Hi Khng8 and Proud Owner,
Just got back from viewing the unit. Got the KF division head to field us around.
1km around Redhill
Aside from the ARTRA, 2 more plots of land will be up for development in the near future BUT ARTRA real key advantage is really the COVERED proximity to the RedHill train station. Good that they built the resident entrance behind as the 24/7 Fairprice Finest is going to draw a crowd. The round the clock license applied is very HK style. Maximise use of every psf without wastage and keeping the development high.
Agent confirmed the shops are strata title which means the mix can be quite varied. No known quota for F&B versus retail. This is constrained by the number of parking lots which is limited for public. I believe its quite a HK style approach. The childcare centre will contribute to the traffic (humans and cars) as parents from nearby will drop off and shop in the supermarket and shops. Human footfall is expected to be pretty high. This is a huge plus IMHO over other developments unless you want peace and quiet (Principal Garden will fit this criteria). Do not complain of the noise, MRT and human traffic as it is a given. More so if you are facing the MRT. The acoustic barrier will prevent some noise generation but high pitch/high frequency sound comes from the train braking. My friend who happens to stay at 10+ floor at Ascentia Sky already complains about this less so this development that is dead facing it. The windows if you noticed at ARTA are built to withstand this noise (<60 decibels limit legislation). AS folks will be happy that ARTRA will be blocking this noise in the future. More peace and quiet for them in AS which in forsaking the view, you get noise reduction. Its a trade off, not a trade down for AS.
Rental will be quite fiercely contended like what proud owner mentioned. Tenants can choose what they want around the area from the 8-10 developments in the 2km radius. For rental decline rate as this LH property ages, the mixed development will allow slower decline which is a plus factor for me. More so for the stack that is not facing the train station, these units will enjoy the best of both worlds. Convenience and less rental decline.
The lack of 1 bedder positioning also makes this development slightly more attuned for families which is why there is a childcare centre and supermarket. This is important for positioning agains the nearby competition. Comparing the layout view, ARTRA has done their homework to maximise space especially for the living area. This is one of the best layout I have seen minus the corner stack which has a slanted living room and one bedroom with west sun. Best to avoid this stack IMHO.
Finally, the rental question. A1 and A2 indicative entry price (without ABSD) will allow you to rent out estimated between $3,700 to $4,200 (2021 pricing against current inflation, land supply and population increase, not against current sentiments) with an acceptable rental yield. However, if your tenants wanted more peace and quiet, they may choose somewhere else fairly quickly. Given this smaller development size and the lack of 1 bedders, proportionally more owners may actually choose for own stay. You really need to slam on the convenience factor. In terms of TOP timing, 2021-2022 will be at supply decline. This is an important point to keep in mind versus what is happening now.
All the comments are my own and I wish you all the best in this investment.