The Housing Development Board (HDB) recently announced exciting news for Singaporeans looking for homes. In February, they revealed plans for seven new Built-To-Order (BTO) projects in various neighbourhoods. These projects, set for launch in the second BTO sales exercise of June 2024, will offer a total of approximately 6,800 units of public housing across the city.
These new homes will be spread across Jurong East, Kallang/Whampao, Queenstown, Tampines, Woodlands, and Yishun. Notably, Queenstown will see its first public housing launch in over a decade, with a project near Holland Village and Buona Vista MRT Stations. Additionally, there will be developments near future Jurong Region Line MRT stations in Teban Gardens and the newly established HDB residential area in Chencharu, Yishun.
Among the seven sites, two located in Tanjong Rhu, within the Kallang/Whampao neighbourhoods, are anticipated to be particularly sought after. Situated within close proximity to Mountbatten and Stadium MRT Stations, these sites boast the potential for views of the Singapore Sports Hub in Kallang and Geylang River. Moreover, being near exclusive private residential projects adds to their appeal.
This article will explore the upcoming BTO launches in the second sales exercise of this year, focusing on what to expect from each project. Additionally, it will take a closer look at the factors contributing to the expected high demand for the Tanjong Rhu projects, highlighting their distinctive features and the attractiveness of the surrounding neighbourhood.
A Close Look at June 2024 BTO Launches
This section offers insights into the upcoming June 2024 BTO launches, except for those in Tanjong Rhu, which will be discussed separately. Many of these launches will be situated in or near areas earmarked for significant transformations. To learn more about these anticipated changes across Singapore, check out our recent article here.
Queenstown
This location boasts convenient proximity to both Holland Village and Buona Vista MRT Stations, making it highly accessible. Situated in a prime area known for its upscale private residences, Holland Village MRT Station is merely two stops away from work nodes at One-North’s technological hub. Given its coveted location, it’s anticipated that this project will fall under the Prime Location Public Housing (PLH) model. With only 330 units available, comprising 2-Room Flexi and 4-Room flats, demand for these homes is expected to be robust, particularly since the last HDB flats in the area were completed in 2012. In the February 2024 HDB BTO launch, 1,160 applicants competed for 175 available 4-Room flats in Queenstown (Tanglin Halt Courtyard). First-time applicants had a 3.4 application rate, while second-time applicants had a much higher rate of 73.8.
Jurong East
Set to become a significant BTO development at the crossroads of Teban Gardens Road and Jurong Town Hall Road, this project will accommodate a total of 1,070 units, offering a range of options from 2-Room Flexi to 5-Room flats. The project’s substantial size reflects the pressing demand for public housing in the area. With the forthcoming Pandan Reservoir MRT Station expected to be operational by 2027, just across the road, residents will enjoy convenient access to the Jurong Region Line (JRL). This accessibility will be particularly advantageous once the Jurong Lake District Transformation is complete, establishing it as the largest business district outside the Central Business District (CBD), making commuting to work nodes a breeze. In the February 2024 BTO launch in Choa Chu Kang, in the West region, 127 applicants competed for 101 3-Room flats, resulting in application rates of 0.5 for first-timers and 5.4 for second-timers. For 4-Room flats, 459 applicants vied for 224 units, with first-timers at 1.2 and second-timers at 17.8 in application rates.
Yishun
Located in Chencharu, an area designated by the Urban Redevelopment Authority (URA) as a new housing zone, this BTO project will introduce 1,270 units, offering a variety of configurations from 2-Room Flexi to 5-Room flats. The surrounding area is slated for further development, including plans for a park, nursing home, and place of worship, enhancing the community’s amenities.
To compensate for the current lack of nearby facilities, the project will feature essential amenities like an eating house, shops, a minimart, a pre-school, and a senior care centre. While it’s not within immediate walking distance to the nearest MRT station at Khatib, additional bus services connecting to Khatib MRT Station and other nearby amenities are anticipated upon the completion of this project. As there were no recent BTO launches in Yishun, we anticipate the subscription rate for the upcoming launch.
Tampines
This project, comprising 550 units of 2-Room Flexi, 4-Room, and 5-Room flats, is located at the intersection of Tampines Avenue 1 and Tampines Street 92. Situated within walking distance of Tampines West MRT Station on the Downtown Line, it offers residents easy access to transportation.
Positioned at the nexus of convenience, the site strikes a balance between urban accessibility and neighbourhood charm. While it’s nestled away from the bustling central Tampines area, it’s just one MRT stop away from the heart of the district, where a plethora of work nodes and malls await. Families with school-age children will find several nearby schools, including St. Hilda’s Primary and Secondary, Junyuan Primary, Springfield Secondary, and Tampines Primary and Secondary.
