Singapore’s cooling measures will have limited impact at the top

Belle Vue Residences in Oxley Walk, Singapore.

Singapore’s attempts to cool the property market will have limited impact on the luxury sector, according to Edmund Cheng, Deputy Chairman of developer Wing Tai Holidays.

Speaking at last Friday’s press conference to mark the release of the final 67 units at its luxury Belle Vue Residences in Oxley Walk, Cheng told reporters he felt that prices had now reached unsustainable levels.

He said: “I think the measures address more for the upgraders market. Most of our properties are all high-end, upper-middle and super high-end, so the impact is not much.” He added, however, that Wing Tai is not expecting to see a dramatic drop in prices.

“I don’t think property prices will drop. With Singapore’s low interest environment, buyers have no difficulty financing it,” added Cheng.

The Belle Vue Residences project has 176 units, which Cheng likened to a landed development in a condominium setting. The development comprises seven two-bedroom units (1,300 to 2,300 sq ft), 103 three-bedroom units (1,500 to 4,200 sq ft), 62 four-bedroom units (2,000 to 4,200 sq ft), one five-bedroom unit (5,400 sq ft) and two penthouses (4,800 to 5,000 sq ft).

Wing Tai revealed a 62 per cent take up rate to date, with foreign buyers – mostly from China and Malaysia – accounting for 52 per cent of sales. Prices for remaining units at the development range from S$2,300 (US$1,711) to S$2,800 (US$2,083) per sq ft.