Private Property prices......still up or down? Part II

[LPPL]

J gateway that one was fortunate for developer and agents

Sales was tepid up till afternoon

And govt announced the tdsr and right away agents all called the buyers and many rushed down to sign

And in a few hours after that all sold out

Agents had to work till 2-3am to finish paper work, but damn worth it ð (For agents, that is)

The developer and agents laughing all the way to the bank for this project but not the "investors.

Whats the average psf the sales were done at?

Average psf I think should be $14xxpsf, but the one bedders were going for close to $1800psf!

[Throttle2]

The developer and agents laughing all the way to the bank for this project but not the "investors.

Average psf I think should be $14xxpsf, but the one bedders were going for close to $1800psf!

 

Yup, and i am a believer that a deal is truly good only when it is win win

Thats why i sell my Rolexes at very reasonable prices.

I win, buyer wins

 

[Showster]

The developer and agents laughing all the way to the bank for this project but not the "investors.

Average psf I think should be $14xxpsf, but the one bedders were going for close to $1800psf!

J Gateway even if you take the lowest rent registered and take the highest PSF registered the yield is still 3% in the harshest of market condition. For most units, the yield is probably 3.5 to 4%. What's so bad?

[Mercs]

2 cases in city square, one is big lost one is big winners, must hold for 11 years to be winners

The one sold at loss just right after 4 years, so probably waiting to clear SSD ... have to sell.

 

As for the winner, hold 11 years, make a cool million, I take this kind of deal ... any day.

 

[Mercs]

Only wanted to release 40%, due to overwhelming response, 50% sold on first day of launch.

Showflat closed after just one day of sales, anticipating an uptrend in prices?

 

Just goes to show, developers now are NOT worried units can't sell, only to release units for sale when prices are even more favourable.

From $1,600 to over $2,000 psf NOW for Paya Lebar, what does that tell you?

 

Huat lah!

 

https://www.theedgeproperty.com.sg/content/half-units-park-place-residences-snapped-first-day-sales

Half the units at Park Place Residences snapped up on first day of sales

March 26, 2017

 

 

"Most successful private condominium launches in recent years, overwhelming response from buyers who queued from early morning"

Who are the buyers? some details here

 

Huat lah!

 

http://www.propertyguru.com.sg/property-management-news/2017/3/149309/50-of-park-place-residences-sold-on-launch-day

50% of Park Place Residences sold on launch day

March 27, 2017

 

Australia-based developer Lendlease sold 215 (50 percent) of the 429 available units at Park Place Residences in Paya Lebar Quarter (PLQ) during the first day of launch last Saturday (25 March).

 

This represented over 100 percent of the planned sales under the first phase, making it one of Singapore’s most successful private condominium launches in recent years.

 

Lendlease had originally intended to release only 40 percent of the units last weekend, but due to overwhelming response from buyers who queued from early morning, an additional 10 percent of the condo units were launched for sale.

 

Prices of the units ranged from around $800,000 for a one-bedroom apartment to $2.1 million for a three-bedroom premium unit, which works out to $1,600 psf to over $2,000 psf.

 

“The strong sales show our buyers confidence in the quality of the project and in Lendlease,” said Tony Lombardo, CEO for Asia.

 

One of the buyers was Patrick Yap, 39, who purchased a one-bedder for investment purposes. “Park Place Residences is part of an integrated development (PLQ) with an upcoming retail mall and offices. Together with its convenient location, I am confident that it will attract many tenants,” he said.

 

Similarly, 31-year-old Huang Zhenbiao and his wife bought a two-bedroom apartment after being attracted to the project’s strategic location.

 

“The development is on the Paya Lebar MRT interchange, and we can get to the Central Business District (CBD) quickly. There is potential development around the area too, which is another plus point.”

 

Meanwhile, prices of the remaining units at Park Place Residences are expected to increase when details of other upcoming developments in the vicinity are announced, especially in the greater Paya Lebar Central area.

 

The location is also emerging as a new vibrant hub in Singapore, given its position on the double MRT Interchange and proximity to the CBD and Changi Airport.

 

Following the successful launch, Lendlease will now temporarily close the showflat. Details on the next phase of sales are expected to be revealed later this year, while construction of the entire development is expected to be completed by early 2019.

[Mercs]

With overwhelming demand ... and less supply ... so the only way for prices to go is ... UP?

 

Huat lah!

 

https://www.theedgeproperty.com.sg/content/new-condo-prices-stay-elevated

New condo prices to stay elevated

March 27, 2017

 

Nearly 30 private housing sites were launched for sale in 2011, excluding executive condo sites. In comparison, less than 10 private housing sites were launched for sale in 2016. It is therefore hardly surprising that developers have shown robust appetite for land in recent times, exarcebated by stiffer competition from foreign developers.

 

Developers have submitted bullish bids in state tenders since mid-2016. Notably, GuocoLand’s top bid of $1,239 psf per plot ratio (ppr) for the Martin Place site in June 2016 was the highest unit land price for a pure residential site sold in the government land sales programme. The break-even price for the site would be $1,800 to $1,900 psf.

