New Futura located at Leonie Hill Road District 9 is set to be launched in 2H2017 by its developer City Developments Limited.
The luxury condo on freehold and whose construction is set for completion later 2017 is near the Orchard Road and comprises of 124 units in 2 towers of 36-storey each.
CDL and El-Ad Group previously jointly purchased the site for $287.3m in late 2006. El-Ad later sold its 50% share to CDL.
The condo will have different sized units ranging from 2 to 4 bedrooms apartments as well as 5 bedrooms penthouses measuring between 1,098 – 7,825 sq ft. All apartments will have access to a private lift.
“Currently, there is not much information available on New Futura, but I estimate the average New Future price will be above $2,700 psf,” said Orange Tee Head of Research Wong Xian Yang.
“The Core Central Region has limited supply of new developments since most completed projects have been in the Outside Central Region in the recent years,” he added.
Other than New Futura, Martin Modern by GuocoLand is the only other CCR project to be launched this year. The 450-unit condo is located in Robertson Quay and the Martin Modern price will be at an average of approximately $2,300 psf which is lower than for the New Futura.
Wong is of the opinion that luxury property market may soon stabilize since CCR prices have not gone up as much in the previous property boom in comparison to prices of other submarkets.
“In the 2009 to 2013 property boom, prices in CCR rose by 48% while RCR rose by 61% and OCR rose by 75%. The loan curbs and Additional Buyer’s Stamp Duty implementation hit the luxury market harder in comparison to the other submarkets because of the higher prices and a bigger percentage of foreign demand,” added Wong.
CDL spokesperson had similar sentiments and noted that high-end market prices showed bottoming out signs as interests for luxury developments increased.
Analysts have observed that buyers are more positive and are returning to the market since there is liquidity and declining concerns of the supply state.
The CDL spokesperson added that particular high-end projects such as Gramercy Park have had a rise in price from above $2,600 to $2,800 psf. So far, 75 units or 85% of North Tower that has 87 units have found buyers while 65% or 13 units of the South Tower’s 20 units have been sold.
Wong is of the opinion that CCR prices may cause the next price rally if there is a gradual removal of the cooling measures.