SINGAPORE - House hunters looking for a unit in Redhill and Tiong Bahru will be able to pick from two Build-To-Order (BTO) projects in the Housing Board's (HDB) upcoming sales exercise in May.
Strong demand is expected for both developments, which property analysts said could fall under the prime location public housing (PLH) model as they are in the mature estate of Bukit Merah, where there have been several million-dollar HDB resale deals.
Owners of flats under the PLH model are subject to a subsidy clawback and a 10-year minimum occupation period, among other stricter buying and selling conditions.
In May, around 780 three-room and four-room flats are expected to be launched on a site next to Redhill MRT station.
Another 1,660 three-room and four-room units are slated to be offered on a larger site that is bounded by Tiong Bahru and Henderson roads and within walking distance to Tiong Bahru MRT station.
ERA Realty head of research and consultancy Nicholas Mak noted that it has been some years since new flats were launched near the two MRT stations so these upcoming projects will likely see strong competition for units.
Previous BTO launches in Bukit Merah were mostly in the Telok Blangah area.
Newer flats in the Redhill and Tiong Bahru areas are mainly on Selective En bloc Redevelopment Scheme (Sers) replacement sites, including City Vue @ Henderson in Henderson Road and Tiong Bahru View in Boon Tiong Road.
Ms Christine Sun, senior vice-president of research and analytics at OrangeTee & Tie, said that currently, buyers who wish to live in the Redhill or Tiong Bahru areas have to buy condominiums or older HDB resale flats.
Based on the "high price premium" of new condos and HDB resale flats, the upcoming two BTO projects could qualify under the PLH model, she added.
On top of May's offering, another 1,500 BTO flats will be built on a site in Alexandra that is less than a 10-minute walk from Redhill MRT station although its launch date is yet to be announced.
On Thursday (Feb 17), HDB launched 3,953 BTO flats, including a second project under the PLH model after the first in Rochor. The site in the Kallang/Whampoa area is within walking distance to Lavender MRT station.