First new launch of 2023, Sceneca Residence hits 60% sales on first day

Launching yesterday (Jan 14), the 268-unit Sceneca Residence saw 160 units sold, making up about 60% of the project. The average price sold was $2,072 psf and sources say the developer, a consortium made up of MCC Singapore, Ekovest Developments and The Place Holdings, had collected 560 cheques – making it two times subscribed. With sizes from 463 to 883 sq ft, the one- and two-bedroom units made up 120 units and were fully sold, accounting for 75% of the 160 units sold. This reflects a strong appetite for such units, as they started from $958,000 for a one-bedroom and $1.33 million for a two-bedroom.The four penthouses with sizes of 2,400 to 2,756 sq ft were also sold, with the largest Champions Way Condo of them being 2,756 sq ft and purchased on launch day. Interestingly, Singaporeans made up 88.5% of the total buyers, with permanent residents and foreigners accounting for the remaining 11.5%.Ismail Gafoor, CEO of PropNex, believes the project could have sold more units if it had a higher proportion of one- and two-bedroom types, noting “it shows a strong appetite for units that are priced anywhere below $1.8 million, with ready investors willing to pick up such units, regardless of the high interest rates”.At the launch, there was “a bit of pullback” amongst upgraders for the larger three-bedroom and four-bedroom units due to the current market uncertainties. Industry players, however, are optimistic about the future launches in the Chinese New Year period like The Botany at Dairy Farm and Terra Hill, which may see a good response considering their limited new supply of similar projects in the vicinity.Sceneca Residence’s strong performance at launch has certainly given the market a positive start to the year, with PropNex’s Gafoor noting, “We hope that the sales momentum achieved at Sceneca Residence will encourage other developers to price their projects right, as homebuyers are even more price sensitive due to the current high interest rate environment.”Yesterday (Jan 14) marked the official launch of Sceneca Residence, the first new project launch of 2023, which saw 160 units sold – making up about 60% of the project – at an average price of $2,072 psf. The one- and two-bedroom units, which made up 120 of the 268-unit project, were fully sold and reflected a strong appetite for such units, as they started from $958,000 for a one-bedroom and $1.33 million for a two-bedroom.With an occupancy rate of 88.5% by Singaporeans, permanent residents, and foreigners accounting for the remaining 11.5%, Ismail Gafoor, CEO of PropNex, believes that had the project had a higher proportion of one- and two-bedroom types, it would have sold even more units.The four penthouses with sizes of 2,400 to 2,756 sq ft were also sold, with the largest of them being 2,756 sq ft and purchased on launch day.Marcus Chu, CEO of ERA Realty Network, attributed the robust sales to the direct link to the Tanah Merah MRT station, the convenience of a mall directly below the residential towers and the project’s proximity to places of employment such as the Changi Business Park and Changi Airport.The launch of Sceneca Residence has given the market an optimistic start to the year with industry players confident about the upcoming launches in the Chinese New Year period like The Botany at Dairy Farm and Terra Hill.

Yesterday (Jan 14), marked the official launch of the first new project for 2023 – the 268-unit Sceneca Residence located at Tanah Merah Kechil Link. At the launch, the project saw 160 units sold, making up about 60% with an average price of $2,072 psf.

The one- and two-bedroom units, which made up 120 of the 268-unit project, were fully sold and reflected a strong appetite for such units, as they started from $958,000 for a one-bedroom and $1.33 million for a two-bedroom. With an occupancy rate of 88.5% by Singaporeans, permanent residents and foreigners accounting for the remaining 11.5%, Ismail Gafoor, CEO of PropNex, believes that had the project had a higher proportion of one- and two-bedroom types, it would have sold even more units.

The four penthouses with sizes of 2,400 to 2,756 sq ft were also sold, with the largest of them being 2,756 sq ft and purchased on launch day.

Marcus Chu, CEO of ERA Realty Network, attributed the robust sales to the direct link to the Tanah Merah MRT station, the convenience of a mall directly below the residential towers and the project’s proximity to places of employment such as the Changi Business Park and Changi Airport.

The launch of Sceneca Residence has given the market an optimistic start to the year, with industry players confident about the upcoming launches in the Chinese New Year period like The Botany at Dairy Farm and Terra Hill. According to Mark Yip, CEO of Huttons Asia, next door to The Botany at Dairy Farm is the 460-unit Dairy Farm Residences, launched in November 2019 and fully sold to date. And near the freehold Terra Hill is the 548-unit, 99-year leasehold Kent Ridge Hill Residences, which was launched in November 2018 and fully sold to date.

Ismail Gafoor notes that “We hope that the sales momentum achieved at Sceneca Residence will encourage other developers to price their projects right, as homebuyers are even more price sensitive due to the current high interest rate environment.”

As the first new project launch of 2023, Sceneca Residence’s performance is a harbinger of what other developers with projects in the pipeline could expect. Sources say that the developer – a consortium made up of MCC Singapore, Ekovest Developments and The Place Holdings – had collected a total of 560 cheques by Thursday evening, hence the project was two times subscribed. This reflects a conversion rate of about 28.6%.

Tan Zhiyong, CEO of MCC Singapore on behalf of the consortium said, “The project is likely the first major private residential launch (excluding executive condominiums) after the implementation of the latest round of cooling measures on 30 September 2022, and we do observe that homebuyers are more conscientious and deliberate in their buying decisions.”