Property launches continue unabated despite new curbs

SINGAPORE (Oct 23): Despite the new property development policies, City Developments and Oxley debuted their latest properties, Whistler Grand and Kent Ridge Hill Residences respectively, last weekend.

The two projects are targeted to launch officially on Nov 3. As at 1.20pm, shares in City Developments are trading at $8.15, while shares in Oxley are trading at 30 cents.

In a DBS report on Tuesday, The Whistler Grand at West Coast is expected to have an average price of $1,380 psf, while Kent Ridge Hill at Pasir Panjang is expected to cost about $1,700 psf.

“The indicative pricing suggests that developers are cautious in their pricing given the current environment post the new cooling measures. This could potentially impact potential pricing strategy for upcoming projects,” says analyst Rachel Tan who notes that both properties offer smart homes with stunning views.

When the two projects are officially launched, all eyes will be on sales volume, so as to gauge the market sentiment following the cooling measures.

Going forward, Woodleigh Residences by Singapore Press Holdings, Kajima and Parc Esta are some of the few major launches to look out for.

On Oct 17, the URA announced the lowering of the maximum number of housing units allowed in a development outside the central area in terms of gross floor area (GFA) proportions.

For projects submitted on or after Jan 17, 2019, the maximum number of units will be derived from dividing the GFA by 85 sqm instead of 70 sqm previously.

In addition, areas such as Marine Parade, Pasir Panjang, and Balestier, will face stricter requirements, with the maximum number of units allowed to be built calculated through dividing GFA by 100 sqm.

The move is an attempt to moderate the reduction in home sizes and manage potential strains on infrastructure.