Artist’s impression of Wandervale EC in Choa Chu Kang.
Applications for the 534-unit Wandervale executive condominium (EC) at Choa Chu Kang Avenue 3, the first major property launch for 2016, will open this Thursday (18 Feb).
Developed by Sim Lian Land, the 99-year leasehold project is located close to Choa Chu Kang MRT station and the newly opened Downtown Line 2 (DTL2). Scheduled to open for sales booking in March, Wandervale will feature a range of three-bedroom, three-bedroom premium and four-bedroom units, from 958 sq ft to 1,249 sq ft.
The approximately 205,138.6 sq ft site was awarded to Sim Lian for $207.4 million in September 2014.
According to a Credit Suisse report, the project will have an average indicative price of $750 psf to $770 psf. “This is likely to place further stress on MCL Land’s Sol Acres EC in Choa Chu Kang, which has only sold 28 percent of its 1,327 units at an average price of $800 psf.”
The report stated that the future launch of Qingjian Realty’s EC project at Choa Chu Kang Avenue 5 is likely to add further oversupply concerns within the vicinity.
In January 2016, sales of new EC units improved 26 percent month-on-month to 156 units, lifted mostly by The Amore, CDL’s The Brownstone, and The Vales, which together accounted for around 40 percent of total EC sales, revealed Credit Suisse, citing data from the Urban Redevelopment Authority (URA).
“Oversupply in the EC market, however, will likely persist, as 50 percent or more of these projects and several others remain unsold, which could weigh down capital values in the mass market segment,” added the report.