After the resounding success of Tenet EC which sold 72% of units on launch day, Qingjian and Santarli join forces for a second executive condominium (EC) project to capitalise on the future transformation of western Singapore. Being the only EC that is launching this year, many are calling this a blockbuster launch with very attractive prices. This means that demand will likely be very high for this new launch, with the showflat preview already drawing crowds over the past week.
In this article, we will highlight the best features of the development and its future potential, as well as our best picks for each unit type available. If you are considering a unit in Altura EC from their available 3-Bedroom to 5-Bedroom units, read on to find out more.
*At the time of writing, the expected launch date for Altura EC is 5 August 2023.
Location Analysis
Altura will be located in Bukit Batok of District 23, along the main Bukit Batok West Avenue 5 road. It is the first EC to be launched in the Bukit Batok area since The Dew (248 units) was launched in 2001 along Bukit Batok Street 21. It will also be situated right outside the border of the Tengah new town.
Traditionally, ECs are rarely found within walking distance of an MRT station. The nearest MRT station from Altura is Bukit Gombak, which is a 17-minute walk or a 7-minute bus ride away. The Jurong Region Line (JRL) is slated to be completed in phases between 2027 and 2029. Once it is up, residents of Altura will be within a 17-minute walk or 12-minute bus ride away from Tengah Park MRT station which will be connected to major stops around the Jurong Lake District. Both of these stations are not exactly a comfortable walking distance, but a nearby bus interchange that will be available in the future should alleviate this concern with more bus services. For drivers, major expressways like the Pan Island Expressway (PIE) and the Kranji Expressway (KJE) are less than a 7-minute drive away.
Speaking of the JRL, the line will connect to not just the main Jurong Lake District hub towards Jurong East but also the Jurong Innovation District towards Nanyang Technological University (NTU). This will increase connectivity for residents, and will be especially convenient for those who are working in the new business and innovation districts.
Given Altura’s proximity to the Jurong Lake District, we have to highlight the upcoming Cross Island Line (CRL) as well. This upcoming line will cut travel time between the western and eastern part of Singapore, with interchanges at King Albert Park (DTL), Bright Hill (TEL), Ang Mo Kio (NSL), Hougang (NEL), and Pasir Ris (EWL).
Another highlight of the surrounding area is the Kuala Lumpur-Singapore High-Speed Rail (HSR) project. The HSR project has experienced multiple starts and stops. Initially suggested by Malaysia to reduce travel times between KL and Singapore to 90 minutes, the project was terminated in 2021. As a consequence, Malaysia had to compensate Singapore with over S$102 million. However, recent reports indicate that Malaysia is now actively seeking proposals to revive the HSR project, and Singapore is receptive to these proposals. If the project is successfully revived and completed in the future, the terminal’s presence will enhance the district’s regional connectivity and lead to increased rental demand from Malaysians who work in Singapore. This rental demand may cause a spillover effect to surrounding districts, including District 23 where Altura is situated.
Coming to the amenities in the immediate vicinity, residents of Altura will have Le Quest Mall within a 5-minute walk for retail and dining needs. Green spaces include Bukit Batok Hillside Park just 3-minutes walk away for recreation and leisure activities. For parents with school-going children, the future Bukit View Primary will be right in front of Altura and the future Anglo-Chinese School (ACS) will be an 8-minute walk away. Older children will have Dunearn Secondary in the area, which is also an 8-minute walk away.
Site Plan Analysis
The site of Altura is a squarish tetris-like plot, bordered by Bukit Batok West Avenue 5 and Avenue 8. Block 115 is the only block that is placed in the middle of the development, while the rest of the remaining blocks take two rows on each side of block 115 in a linear profile parallel to Bukit Batok West Avenue 5. The units here have a northeast-southwest orientation, which means that certain units might get some west sun exposure.
The landscape is crafted to ensure that there are plenty of open spaces and greenery, creating intimate nooks for communal activities or personal quiet time. The facilities are mostly clustered near block 115 and 117, including the tennis court, clubhouse, gym, BBQ pits, and playground. There are also smaller pools called the Bubble Pool and Splash Pool in this zone. The main 50m lap pool is placed in between block 115 and blocks 111/113, which means that internal facing units at these blocks will get a nice pool view from their balconies.
What stood out to us is that there is a Glamping Ground with two tents near the arrival plaza – which could be simulating an outdoor picnic and a communal space for people to gather, but it is pretty odd for it to be next to the meadow instead of near the BBQ pits.
Performance of Executive Condominiums
ECs are a hybrid form of public and private housing in Singapore – with the perks of government subsidies while being sold by private developers and having condo facilities. ECs can only be sold to Singaporeans and Permanent Residents (PRs) after 5 years. After 10 years, the EC becomes fully privatised and the pool of buyers is widened to allow foreign ownership.
*The profits were calculated by cross-referencing URA REALIS new sale caveats from 2009 to 9 July 2023 with any corresponding resale caveats (if available) for the same unit during the same period. This calculation excludes expenses like legal fees and interest.
According to caveats lodged between 1 January 2009 and 9 July 2023, 4,270 out of 5,280 ECs yielded a profit of more than $200,000. That translates to roughly 80% of profitable ECs in the period. Of these 4,270, 90% (3,843) of them were sold less than 10 years from the date of purchase (when it was first launched). Most notably, 1,418 units made a gross profit of between $200,000 and less than $300,000 each and 752 units yielded a gross profit over over $500,000. 3 units also managed to reap a profit of over $1 million.
