• Seniors aged 65 and above may apply for community care apartments at Harmony Village@Bukit Batok
• The project is expected to be completed in the second quarter of 2024
• Each 32-sqm unit is expected to be priced at between S$52,000 and S$60,000
• The BTO flats are spread across Bukit Batok, Tengah, Kallang-Whampoa and Toa Payoh (Bidadari)
• Property analysts predicted that the BTO flats will likely be oversubscribed, especially in the mature estates

SINGAPORE — In its first sales exercise of the year, the Housing and Development Board (HDB) on Thursday (Feb 4) launched 3,740 Build-To-Order (BTO) flats for sale, including the first community care apartments for seniors.

The flats on offer are spread across seven housing projects in the non-mature towns of Bukit Batok and Tengah, and the mature towns of Kallang-Whampoa and Toa Payoh (Bidadari).

Prices for flats in the non-mature towns such as Bukit Batok range from S$101,000 for a two-room flexi unit to S$384,000 for a five-room unit, excluding grants.

Prices for flats in mature estates such as Toa Payoh range from S$312,000 for a three-room flat to S$612,000 for a five-room flat, excluding grants.

Property analysts expect strong demand, particularly for the flats in mature estates, after last year’s BTO launches were heavily subscribed, especially the larger units.

Seniors aged 65 and above may apply for the newly launched community care apartments at Harmony Village@Bukit Batok, which has 169 units in a 15-storey residential block bounded by Bukit Batok West Avenue 6 and Avenue 9.

Announced in December, these flats come with elder-friendly features such as grab bars and wheelchair-accessible bathrooms with slip-resistant flooring designed to help seniors live independently.

HDB's portal states that the project is expected to be completed in the second quarter of 2024, with each 32-sqm unit costing between S$52,000 and S$60,000, excluding grants.

Buyers must choose a lease ranging from 15 to 35 years, in five-year increments, such that it covers them until they are at least 95 years old.

West Hill@Bukit Batok, the biggest project of this launch, will offer 962 two-room flexi, three-room, four-room and five-room flats. Prices start from S$175,000 for a three-room flat and S$384,000 for a five-room flat.

The project, located between Bukit Batok West Avenue 8 and Bukit Batok West Avenue 5, is slated to be completed by the second quarter of 2026.

At nearby Tengah town, a total of 767 two-room flexi, three-room and four-room flats are available for sale at Parc Woods@Tengah, from S$209,000 for a three-room flat and S$298,000 for a four-room flat.

The project at the new eco-friendly town, which will be the first HDB town to have a car-free town centre, will be completed in the first quarter of 2025.

MATURE ESTATES

In Bidadari, a total of 1,216 units are on offer across three projects: Bartley GreenRise, ParkEdge@Bidadari and Alkaff Breeze.

Bartley GreenRise, near Maris Stella High School and within walking distance of Bartley MRT Station on the Circle Line, comprises three residential blocks with staggered heights of 11 to 17 storeys.

Prices start from S$312,000 for a three-room flat and S$496,000 for a four-room flat, excluding grants.

The project is expected to be completed by the second quarter of 2025.

ParkEdge@Bidadari, near the proposed Mount Vernon Funeral Parlour complex along Sang Nila Utama Road, is set to be completed the same year. It has 476 four-room and five-room flats on offer.

Buyers can expect to fork out S$612,000 for a five-room flat here — which is the most expensive unit in this launch.

Alkaff Breeze, near Cedar Primary School on Alkaff Crescent, has 353 four-room and five-room flats on offer. This is due for completion in the second quarter of 2024.

In Kallang-Whampoa, 626 two-room flexi, three-room and four-room flats are available at McNair Heights, located within walking distance of Boon Keng MRT Station on the North-East Line.

Prices start from S$359,000 for a three-room flat and S$532,000 for a four-room flat. It is scheduled to be ready by the second quarter of 2026.

