River Valley leverages Thomson-East Coast Line, resilient demand
on EdgeProp.sgRiver Valley is a coveted residential neighbourhood known for its prime central location and upscale lifestyle. With the recent opening of new MRT stations, improving connectivity within the area, River Valley has enjoyed an increased popularity among the well-heeled. This can be seen in the strong performance of new launches, as well as increasing amounts of en bloc attempts. Horizon Towers was recently relaunched for collective sale with an unchanged reserve price of $1.1 billion, while Orchard Bel Air followed suit with an unchanged price of $587.5 million. EdgeProp Singapore’s Market Trends tool shows that prices transacted year-to-date in the area stand at $2,789 psf, higher than the average price for the Central Region ($2,503 psf) as well as the whole of Singapore ($2,019 psf). Census data for 2020 shows that nearly half of the households in River Valley earn a monthly household income of at least $20,000, a reflection of the area’s appeal.
River Valley is a popular choice for Singapore’s well-heeled, evidenced by its higher-than-average transacted prices and rents. Located in prime District 9 in the Central Region, River Valley is a 148ha planning area bounded by the Orchard, Singapore River, Museum and Tanglin planning areas. Home to over 12,061 condo units, the area is known for its upscale living and relative seclusion.
Horizon Towers, a 211-unit condo completed in 1984, was recently relaunched for collective sale tender on Feb 16 with an unchanged reserve price of $1.1 billion. Located a five-minute walk from Great World MRT Station on the Thomson-East Coast Line (TEL), the reserve price works out to a land rate of about $2,049 psf per plot ratio (psf ppr) after factoring in a lease top-up premium estimated at around $277 million.
Data compiled on EdgeProp Singapore’s Market Trends tool shows that prices transacted year-to-date for condo units in River Valley stand at $2,789 psf, higher than the average price for the Central Region ($2,503 psf) as well as the whole of Singapore ($2,019 psf). Average condo rental rates in River Valley are also higher at $5.49 psf per month (psf pm) year-to-date, compared to $5.17 psf pm for the Central Region and $4.69 psf pm islandwide.
Since the opening of Stage 3 of the TEL last November, three MRT stations have fallen within the River Valley planning area, namely Orchard Boulevard, Orchard and Great World, greatly enhancing connectivity in the area. With people willing to pay at least 10% more for a home near an MRT station or bus interchange, according to a survey by EdgeProp Singapore, this could bode well for property values.
Recent launches such as Irwell Hill Residences, The Avenir and Hill House have all performed strongly, with take-up rates ranging from 91% to 94%. There have also been two en bloc attempts in the area – Horizon Towers, with an unchanged reserve price of $1.1 billion and Orchard Bel Air, at an unchanged price tag of $587.5 million Champions Way Condo (or an estimated $2,551 psf ppr). Tenders for both Horizon Towers and Orchard Bel Air will close in March.
River Valley remains a sought-after residential neighbourhood, offering a prime central location as well as an upscale lifestyle. This can be seen in the strong performance of new launches, en bloc attempts and the area’s higher transacted prices and rents. As the MRT network around River Valley continues to expand, it is likely the area’s popularity will continue to be boosted.
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