The Housing Board (HDB) has made 2 sites available for executive condominiums (ECs) projects – in Sengkang and Tampines.
2 sites in Tampines and Sengkang can yield up to 1,100 new EC units
The first is a 17,129.9 sq m plot of land in Fernvale Lane in Sengkang. HDB has launched the 99-year leasehold site for sale by tender. It has a maximum building height of 56 metres above mean sea level and can potentially yield 480 homes. There have not been many new EC launches in this area in recent years hence response from buyers may be quite strong.
Analysts are expecting up to 9 bids from developers reaching up to $260 million or $500 psf ppr. Selling prices are expected to range between $950 psf to $1,000 psf.
Though the site is not near any MRT station, it is near amenities such as the Greenwich V shopping mall. Upgraders may be particularly interested in new EC launches in the district, especially as more than 10,000 HDB flats in Sengkang and Punggol have reached the end of their minimum occupation period (MOP) and some owners may be looking to upgrade.
Executive condominiums or ECs are a hybrid of public and private housing. They are built by private developers and hence have condominium-like facilities such as swimming pools, gyms, and multi-purpose rooms. While they can be sold in the market at the end of their MOP of 5 years, they have the added value of becoming private condominiums after 10 years.
3 executive condominiums expected to launch this year
The second site in Tampines measures 23,799.2 sq m and has been placed under the reserve list. This means that it will only be triggered for sale when the minimum reserve price has been met by developers putting in bids for the land.
Tampines is a popular mature estate which could see buyers looking for upgrading or lateral moves within the estate, in particular, those who wish to live near their ageing parents or married children.
Developers may, however, be keeping an eye on a potential EC launch in Tampines Ave 10 this year as a reference for their bids. 2 other ECs are expected to launch this year, including Ola in Anchorvale Crescent and Parc Canberra in Canberra Link.