Nature - and soon the MRT - is on the doorstep at Chesnut, Dairy Farm

MONEY
C2
INVEST
Eco Sanctuary
(under construction)
(under construction)
Tree House
(under construction)
Chestnut
Drive Secondary
School
l
Ca
Foresque
Residences
(under construction)
na
ST
CH
E
CHIJ Our
Lady Queen
Of Peace
Dairy Farm
Road site sold
in September
UPPER BUKIT
TIMAH ROAD
The Dairy
Farm
Hillview Station
(under construction)
PETIR RO A D
NU
T
DR
IVE
CHESTNUT AVEN
UE
BUKIT TIMAH
EXPRESSWAY
Michaels’
Residences
SATURDAY, DECEMBER 29, 2012
D A IR Y F A R M R O A D
Dairy Farm
Nature Park
ST GRAPHICS
Sleepy
enclave’s
leafy retreats
lure buyers
Interest in the area was sparked by the success of City Developments’ 429-unit Tree House project (above) in April 2010, a time when the market was still untested.
It has sold out. More than 1,800 new homes in five projects are expected to be completed in the area by 2018, property market experts say. PHOTO: CDL
ATTRACTIONS
IN THE AREA
Nature – and soon the MRT – is on
the doorstep at Chestnut, Dairy Farm
By ESTHER TEO
PROPERTY REPORTER
IF A small and quiet retreat close
to nature sounds like home, then
the Chestnut and Dairy Farm areas
might be the place to be.
The Chestnut Avenue enclave
comprises a low-density area with
landed
houses,
including
good-class bungalows, and a
high-density zone, with mature
and upcoming condominium developments. Both sections are near
leafy spots such as the Dairy Farm
Nature Park, Bukit Timah Nature
Reserve and the Central Catchment Nature Reserve.
Recent new launches such as SP
Setia’s 483-unit Eco Sanctuary –
where buyers have snapped up
more than 160 units at a median
price of $1,050 per sq ft (psf) –
have created even more buzz in
the sleepy estate.
More than 1,800 new homes in
five projects are expected to be
completed by 2018, Dennis Wee
Group (DWG) noted.
Experts say the flurry of activity began with the launch of City
Developments’ 429-unit Tree
House in April 2010 – a time when
the market was still untested.
The success of the project – it
has sold out – set the stage for others to take flight, such as Eco Sanctuary, the 496-unit Foresque Residences, and the 40-unit landed
project Michaels’ Residences.
A Dairy Farm Road site that can
yield about 390 homes was sold in
September this year.
Prices of new flats have risen
from the $800 psf to $900 psf
range in early 2010, to between
$1,150 and $1,300 psf now for similar-sized apartments, according to
Savills Singapore research head
Alan Cheong.
That is a 44 per cent increase in
just under three years.
Selling prices at the recently
transacted Dairy Farm Road site
are also expected to top $1,400 psf
when launched, he said.
Similarly, resale prices for freehold properties have risen in tandem, jumping by up to 10 per cent
in the past year, R’ST Research director Ong Kah Seng added.
Prices are generally on the uptrend, as both buyers and sellers
anticipate improved accessibility
once the Downtown MRT line is
ST FILE PHOTO
Buyers at SP Setia’s recently-launched, 483-unit Eco Sanctuary (above) have snapped up more than 160 units at a median
price of $1,050 per sq ft. The upcoming Downtown MRT line bodes well for the area’s potential. PHOTO: SP SETIA
completed, he said.
“Cashew Heights condo resale
prices average $920 to $950 psf,
while prices at The Dairy Farm
were about $1,000 psf recently,”
Mr Ong noted.
However, rental demand is
more subdued, as Cashew MRT station, which will increase accessibility to the city centre, will not be
completed until 2015.
Mr Lee Sze Teck, senior manager of training, research and consultancy at DWG, said non-landed
housing rents range from $2.20 to
$2.50 psf a month, giving a gross
yield of 2.4 to 2.7 per cent.
“But then the existing developments are almost 20 years old and
are larger in size. The newer devel-
opments with smaller units
should be able to fetch higher
rentals,” he added.
