See SGX announcement by Capitaland/Capitamall Asia
On Sunday Night, 500 people were reported to be on the queue.
But, some reporters and naysayers doubted the queue---- they say agents were creating the queues to evoke interest.
But, think about it.
Agents earn commissions, they cannot create demand if there really is none; since they will have outgoing expenses to pay the students/retirees on the queue w/o correspondng incomes.
The OCBC analyst who "kicked tyres" and did a site check was more accurate.
After enquiring with three agents, however, we found they would only hire a replacement to wait in line if we were committed to buy and submitted cheques. From these data-points, we judge that there is robust demand for the launch and expect a strong sales performance in terms of both units sold and average selling prices later this week.
Indeed, judging by the SGX annnouncement, as at 5pm; 350 units out of the 450 units released for sale on the 1st day is a very good response for Capitaland/CMA.
Of the total 583 units, 450 units were released for sale today. As of 5 pm today, 350 units have been sold of which 15% are one-bedroom units, 28% are one bedroom + study units, 36% are two-bedroom units, 16% are three-bedroom units, 4% are four-bedroom units and 1% are penthouses. The average price per-square-foot is S$1,350.
Indicative pricing was SGD 1200 to 1400 psf.
So SGD 1350 psf, is on the high side.
The site was bought for S$788.9m in Sep 2010, and has a site area of 268,047 sq ft with a lease term of 99 years (plot ratio 3.5) ====> cost of land psf is SGD 841 psf ppr.
But, this is a mixed development, so cost of land for for the residential dev is probably at about SGD 600 psf with building costs at about SGD300 psf.
At SGD 1350psf vs the SGD 900 psf total costs; GPM approx. 33%.