The LakeGarden Residences sells 71 of project’s 306 units at S$2,120 psf average during launch

TWO property launches saw mixed results from buyers over the weekend, with The LakeGarden Residences selling 71 units or 23 per cent of its total of 306 units, while Altura executive condominium (EC) moved 220 or 61 per cent of 360 units.

Units sold at Wing Tai’s The LakeGarden Residences launch in Jurong were transacted at an average selling price of S$2,120 per square foot (psf), the developer said in a release on Aug 6. The 71 units sold made for 34 per cent of the number of units released during the launch.

The project houses 306 units in two towers, with nearly three-quarters of the units, or 227 units, in two- and three-bedroom configurations.

Ismail Gafoor, chief executive officer, PropNex Realty, put the project’s comparatively modest launch performance down to “homebuyers experiencing some degree of buyers’ fatigue”. Over 2,500 new units across several major projects were launched in the last month.

“Buyers are probably taking the time to reassess and weigh the available options before committing to a purchase,” he said.

Dial down the FOMO

The jump in supply has also helped “dial down the FOMO – fear of missing out – factor” which spurred buyers to enter the market more quickly in previous years, Gafoor added.

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Mark Yip, CEO of Huttons Asia, noted that buyers may be cautious due to the current economic conditions.

Apart from two- and three-bedder types, the 99-year-leasehold LakeGarden Residences also has four duplex penthouses of between 2,002 square feet (sq ft) and 2,260 sq ft, and one-, four- and five-bedroom units.

Wing Tai acquired the plot at the collective sale of Lakeside Apartments for S$273.9 million in May 2020, at a 14 per cent premium to the S$240 million reserve price. This works out to a land rate of about S$1,250 psf per plot ratio (ppr).

Based on transactions done by PropNex agents over the weekend, some residents from the former development had also purchased units at LakeGarden Residences. PropNex noted that two-bedder and three-bedder unit types accounted for more than 70 per cent of units sold at launch.

Out in force

Stacey Ow Yeong, head of marketing, Wing Tai Property Management, said: “Majority of the buyers for The LakeGarden Residences are families and upgraders living in the Western part of Singapore. This reflects a healthy demand for private residential homes in the up-and-coming Jurong Lake District, as well as the trust in the quality and value of Wing Tai’s developments.”

Also over the weekend, Altura EC started booking sales at an average price of S$1,433 per square foot (psf) and sold 220 out of 360 units.

Qingjian Realty and Santarli Realty picked up the Bukit Batok EC site at a state land tender in March 2022 for S$266 million or S$662 psf ppr, setting a new high for EC development land at the time.

Altura’s pricing marks a fresh record for an EC launch, said PropNex’s Gafoor. In comparison, Copen Grand and Tenet, launched last year, saw average prices of S$1,300 psf and S$1,360 psf, he said. 

The Altura project is located within a 1 km radius of the new Anglo-Chinese School (Primary) in Tengah.

The most popular unit type was the three- and four-bedroom premium, with over 70 per cent of applicants and balloters coming from second-time applicants.

“This launch marks another successful collaboration between Qingjian and Santarli, and we are delighted to witness such enthusiasm from prospective buyers who recognise the potential of Altura as an exceptional opportunity,” said Ouyang Jing, general manager of Qingjian Realty.

“HDB upgraders were out in force, snapping up all the units allocated to second timers within the first three hours of sales booking,” said Huttons’ Yip.

“The robust demand for Altura was expected as it is possibly the only EC launch in 2023. Copen Grand EC, launched in Q4 2022, was fully sold within just one month,” said Marcus Chu, chief executive officer, ERA.

PropNex’s Gafoor said: “The healthy take-up rate of over 60 per cent was well within our expectations, and continues to affirm the resilient demand for ECs among Singaporean families, amidst dwindling inventory of EC units and rising home prices.”