Otto Place 91% sold after second-timer balloting, underscoring EC market strength
According to PropNex, less than 60 unsold EC units stay on the market. One of the most recent EC launch before Otto Place was Sim Lian Group’s 760-unit Aurelle at Tampines in March, which offered 90% of units on release weekend. The remaining 52 units were bought in just hours when schedulings opened up for second-timers on April 12. To date, Aurelle’s average cost is $1,766 psf based on caveats lodged.
Mark Yip, CEO of Huttons Asia, considered that second-timers typically have larger family sizes and as a result favour bigger units. “At Otto Place, all the four-bedroom units are fully offered,” he claimed.
Second-timers refer to investors that have formerly gotten a real estate aid from HDB. Throughout an EC’s initial start, 70% of units are booked for first-timers, whilst second-timers are restricted to 30%. This restriction is raised thirty days after release, with balloting performed for second-timers who were unsuccessful in getting a unit earlier.
The following EC launch in the pipe is Qingjian Realty’s 748-unit job at Jalan Loyang Besar, got using a government land sales (GLS) tender in August 2024 at $729 psf per plot ratio. The project is aim at for launch sometime towards completion of this year, stated Fong.
PropNex chief executive officer Kelvin Fong associated Otto Place’s strong productivity to its locational demand, the diminishing supply of unsold ECs, and buyers’ awareness of climbing EC land expenses, which are expected to apply upward stress on future launch prices.
“With rate of interest trending downwards, an approximated 85% of investors at Otto Place chose the credit plan, contrasted to around 75% during the first July launch,” Yip included.
Meanwhile, a record land rate was evaluated the recent EC GLS tender at Woodlands Drive 17, where City Developments Ltd paid $782 psf ppr in very early August. Considering high building costs and brand-new gross floor area harmonisation rules, PropNex expects units at the future project– yielding about 420 units– to be priced above $1,800 psf.
Joint developers Hoi Hup Realty and Sunway Developments held the balloting for second-timer homebuyers of Otto Place exec condominium (EC) on the night of Tuesday, August 19. A total of 167 units were marketed throughout the exercise, according to the developers’ launch.
The 600-unit EC venture had actually previously marketed 351 units during its launch weekend on July 18– 19, demonstrating a preliminary take-up rate of 59%. With the additional sales yesterday, the tally currently stands at 548 units– over 91%– throughout one month of launch. Based on caveats lodged to date, the standard price reached is $1,750 psf.
Situated at Plantation Close in Tengah in the West Region, Otto Place is around the upcoming Tengah Park and Bukit Batok West MRT terminals on the Jurong Region Line, slated for completion in 2029. The Tengah area is also flanked by Jurong East and Bukit Batok estates, providing a ready pool of prospective HDB upgraders. Fong included that proximity to schools and the nearby Jurong Lake Area– reserved as the largest mixed-use business center outside the city– enhances the project’s interest family groups.
