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. The most recent EC launch prior to Otto Place was Sim Lian Group’s 760-unit Aurelle at Tampines in March, which sold 90% of units on release weekend break. The remaining 52 units were bought just within hours when bookings opened up for second-timers on April 12. To date, Aurelle’s average cost is $1,766 psf based on caveats lodged.
Located at Plantation Close in Tengah in the West Region, Otto Place is near the upcoming Tengah Park and Bukit Batok West MRT terminals on the Jurong Region Line, slated for conclusion in 2029. The Tengah area is also flanked by Jurong East and Bukit Batok estates, offering a ready pool of prospective HDB upgraders. Fong incorporated that proximity to colleges and the neighboring Jurong Lake Area– reserved as the largest mixed-use business center outside the city– boosts the project’s interest family groups.
PropNex CEO Kelvin Fong attributed Otto Place’s strong performance to its locational appeal, the decreasing supply of unsold ECs, and buyers’ awareness of climbing EC land prices, which are anticipated to put in upward pressure on future launch prices.
“With rate of interest trending downwards, an estimated 85% of buyers at Otto Place opted for the credit scheme, contrasted to around 75% in the time of the preliminary July launch,” Yip added.
Second-timers refer to buyers who have actually previously gotten a real estate aid from HDB. Throughout an EC’s first start, 70% of units are booked for first-timers, while second-timers are limited to 30%. This limitation is raised one month after launch, with balloting performed for second-timers that were not successful in getting a unit beforehand.
At the same time, a record land rate was evaluated the current EC GLS tender at Woodlands Drive 17, where City Developments Ltd paid $782 psf ppr in very early August. Taking into account high building and construction costs and brand-new gross flooring area harmonisation rules, PropNex expects units at the future project– generating around 420 units– to be valued above $1,800 psf.
Mark Yip, CEO of Huttons Asia, considered that second-timers usually have larger family sizes and for that reason favour larger units. “At Otto Place, all the four-bedroom units are totally sold,” he said.
Joint property developers Hoi Hup Realty and Sunway Developments hosted the balloting for second-timer buyers of Otto Place executive condominium (EC) on the night of Tuesday, August 19. A total amount of 167 units were offered throughout the exercise, according to the developers’ release.
The 600-unit EC property had actually earlier marketed 351 units during its launch weekend on July 18– 19, demonstrating a preliminary take-up rate of 59%. With the more sales yesterday, the tally now rises at 548 units– over 91%– within one month of launch. Based on cautions lodged to day, the standard rate reached is $1,750 psf.
The next EC launch in the pipe is Qingjian Realty’s 748-unit project at Jalan Loyang Besar, got via a government land sales (GLS) tender in August 2024 at $729 psf per plot ratio. The project is aim at for launch sometime towards the end of this year, said Fong.
