Otto Place 91% sold after second-timer balloting, underscoring EC market strength
The 600-unit EC venture had earlier sold 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 now stands at 548 units– over 91%– throughout one month of launch. Based on caveats lodged to day, the common price reached is $1,750 psf.
The next EC launch in the pipeline is Qingjian Realty’s 748-unit task at Jalan Loyang Besar, acquired via a government land sales (GLS) tender in August 2024 at $729 psf per plot ratio. The project is intended for launch sometime towards completion of this year, stated Fong.
“With interest rates trending downwards, an approximated 85% of purchasers at Otto Place opted for the credit system, contrasted to around 75% during the preliminary July start,” Yip included.
PropNex CEO Kelvin Fong attributed Otto Place’s strong performance to its locational demand, the dwindling supply of unsold ECs, and buyers’ awareness of rising EC land prices, which are anticipated to apply higher stress on future launch rates.
According to PropNex, less than 60 unsold EC units continue being on the market. The most current EC launch prior to Otto Place was Sim Lian Group’s 760-unit Aurelle at Tampines in March, that sold 90% of units on debut weekend. The remaining 52 units were snapped up just within hours when bookings opened up for second-timers on April 12. To date, Aurelle’s average price is $1,766 psf based on caveats lodged.
Mark Yip, CEO of Huttons Asia, considered that second-timers generally have bigger family sizes and therefore favour bigger units. “At Otto Place, all the four-bedroom units are totally offered,” he said.
Joint property developers Hoi Hup Realty and Sunway Developments hosted the balloting for second-timer buyers of Otto Place exec condominium (EC) on the night of Tuesday, August 19. A total of 167 units were sold throughout the exercise, according to the developers’ release.
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 building and construction costs and brand-new gross floor area harmonisation rules, PropNex anticipates units at the future project– yielding about 420 units– to be priced above $1,800 psf.
Located 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 conclusion in 2029. The Tengah area is also flanked by Jurong East and Bukit Batok estates, offering a ready pool of prospective HDB upgraders. Fong added that proximity to colleges and the nearby Jurong Lake Area– allocated as the largest mixed-use service hub outside the city– boosts the property’s appeal to households.
Second-timers describe homebuyers that have formerly gotten a real estate subsidy from HDB. Throughout an EC’s first start, 70% of units are scheduled for first-timers, whilst second-timers are restricted to 30%. This restriction is removed thirty days after kick off, with balloting carried out for second-timers who were not successful in securing a unit earlier.
