher learning. Just around the corner is University town which houses the Yale-NUS College among a host of colleges. The National University of Singapore campus is also very close by and so is Singapore Polytechnic and to a more limited extent, Ngee Ann Polytechnic. There are also many primary and secondary schools in the area. When investing in a development, you do want there to be demand for housing in the area. With these educational institutions around, staff from these institutions will demand for housing nearby and developments like Clevon will stand to benefit.

Possible bad points of the development

The walk to Clementi MRT Station is not exactly near. However, if you are looking for a condominium that is very close to Clementi MRT Station, there isn’t one. The other condominiums in the area, The Trilinq, Parc Clematis and The Clement Canopy are perhaps either about the same distance or further than Clevon to Clementi MRT Station.

The next possible bad point would be that the Ayer Rajah Expressway (AYE) flanks one side of the development. Buyers can avoid units with possible expressway noise when selecting a unit.

My thoughts about the development

UOL is one of the developers that I do take notice of. I think that their developments are very well thought out and their developments are all unique in their own way. They are not the type of developer that does developments which look mass-produced. Their recent developments include Avenue South Residence and The Tre Ver. Since there are early days, I am looking forward to see the artist’s impression and layouts of the development.

For the past 1-year, there were four transactions at The Clement Canopy and they range from $1,471 psf to $1,731 psf with the more recent transactions gravitating towards the lower end of this price range.

Past 12-months transactions for The Clement Canopy

The past 1-year transactions at The Trilinq have seen 6 transactions with prices ranging from $1,080 psf to $1,672 psf. All of these transactions were concluded in 2019.

Past 12-months transactions for The Trilinq

The past 6-months transactions for Parc Clematis range from $1,333 to $1,715 psf. I am disregarding the first transaction in this list as it seems like an outlier with an exceptionally large area. I did a 6-month search as 12-months would have thrown up too large a number of transactions.

Past 6-months transactions for Parc Clematis

At the point of writing this article, the pricing for Clavon had yet to be released. I shall revisit and update this article when the pricing is confirmed.

Clavon

Pricing (To be confirmed)

Location 3.5/5

Clementi is a very matured estate with a whole host of amenities. Clavon is also located in the midst of an array of educational institutions. This should serve as a huge draw to a lot of buyers and there is always going to be a healthy number of tenants looking for accommodation in the area. The only downside to this would be that Clavon is not close to Clementi MRT Station. However, there are no condominiums close to Clementi MRT Station and the demand at The Clement Canopy could serve as a good indication of buying demand as well as potential rental pricing in Clavon. If buyers and tenants want a condominium development in Clementi, Clavon, The Clement Canopy, The Trilinq and Parc Clematis are their only options and they are all about equidistant to Clementi MRT Station. In fact, I may veer slightly towards choosing to live along Clementi Avenue 1 than Jalan Lempeng, where The Trilinq and Parc Clematis are located. Clementi Avenue 1 is closer to schools, polytechnics and universities and if you are driving, has easier access to the expressway and the city. For motorists coming from Jalan Lempeng heading to the AYE, a u-turn must be navigated to get onto the correct lane to enter the expressway.

Quality  4.5/5

As mentioned previously in my review of The Tre Ver, I really like UOL projects. Being in the real estate industry for a significant period of time, I would say that UOL developments are one of the better developments out there in terms of quality and finishing.

I would like to see the pricing and layouts of Clavon before coming to a firmer conclusion as to whether this development is worth considering for those looking for a new project launch.

Yours Sincerely,
Daryl Lum

p.s. Disclaimer: I am a licensed real estate salesperson at the point of writing this review. My reason for writing this review is to share my personal view about the developments not as a real estate salesperson but in the neutral context of a buyer and hopefully share some insight to help buyers make a more informed buying decision.

