At launch, UOL's Meyer Blue sells half of its units for an average of S$3,260 per squ

At launch, UOL's Meyer Blue sells half of its units for an average of S$3,260 per square foot

Only one buyer was a foreigner from the US, and the majority were Singaporeans who were permanent residents.

October 6, 2024

CONDOsingapore.com

During its opening weekend, Meyer Blue, a freehold condominium, sold 114 units, or slightly more than half of its 226 units, at an average price of S$3,260 per square foot (psf).

A two-bedroom apartment (from 667 square feet) cost S$2 million or S$3,019 per square foot, a three-bedroom apartment (from 990 square feet) cost slightly less than S$3 million or S$2,985 per square foot, a four-bedroom apartment (from 1,518 square feet) cost S$4.5 million or S$2,950 per square foot, and a five-bedroom apartment (1,905 square feet) cost S$5.6 million or S$2,936 per square foot).

According to developer UOL, the development's two penthouses were also sold. The 2,949 square foot penthouse unit sold for S$10.1 million, or S$3,418 per square foot, according to EdgeProp, while the other 2,992 square foot unit sold for S$10.3 million, or S$3,436 per square foot.

Ismail Gafoor, the chief executive officer of PropNex, stated that two and three-bedroom apartments, ranging in size from 667 to 1,141 square feet, accounted for over 77% of the 114 units sold.

According to Anson Lim, general manager of residential marketing at UOL, 99 percent of the purchasers were Singaporeans and permanent residents, with only one being a foreigner from the US.

Marcus Chu, CEO of ERA, stated that most buyers had bought units for legacy and occupation-related reasons.

According to Mogul.sg chief research officer Nicholas Mak, this is in line with the region's overall home-buying trend. Locals bought 83.8% of the condos in District 15 in the last year, while permanent residents bought 14.2%.

Mak claimed that because of the high Additional Buyer's Stamp Duty (ABSD), only 2% of buyers were foreigners.

Meyer Blue, which is situated in District 15 along Meyer Road, has a plot ratio of 2.8 and a total land area of 96,672 square feet with a gross floor area of about 290,000 square feet.

The land parcel where Meyer Park condominium once stood was purchased by UOL and its subsidiary Singapore Land Group for S$392.2 million in February 2023. The land rate per plot ratio came to S$1,668 psf.

Due to the area's limited supply of available homes and its appealing location, market observers credited Meyer Blue's launch with receiving a strong response. This is in spite of the fact that it costs more than S$3,000 per square foot, which normally attracts a small number of buyers, according to PropNex's Gafoor.

Mark Yip, CEO of Huttons Asia, pointed out that the Meyer neighbourhood only has 2,053 finished non-landed homes spread across 12 projects.

Yip stated, "Buyers realised that the supply of new non-landed homes in Meyer is very limited and might not materialise unless an en bloc occurs." "However, considering the higher ABSD on buyers for a replacement home, the likelihood of an en bloc seems remote."

According to Chu of ERA, buyers were also attracted to Meyer Blue's larger apartments, freehold tenure, and a prime location with unhindered views of the sea.

According to Chu, only 12 plots along Meyer Road, including Meyer Blue, have a direct, unobstructed view of the sea, and all of them have been developed.

According to Gafoor, buyers might be drawn to the possible advantages of Singapore's east's ongoing transformation.

According to him, stage four of the new Thomson-East Coast Line, for example, only started operating in late June and has improved local connectivity.

According to Gafoor, authorities have also laid out other long-term plans and initiatives to improve the eastern parts of the island, such as the Long Island plan to improve the city-state's coastal protection while freeing up more land for future development needs and the Kallang Alive Masterplan to transform the Kallang waterfront area into a bustling sports and lifestyle destination.

Additionally, Meyer Blue's debut coincides with the US Federal Reserve's recent rate cut.

"This could have enticed some buyers to enter the market and has helped to improve overall market sentiment," Gafoor said. "More sales momentum for the new launch market in the final quarter of the year could be generated by the positive response at these recent launches and the rebounding buyer confidence."