Clementi is one of the more popular mature estates in Singapore and this is one of the reasons why Parc Clematis is getting a good deal of attention. It is one of a slew of projects that will be launched after the hungry ghost festival or what is typically called the seventh month. In fact, the previews received rather strong turnouts.
Details about the development
Parc Clematis is a 99-year leasehold development located along Jalan Lempeng. The 99-year leasehold commences from 8th August 2019. It will be developed on the site of the former Park West Condominium which Singhaiyi acquired through a collective sale in January 2018 for SGD$840.9 million. The site occupies a land area of about 633,644 square feet with a plot ratio of 2.1. The initial lease commenced on 8th of March 1982 and the developer has applied to the Singapore Land Authority (SLA) to have the lease upgraded. This was the third time that the owners of Park West Condominium attempted an en bloc sale following attempts in 2011 and 2007. Park West Condominium comprised of 432 residential units and 4 shops and will make way for Parc Clematis which will consist of nine 24-storey tower blocks, six 2-storey strata bungalows and twelve 2-storey strata semi-detached units making a total of 1468 units. The expected date of vacant possession for Parc Clematis is 1st September 2023.
Where is the development located?
Parc Clematis is located along Jalan Lempeng. It is right next to Regent Park and just opposite The Trilinq. It is right next to the Faber Hills landed enclave. If you are driving along Commonwealth Avenue and you go past The Clementi Mall on your left, Jalan Lempeng is the first road you turn into after you pass the turning into the AYE Expressway.
If you are walking to Clementi MRT Station from Parc Clematis, you can utilise the overhead bridge just next to Regent Park Condominium which will go over the AYE Expressway.
Currently, there is an empty plot of land diagonally across Parc Clematis and from the URA Master Plan, it does seem like this is a residential plot of land. Perhaps in future, there may be some HDB developments on this plot of land. If that were so, residents of Parc Clematis walking to the Clementi MRT Station could have some shelter as currently, the walk to Clementi MRT Station is rather unsheltered.
Alternatively, residents of Parc Clematis could take a bus from the bus stop just next to Regent Park. It would take 2 bus stops to get to Clementi MRT Station and there are a number of bus services that ply this route.
Travelling to Raffles Place MRT Station is rather straightforward as it is along the same MRT line. It would take about 18 minutes over 9 stations and would cost $1.47.
Travelling to Orchard MRT station would require you to make some changes to other MRT lines. You could also make a change to the North-South Line at City Hall MRT Station or Raffles Place MRT Station instead of what is recommended below. It would take 16 minutes over 8 stations and cost $1.43.
The drive to Raffles Place will take about 15 minutes. The distance travelled is approximately 13.8 kilometres and the optimal route would be via the AYE Expressway. Do note that I am doing this query on Google Maps in the wee hours in the morning and thus traffic conditions should be very optimal. Do factor in some additional travel time during the usual peak hours.
The drive to Orchard Road will take about 15 minutes. The distance travelled is approximately 13.7 kilometres and the optimal route would be via the AYE Expressway although I would think that many may opt to travel via Holland Road which would only require a distance travelled of approximately 9.6 kilometres. Once again this Google Maps query was done during optimal traffic conditions. Peak hour traffic would add on additional travelling time.
The selling points of the development
The main selling point, in my opinion, would be the fact that this development is located within close proximity to Clementi central. It is not located right in the heart of where The Clementi Mall or Clementi Interchange and Clementi MRT Station are but if you are looking for a condominium in Clementi, this development, together with The Trilinq and Regent Park are perhaps the closest condominiums to Clementi MRT Station. There are a lot of benefits of living in an extremely matured estate like Clementi. Amenities are adequate and demand for properties in mature estates tend to be very strong as younger buyers may demand properties close to their parents who live in mature estates.