Applications for this latest BTO exercise can be made online on HDB's website and will close next Wednesday. Applicants will be shortlisted using a computer ballot and not on a first-come-first-served basis.

Coming up in May, about 3,800 BTO flats will be launched in Bukit Merah, Geylang, Tengah and Woodlands. Another 4,900 flats will be offered in Hougang, Jurong East, Kallang-Whampoa, Queenstown and Tampines in August.

WHAT ANALYSTS SAY

Some property analysts predicted that these flats in HDB's sales launch will likely be oversubscribed, especially in the mature estates.

Mr Lee Sze Teck, director of research at property agency Huttons Asia, said that the completion period of between three and four years for the BTO flats in Toa Payoh is reasonable.

“We expect them to attract many applicants including those who were worried about the longer construction periods in earlier launches.” 

While the city fringe location of the flats in Kallang-Whampoa is attractive, it has a longer completion period of five years. That may shift prospective applicants to the resale market, Mr Lee added.

Agreeing, Ms Christine Sun said that although prices are slightly high for the flats in Bidadari, some buyers may not mind forking out the money because new condominiums in that area are transacting at around S$1,700 to S$1,900 per sqf.

Ms Sun, who is senior vice-president for research and analytics at property consultancy OrangeTee and Tie, added that this roughly translates to about S$1.5 million to S$1.8 million for a new condominium of similar size to a four- or five-room flat.

The analysts interviewed by TODAY also expect the community care apartments to be popular among seniors since they are affordably priced.

Mr Nicholas Mak, head of the research and consultancy department at real estate firm ERA Realty, said that these units are more affordable compared to two-room flexi flats within the same town.

Inclusive of government grants, eligible buyers may buy an apartment with a 30-year lease for as low as S$52,000, while the price for a two-room flexi flat within the same vicinity starts from S$101,000, he noted.

For two-room flexi flats, the HDB scheme allows older citizens to choose the length of lease — from 15 to 45 years in five-year increments — on the flat, based on their age and preferences. Selected applicants that meet certain criteria such as singles buying a HDB flat for the first time may also buy such flats on a 99-year lease. 

Ms Sun said that while the provision of community care flats will meet the housing needs of a growing population of single seniors, divorcees and parents who opt to stay apart from their children, not everyone would want to live among a community of seniors and may prefer a good mix of young families and couples.

“Moreover, these flats cannot be sold in the open market and must be returned to HDB if the occupants do not wish to live in them," she added.

“Some elders may still be quite traditional and prefer to bequeath property to their descendants. Some of the optional services could also be quite costly for elders with little or no income.”

RESALE PRICES

Mr Mak of ERA Realty noted that the speed of construction has picked up after the halt at the height of the Covid-19 pandemic, and that most of the BTO projects are due for completion in three to four years.

These factors may draw first-time homebuyers back to the BTO market, he said.

Ms Sun of OrangeTee and Tie said that cash-strapped buyers may opt to apply for BTO flats since prices of resale flats have been climbing over the past few months.

HDB said last month that resale prices for flats rose 5 per cent last year, the largest yearly spike since 2012. The number of resale transactions also increased by 4.4 per cent for the year.

Ms Sun noted that estimates derived from the three BTO launches in February, August and November last year showed that there were about 13,000 new flats that are three-room or bigger released and there were more than 80,000 applicants for those units.

There are many couples who were unsuccessful in their BTO applications and have probably turned to the resale market in recent months, she explained.

The long completion periods for recent BTO launches may have also diverted some buyers to the resale market, especially those with immediate housing needs. The situation was further aggravated by construction delays brought on by the pandemic.

“The strong demand for public housing has continued to prop up resale prices…We expect demand to be sustained in the coming months and prices may rise further by 2 to 5 per cent this year,” she added.

Agreeing, Mr Mak said: “As HDB offers more BTO flats at attractive prices and if these flats can be completed in the usual expected construction period of about three years, it could draw some buyers from the resale market and moderate the pace of HDB resale price growth.”