In an unexpected turn of events in today’s slow private residential market, a weekend launch drew a remarkably high response.
On Saturday, Lake Grande by MCL Land in Jurong Lake Link released for sale 500 of its 710 units. It sold 436 or 87% of the units at $1,368 psf average price.
According to chief executive MCL Land, Koh Teck Chuan, 83% of the sales were for 1 and 2 bedroom units. Singaporeans were the majority at 85% of the buyers.
Lake Grande is near Jurong Lake while Lakeside MRT is a short walking distance away. It has 17 storeys with 1 to 5 bedrooms units.
Market watchers have warned that Lake Grande’s strong demand cannot be mistaken to mean improved buyer’s sentiments, in a market that is headed to a trough as prices record the slowest decline in the 2nd quarter since 2013.
Instead, the high response could have been caused by the plans by the Government to have Jurong Lake District become another CBD and home to the upcoming high-speed rail –HSR- terminus that will connect Singapore to Kuala Lumpur.
The HSR development has gone a big step higher with the last week’s signing of the memorandum of understanding by Singapore and Malaysia, which made way for comprehensive planning and finally the construction.
According to Alan Cheong, Research Head Savills Singapore, the main reason Lake Grande has recorded high sales is due to the excitement brought about by the master plan of Jurong Lake District and the upcoming high-speed rail expected for completion in 2026.
“While Treasure Crest and Lake Grande portrayed a good performance, we should not conclude that sales will rebound in large numbers,” he added.
Christine Li, Cushman & Wakefield’s research director was of the opinion that Lake Grande high sales could also be due to a shortage of unsold homes in Jurong.