'Good value' Loyang draws home buyers

'Good value' Loyang draws home buyers

Despite being in the far-flung area of Loyang and not close to an MRT station or other amenities, home buyers are turning to the area for its value for money.
New launches around Flora Drive, including Palm Isles and Parc Olympia, for instance, are averaging between $820 per sq ft (psf) and $880 psf.

That is markedly cheaper than homes in nearby Pasir Ris, which has more amenities, experts said. Pasir Ris' Ripple Bay and The Palette - both also 99-year leasehold projects - were both sold at an average of $900 psf.

Koh Brothers' Parc Olympia has moved over 180 out of 234 units released since its launch a fortnight ago. One-bedders at the 486-unit condominium start at $440,000.

Frasers Centrepoint's Palm Isles is around 70 per cent sold; one-bedders start from $530,000.

The 99-year leasehold Hedges Park, developed by Tripartite Developers - a joint venture between Hong Leong Holdings, City Developments and TID, is more than 75 per cent sold, with an average selling price of $880 psf.

Besides lower launch prices, resale prices in the area also appear to be more attractive than those of Pasir Ris and Tampines.

The freehold Azalea Park, on Flora Drive, achieved a median resale price of $704 psf, while freehold Ris Grandeur in Pasir Ris fetched $898 psf as of this year's second quarter.

In Tampines, 99-year leasehold The Tropica returned a median resale price of $832 psf.

But Flora Drive projects lose out in terms of rental yields, which hover from 3.8 per cent to 4.1 per cent.
Still, rental demand is buoyed by the nearby airport, Tampines Regional Centre, Changi Business Park and Japanese School, consultants said.

Source: The Straits Times – 30 July 2012