Because of the low entry prices, government subsidies, and unique hybrid model, many ECs have generated substantial profits in recent years. Furthermore, while the demand for ECs have been rising, supply of new ECs is projected to be low over the next two years. A caveat to be made known is that ECs unlike the conventional private developments are subjected to a 5 year Minimum Occupation Period (MOP) which adds a little more time buffer before you can realise the capital gains. But considering the limited supply and high profitability of ECs, demand is unlikely to taper down soon.
We have also observed a narrowing pricing gap between new launch ECs and resale ECs. There has been a notable uptick in the demand of resale ECs, resulting in a steeper incline of the median prices. Since 2019, average prices of resale ECs have grown by 43% compared to 31% for new launch ECs. Looking at this trend, it may be a matter of time before resale ECs command a higher average PSF than new launch ECs again – a phenomenon last seen in 2013.
With these price trends supporting the appreciation potential of ECs, we expect keen upgrader interest for Altura from the surrounding HDB population in Bukit Batok, Choa Chu Kang, Bukit Panjang, and Tengah, especially those that are approaching their MOP.
Unit Distribution
Altura offers 3-Bedroom to 5-Bedroom types spread across 6 blocks and 24 stacks, with block 115 being the only block with a single unit type (4-Bedroom). All of the 3-Bedroom units are 3-Bedroom + Study variations, while the 4-Bedroom and 5-Bedroom units are Flexi variations. Flexi typically refers to units that incorporate flexible spaces in the design, allowing owners to customise and convert their homes to suit their needs.
Traditionally, ECs are built and designed to cater to HDB upgraders, mainly small to large families. That is perhaps the reason why the developers have opted to offer only 3 to 5-Bedroom units in Altura. Exactly half of the unit offerings is made up of 3-Bedroom types, and the remaining half being almost a 40-10 split comprising 4-Bedroom and 5-Bedroom types respectively. Because of the unique attributes of ECs , this unit mix is ideal to cater to the growing HDB upgrader demographic in the surrounding area (Choa Chu Kang, Bukit Panjang, Jurong East, and the developing Tengah town).
Floor Plan Analysis
In this segment, we present our top picks from the unit types available at Altura. Our objective is to furnish you with valuable insights, allowing you to find a place that perfectly matches your unique preferences and to make an informed decision.
3-Bedroom
The 3-bedders in Altura only come in the 3-Bedroom + Study layout, with two variations. The key difference between the C1 and C2 layouts is the study and the kitchen/yard area. The study in the C1 layout will likely have no windows as it is facing a structural wall and the shower area of the common bathroom. On the other hand, the study in the C2 layout is facing a ledge and can likely have windows for ventilation and natural light.
All 3-Bedroom units in Altura will come with a yard and household shelter, which is rare in today’s market. Especially for 3-bedrooms with less than 1,000 sqft of space. This is a very beneficial offering from the developers that considers the likely buyers being HDB upgraders who require such spaces.
The kitchen/yard area for the C1 layout is an L-shaped configuration that extends to the back with the WC and household shelter. On the other hand, the kitchen/yard area in the C2 layout has a U-shaped configuration, and the yard is slightly larger than the one in C1. We also like that the fridge is allocated outside the kitchen, making more room for other appliances and cabinetry.
We would go for the units facing towards Bukit Batok Hillside Park for the greenery view, favouring stack 18 because there is sufficient proximity from the tennis court and the main entrance/arrival plaza.
4-Bedroom
The 4-Bedroom type here are Flexi units that can be easily converted or customised to fit the needs of the owners. There are 3 layouts, but only the D3 layout comes with an efficient dumbbell layout that is preferred for multi-generational living. That is because the junior suite with attached bathroom is segregated on one side of the unit while the rest of the bedrooms are on the opposite end, offering more privacy.
Coming into the unit, you will be greeted with a substantial amount of foyer space for you to build your shoe cabinets. Moving in, there is a kitchen island placed outside the kitchen that can be used as a dry kitchen or pantry area. The balcony spans the length of the living and dining room, with the option to knock down the wall behind to expand the space or to use the small room as a study – which is the Flexi quality of the unit.
The bedrooms are all decently sized and able to be fitted with at least a queen-sized bed. We also like that the master bedroom comes with a walk-in closet outside the master bathroom, adding to the charm of the unit.
Of the 2 stacks that are made up of D3 units (stack 11 and 12), our pick would be stack 12, overlooking the 50m lap pool.
5-Bedroom
Lastly, the 5-Bedroom units come in only one layout – which is a 5 bed 3 bath configuration. All of the bedrooms are concentrated on one side of the unit, with the ‘Flexi’ part of the unit being the small study in between the two common bathrooms. Unlike the featured 4-Bedroom layout, this one does not exactly expand the living space or allow the owners to merge the spaces together, but the usage of the room is rather flexible – you can use it as a study, additional storage space, or even a walk-in closet.
In terms of the stack, you cannot go wrong with either stack 02 or 03 as both of these premium stacks have a view of the 50m lap pool and easier access to the pool facilities.
Closing Thoughts
The price gap between new launch and resale ECs has been closing in recent years, but new launch ECs are still priced quite attractively compared to its private condominium counterparts that have reached $2,300 to $2,500 PSF on average. Given that Altura is the only EC launch of 2023, coupled with the attractive pricing and up to $30,000 in grants, we expect it to move off the shelves extremely quickly. HDB upgraders in the area are likely to make up the bulk of the buyer profile, as well as first-time homebuyers who want a new flat but are unable to qualify for BTO due to the income ceiling.
If you are in the market for a new launch project, and are interested in Altura, feel free to reach out to us to arrange for a showflat visit. We will be glad to guide you through the process and offer a tailored consultation to help you reach an informed decision.
Thank you for reading and following PLB. Do stay tuned as we bring you more reviews of upcoming new launch projects around Singapore.