My other Singapore Property Reviews

My review of Normanton Park by Kingsford Development
My review of Penrose by CDL and Hong Leong Holdings
My review of Forett at Bukit Timah by Qingjian Realty
My review of Clavon by UOL Group
My review of The M by Wingtai Asia
My review of Kopar at Newton by CEL Development
My review of The Avenir by Hong Leong Holdings and GuocoLand
My review of One Holland Village Residences by Far East Organisation
My review of Neu at Novena and Fyve Derbyshire by Roxy Pacific Holdings
My review of Midwood by Hong Leong Holdings
My review of Royalgreen and Juniper Hill by Allgreen Properties
My review of Sky Everton by Sustained Land
My review of Sengkang Grand Residences by Capitaland and City Developments Limited
My review of One Pearl Bank by Capitaland
My review of The Antares by FSKH Development
My review of Parc Clematis by SingHaiyi Group
My review of Piermont Grand by City Developments Limited
My review of Parc Komo by CEL development
My review of Riviere by Frasers Property
My review of Avenue South Residence
My review of 1953 by Oxley Holdings
My review of Uptown @ Farrer
My review of The Florence Residences
My review of Treasure at Tampines
My review of Fourth Avenue Residences
My review of The Woodleigh Residences
My review of Kent Ridge Hill Residences
My review of Arena Residences
My review of Whistler Grand and Twin Vew
My review of Mayfair Gardens and Daintree Residence
My review of Parc Esta
My review of Jui Residences
My review of The Jovell
My review of JadeScape
My review of Stirling Residences and Margaret Ville
My review of The Tre Ver and Riverfront Residences
My review of Park Colonial
My review of Affinity at Serangoon and The Garden Residences

The post My review of Clavon by UOL Group appeared first on Daryl Lum's Blog.

Details about the development

The M is a 99-year leasehold development in Middle Road. Back in March 2019, Wingcharm Investments Pte Ltd, a subsidiary of Wing Tai Holdings, along with 9 other bidders, placed the winning bid of SGD$492 million or about SGD$1,458 per square foot per plot ratio (psf ppr). The 80,300 square foot (sq ft) site will be developed into a private residential development with a commercial portion on the first storey of the development.

The M is a mixed-use development consisting of three 20-storey towers and a 6-storey tower with retail and food and beverage stores on the ground level. The development is expected to be completed in March 2024.

Here is the unit mix:

Studio, 409 to 420 sq ft, 48 units
1-bedroom, 409 to 495 sq ft, 96 units
1+study, 527 sq ft, 89 units
2 bedroom, 592 to 667 sq ft, 170 units
2 bedroom+study, 721 to 764 sq ft, 102 units
3 bedroom dual key, 904 sq ft, 17 units

Where is the development located?

The M is located at 30, 32, 36 and 38 Middle Road. It is just behind Bugis Cube and is very close to Bugis Junction, InterContinental Singapore and the National Library Building. The nearest MRT Station is Bugis MRT Station, which is an interchange between the East-West Line and the Downtown Line. The next nearest MRT Station will be Esplanade MRT Station which is along the Circle Line.

The M Location Map

According to Google Maps, the walk to Bugis MRT Station will take 5 minutes and the distance covered is about 400 metres. The walk is generally sheltered as you can walk along the shophouses as well as navigate to the MRT station through Bugis Junction.

The walk from The M to Bugis MRT Station

The walk to Esplanade MRT Station will take about 6 minutes and the distance covered is about 450 metres. The walk is relatively unsheltered. You will walk past Raffles Hotel.

The walk from The M to Esplanade MRT Station

The train journey from Bugis MRT Station to Orchard MRT Station will take approximately 8 minutes and cost $1.02. The more direct route would be to take one station down along the East-West MRT Line to City Hall MRT Station before changing to the North-South Line to get to Orchard MRT Station. Once again, the transport app by the Land Transport Authority (LTA) is perhaps using the option of travelling fewer stations to the destination without factoring in the fact that commuters will need to walk between the different train lines.

Bugis MRT Station to Orchard MRT Station

The journey from Bugis MRT Station to Raffles Place MRT Station is rather straightforward and will take 5 minutes across 2 stations on the same East-West Line. It will cost $0.92.

Bugis MRT Station to Raffles Place MRT Station

The drive from The M to Orchard Road will take approximately 8 minutes and the distance travelled is about 3 kilometres. My destination is the area around Orchard MRT Station. It would be good to take note that at the point of this Google Map search, traffic conditions are extremely light as we are in the midst of a nationwide circuit breaker to curb the spread of COVID-19 and there are very few vehicles on the road. Do factor in additional time in usual circumstances and peak hour traffic.