“The area tends to attract
more owner occupiers than investors because of the living environment and distance from major employment centres. The lack of an
MRT station at the moment also
affects the draw of the area to tenants.”
Shoppers have Rail Mall and
Bukit Panjang Plaza, while the
area’s schools include CHIJ Our
Lady Queen of Peace, Chestnut
Drive Secondary School and
Bukit Panjang Primary School.
Although the area is a quiet estate, Savills’ Mr Cheong points
out that it could get congested
once all the residential sites are
sold and completed.
There are also two parcels
zoned for education that could
add to the congestion.
But the completion of the
Downtown MRT line and the reju-
venation of the western part of
Singapore bode well for the area’s
potential.
“Not only will the Upper Bukit
Timah, Cashew, Chestnut and
Hillview areas benefit from new
MRT stations, they can finally be
positioned as mid-tier private
homes which are conveniently located,” R’ST’s Mr Ong added.
While supply will increase
with the new completions, investors can expect a broader, stronger tenant demand base, as the
gradual development of Jurong
Gateway will prompt major firms
to relocate.
“While there are private
homes in Lakeside and Jurong
East to cater to them, (some) may
consider the Upper Bukit Timah
area since it will be better connected to the West with the completion of Downtown Line 2,” Mr
Ong said.
[email protected]
Additional reporting by Cheryl Ong
L Nature
For buyers who prefer a
quiet retreat close to
nature, the area has many
parks and reserves, such as
the Dairy Farm Nature Park
(above) and Bukit Timah
Nature Reserve.
L Transport links
The Downtown MRT line –
which will include the
Bukit Panjang, Cashew and
Hillview stations – will be
completed in 2015, and will
improve accessibility in the
area greatly.
L Amenities
Malls in the area include
The Rail Mall and Bukit
Panjang Plaza.
L Schools
Schools in the area include
CHIJ Our Lady Queen of
Peace, Chestnut Drive
Secondary School and
Bukit Panjang Primary
School.
Nearly 150 units snapped up
at launch of Woodlands EC
By CHERYL ONG
CLOSE to 150 units were sold at an executive condominium (EC) launch in Woodlands yesterday, property agents estimated.
A mixture of upgraders and first-time potential
buyers showed up at the showroom for Forestville,
a 653-unit development.
MCC Land said the average price was about $710
TOMORROW IN
COMMODITIES
BOOM?
What to look out
for in 2013 for investors
of commodities
per sq ft, but declined to reveal sales figures.
The Straits Times understands from sources that
the three-bedroom and four-bedroom dual-key
apartments were the most sought after.
Dual-key units have two entrances, and separate
living areas. They are designed to cater to grandparents, for example, who can live with the family but
in a separate dwelling.
Owners can also rent out the separate unit, with
its own kitchen and bathroom, for extra income.
Developed by Hao Yuan Investment but managed
by MCC Land, Forestville comprises 14 blocks of
13-storey apartments, with 29 penthouse units. The
project will have a mix of two-, three-, four- and
five-bedroom units.
The largest penthouse, spanning 2,756 sq ft, was
booked yesterday. About four of the 12 five-bedroom dual-key apartments were also snapped up.
First-time buyer Tan Wei Min, 28, bought a
four-bedroom dual-key unit instead of a three-bedroom unit that he and his fiancee had been eyeing.
However, he sees the heftier downpayment as a
form of investment.
He said: “In a few years, we know it’s going to be
worth a lot and will fetch a good price if we sell it.”
But for second-time buyer Vincent Ong, 36, it
was a combination of location and pricing that led
him to purchase a four-bedroom unit yesterday.
“It’s near my parents’ place and is within my
budget, that’s the most important,” he said.
He also noted that “the resale potential should be
fantastic” as the Thomson MRT Line, set to be completed in 2019, is expected to add to selling prices of
residential developments in the area.
Forestville is the first EC to be launched in Woodlands since La Casa in 2005.
It is expected to be completed in mid-2016.
[email protected]