BT : Projects being released in subdued market

Business Times - 27 May 2010

Projects being released in subdued market

Kheng Leong seen releasing initial 300 units in preview of The Minton

By KALPANA RASHIWALA

DEVELOPERS are continuing to release projects amid more subdued sentiment in the property market.

Kheng Leong group is previewing this week The Minton at Lorong Ah Soo/Hougang St 11 at an average price of about $850 per square foot.

The developer is expected to release an initial batch of about 300 units in the 1,145-unit project that is being developed on a 99-year leasehold site.

Kheng Leong is offering a mix of various unit types, from one-bedders to penthouses, and prices will range from $770 psf to $960 psf at this week's preview.

The development includes 121 one bedders, ranging from 550-700 sq ft, 335 two-bedroom apartments (940-990 sq ft), 158 two bedroom with study units as well as 44 dual key units (comprising a two-bedroom apartment and a one-bedder). The remaining unit types at The Minton include three and four bedders. In addition, there will be 24 penthouses ranging from 2,000 sq ft to 3,500 sq ft in size.

The Minton will have a total of 18 blocks, ranging from 15 to 17 storeys in height.

The project is slated for completion around 2014.

Kheng Leong has appointed three marketing agents - CB Richard Ellis, ERA and Knight Frank.

Home buyers who are shopping for completed properties could consider Melodies Limited's offer of 72 units at Cassia View, a 10-year old freehold development at Guillemard Road near Geylang. The project has been on the market for about two weekends and 16 units have been sold so far.

Melodies, controlled by the Lee family of Hotel Royal, last year tried to sell the 20-storey block of 72 units, on an en bloc basis, with a price tag of about $70 million, or $783 psf, of strata area. That exercise did not result in a sale and the company is now selling the apartments individually. The average price is about $980 psf. Melodies will refurbish units with branded bathroom fixtures and designer kitchen cabinets and appliances. It will also spruce up common areas.

The bulk, or 67 of the 72 units, are three bedders (1,100 to 1,200 sq ft) and they are priced between $1 million and $1.3 million. Cassia View has just one two-bedroom apartment (of 900 sq ft) and four penthouses (about 2,300 sq ft each).

'The units comprise almost 100 per cent nett useable space as they do not have bomb shelters, bay windows or balconies,' says Liang Thow Ming, head of residential services at Credo Real Estate, which is marketing Cassia View.

Market watchers say visitorship at showflats slowed last weekend, due to the weak stock market, Europe's economic woes, tensions on the Korean Peninsula, and the Government announcement last Friday evening that it will deliver a bumper supply of private residential land for the second half of this year to meet strong demand for its sites from developers.

Frasers Centrepoint has sold 40 units at Flamingo Valley in Siglap after two weekends of sales. Prices in the freehold project range from $900-$1,580 psf.

Allgreen Properties found buyers for 50 units at Cascadia condo at Bukit Timah Road at its preview last week, with one- and two-bedroom apartments making up the bulk of sales. Units in the development are priced mostly in the $1,400-1,600 psf range. Cascadia and Flamingo Valley are freehold.

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