Otto Place 91% sold after second-timer balloting, underscoring EC market strength
The 600-unit EC venture had previously marketed 351 units during its launch weekend on July 18– 19, reflecting a preliminary take-up rate of 59%. With the more sales yesterday, the tally currently rises at 548 units– over 91%– in just one month of launch. Based on caveats lodged to date, the standard rate attained is $1,750 psf.
Found at Plantation Close in Tengah in the West Area, Otto Place is close to the upcoming Tengah Park and Bukit Batok West MRT stations 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 potential HDB upgraders. Fong incorporated that closeness to institutions and the close-by Jurong Lake District– reserved as the largest mixed-use service hub outside the city– boosts the project’s interest households.
PropNex CEO Kelvin Fong connected Otto Area’s strong performance to its locational demand, the decreasing supply of unsold ECs, and buyers’ awareness of increasing EC land prices, which are anticipated to exert higher stress on future launch prices.
Joint property developers Hoi Hup Realty and Sunway Developments kept the balloting for second-timer clients of Otto Place exec condominium (EC) on the night of Tuesday, August 19. A total of 167 units were sold during the exercise, according to the developers’ launch.
Second-timers describe buyers that have actually previously received a real estate aid from HDB. Throughout an EC’s preliminary release, 70% of units are booked for first-timers, even though second-timers are limited to 30%. This restriction is raised thirty days after release, with balloting carried out 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 very early August. Taking into account high building and construction costs and brand-new gross floor area harmonisation rules, PropNex expects units at the future project– yielding around 420 units– to be valued above $1,800 psf.
According to PropNex, fewer than 60 unsold EC units continue being on the market. One of the most recent EC launch prior to 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 for second-timers on April 12. To day, Aurelle’s average cost is $1,766 psf based on caveats lodged.
Mark Yip, CEO of Huttons Asia, considered that second-timers usually have larger family sizes and therefore favour larger units. “At Otto Place, all the four-bedroom units are fully offered,” he said.
“With rate of interest trending downwards, an approximated 85% of purchasers at Otto Place selected the deferred payment scheme, contrasted to around 75% in the time of the first July start,” Yip included.
The following EC launch in the pipeline 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 at some time towards completion of this year, said Fong.
