Punggol flat sells for $760,000

A 5-room HDB resale flat in Treelodge@Punggol with a rare loft design was sold last month for $760,000, a new record for the non-mature estate, reported The Straits Times.

Although it is just one of 14 loft units in the entire development, the 147 sqm (1,582 sq ft) unit commanded a premium price as it is bigger than the usual size of 110 sqm (1,184 sq ft), said PropNex agent Godfrey Chan who brokered the deal on behalf of the seller with his partner Rosalind Teo.

When the Housing Board launched these lofts in 2007, such flats only cost up to $383,000, so it was possible that the seller doubled his investment, noted Chan.

Moreover, the flat is situated on the 16th to 18th floor of HDB’s first eco-friendly project, which features solar panels, energy-efficient lighting and a design that allows optimum wind flow.

According to the buyer’s agent, Dennis Wee Realty’s Tammy Ho, her client was originally not interested in buying a flat in Punggol, but later changed his mind after personally visiting the flat.

Another selling point is the rarity of the unit. “Even at this price, you might not be able to get such units anymore,” she added.

The previous record in Punggol was set by an apartment that was purchased for $650,000 in 2012. But the secondary market has been languishing since then.

The previous record in Punggol was set by an apartment that was bought for $650,000 in 2012. But the resale market has weakened since then. Before the most recent record-breaking deal, 5-room flats in Punggol were being resold from $355,000 to $544,000 in the past 12 months. Price levels of around $760,000 are more commonly seen in mature estates like Queenstown.

Furthermore, the flats in Treelodge@Punggol have only recently entered the resale market following the completion of the five-year minimum occupation period.

Since October, at least three 4-room flats have found buyers for $520,000 to $548,888, the highest price achieved in the last 12 months. In Coralinus, another premium HDB project in Punggol, four units of 4-room flats were bought at similar prices of at least $520,000 this year.

Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories email romesh@propertyguru.com.sg