HDB Launches Two New BTO Projects In Punggol And Yishun

Source : The Business Times, December 28, 2007

Sources say demand is expected to be strong for the flats

THE Housing and Development Board (HDB) yesterday launched two new projects - Damai Grove at Punggol and Jade Spring @ Yishun - under its Build- To-Order (BTO) system.

Some 1,122 new flats, comprising 110 three-room and 1,012 four-room flats, will be offered. And sources say demand is expected to be strong.

In a recent sale exercise, 5,147 applications were made for just 316 new HDB flats at Hougang, Punggol and Sengkang. The numbers work out to 16 would-be buyers for every flat.

ERA Singapore's assistant vice-president Eugene Lim reckons the Punggol project, because of its proximity to the LRT network, is expected to be the more sought-after of the two developments put on the market yesterday.

The Punggol flats may also represent more value for money, he says. For example, the 676 four-room flats in Damai Grove have an indicative price range of $195,000-$240,000.

But four-room resale flats in the area are going for $250,000-$300,000.

For the Yishun flats, the difference between the cost of the new flats and homes in the resale market is not as great, says Mr Lim.

The 336 four-room flats in Jade Spring @ Yishun have an indicative price range of $183,000- $246,000.

This is comparable to four-room resale flats in the area which are going for $190,000-$230,000.

However, demand for flats in Jade Spring is still likely to be strong because of the current shortage of HDB flats, according to Mr Lim.

Chris Koh, director of Dennis Wee Properties, says both locations are good and the prices are reasonable. Many resale flat owners are asking for high amounts of cash over valuation, which makes new flats more attractive, he says.

The presence of three-room flats also shows HDB is looking to cater to lower-income people, Mr Koh says.