Higher demand for well-established location

SINGAPORE — After a relatively slow start, the Build-to-Order (BTO) flats in Tampines launched last week have  enjoyed a surge in interest, with all flat types oversubscribed as of 5pm on Tuesday, hours before the exercise ended at midnight.

In particular, the 5-room/3-Generation flats saw strong interest, with 2,022 applications for the 879 flats on offer, or a subscription rate of 2.3. The demand was powered by second-time applicants, with 15 applications for every unit available to them. Recent executive condo launches include Treasure Crest and Northwave EC while existing ones include The Terrace EC, Brownstone EC, The Visionaire EC, Parc Life EC , Waterwoods EC, Signature at Yishun, Skypark Residences, Wandervale EC, The Vales EC, The Criterion, The Amore EC,  Bellewaters EC, Bellewoods EC.

Second-timers also drove the demand for the 3-room units in Tampines, with 15.5 applications for every unit available to them. Overall, there were 471 applications for the 356 3-room units on offer, or a subscription rate of 1.3. The 4-room flats saw 2,487 applications for the 1,501 units on offer, or a subscription rate of 1.7.

Century 21’s chief executive officer Ku Swee Yong said demand for the Tampines project may appear cooler, but is actually “quite healthy” given the larger number of flats on offer.

But as the area is less developed, “some buyers may be concerned that the amenities may not come soon enough”, added Mr Ku.

Suntec Real Estate Consultant’s manager of research and consultancy Caroline Koh agreed, and added that the completion time for the GreenVerge project is also longer.

A total of 4,841 BTO flats were launched across five projects on Aug 17, in the third exercise of the year. Two projects will be in Tampines, offering 2,736 units. The other projects will be in the non-mature towns of Hougang (711 units), Sembawang (570) and Yishun (824).

At the launch of the exercise, demand for units in Hougang — located in the Buangkok area — had overshadowed that for other estates, especially for the 2-room Flexi flats in the town, which were almost fully subscribed on day one.

At 5pm on Tuesday, the demand remained strong, surging to 2,186 applications for 364 units, or a subscription rate of 6. Two-room Flexi units allow elderly applicants to choose from a variety of lease lengths, but the demand in this exercise was largely driven by singles, with 13.7 applications for every unit available to this group. Among the elderly, there were four applications for every unit available to them.

Other flat types for the Hougang project were also oversubscribed, with more than four applicant vying for each of the 3- and 4-room flats.

The higher demand in Hougang could be because it is a “relatively more well-established” area, with completed amenities such as an MRT station in the vicinity, said Mr Ku.

Ms Koh added that as the project is in a non-mature estate, prices would be more attractive compared to those in Tampines.

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