http://www.straitstimes.com/archive/...nches-20130817

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Kovan sparkles with new condo launches

Affordable home prices, amenities are a draw for buyers and investors

Published on Aug 17, 2013

By Rachel Scully


EXTRA sparkle is being added to the Kovan area with the recent launch of The Tembusu.

The freehold 337-unit project is Wing Tai Holdings' 50th-anniversary development and sits on the site of the company's former headquarters, about 400m from Kovan MRT station.

Other projects launched in the area in recent years include the 393-unit Kovan Regency in the fourth quarter of last year and 140-unit Bliss @ Kovan in September 2011.

Analysts say Kovan in District 19 - effectively part of Hougang town - is widely viewed as a traditional Teochew community.

Head of research at Chestern Singapore Elaine Chow said: "(Its) residents comprise primarily heartlanders while investors tend to be locals who are familiar with the area."

Retail facilities in Kovan include Heartland Mall and Upper Serangoon Shopping Centre.

Commuters can hop onto the North-East Line while drivers can take various expressways to reach the Central Business District in 15 to 20 minutes.

However, Ms Alice Tan, head of consultancy and research at Knight Frank, cautioned home buyers about congestion.

"Traffic conditions along the main Upper Serangoon Road could be rather heavy during peak hours and it could be aggravated especially as more private residential developments will be completed in the next three to four years," she said.

Schools in the area include Dimensions International College and Paya Lebar Methodist Girls' School.

"Home buyers and investors looking for private residential properties with (accessible amenities) at an affordable price compared to city areas would find Kovan increasingly attractive to invest in," said Ms Tan.

Chestern's Ms Chow said that the average prices for launched condo units were $1,400 per sq ft (psf) at The Tembusu, $1,280 psf at Kovan Regency, and $1,387 psf at Bliss @ Kovan.

Average resale prices for three-bedder units in Kovan rose about 14 per cent from a year ago to $1,283 psf, she noted.

The Kovan area enjoys rental demand from those working in the Defu and Kaki Bukit industrial estates and the Paya Lebar area due to its proximity to their workplace and the MRT line.

Two-bedders at Kovan Residences can command rentals of $4,000 to $4,500 monthly, and three-bedders, $5,000.

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