YET another new project - this time the Alexis @ Alexandra - has defied the downturn by attracting overwhelming interest at its preview.
The Straits Times understands that about 90 per cent of the 293-unit project at the corner of Alexandra Road and Commonwealth Avenue has been sold. The sales on Thursday and yesterday were done at prices between $850 and $1,100 per sq ft (psf). Most of the buyers were Singaporeans.
This compares with average prices of around $820 psf for the 99-year leasehold The Metropolitan, next to Redhill MRT station, in the fourth quarter of last year.
Industry sources said it was the affordable absolute price at the freehold project that guaranteed its success.
The near sell-out preview follows similar success at the 712-unit Jurong condo Caspian last week.
The first 250 units - priced at $580 psf on average - had sold out by Sunday afternoon. So far, 350 units have been sold.
Alexis is being developed by Yi Kai Development and Fission Group, which bought the site in late 2007.
At least 80 per cent are one- to two-bedders. The developers had adjusted the mix to include more affordable units because of the weak market.
Prices started from about $450,000 for the one-bedroom units, which are about 400 sq ft, and went up to about $650,000 for the two-bedroom units. These are around 630 sq ft.
About a third of the 50 penthouses are still available at prices starting from $1 million.
A DBS group research note yesterday said the strong take-ups at Alexis and Caspian do not signify a recovery.
The market, it said, now seems to favour developments where the absolute pricing is below $800,000, or 'a price that does not break the bank'.
There is some degree of pent-up demand but, with the HDB resale market slowing, this may not be sustained without an economic recovery and greater job security, it said.Source: Straits Times - 14 Feb 2009