SINGAPORE - A housing oversupply looms over the north-east
district, with market watchers expecting about 16,000 private
residential units (including executive condominiums) to come
on-stream in Punggol, Sengkang and Pasir Ris over the next five to
six years.
Later this year, developers are expected to bid for four sites in
the north-east that are expected to yield some 2,000 executive
condominium units.
This will add to the 3,295 units from sites released in the area by
the government in the first half of the year.
"The north-east is now most at risk of an oversupply. When taken
together with HDB flats, the total number of units plus,
potentially, a lack of demand from expats … and, in future,
relatively weaker rental value … In the next three to five years,
these risks will start to show," said Mr Ku Swee Yong, CEO of
International Property Advisor.
Despite this, experts predict that a well-located site will see
eight to 10 bids.
"Pricing will be competitive in Punggol and Pasir Ris," said Mr
Alan Cheong, research head of Savills Singapore. "There will be a
bit of competition among developers but prices will remain
competitively stable."
-- TODAY