The drive from The M to Orchard Road

The drive from The M to Raffles Place will take approximately 7 minutes and the distance travelled is about 2.6 kilometres. Once again, do factor in some additional time as the search was done when traffic conditions were very light.

The drive from The M to Raffles Place MRT Station

The selling points of the development

If you are looking for a development with great connectivity right in Singapore’s central business district (CBD), then The M ticks all the right boxes. This area is right on the edge of Raffles Place and the Marina Bay Financial District. It is close to a large number of major offices. Suntec City, Duo Tower, South Beach and Bugis Junction Tower are just a few major office buildings in the vicinity. Rental demand from this large catchment area is expected to be strong.

Units at The M were sold for an average of $2,450 psf during the launch. The pricing does seem aggressive if we were to compare other newer developments in the area, namely Duo Residences and South Beach Residences. The lowest psf achieved in the last year was $1,800 psf for a 1,722 sq ft unit at Duo Residences with a price of $3,100,000. The highest psf achieved in the last year was $3,888 psf for a 4,424 sq ft unit at South Beach Residences with a price of $17,200,000. I have attached the past one year’s new sale and resale data extracted from the URA’s website. During launch, there were units at The M that were priced at below $1 million, which does seem like an attractive proposition.

URA Past Transactions for Duo Residences and South Beach Residences

URA Past Transactions for Duo Residences and South Beach Residences

The experience and reputation of Wingtai Asia is a huge plus. It is not extensively documented but there are instances whereby developers in Singapore have failed to handover their developments on time or at all. Two such developments, Sycamore Tree and Laurel Tree by Astoria Development comes to mind. The impending recession that is ahead of us will put pressure on the balance sheets of all developers and the larger, more established ones will perhaps be the ones who will emerge from this relatively unscathed. Wingtai Asia has had decades of experience developing numerous developments in Singapore. Their current developments include Le Nouvel Ardmore, The Crest and The Garden Residences.

My thoughts about the development

It is ironic that a lot of the developments which I am positive about seem to happen when market sentiment is at its lowest. At this current juncture, there are about 30 per cent of the development left for sale. Most of the units are on the higher levels and are thus higher in terms of psf pricing and thus the absolute quantum of these units may not be affordable to a large percentage of property buyers. That being said, this is perhaps one of the best developments you can buy if you are looking for a new project launch. The location of The M is really prime and renting out the unit should not be an issue if your asking price is in line with the market when you put it up for rent. There are not many plots of vacant land in the CBD and if you are looking for something in the heart of the CBD, I do think that you should consider The M. Just be more prudent when budgeting for your purchase because the impending recession does seem like it is going to be rather severe. However, chances are that demand for properties right in Singapore’s CBD should remain prevalent. The developments which may need a rethink in pricing strategy should be those in less developed parts of Singapore with poorer accessibility.

The M

The M

Pricing 4/5

To me, reasonable. This would be higher if it were not for the COVID-19 situation.

Location 4.5/5

I’ve dealt with properties in this area. Renting well kept units in this area is not difficult. The M is surrounded by amenities and has easy access to the rest of Singapore via the multiple array of train lines nearby. The M is walking distance to the East-West Line, the Downtown Line, The Circle Line and the North-South Line. Hardly will you find a development with easy access to this many train lines.

Quality 4/5

I’ve mentioned about Wingtai Asia’s track record. They are also very experienced in developing high-end, luxury condominiums. Notable mentions include 8 Orange Grove, Belle Vue Residences, Newton 18 and The Light at Cairnhill.

Yours Sincerely,

Daryl Lum

p.s. Disclaimer: I am a licensed real estate salesperson at the point of writing this review. My real estate agency is the marketing agency for The M. Buyers can approach me to purchase The M and I will earn a commission from the developer. My reason for writing this review is to share my personal view about the developments not as a real estate salesperson but in the neutral context of a buyer and hopefully share some insight to help buyers make a more informed buying decision.

You can access more information, floor plans and price lists, about The M and other new project launches here.

