Otto Place 91% sold after second-timer balloting, underscoring EC market strength
Joint property developers Hoi Hup Realty and Sunway Developments held the balloting for second-timer homebuyers of Otto Place executive condominium (EC) on the evening of Tuesday, August 19. An overall of 167 units were offered throughout the exercise, according to the developers’ introduction.
PropNex chief executive officer Kelvin Fong associated Otto Area’s strong productivity to its locational appeal, the decreasing supply of unsold ECs, and buyers’ awareness of climbing EC land prices, which are anticipated to exert higher pressure on future launch rates.
“With interest rates trending downwards, an approximated 85% of buyers at Otto Place opted for the credit scheme, compared to around 75% in the time of the preliminary July launch,” Yip included.
According to PropNex, less than 60 unsold EC units stay on the market. One of the most current EC launch prior to Otto Place was Sim Lian Group’s 760-unit Aurelle at Tampines in March, that sold 90% of units on release weekend break. The remaining 52 units were snapped up in just hours when bookings opened for second-timers on April 12. To date, Aurelle’s average price is $1,766 psf based on caveats lodged.
The next EC launch in the pipe is Qingjian Realty’s 748-unit project at Jalan Loyang Besar, acquired using a government land sales (GLS) tender in August 2024 at $729 psf per plot ratio. The project is aim at for launch at some time towards the end of this year, claimed Fong.
Mark Yip, CEO of Huttons Asia, indicated that second-timers generally have bigger family sizes and therefore favour larger units. “At Otto Place, all the four-bedroom units are completely marketed,” he claimed.
On the other hand, a record land rate was set at the recent EC GLS tender at Woodlands Drive 17, where City Developments Ltd paid $782 psf ppr in very early August. Taking into account high building and construction costs and brand-new gross floor area harmonisation rules, PropNex expects units at the future project– producing around 420 units– to be valued above $1,800 psf.
Found at Plantation Close in Tengah in the West Region, Otto Place is close to the upcoming Tengah Park and Bukit Batok West MRT stations on the Jurong Region Line, slated for conclusion in 2029. The Tengah area is also flanked by Jurong East and Bukit Batok estates, providing a ready pool of prospective HDB upgraders. Fong added that closeness to colleges and the neighboring Jurong Lake Area– reserved as the largest mixed-use establishment hub outside the city– boosts the property’s interest households.
The 600-unit EC venture had previously marketed 351 units throughout its launch weekend on July 18– 19, reflecting a preliminary take-up rate of 59%. With the more sales yesterday, the tally currently stands at 548 units– over 91%– in just one month of launch. Based on caveats lodged to date, the average rate achieved is $1,750 psf.
Second-timers refer to purchasers that have previously obtained a real estate subsidy from HDB. Throughout an EC’s preliminary release, 70% of units are booked for first-timers, while second-timers are restricted to 30%. This restriction is raised 30 days after launch, with balloting performed for second-timers that were unsuccessful in obtaining a unit beforehand.