If you are looking for a condominium close to Clementi MRT Station then this is the closest development as only HDB flats are located right next to Clementi Mall and Clementi MRT Station. Moreover, there is only one available empty plot of land which is located just next to Clementi Town Secondary School and I would believe that that should be allocated as HDB flats in future.
Clementi is located in close proximity to many schools and tertiary institutions like Singapore Polytechnic and Ngee Ann Polytechnic. It is also close to the National University of Singapore, Singapore Institute of Management and Singapore University of Social Sciences. This should provide a pool of rental demand from those working and perhaps some who are studying in these institutions.
Possible bad points about the development
It is not exactly very close to Clementi MRT Station and Clementi Mall. The walk to the MRT station takes about 16 minutes and is relatively unsheltered. If tenants want to stay in a condominium that is around Clementi MRT Station then this would be it but if they find the walking distance arduous then they might consider renting an HDB flat located next to the MRT station instead of a condominium unit.
The competition for resale and rental will be strong as there are two other condominiums in the area, The Trilinq which has 755 units and Regent Park which has 276 units and this makes a total of 1,031 units in the area. Parc Clematis will bring 1,468 units into the area which is an increase of 142 per cent.
My thoughts about the development
Pricing wise I do think it is in line with expectations. If buyers are looking to purchase for rental income they do have to take note that prevailing rents for one-bedroom units in the area, most notably The Trilinq, are in the range of $2,000 to $2,500 a month. This works out to a gross yield of about 3 odd per cent. If you were to factor in costs and vacancies and the large increase in units in the area, the eventual nett yield may be in the region of about 2 odd per cent.
I do think that the benefits of living in a matured estate like Clementi would be a better reason to purchase a development like Parc Clematis rather than to think that the spillover effect from the Jurong Lake District will spill over to Clementi. Despite being one MRT station away, Jurong does have ample developments to serve the demand that will come about from the growth in the area. Clementi itself as a matured estate is a large draw.
This is a tricky one. The Trilinq which is approximately a 4-year-old development has had units that have been transacted at more than $1,600 per square foot. In fact, a 915 square foot unit was sold for SGD$1,490,000 in May 2019. When you factor in the fact that prices in Parc Clematis are hovering around these levels, buyers may opt for the newer option. I would expect the one-bedroom units to be well-received due to the fact that they are of a lower quantum. I do think that the larger units, with larger quantum, would find fewer takers as compared to the one-bedroom units. The indicative pricing for a one-bedroom unit seems to hover in the SGD$700,000 range and two-bedroom units at just over a million. I do think that this developer, just like many others, acquired land at the peak of the en bloc fever and yet have to sell during a period where market sentiment is distinctively less buoyant. They are bounded by URA regulations to have a minimum average size for units in their developments and thus they have to put in the larger units to fulfil these requirements. Consequently, the absolute pricing for such units will be high and it will have to be seen if the market can stomach these larger units.
This is another strange one for me. On one hand, if you are looking for a condominium that is close to Clementi MRT Station, this is perhaps the nearest. However, it is not exactly near to the MRT station and the walk is rather unsheltered. I am giving this a rather high score due to that fact that Clementi is an extremely matured estates and for anyone who has lived in matured estates like Ang Mo Kio, Bedok or Clementi will tell you, the amenities and food options for such estate are unrivalled when compared to other locations. Clementi is also surrounded by many schools and institutes of higher learning.
SingHaiyi Group is an experienced property developer with a decent track record. Concurrently they are also developing two other developments, The Gazania and The Lilium along How Sun Drive and How Sun Road respectively. Their track record includes the Design and Build HDB development Pasir Ris One and the Executive Condominiums CityLife@Tampines and The Vales. They are also the developer for City Suites in Balestier and the development at 9 Penang Road, formerly known as Park Mall. More notably, The Vales and Citysuites were awarded the CONQUAS award by the Building and Construction Authority (BCA).
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 Parc Clematis. Buyers can approach me to purchase Parc Clematis 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.
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