My other Singapore Property Reviews

My review of Normanton Park by Kingsford Development
My review of Penrose by CDL and Hong Leong Holdings
My review of Forett at Bukit Timah by Qingjian Realty
My review of Clavon by UOL Group
My review of Kopar at Newton by CEL Development
My review of The Avenir by Hong Leong Holdings and GuocoLand
My review of One Holland Village Residences by Far East Organisation
My review of Neu at Novena and Fyve Derbyshire by Roxy Pacific Holdings
My review of Midwood by Hong Leong Holdings
My review of Royalgreen and Juniper Hill by Allgreen Properties
My review of Sky Everton by Sustained Land
My review of Sengkang Grand Residences by Capitaland and City Developments Limited
My review of One Pearl Bank by Capitaland
My review of The Antares by FSKH Development
My review of Parc Clematis by SingHaiyi Group
My review of Piermont Grand by City Developments Limited
My review of Parc Komo by CEL development
My review of Riviere by Frasers Property
My review of Avenue South Residence
My review of 1953 by Oxley Holdings
My review of Uptown @ Farrer
My review of The Florence Residences
My review of Treasure at Tampines
My review of Fourth Avenue Residences
My review of The Woodleigh Residences
My review of Kent Ridge Hill Residences
My review of Arena Residences
My review of Whistler Grand and Twin Vew
My review of Mayfair Gardens and Daintree Residence
My review of Parc Esta
My review of Jui Residences
My review of The Jovell
My review of JadeScape
My review of Stirling Residences and Margaret Ville
My review of The Tre Ver and Riverfront Residences
My review of Park Colonial
My review of Affinity at Serangoon and The Garden Residences

The post My review of The M by Wingtai Asia appeared first on Daryl Lum's Blog.

Details about the development

Kopar at Newton is a 99-year leasehold development developed by CEL Development. CEL Development is the development arm of Singapore listed construction and property developer Chip Eng Seng Corp. In January 2019, Chip Eng Send submitted the winning bid for the 125,326 square foot plot of land at Kampong Java Road which will be developed into Kopar at Newton. There were seven bids and CEL Development’s winning bid of SGD$418.8 million translates to SGD$1,192 per square foot per plot ratio (psf ppr). The second highest bid of SGD$417.24 million (SGD$1,189.97 psf ppr) was submitted by Guocoland. This Kampong Java site was the first private residential land that was launched from the confirmed list of the government land sale (GLS) since the minimum average unit size guidelines were announced in October. The winning bid was below analysts’ expectations which portrayed a cautious sentiment among developers.

Kopar at Newton will have a total gross floor area (GFA) of 32,601 square meters (sqm) or 350,917 square feet (sqft). The 99-year lease will start from 22nd of April 2019 and will comprise of 2 towers of 23-storey residential apartments with a total of 378 units.

Here is the unit mix:

1 bedroom, 517 sqft, 66 units
2 bedroom classic, 614 sqft, 42 units
2 bedroom deluxe, 689 sqft, 86 units
3 bedroom classic 915 to 958 sqft, 44 units
3 bedroom deluxe 1055 to 1098 sqft, 66 units
4 bedroom deluxe 1518 to 1604 sqft, 45 units
5 bedroom luxury, 1819 sqft, 21 units
3 bedroom deluxe penthouse, 1593 to 1636 sqft, 4 units
4 bedroom deluxe penthouse, 1991 sqft, 1 unit
Premier penthouse, 2960 to 3305 sqft, 3 units

Where is the development located?

Kopar at Newton is located at 6 and 8 Makeway Avenue just off Newton Circus. It is a street away from the famous Newton Food Centre and opposite Newton MRT Station.

Kopar at Newton Location Map

The closest MRT station is invariably Newton MRT Station. Newton MRT Station is an interchange between the North-South MRT Line and the Downtown MRT Line. According to Google Maps, the walk from Kopar at Newton to Newton MRT Station will take approximately 9 minutes and cover a distance of about 700 metres. The walk to the station is relatively unsheltered and I do believe that in future there should be an access for residents along Bukit Timah Road which should cut the walking distance significantly as compared to what is shown on Google Maps.

The walk from Kopar at Newton to Newton MRT Station

If you are travelling to Orchard MRT Station from Newton MRT Station, it is one station away and will take you about 3 minutes and cost you $0.92.

