Thursday, November 24, 2011

Bedok Residences

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%.

1 comment:

qiaofeng said...

Published November 24, 2011

Over 350 Bedok Residences units snapped up on Day1
CityDev sells 320 of 400 units released in The Palette, its new 892-unit project


CAPITALAND sold more than 350 apartments in its 583-unit Bedok Residences condominium yesterday - the first day of the property's launch.

The developer said that it achieved an average selling price of $1,350 per square foot (psf) for the 99-year-leasehold project.

Of the 583 units in total, 450 were released for sale yesterday. As at 5pm, 350 units were sold.

According to CapitaLand, 66 units were sold within the first hour of the showflat's opening yesterday morning. This came after a queue of more than 400 people formed outside the showflat by Tuesday night.

'The strong sales numbers demonstrate that the queue formed outside our show suite over the past few days consists of genuine prospective buyers,' said Wong Heang Fine, chief executive of CapitaLand's Singapore residential unit. 'Those who queued managed to buy their choice units on the same day.'

Bedok Residences, in Bedok Town Centre, is part of an integrated development comprising homes, a shopping mall and a transportation hub linked to Bedok MRT Station. CapitaLand is developing the entire project jointly with its retail unit, CapitaMalls Asia.

Separately, City Developments said in an update yesterday that it has sold 320 out of the 400 units it released in the 892-apartment The Palette.

Sales of the Pasir Ris project started on Nov 12. Units were priced at an early bird average of about $870 psf then, but prices have since been adjusted upwards by a marginal 2-3 per cent.

'Launches that are conveniently located near MRT stations, such as The Palette, are experiencing strong take-up,' noted a CityDev spokeswoman.

Next week, UOL Group and Singapore Land intend to roll out their newest project, the 577-unit Archipelago @ Bedok Reservoir, BT understands.

Units at the project are said to be priced tentatively at around $1,100 psf.

CapitaLand shares lost four cents or 1.6 per cent to end at $2.46 yesterday amid a broad market pullback.


My Thots....

All this strong take-up is absolutely confounding the analysts!!

All in the East!
Would be interesting if the UOL launch which is @ Bedok Reservoir, is just as strong....

"Wisdom is purified by virtue and virtue is purified by wisdom. Where one is, so is the other."