HSR project’s delay not an obstacle to local property market

A deal was inked last week between Malaysia and Singapore to postpone the High-speed rail (HSR) project till May 31, 2020.

While on paper the postponement is for less than 2 years, there remains a sense that the future of the project is left up in the air.

Artist impression of the HSR terminus in Jurong East by Farrells.

HSR project only a part of the Jurong Lake District’s rejuvenation plans

Industry experts are however hopeful about the prospects of the property market in the Jurong Lake District as the HSR project is merely a part of the plans the government has for the area.

Plans for the district was first released in 2008 and rejuvenation has been happening in phases ever since.

The Westgate and Jem shopping malls, for example, have injected much vibrancy into the area and refreshed the formerly industrial atmosphere in the district.

Planned growth of the Jurong Lake District includes an upgrading of Jurong Lake Gardens, a redevelopment of the area into a Western Business District and in 2015, plans for the HSR terminus in Jurong East.

While the last of these development plans may be somewhat thwarted by Malaysia’s stance on postponing the project, the development of other aspects will continue.

Some property analysts have already seen prices in the Jurong area rise in the last few years, not due to the HSR projects but rather to other amenities such as the Ng Teng Fong General Hospital and new shopping malls.

Prices of properties here are expected to continue in a positive trajectory over the next few years.

See more: Hillview land site near MRT station sold for $460 million

Property prices in Jurong expected to rise

Lake Grande, Jurong.

The National Development Minister, Lawrence Wong, has also said in July that the vision for the Jurong Lake District has not changed despite the HSR’s delay.

The International Business Park here continues to grow strength to strength and many companies have set up offices here to be near the manufacturing spaces while the new malls serve the needs of many new residents.

Some industry players are doubtful that the HSR will enhance property prices here despite the increase in human traffic the project may bring.

The area seems to be largely self-sufficient and residents here are keen to be living near the Jurong East MRT interchange station and workplaces in the business park.

Some business owners are however hopeful for the influx of new customers the HSR project could potentially introduce to the area and are pleased the project has merely been postponed and not cancelled.

See more: Jurong Lake District’s development to continue notwithstanding HSR project