Otto Place 91% sold after second-timer balloting, underscoring EC market strength
Second-timers refer to homebuyers who have previously received a housing subsidy from HDB. During an EC’s first launch, 70% of units are scheduled for first-timers, while second-timers are restricted to 30%. This limitation is removed 30 days after launch, with balloting conducted for second-timers that were not successful in getting a unit beforehand.
According to PropNex, fewer than 60 unsold EC units continue to be on the market. The most recent EC launch before Otto Place was Sim Lian Group’s 760-unit Aurelle at Tampines in March, that marketed 90% of units on debut weekend. The remaining 52 units were gotten in just hours when bookings opened up for second-timers on April 12. To day, Aurelle’s average rate is $1,766 psf based on caveats lodged.
The following EC launch in the pipeline is Qingjian Realty’s 748-unit task at Jalan Loyang Besar, obtained by means of a government land sales (GLS) tender in August 2024 at $729 psf per plot ratio. The project is intended for launch at some time towards completion of this year, claimed Fong.
Joint property developers Hoi Hup Realty and Sunway Developments held the balloting for second-timer clients of Otto Place executive condominium (EC) on the evening of Tuesday, August 19. An overall of 167 units were marketed throughout the exercise, according to the developers’ launch.
Meanwhile, a record land rate was evaluated the recent EC GLS tender at Woodlands Drive 17, where City Developments Ltd paid $782 psf ppr in very early August. Taking into consideration high building costs and new gross floor area harmonisation rules, PropNex anticipates units at the future project– yielding around 420 units– to be valued over $1,800 psf.
The 600-unit EC venture had actually previously sold 351 units during its launch weekend on July 18– 19, showing an initial 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 cautions lodged to date, the standard rate attained is $1,750 psf.
Situated at Plantation Close in Tengah in the West Area, Otto Place is near 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 added that closeness to schools and the neighboring Jurong Lake Area– reserved as the largest mixed-use establishment center outside the city– improves the property’s appeal to families.
“With rate of interest trending downhill, an estimated 85% of buyers at Otto Place went with the credit system, contrasted to around 75% during the initial July launch,” Yip added.
Otto Place Hoi Hup Realty & Sunway
PropNex CEO Kelvin Fong connected Otto Area’s solid productivity to its locational demand, the diminishing supply of unsold ECs, and buyers’ recognition of increasing EC land prices, which are expected to exert higher pressure on future launch rates.
Mark Yip, CEO of Huttons Asia, considered that second-timers typically have larger family sizes and therefore favour bigger units. “At Otto Place, all the four-bedroom units are fully marketed,” he claimed.
