Shoebox units help Sky Vue sell 85%
of units launched
Good response fuels hopes of pick-up
in market sentiment
By grace leong gleong@sph.com
CAPITALAND'S reversal of its former
CEO's stand against shoebox units
appears to have paid off.
The company, which is now led by Lim
Ming Yan following the retirement of Liew Mun Leong, said the initial sales launch
of Sky Vue at Bishan Central saw 430
units sold out of 505 units released for
sale this past weekend. The strong
response fuelled cautious hopes of a
pick-up in market sentiment following several rounds of property cooling
measures.
The property giant sold 410 units at an
average price of $1,500 per square foot
(psf) on Saturday, the first day of sales,
plus 20 more yesterday, with one- bedroom and two-bedroom units being the
most popular. This compares with 90
units sold this past weekend at Thomson
Three, bringing the total to 250 sold out of
320 units released to date, according to a
UOL spokesman. The average price of the 99-year-leasehold development, a
joint venture between UOL Group and
Singapore Land, is about $1,350 psf.
"Sky Vue may revive the market," said
Savills Singapore research head Alan
Cheong. "It shows that people are able to get around the perceived hurdles that
TDSR (Total Debt Servicing Ratio) rules
set up, if the price is right. It is more
difficult to buy property now, so buyers
have to be given more reasons or
incentives to buy. Perceived value is the catalyst that will draw buyers out."
The TDSR rules, which took effect in late
June, require financial institutions, when
granting property loans to individuals, to
ensure that the borrower's monthly total
debt repayments do not exceed 60 per cent of their gross monthly income.
CapitaLand's strategy of building homes
that are smaller than 500 sq ft - or
shoebox units once decried by its former
boss Mr Liew as being "almost inhuman"
- in order to attract buyers seeking lower total price quantums appears to have
panned out for Sky Vue.
That stands in contrast to the company's
Sky Habitat just next to Sky Vue. As at
Sept 18, 173 units out of a total of 250
units released at the 509-unit Sky Habitat have been sold. Its larger-sized units
could be a key factor why the project's
released units have not sold out yet,
since its average selling price of $1,589
psf is not far off that of Sky Vue's, and its
design by renowned Israeli architect Moshe Safdie is seen as a plus.
When asked to compare Sky Vue's
performance against Sky Habitat, which
still has about 70 per cent unsold units, a
CapitaLand spokesman said: "Sky
Habitat and Sky Vue are conceptualised and designed with different segments of
markets in mind. While some buyers
favour iconic architecture designed by
famous architects and larger unit sizes,
we have not forgotten those who prefer
layouts with more livable space. We believe each product will appeal and cater
to the needs of potential homebuyers
from different market segments."
Three Sky Habitat units were sold at an
average price of $1,510 psf in July, under
an ongoing promotion called the selective unit discount scheme, where units are on
sale at a 6 per cent discount, the
spokesman added.
One other analyst said that the strong
performance of both Sky Vue and
Thomson Three is a testament to pent-up demand and relatively strong purchasing
power in the Bishan and Thomson
vicinity. But he said that must be
compared against the performance of
other projects, such as The Skywoods in
the Dairy Farm area and Keppel Land's The Glades.
Wong Heang Fine, CEO (residential) of
CapitaLand Singapore, said: "Most of our
buyers are young couples who appreciate
the well-articulated layouts and lifestyle
amenities of Sky Vue and its proximity to the Bishan MRT station and Junction 8
shopping mall."
The average price of a one-bedroom unit
at Sky Vue is $750,000 while that of a
two-bedroom unit is $933,000. The
average price of a two-bedroom suite is $ 1.15 million and that of a three-bedroom
unit is $1.58 million.
of units launched
Good response fuels hopes of pick-up
in market sentiment
By grace leong gleong@sph.com
CAPITALAND'S reversal of its former
CEO's stand against shoebox units
appears to have paid off.
The company, which is now led by Lim
Ming Yan following the retirement of Liew Mun Leong, said the initial sales launch
of Sky Vue at Bishan Central saw 430
units sold out of 505 units released for
sale this past weekend. The strong
response fuelled cautious hopes of a
pick-up in market sentiment following several rounds of property cooling
measures.
The property giant sold 410 units at an
average price of $1,500 per square foot
(psf) on Saturday, the first day of sales,
plus 20 more yesterday, with one- bedroom and two-bedroom units being the
most popular. This compares with 90
units sold this past weekend at Thomson
Three, bringing the total to 250 sold out of
320 units released to date, according to a
UOL spokesman. The average price of the 99-year-leasehold development, a
joint venture between UOL Group and
Singapore Land, is about $1,350 psf.
"Sky Vue may revive the market," said
Savills Singapore research head Alan
Cheong. "It shows that people are able to get around the perceived hurdles that
TDSR (Total Debt Servicing Ratio) rules
set up, if the price is right. It is more
difficult to buy property now, so buyers
have to be given more reasons or
incentives to buy. Perceived value is the catalyst that will draw buyers out."
The TDSR rules, which took effect in late
June, require financial institutions, when
granting property loans to individuals, to
ensure that the borrower's monthly total
debt repayments do not exceed 60 per cent of their gross monthly income.
CapitaLand's strategy of building homes
that are smaller than 500 sq ft - or
shoebox units once decried by its former
boss Mr Liew as being "almost inhuman"
- in order to attract buyers seeking lower total price quantums appears to have
panned out for Sky Vue.
That stands in contrast to the company's
Sky Habitat just next to Sky Vue. As at
Sept 18, 173 units out of a total of 250
units released at the 509-unit Sky Habitat have been sold. Its larger-sized units
could be a key factor why the project's
released units have not sold out yet,
since its average selling price of $1,589
psf is not far off that of Sky Vue's, and its
design by renowned Israeli architect Moshe Safdie is seen as a plus.
When asked to compare Sky Vue's
performance against Sky Habitat, which
still has about 70 per cent unsold units, a
CapitaLand spokesman said: "Sky
Habitat and Sky Vue are conceptualised and designed with different segments of
markets in mind. While some buyers
favour iconic architecture designed by
famous architects and larger unit sizes,
we have not forgotten those who prefer
layouts with more livable space. We believe each product will appeal and cater
to the needs of potential homebuyers
from different market segments."
Three Sky Habitat units were sold at an
average price of $1,510 psf in July, under
an ongoing promotion called the selective unit discount scheme, where units are on
sale at a 6 per cent discount, the
spokesman added.
One other analyst said that the strong
performance of both Sky Vue and
Thomson Three is a testament to pent-up demand and relatively strong purchasing
power in the Bishan and Thomson
vicinity. But he said that must be
compared against the performance of
other projects, such as The Skywoods in
the Dairy Farm area and Keppel Land's The Glades.
Wong Heang Fine, CEO (residential) of
CapitaLand Singapore, said: "Most of our
buyers are young couples who appreciate
the well-articulated layouts and lifestyle
amenities of Sky Vue and its proximity to the Bishan MRT station and Junction 8
shopping mall."
The average price of a one-bedroom unit
at Sky Vue is $750,000 while that of a
two-bedroom unit is $933,000. The
average price of a two-bedroom suite is $ 1.15 million and that of a three-bedroom
unit is $1.58 million.
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