The latest property development by Chinese developer Kingsford Group, Chuan Park, proved to be a huge success as it sold 696 out of the 916 units on Sunday, November 10. This translates to an impressive 76% sales rate. The average unit price was around $2,579 psf.
According to a spokesperson for Kingsford, the units sold were mostly two-bedroom, two-bedroom+study, and three-to-five-bedroom units. Majority of the buyers were Singaporeans, making up about 93% of the total, while permanent residents and foreigners accounted for the remaining 7%.
PropNex CEO, Ismail Gafoor, shared that 92% of the units transacted were two- and three-bedroom units, with the remaining 8% being four- and five-bedroom units. The sold units had a price range of $1.6 million (for two-bedroom units) to $4.3 million (for a five-bedroom unit). Gafoor added that the developer had carefully priced the project to cater to the high demand from prospective buyers in District 19.
Chuan Park is now the top-selling project of 2024, with 696 units sold, surpassing the 400 units (75%) sold at the 533-unit Lentor Mansion in March. However, in terms of percentage of units sold, Norwood Grand, launched in October, still holds the record at 84% or 292 out of 348 units sold.
CEO of ERA Singapore, Marcus Chu, shared that two- and three-bedroom units were the most popular among buyers in their 30s and 40s. He also noted that many of the buyers were upgrading from older HDB flats or nearby condominiums. On the other hand, older buyers who were downsizing from landed properties preferred the larger four- or five-bedroom units.
The success of Chuan Park can be attributed to its strategic location in an affluent private residential area, surrounded by landed housing estates like Serangoon Gardens, Li Hwan, and Tai Hwan. Even though it falls under the Outside Central Region (OCR), it is situated near the boundary of the Rest of Central Region (RCR). Ken Low, managing partner of SRI, highlighted that it is also near million-dollar HDB estates such as Serangoon, Toa Payoh, Ang Mo Kio, Bishan, and the upcoming Bidadari Estate.
Chuan Park is Kingsford’s second successful project this year, following the sale of 600 units at their 1,862-unit Normanton Park project on the first weekend of its launch in January. The developer acquired the 400,500 sq ft Chuan Park site for $890 million in July 2022, and the project is expected to be completed by 2027.
For international investors, it is crucial to have a thorough understanding of the regulations and limitations surrounding property ownership in Singapore. In general, foreigners have easier access to purchasing condominiums compared to landed properties, which have more stringent ownership regulations. However, it is important to note that foreign buyers are subject to the Additional Buyer’s Stamp Duty (ABSD), which is currently set at 20% for their first property acquisition. Despite this additional cost, the promising stability and growth potential of the Singapore real estate market continues to attract foreign investments. Keeping this in mind, it is worth considering the latest New Condo Launches for potential investment opportunities in Singapore.
The development consists of five blocks, three 22-storeys and two 19-storeys, with two commercial units. It offers a range of 916 units from two- to five-bedrooms, with sizes ranging from 700 sq ft to 1,841 sq ft. Prices start from over $1.5 million for a two-bedroom unit, upwards of $2.1 million for a three-bedroom unit, $3.1 million for a four-bedroom unit, and $3.7 million for a five-bedroom unit.
The launch of Chuan Park was one of the highly anticipated events this year, and the preview period from November 1 to November 7 saw over 20,000 visitors, with more than 2,800 cheques collected from interested buyers. Initially set to launch on November 16, the launch was brought forward to November 10, allowing investors and buyers to spread their interest among various new developments.
Three other projects, Nava Grove at Pine Grove, Emerald of Katong, and Novo Place, are set to launch on November 16, and the strong sales at Chuan Park are expected to carry over to these upcoming launches. This surge in interest is a positive boost for the otherwise quiet property market in 2024.
According to SRI’s Ken Low, the recent interest rate cuts by the US Federal Reserve have increased buyers’ confidence and demand in the real estate market. The lowered interest rates have also made properties more affordable, and buyers can expect savings on their monthly mortgage payments.
PropNex CEO, Ismail Gafoor, also shared that this improved market sentiment has encouraged buyers who were hesitant in the first nine months of the year to return. However, Gafoor added that the success of a project also depends on factors such as location, proximity to MRT stations, nearby new launches, and price sensitivity.…