Hong Leong has sold 60.3% of the Penrose condominium over the Saturday and Sunday of its launch, with the reception among purchasers congruent with recent date displaying bullish new home sales contradicting the current covid-19 pandemic.

As of 5pm the day before, 341 units out of 566 in this 99-year leasehold residential flat along Sims Drive had been snapped up, said the Hong Leong Group in a media release.

The apartments were sold at rates beginning from $788,000 for a 1-bedroom unit, $943,000 for a 2-bedroom unit, $1.33 million for a 3-bedroom unit and $2.11 million for a 4-bedroom unit, said the Hong Leong Group yesterday.

Penrose apartment sizes are from 474 square feet (sq ft) for a 1-bedroom unit to 1,389 sq ft for a 4-bedroom unit.

The take-up rate was excellent across all apartment types, with the selling rates around $1,500 to $1,700 per square foot, said a Hong Leong Group representative.

Hong Leong added that close to 85% of the weekend’s purchasers were Singaporeans, with foreigners and permanent residents being the remainder. “Longing interest was also observed from HDB upgraders all across Singapore,” the Penrose developer added.

The sale of new homes – mostly from condos that are newly-launched – reached an 11-month peak last month, disregarding the Hungry Ghost Month, and very importantly, the current pandemic, the increase in the loss of jobs and the resulting recession.

Property market observers have attributed this to “pent-up demand” caused by Singapore’s 2-month circuit breaker which halted sales and planned launches.

However other causes provided for this surge in new home sales were that more purchasers are parking their money into real estate like Penrose, which they view as a safe-haven asset in the midst of a volatile global markets and an uncertain local economy, with record-low interest rates creating what seem a “good time” to take up a mortgage loan.

Hong Leong Holdings head of sales and marketing, Ms Betsy Chng, commented “sensitive pricing and timing” were the key factors behind the excellent response to the Penrose condo’s sales launch.

“Given the existing climate, it is critical to spot the right timing and rate our projects with careful consideration with reference to market sentiments, and each site’s value that includes design, location and quality interiors,” she mentioned.

Penrose is jointly developed by Hong Leong Holdings and City Developments, another member of the group. The District 14 residential development, which is made up of five 18-storey towers, is a short stroll to the Aljunied MRT station and close to the Kallang-Paya Lebar Expressway and Pan-Island Expressway. The Central Business District is nearly 15 minutes’ drive away.

Real estate experts said new home sales might begin to moderate in the upcoming months as pent-up demand from Singaporeans is absorbed into the market. However, the moderate reopening of the economy and the creation of fast lanes for essential travel can also result in more foreign interest for private properties here.

In accordance with Covid-19 sale distancing measures, the balloting and booking of Penrose apartments were done online via Zoom.

Virtual balloting started on Friday, after 2 weeks of viewings at the Penrose showflat, to determine the queue arrangement of purchasers for booking day, which began on Saturday.

Source: https://www.straitstimes.com/business/property/60-of-penrose-condo-units-sold-over-launch-weekend