Otto Place 91% sold after second-timer balloting, underscoring EC market strength
Joint developers Hoi Hup Realty and Sunway Developments kept the balloting for second-timer clients of Otto Place executive condominium (EC) on the evening of Tuesday, August 19. A total amount of 167 units were sold during the exercise, according to the developers’ launch.
According to PropNex, less than 60 unsold EC units stay on the marketplace. The most current EC launch prior to Otto Place was Sim Lian Group’s 760-unit Aurelle at Tampines in March, that marketed 90% of units on launch weekend break. The remaining 52 units were gotten just within hours when bookings opened for second-timers on April 12. To date, Aurelle’s average price is $1,766 psf based on caveats lodged.
PropNex chief executive officer Kelvin Fong connected Otto Area’s strong performance to its locational appeal, the diminishing supply of unsold ECs, and buyers’ recognition of increasing EC land prices, which are expected to put in higher pressure on future launch prices.
Mark Yip, CEO of Huttons Asia, noted that second-timers commonly have larger family sizes and as a result favour bigger units. “At Otto Place, all the four-bedroom units are totally marketed,” he said.
“With rates of interest trending downwards, an estimated 85% of investors at Otto Place selected the credit plan, compared to around 75% in the time of the initial July launch,” Yip added.
Found 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 distance to institutions and the close-by Jurong Lake Area– earmarked as the largest mixed-use company center outside the city– boosts the property’s attract households.
The next EC launch in the pipe is Qingjian Realty’s 748-unit job at Jalan Loyang Besar, obtained via a government land sales (GLS) tender in August 2024 at $729 psf per plot ratio. The project is targeted for launch at some time towards the end of this year, claimed Fong.
Robertson Opus condo floor plan
The 600-unit EC project had previously sold 351 units throughout its launch weekend on July 18– 19, showing a preliminary take-up rate of 59%. With the extra sales yesterday, the tally currently stands at 548 units– over 91%– within one month of launch. Based on caveats lodged to date, the typical cost reached is $1,750 psf.
Second-timers describe investors that have previously obtained a housing subsidy from HDB. During an EC’s preliminary start, 70% of units are scheduled for first-timers, even though second-timers are limited to 30%. This restriction is removed 30 days after launch, with balloting performed for second-timers who were not successful in getting a unit earlier.
At the same time, a record land rate was set at the current EC GLS tender at Woodlands Drive 17, where City Developments Ltd paid $782 psf ppr in early August. Taking into consideration high construction costs and brand-new gross floor area harmonisation rules, PropNex anticipates units at the future project– producing about 420 units– to be valued above $1,800 psf.
