Singapore Property | Oxley Holdings is now Singapore’s largest developer. This is as reported in the Singapore Business Review. Oxley has beaten City Developments Limited in terms of the sellable homes in their possession.
To further widen the gap, Oxley is building an excess of 4,000 units. The developments are valued at $5 billion. This is after the development company bought up residential sites in the past year. Oxley noted a housing market recovery and prepared well for it.
Maybank Kim Eng analyst Derrick Heng noted that Oxley carried out well-timed acquisitions of sites around mid-2017. The acquisitions give the company a notable advantage in the cost of land. Significant joint purchases by Oxley are two en-bloc developments, Serangoon Ville, also known as Affinity at Serangoon and the Rio Casa, also known as RiverFront Residences. The two sites cost Oxley Holdings $499 million and $575 million respectively.
Oxley is now in a position to launch units at competitive prices. Land costs have gone up in Serangoon, Bidadari and Hougang where the units are located. Oxley has also invested heavily in condominium developments and private homes. These two types of developments are seeing an increase in demand since 2017.
More than 8,500 units sold in the last year at average prices ranging from $1 million to $1.5 million. This means Oxley Developments will be able to launch its units at very competitive prices once completed. Calculations have placed Oxley’s average selling prices at $1.1 million to 1.4 million.
In his statement, Mr Heng further indicated that developers expect 12,000 private homes to sell in 2018. This is 13 percent more than the 10,600 sold last year. Oxley will capture a significant part of the demand with improvement in housing market sentiment.
The effect of improved sales and Oxley’s strategies will give the company a bigger market share of completions. The share will rise to 8.0 percent, up from 1.7 percent since 2012.
Another new launch coming up in Yio Chu Kang is the Parkwood Residences.