Newton MRT Station to Orchard MRT Station

If you are travelling to Raffles Place MRT Station, it will take approximately 9 minutes and cost $1.12. The LTA transport app’s suggestion is to make changes to other lines. However, Raffles Place MRT Station is also on the North-South MRT Line. Thus you can remain on the North-South MRT Line to get to Raffles Place MRT Station instead.

Newton MRT Station to Raffles Place MRT Station

The drive to Orchard Road (The area around Orchard MRT Station), is about 2.4 kilometres and will take about 6 minutes.

The drive to Orchard Road

The drive to Raffles Place will take 12 minutes and the distance travelled will be about 4.9 kilometres. Do note that the current situation is very optimal due to the imposed circuit breaker and almost the whole of Singapore is staying at home. In normal circumstances, the drive should take longer and during peak hours, expect to add additional travel time to this 12 minutes.

The drive to Raffles Place

The selling points of the development

The development is located right in the city fringe. It is located within very close proximity to Newton MRT Station and very close to Singapore’s main shopping belt. In today’s environment where prices of developments outside core central region launches are reaching levels close to developments located in the core central region, I think it would be good to revisit city living. I have always been a proponent of purchasing properties in as good a location as possible and Kopar at Newton does tick this item on my property buying checklist. No matter how the Singapore government tries to decentralise the central business district, Singapore’s main shopping belt and central business district will remain as Orchard Road and Raffles Place and the Marina Bay Financial Centre respectively. Thus large multi-national corporations will still have their main offices located in the heart of the city even as some move backend and support operations to other parts of Singapore.

The proximity of Kopar at Newton to Newton MRT station is a massive plus. Newton MRT Station is an interchange of two existing lines. One station down, Orchard MRT Station, will be the future interchange of the existing North-South MRT Line as well as the upcoming Thomson-East Coast Line. Connectivity to various parts of Singapore will be very high for residents at Kopar at Newton.

Kopar at Newton is also within a 1-kilometre radius of three reputable primary school. My search on elite.com.sg, a portal to calculate whether schools are within a 1 and 2-kilometre radius of a particular property, showed that 8 Makeway Avenue is within a 1-kilometre radius of Anglo-Chinese School (Junior), St. Joseph’s Institution Junior and Anglo-Chinese School (Primary) whereas 6 Makeway Avenue is within a 1-kilometre radius of only Anglo-Chinese School (Junior) and St. Joseph’s Institution Junior. Both blocks are also within a 2-kilometre radius of Farrer Park Primary School, St. Margaret’s Primary School and Singapore Chinese Girls’ Primary School. Having a reputable primary school near a property in Singapore is an added plus. Families do consider such factors as it increases their child’s chances of entering a particular primary school which good be good for you as a seller or landlord down the road.

This area has many offices, institutes of learning, medical centres and hospitals. Notable ones include UOB Kay Hian, Prudential, The Ministry of Environment, Lasalle College of Arts, KK Women’s & Children’s Hospital, Inland Revenue Authority of Singapore, Novena Medical and Specialist Centre and Tan Tock Seng Hospital. There is a catchment area for potential tenants from these establishments.

Potential bad points about the development

The development is situated just at the foot of Newton Flyover which can be a rather busy road. There may be potential road noise for some units in the development. It would be wise for buyers to select units wisely.

Another potential downside would be that there is no notable shopping mall with amenities nearby. The closest and most convenient would be to take a drive or one MRT Station down to Novena to get to Cold Storage or FairPrice. Alternatively, you may also travel down to Orchard Road which is very close by and is also one MRT station away. There are many supermarkets and amenities there. I do not see this as a major disadvantage though. Just a possible concern for some residents when accessing the amenities in the area.

This development is a 99-year leasehold development whereas there are many freehold options in the vicinity.

My thoughts about the development

This was a development that stoked my interest and I had been looking forward to its launch since CEL Development acquired this plot of land. If we were to make a comparison of recent launches in the vicinity, the nearby Fourth Avenue Residences, which was a plot of land which Allgreen Properties also acquired through a government land sale exercise, was purchased for a higher price ($1,540 psf ppr) and this translated to launch prices of just over $2,000 psf for the 99-year leasehold development. Kopar at Newton is also priced at around the same price as Fourth Avenue Residences with prices starting from about $2,100 psf. If it were not for the current weak economic situation, I would think that launch prices could be higher than what they are.

