Terra Hill achieves 38% sales on launch weekend, with an average price above $2,650 psf

Terra Hill is the developer’s first freehold private condo launch in the Rest of Central Region (RCR) in 2023. The developer achieved its target of selling 100 units, with the average price achieved across the units sold being over $2,650 psf. Hoi Hup and Sunway Developments sold 102 units (about 38%) of the 270-unit, freehold condo over the weekend of Feb 25-26.At the launch, seven units in The Prestige Collection, comprising 30 exclusive units, were sold at prices averaging above $2,850 psf. The 70% to 85% sales achieved at new project launches last year unlikely to be repeated this year, with the new supply being three times higher, and buyers having more choices.Mark Yip, CEO of Huttons Asia, said Terra Hill’s weekend sales were within expectations. Ismail Gafoor, CEO of PropNex Realty saw buyers drawn to the proximity to the future Greater Southern Waterfront, which is starting to take shape.The last new launch of Tengah Plantation EC a freehold development in the vicinity was the 120-unit Bijou in 2014. Apartments sold from Jul 1, 2022, to Nov 30, 2022, ranged from $1,644 psf to $2,062 psf.

The developer of Terra Hill, a 270-unit, freehold condo situated at the top of Yew Siang Road, off Pasir Panjang Road, has achieved its target of selling 100 units. Hoi Hup and Sunway Developments sold 102, or about 38%, of the units over the weekend of February 25-26.

At the launch, seven units in The Prestige Collection, comprising 30 exclusive units, were sold at prices averaging above $2,850 psf. Average price across all units sold was over $2,650 psf.

The preview held over the past fortnight saw more than 10,000 visitors at the sales gallery. Ismail Gafoor, CEO of PropNex Realty, said the developer was targeting the sale of 100 units from the onset of the launch. He noted the success achieved and set a new benchmark price.

Mark Yip, CEO of Huttons Asia, said Terra Hill’s weekend sales were within expectations. In light of higher interest rates and market uncertainty, Gafoor expects most new project launches this year to achieve about 35% to 40% sales on the launch weekend.

The Prestige Collection, which makes up 30 exclusive units, consists of 24 1,894 sq ft. four-bedroom units, each priced from $5 million, as well as six 5-bedroom duplex penthouses of 3,035 sq ft.

The previous launch of a new residential project in the area was the 548-unit Kent Ridge Hill Residences in November 2018. Apartments sold from July 1, 2022, to November 30, 2022, ranged from $1,644 psf to $2,062 psf.

The last new launch of a freehold development in the vicinity was the 120-unit Bijou in 2014. Completed in 2018, with the latest transaction being the sale of a strata-terraced house for $3.266 million ($1,580 psf), the apartments sold from July 1, 2022, to November 30, 2022, ranged from $1,644 psf to $2,062 psf.

Sentiment on the ground is still positive, even after the Budget announcement of the buyer’s stamp duty increase, large crowds at show flats indicated that buying interest has not been affected. Gafoor points out that Pasir Panjang is one of nine estates outside the Central Area in which URA requires the average unit size of new non-landed residential projects to be 100 sqm, making Terra Hill’s unit sizes larger and more attractive.

Four minute walk to Pasir Panjang MRT station on Circle Line, becoming a full circle by 2026, further enhances accessibility to the city centre. Near places of employment and higher learning, Terra Hill is within 2 km of the Science Park and 3 km of the National University of Singapore (NUS), Biopolis and the Media Hub at one-north.

Buyers of Terra Hill were predominantly those living in the west, according to Yip. There was a good mix of investors and owner-occupiers, both groups of buyers were drawn to the proximity to the future Greater Southern Waterfront which is starting to take shape.

Freehold developments in the neighbourhood of Terra Hill, where the most recent is Bijou, launched in 2014 and completed in 2018 represent just 14% of transacted private residential non-landed properties in District 5. Prices at an average above $2,600 psf make Terra Hill reasonably priced compared to 99-year leasehold developments in the Outside Central Region which have already crossed $2,000 psf.