Singapore’s cityscape is defined by towering skyscrapers and state-of-the-art infrastructure. Condominiums, strategically situated in desirable locations, offer a perfect mix of extravagance and practicality that appeals to both locals and foreigners. These residential complexes boast a plethora of facilities, including swimming pools, fitness centers, and security services, elevating the overall living experience and making them highly sought-after by prospective tenants and buyers. Recognizing the potential for long-term gains, investors are also drawn to these properties due to their potential for high rental returns and appreciation in value over time. In fact, with the introduction of new condo launches, the demand for Singapore’s condominium market is expected to continue to rise.
The launch of Emerald of Katong was a huge success, as developer Sim Lian Group sold 98.7% of its 846 units in just two days. The VIP sales on November 15 saw 47% of the units taken up, followed by an additional 434 units on November 16. The average price of units sold over the weekend was $2,621 per square foot (psf). Sim Lian declined to comment on their sales figures.
According to Mark Yip, CEO of Huttons Asia, this project may have set a record for the most number of units sold in a day, surpassing the previous record held by J’Gateway in June 2013 with 738 units sold. Only 11 units remain available at Emerald of Katong – nine one-bedroom and two five-bedroom units. All two-, three-, and four-bedroom units have been sold out. Yip noted that buyers were more interested in larger units with a study or flexible layout, likely for owner-occupation.
If you are interested in purchasing a unit at Emerald of Katong, you can find more information on available units and prices.
Lee Liat Yeang, the real estate senior partner of Dentons Rodyk & Davidson LLP, the developer’s lawyers, believes that Emerald of Katong is the top-selling project of 2024 in terms of both the number of units and the percentage sold during its launch weekend. This is particularly notable, as the launch of the 99-year leasehold project in District 15 coincided with two other projects on the same weekend.
Among the other projects launched over the past fortnight is the 552-unit Nava Grove, a 99-year leasehold development by MCL Land and Sinarmas Land, which reportedly sold 65% of its units on November 16. On the same day, the 504-unit Novo Place executive condominium (EC) at Plantation Close in Tengah, jointly developed by Hoi Hup Realty and Sunway Developments, achieved a 57% sales rate.
Despite the launch of six new residential projects (including the EC project) over 14 days, Ismail Gafoor, CEO of PropNex, noted that homebuyers had the opportunity to visit all the developments before making a decision. He believes that having multiple options in a short span of time helped buyers make decisions more quickly. The Kingsford Group also moved up the launch of its 916-unit, 99-year leasehold Chuan Park to November 10 from November 16, which may have benefited both projects.
Chuan Park was highly successful, selling 76% of its units in a single day at an average price of $2,579 psf. This may have been a factor in the strong sales performance at Emerald of Katong, as the developer did not raise their selling prices despite overwhelming interest. The project received 3,629 cheques as expressions of interest, which translates to 4.3 times oversubscription. According to Gafoor, this reassured buyers and agents that they could still purchase a unit at the same price, even with a high queue number.
Compared to other new projects in the Rest of Central Region (RCR), which have a median price of $2,955 psf, Emerald of Katong’s starting price of $2,423 psf is considered very attractive. According to Marcus Chu, CEO of ERA Singapore, this may have contributed to the strong sales.
Buyers who were unable to secure a unit at Emerald of Katong turned to other major condo projects in the vicinity, such as the 1,008-unit, 99-year leasehold Grand Dunman; the 638-unit, 99-year leasehold Tembusu Grand; and the 816-unit, freehold The Continuum, all of which reported good sales on November 16.
Huttons’ Yip attributes this strong sales momentum to better economic growth and interest rates, which have attracted more buyers to the new homes market and improved their borrowing capacity. He also believes that lower returns from other investment assets may have encouraged buyers to consider property as a preferred investment.
Huttons estimates that developers’ sales in November could reach up to 2,200 units, approaching the levels recorded in March 2013 when 2,793 units were sold. On-the-ground observations indicate a growing trend of prospective local and foreign buyers utilizing trust structures to acquire homes for their children. This reflects rising wealth among local buyers and an influx of overseas funds into Singapore. The number of single-family offices in Singapore grew to 1,650 as of August 2024, an increase of 250 from the end of 2023, according to figures from the Monetary Authority of Singapore (MAS). During the same period, the M1 money supply grew by $10.2 billion in the first nine months of 2024.
If you are interested in purchasing a unit at Emerald of Katong, you can find more information on available units and prices here.