Moreover, with the planned transformation of the Changi region underway, demand for housing in this area is expected to surge as the transformation nears completion. This potential growth could lead to significant capital appreciation in the years to come. There were two HDB BTO launches in February 2024’s sales exercise in the East region, Bedok: one in Bedok North Springs and one in Bedok South Bloom. For 4-Room flats across both sites, first-timers had an application rate of 2.2, while second-timers had a rate of 19.7. A total of 1,494 applicants competed for 499 available units. In Bedok North Springs, for 5-Room units, first-timers had a rate of 3.3 and second-timers had a rate of 47.2, with 715 applicants vying for 135 units.
Woodlands
This expansive development, featuring 1,590 units, offers a variety of unit configurations from 2-Room Flexi to 3Gen flats. It will include essential amenities such as an eating house, shops, a supermarket, pre-schools, and a Residents’ Network. While there are no nearby MRT stations within walking distance – the nearest being Woodlands and Woodlands North MRT stations approximately 2KM away – the project’s extensive offerings compensate for this.
The substantial number of units available would increase the likelihood of success for those interested in securing a unit through balloting. Furthermore, with the planned development of Woodlands Regional Centre and the anticipated upcoming Rapid Transit System (RTS), housing demand in this area is expected to surge in the longer term. In the February 2024 HDB BTO launch at Woodlands (Woodgrove Edge), 171 applicants competed for 88 3-Room flats, with first-timers at 1.1 and second-timers at 6.8 in application rates. For 4-Room flats, there were 713 applicants vying for 341 units, with first-timers at 1.6 and second-timers at 11.8. As for 5-Room flats, 891 applicants competed for 324 units, with first-timers at 1.8 and second-timers at 20.6 in application rates.
Tanjong Rhu BTOs Unveiled
The two upcoming projects, located adjacent to each other along Kampong Arang Road, will offer around 2,020 units of public housing. They’ll feature a mix of 2-Room Flexi, 3-Room, and 4-Room units. The larger of the two projects, expected to accommodate approximately 1,400 units, will include amenities like an eating house, restaurants, shops, supermarkets, a pre-school, and a Resident’s Network.
Positioned opposite Dunman High School, these projects will also benefit from the proximity to the future Tanjong Rhu and Katong Park stops on stage four of the Thomson-East Coast Line.
Notably, these developments mark the first new HDB units in the area in 60 years, potentially sparking high demand for homes. Due to their attractive locations and nearness to MRT stations, they are anticipated to fall under the Prime Location Public Housing (PLH) model. This designation means residents can enjoy additional subsidies, but there are conditions, including a subsidy clawback upon resale, a Minimum Occupation Period (MOP) of 10 years, and restrictions on renting out the entire unit even after fulfilling the MOP.
It’s essential to note that the BTO flats to be launched in June 2024 won’t fall under the new HDB BTO classification framework yet. Only the BTO flats in the third launch of 2024 will be categorised under the new framework.
The significance of these Tanjong Rhu projects lies in their contribution to the local housing market, offering a fresh supply of homes in an area long overdue for public housing developments.
Tanjong Rhu Living: Navigating Promise and Prudence
Tanjong Rhu epitomises the essence of an ideal family lifestyle, being in close proximity to the picturesque East Coast Park and the vibrant Katong area, which boasts an array of eateries, bars, and malls. The allure of this location is undeniable, fueling continued high demand for housing in the area for years to come. Moreover, the strategic positioning of Tanjong Rhu promises a steady stream of potential tenants, offering homeowners of the upcoming BTO projects a potential avenue to alleviate mortgage payments by renting out spare bedrooms.
Renting out these unused spaces not only provides a financial buffer but also serves as a stepping stone for homeowners to accumulate savings. These savings can then be channelled towards eventual upgrades to coveted private residences within the area, should they aspire to do so. However, it’s crucial to consider the caveats that come with the June BTO launches in Tanjong Rhu, notably the 10-year Minimum Occupation Period (MOP) and the subsidy clawback implications if categorised as Prime Location Public Housing (PLH) flats.
Therefore, prudent planning is imperative to ensure financial readiness and alignment of long-term goals. By carefully considering these factors, homeowners can navigate the path towards their desired upgrades with confidence and stability.
In Summary
The recent announcement of seven Built-To-Order (BTO) projects across Singapore presents an exciting opportunity for prospective homeowners. With developments spanning various neighbourhoods such as Jurong East, Kallang/Whampao, Queenstown, Tampines, Woodlands, Yishun, and notably Tanjong Rhu, the Housing Development Board (HDB) is catering to diverse preferences and needs.
Each project offers unique features and advantages, from convenient access to MRT stations and amenities to the promise of future transformations in surrounding areas. However, the Tanjong Rhu projects stand out for their strategic location, offering a blend of family-friendly amenities, proximity to popular attractions like East Coast Park, and potential rental income opportunities.
While considerations such as the 10-year Minimum Occupation Period (MOP) and subsidy clawback apply to all BTO launches, prudent planning can help homeowners navigate these challenges and capitalise on the long-term benefits. Whether it’s the allure of central locations like Queenstown or the promise of future developments in areas like Woodlands, each BTO launch represents an opportunity for Singaporeans to secure their dream homes and invest in their future.
