This coming 2019, Treasure at Tampines is said to be the biggest private condo in Singapore as of now, with a total of 2,203 units. The cost of each unit is found to be at an approximate of $1,280 psf, and will most likely bring in all sort of interested parties from buyers who have never bought a development, cross-generational families, investors and upgraders.
Treasure at Tampines launched on Friday, March 15 and is said to be the one of the most massive private condominium projects in 2019. With regards to the number of units, Treasure at Tampines is considered to be the most biggest private condo comprising 2,203 units – surpassing d’Leedon, a 1-715 unit condo situated at Farrer Road.
Ong Choon Fah, CEO of Edmund Tie & Co (ET&Co) has also mentioned that he hasn’t seen any condo with 2,000 units in Singapore, confirming the fact that Treasure at Tampines is indeed a huge project. Mr Ong also went on to say that the developer has made a smart move to market this condo first, capitalising on demand to be ahead of other competitors.
The development will comprise of 29 twelve-storey blocks and it will be hosting a total of 2,203 units. Interested parties can take their pick from a variety of layouts, specifically 33 of them and apartments starting from the roomy one-bedroom apartment units to the lush and spacious five-bedroom apartment units which can span 463 to 1,722 sq ft. Treasure at Tampines can be found sitting on a plot of land spanning 648, 889 sq ft – exactly comparable to 11 football fields – and will be hosting 128 in-house facilities, comprising a round-the-clock gym and a plentiful of swimming pools.
Treasure at Tampines is a joint venture between Sim Lian Group and Sim Lian Holdings.
The development will feature 128 condo facilities which include the luxurious clubhouse (featured) and numerous refreshing swimming pools (Credit: Sim Lian Group)
‘One of the most reasonably-priced launches of 2019’
During the first phase of the sales, units are said to be released and priced at approximately $1,280 psf. Eugene Lim, key executive officer of ERA Realty Network has stated that the attractive price will definitely draw people in as Treasure at Tampines is considered some of the most reasonably priced launches this coming 2019. The trio, ERA, PropNex and OrangeTee & Tie will be marketing the project together.
The executive director and head of Research and Consultancy at ZACD Group, Nicholas Mak, has mentioned that there was previously a couple of significant project launches – above 500 apartment units – in the East region, specifically Tampines and Simei sector in the last 2 ½ years.
In the Tampines region, the most recent launch is said to be The Tapestry located at Tampines Avenue 10, an 861-unit development established by City Developments Ltd, which was dated a year back. According to caveats lodged, a total of 568 sold units (nearing to 70%) were said to be at an estimated price of around $1,350 psf. On the other hand, there is only a remaining of 11 units left at The Alps Residences, a 626-unit establishment developed by MCC land, situated next door to The Tapestry and released in October 2016.
Treasure at Tampines can be found extremely closeby to Tampines Centrals, with shopping centres like Tampines One, Tampines Mall and Century Square are clustered all around Tampines MRT station (Credit: Samuel Isaac Chua/EdgeProp Singapore)
Not forgetting The Jovell situated at Flora Drive, a 429-unit development which can be found right along Upper Changi Road North, with unsold stock totalling to 650 units in the neighbourhood of Tampines-Simei-Upper Changi region, as said by Mak.
As said before, Treasure at Tampines can be found nearby Tampines Central, where prominent malls of the area like Tampines One, Century Square and Tampines Mall are located, including the amazing accessibility, as said by Alan Cheong, the executive director of Reseach & Consultancy at Savills Singapore.
However, Treasure at Tampines can be found extremely closeby to Tampines Centrals, with well-known shopping centres like Tampines One, Century Square and Tampines Mall are situated, as well as the amazing connectivity, as according to the executive director of Research & Consultancy at Savills Singapore, Alan Cheong.
‘Downside Risk: Little to none’
Sim Lian Group bought over Tampines Court for a large sum of $970 million in August 2017. Situated along Tampines Avenue 11, the original 506-unit privatised HUDC property which was previously acquired through collective sales has been known as the largest for quite some time – ever since the former Farrer Court, a development comprising 638 apartment units, another privatised HUDC estate which was sold for $1.34 billion previously in June 2007. Afterwards, the project was finally redevelopment into d’Leedon, a 1,715-unit development that reached its completion in 2014.
Sim Lian previously purchased the original Tampines Court for $970 million in Aug 2017, which is known to be the largest collective sale deal for quite some time (Credit: Samuel Isaac Chua/EdgeProp Singapore)
Despite the hefty sum of $970 million, the sum can be converted to a site rate of $655 psf per plot ratio (ppr), and is in reality, pretty low. ET&Co’s Ong also mentioned that the developer can be relatively flexible when it comes to putting a price on the project.
As seen before in January 2019, the two partners Sunway Developments and Hoi Hup Realty expended $434.45 million, translating to $578 psf per plot ratio for an executive condominium (EC) plot at Tampines Avenue 10, around the surrounding district of The Alps Residences. The selling price is expected to be around $1,100 psf, according to the given land price.
The first-introduced price of the development is pretty close to the roughly calculated selling price of the upcoming EC project, so Alvin Tan, executive director and head of Project Marketing at PropNex, has stated that there is a limited downside risk. Hence, interested buyers could anticipate rentability of the units and possible capital appreciation once the development is completed.