 

Just three months after the sale of the Martin Place site, a private housing site on Fernvale Road attracted a top bid of $517 psf ppr from Sing Development and Wee Hur Development. The price was 17% higher than the $443 psf ppr paid in August 2014 for a neighbouring site that is currently being developed into High Park Residences. With the break-even price projected to be $950 to $1,050 psf, the launch price for the new condominium on the site could be over $1,100 psf. Prices at High Park Residences, meanwhile, have averaged $989 psf.

 

Separately, MCL Land paid $998 psf ppr for a residential site on Margaret Drive in December 2016, 15% higher than the $871 psf ppr fetched for the Queens Peak site and 13% more than the $883 psf ppr paid for the Commonwealth Towers site. Most recently, China Construction paid $592 psf ppr for a private housing site on West Coast Vale, 7% higher than the $551 psf ppr that EL Development paid for its Parc Riviera site next door.

 

Recent land sales paint a rosier picture for the Singapore residential market after more than three years of declining prices. The bullish bids would mean that the average development cost will be elevated and, under normal circumstances, this would translate into higher selling prices for new launches.

[Wyfitms]

"Most successful private condominium launches in recent years, overwhelming response from buyers who queued from early morning"

Who are the buyers? some details here

 

Huat lah!

 

http://www.propertyguru.com.sg/property-management-news/2017/3/149309/50-of-park-place-residences-sold-on-launch-day

50% of Park Place Residences sold on launch day

March 27, 2017

 

 

Wah all in their 30s

Swee

[Newbie26]

Hope the feel good factor will last and not  get overwhelmed by rising interest rates.

 

Will be interesting to see how developers settle their unsold inventory to beat the ABSD later this year

 

With overwhelming demand ... and less supply ... so the only way for prices to go is ... UP?

Huat lah!

https://www.theedgeproperty.com.sg/content/new-condo-prices-stay-elevated
New condo prices to stay elevated
March 27, 2017
 

 

[Icedbs]

Actually instead of looking at some of these new projects, smart investors should be  looking at balanced units of past projects which offers good discount especially during this rising buyers sentiment.

 

There are many new projects (that are in construction stage) that had good balance units due to past poor sentiments. Smart investors should look at some of these to unearth good gems.

[Throttle2]

Actually instead of looking at some of these new projects, smart investors should be looking at balanced units of past projects which offers good discount especially during this rising buyers sentiment.

 

There are many new projects (that are in construction stage) that had good balance units due to past poor sentiments. Smart investors should look at some of these to unearth good gems.

人话

[LPPL]

Actually instead of looking at some of these new projects, smart investors should be looking at balanced units of past projects which offers good discount especially during this rising buyers sentiment.

 

There are many new projects (that are in construction stage) that had good balance units due to past poor sentiments. Smart investors should look at some of these to unearth good gems.

Name me one new launch project that you think has a decent pricing.

[Showster]

North, South, East , West, Central?

 

West right?

 

Developer needs good reputation? If no need and only need decent pricing, there is one that has a great pricing, but personally I won't go for it unless TOP can inspect.

 

 

Name me one new launch project that you think has a decent pricing.

 

Edited March 27, 2017 by Showster

[Mercs]

Hope the feel good factor will last and not get overwhelmed by rising interest rates.

 

Will be interesting to see how developers settle their unsold inventory to beat the ABSD later this year

Haha yeah, now no more loophole to bulk sale via shares, maybe have some durian drop?

 

When interest rates rise further, CMs to ease further ... possible?

 

Feel good factor, let the good times roll!

 

Next to watch ... Seaside Residences, another hotcake???

 

[Mercs]

Wah all in their 30s

Swee

[Mercs]

Isn't this paya lebar project part of lend lease's bid. I recall they paid like 900psf for the land

 

Whether breakeven at 50% would depend on how they allocated the land price psf internally. I'd imagine retail and office would carry a heavier weightage of the land price

Dun even need retail/office to carry heavier weightage ...

 

Land bid at 943psf, add construction cost/misc another 450psf ... breakeven at 1400psf est.

Selling 1600psf (big units) to over 2000psf (small units) ...profit 200-600psf.

With this type of profit margin, any developer also laugh all the way to the bank.

So maybe dun even need 50% breakeven, 40% should suffice, that could be the reason why only wanna launch 40% units for phase 1?

 

Now 50% sold, already up 10%, with another 50% units at presumably ZERO cost, hold and probably up prices for phase 2.

So you say, huat or not? This is not just huat, is ...

 

Super Huat lah!

[Theoldjaffa]

the location is good.

 

There's Paya Lebar Square, OneKM Mall, the revamped SingPost building with a new shopping mall that has GV, Aunty Lucy and Kopitam as anchor tenants.

 

Adding PLQ into the mix, the area will no longer be just an industrial area housing car workshops.

 

just hope that traffic flow can be planned properly cos currently the area sucks especially during peak hours.

[Freewill]

Just hope it doesnt turn out to be a mall with full of foreigners on sunday. If they were the main patrons, you can expect locals to siam the place and the tenants coming in may cater to different needs also.

[Theoldjaffa]

Just hope it doesnt turn out to be a mall with full of foreigners on sunday. If they were the main patrons, you can expect locals to siam the place and the tenants coming in may cater to different needs also.

 

why will it be full of foreigners?