According to the representative of Logan Properties, the developer, homebuyers are more cautious and need more time to consider as there are more choices in the market nowadays. As a newer entrant to the Serangoon-Hougang area market, it would seem that forerunner launches such as Affinity at Serangoon, Riverfront Residences and Garden Residences has also absorbed most of the pre-existing buyers. Over the weekend of March 2-3, a total of 200 units were released at The Florence Residences. Of the figure, 54 units were snapped up. “That’s on the brink of 30% sales,” says CB Chng, Logan Property executive.
“Buyers lately are more cautious with their purchases and that they would sometimes require an extended time to think about all factors,” adds Chng. “First-time buyers got to time to familiarise themselves with the project.” A redevelopment of the previous Florence Regency privatised HUDC estate, the 1,410-unit The Florence Residences located at Hougang Avenue 2, is taken into account the primary launch of a “megaproject” – above 1,000 units – in 2019. The Florence Residences is served by two well-connected MRT stations, points out Chng. “We believe that our audience will realise the investment potential, with the longer-term Cross Island Line just a six-minute walk to Hougang MRT Interchange. We are confident of the project’s attributes, from the conceptualisation of the architecture and landscape design to the creation of a fulfilling lifestyle for our residents.”
Developers have focused on sales at the launch weekend. “It’s getting to be a long-drawn battle in today’s market,” says Ken Low, managing partner of SRI.
With a minimum of 50 new projects slated for launch this year, developers will need to change their strategy, notes PropNex’s Gafoor. “Instead of placing all their advertising and promotion budgets on the launch weekend and focusing all their firepower on the first weekend of launch, they go to wish to pace their advertising & promotion over the future. On-the-ground marketing has also become crucial.”