Proximity to the Aviation Hub of Singapore, with the opening of Jewel Changi Airport and Terminal 5, is one of the key attributes of Treasure at Tampines (Credit: Changi Airport)
Abundance Of Interested Buyers
Other significant qualities of the former Tampines Court include its amazing location within the Tampines region, as said by Kuik Sing Beng, executive director of Sim Lian Group in response via email to EdgeProp Singapore. He also went to add on that they are hoping to add further value to the property area and homeowners by redeveloping this especially well-located plot of land.
Besides the already attractive location, the site also possesses other exceptional attributes, starting from its fantastic accessibility to lifestyle conveniences and amenities, amazing connectivity, proximity to prestigious institutions, closeness to the prominent Aviation Hub of Singapore, once Terminal 5 and Jewel Changi has finally opened.
The development is nearby to a total of four train stations – Tampines, Tampines East, Tampines West and Simei – with each one taking up to a slow-paced walk of 10 to 15 minutes, as said by PropNex’s Tan. Treasure at Tampines can also be found situated near to major industrial estates and business parks like Loyang/Changi Industrial Estate, Pasir Ris Wafer Fab Park and Changi Business Park.
Treasure at Tampines boasts excellent connectivity and is well-surrounded by four MRT stations, Tampines, Tampines East, Tampines West and Simei (as seen in photograph) – taking about an under 15 minutes walk (Credit: Samuel Isaac Chua/EdgeProp Singapore)
With Changi airport being so closeby, it makes the development much more appealing, in particularly for homeowners who are in the search for tenants who are in the airline business, as said by Savills’ Cheong, who went on to add that the development is suitable for business travellers who are often on the go and are not interested in spending a lot of time going to the airport and leaving it.
Once Jewel Changi Airport is completed, there be an additional of 2,000 jobs that will be included in the existing 1,800 Changi Airport Group workforce, as mentioned by Steven Tan, managing director of OrangeTee & Tie. Not forgetting the attractive proximity to Changi Business Park and the Tampines Regional Centre, which promises Treasure at Tampines’s investment potential.
The units have been well-designed to be appealing to both interested parties who are buying the condo for the first time, cross-generational families and HDB upgraders who are looking to own commodious living space.
The show suite of a 1,033 sq ft three-bedroom apartment at Treasure at Tampines (Credit: Samuel Isaac Chua/EdgeProp Singapore)
ERA’s Lim anticipates that most of the interested buyers who are interested in upgrading their flat will mostly come from residents staying in the HDB units of Pasir Ris, Tampines, Simei and Bedok.
PropNex’s Tan states that for any upcoming launch, they usually predict that a large portion of the buyers will be those residing within a 5km distance of the development. However, they expect it to be different in this case as due to the development’s appealing price point as compared to other upcoming launches in the market and its great location in a mature estate, there will a broader coverage of interested buyers from other regions of Singapore.
Property cooling measures alter market dynamics
Although the property cooling measures which were initiated last July have seen to bring down the demand during the short period of time, Sim Lian’s Kuik has stated that the lesser sales volume will put together a sustainable and stable property market.
Based on the image comprising masses of people at one of the most latest project launch, it has been said that interested landlords’ sentiments have not seen any effect, according to Savillis’ Cheong.
Savills’ Cheong confirms that there hasn’t been any effect on homebuyers’ sentiments. However, he just mentions that it has become rather complex for most people to obtain their goal of buying private development. The entire process comprising of much needed time to sell or decouple their current property has eventually slowed down and restricted the plethora of buyers to enter the private sector of the property business.
ZACD’s Mak goes on to say that the loan-to-value (LTV) ratio should be restored from 75% to 80% by the government for homebuyers who are buying their property for the first time. When the LTV limit is reduced to 75%, HDB upgraders will be put in an unfavourable position when purchasing entry-level private development as they are required to come up with more cash. On the other hand, resale flat prices, specifically for the dated HDB flats, are said to be much softer. When these homeowners run into the problem of selling off their HDB units, the chances of them being unable to own a private instead is pretty high.
With the restoration of mature HDB developments, it is necessary to hold en bloc sales for much older, privatised HUDC properties that were developed about 30 to 40 years back.
Treasure at Tampines will also take you to the well-known Tampines Food Centre and Round Market within minutes from the development (Credit: Samuel Isaac Chua/EdgeProp Singapore)
Mak predicts that landlords of other privatised HUDC properties like Laguna Park, Braddell View and Pine Grove who are still trying to do a collective sale will be keeping a close eye on Treasure at Tampines. With the good take-up rate, it gives these homeowners hope that developers will be interested to take another look at these large privatised HUDC properties that are attempting to do en bloc sales.
Specifically, a take-up rate (calculated by measuring sold units over the total sum of units in the estate) of approximately 15% in the existing market environment during the sales of the starting month is said to be pretty good, as said by Savills’ Cheong.
Despite the appearance of about 50 to 60 other new projects that will catch the eye of buyers’, Sim Lian’s Kuik still remains optimistic that Treasure at Tampines can be sure to receive much interest.
Upcoming developments with competitive prices, irresistible project qualities and locations with amazing accessibility, in addition to fantastic amenities will expect good take-up rates, as said by Kuik. He also adds on to say that they are positive that there will be high demand for the property – regardless of whether the unit will be used for home or investment purposes – will definitely be supported stable economic growth, increasing wealth and lots of employment opportunities in time to come.