Here is the past 1 year URA transaction records of developments in the vicinity. I have included Trilight, Gilstead Two, Newton Edge and Newton One. The lowest psf achieved was $1,378 psf and the highest was $2,064 psf. The median psf is $1,781 psf. Kopar at Newton is about 20 per cent higher than the median price of these four developments. With the weaker market sentiment, we are starting to see the price gap between the resale and new project launches narrow and this trend is evident in Kopar at Newton.

URA Past Transaction Records for Trilight Gilstead Two Newton Edge and Newton One

Once again the debate of whether freehold or leasehold matters moving forward comes to play. I’ve made my stand clear in my previous reviews and you can read a short snippet of my thoughts in my review of The Avenir. That being said, I do think that this development is one of the better ones to be launched in 2020, albeit at a not too optimum time.

Kopar at Newton

Kopar at Newton Perspective

Pricing 3.5/5

If not for the current economic predicament, this would be higher. I do think that Kopar at Newton is priced at a decent premium over the resale market in the vicinity. The developer did acquire this land for a reasonable price and their pricing does seem to reflect this.

Location 4.5/5

This was a development which I had been anticipating. At times of market weakness, it is perhaps time to revisit properties with extremely prime locational qualities. When the rental market is weak, developments which are not close to the core city centre should be affected negatively. As tenants’ budgets fall, so will rents but low rent is better than no rent. As the downturn intensifies, we will start to see that it pays to purchase properties which are closer to the city centre and close to a train station. Newton MRT Station is also an interchange between the North-South MRT Line as well as the Downtown Line. Both these lines take commuters to various parts of the city centre.

Quality 4/5

CEL development is an experienced developer with a good track record. Notable past projects include My Manhattan, Junction Nine and Nine Residences, Grandeur Park Residences and Fulcrum.  They are also the developer for Parc Komo and are also part of a consortium that is developing Park Colonial.

Yours Sincerely,

Daryl Lum

p.s. Disclaimer: I am a licensed real estate salesperson at the point of writing this review. My real estate agency is the marketing agency for Kopar at Newton. Buyers can approach me to purchase Kopar at Newton and I will earn a commission from the developer. My reason for writing this review is to share my personal view about the developments not as a real estate salesperson but in the neutral context of a buyer and hopefully share some insight to help buyers make a more informed buying decision.

You can access more information, floor plans and price lists, about Kopar at Newton and other new project launches here.

My other Singapore Property Reviews

My review of Normanton Park by Kingsford Development
My review of Penrose by CDL and Hong Leong Holdings
My review of Forett at Bukit Timah by Qingjian Realty
My review of Clavon by UOL Group
My review of The Avenir by Hong Leong Holdings and GuocoLand
My review of One Holland Village Residences by Far East Organisation
My review of Neu at Novena and Fyve Derbyshire by Roxy Pacific Holdings
My review of Midwood by Hong Leong Holdings
My review of Royalgreen and Juniper Hill by Allgreen Properties
My review of Sky Everton by Sustained Land
My review of Sengkang Grand Residences by Capitaland and City Developments Limited
My review of One Pearl Bank by Capitaland
My review of The Antares by FSKH Development
My review of Parc Clematis by SingHaiyi Group
My review of Piermont Grand by City Developments Limited
My review of Parc Komo by CEL development
My review of Riviere by Frasers Property
My review of Avenue South Residence
My review of 1953 by Oxley Holdings
My review of Uptown @ Farrer
My review of The Florence Residences
My review of Treasure at Tampines
My review of Fourth Avenue Residences
My review of The Woodleigh Residences
My review of Kent Ridge Hill Residences
My review of Arena Residences
My review of Whistler Grand and Twin Vew
My review of Mayfair Gardens and Daintree Residence
My review of Parc Esta
My review of Jui Residences
My review of The Jovell
My review of JadeScape
My review of Stirling Residences and Margaret Ville
My review of The Tre Ver and Riverfront Residences
My review of Park Colonial
My review of Affinity at Serangoon and The Garden Residences

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