Newport Residences New Launch Review: Exciting New CCR Project in 2023Q2

PLB Editorial Team

April 2, 2023

Table of content

Newport Residences is an exciting new condo launch coming to the Downtown Core. With an expected launch in April/May 2023, Newport Residences is looking to attract plenty of attention with this prime location in the Core Central Region (CCR). The condo is set to be part of an integrated development in what used to be the Fuji Xerox Towers along Anson Road.

In this opinion article, we will be taking a sneak peek into what Newport Residences might offer its residents, based on the information available as of the time of writing (27 March 2023). We will be covering what we know about the general location, site details, nearby amenities, pricing and unit distribution estimates, as well as PLB’s very own MOAT Analysis. We will continue to follow the project’s developments and provide timely updates to our readers, so stay tuned for our next article.

Newport Residences

Newport Residences is a freehold new launch condominium located at 80 Anson Road in the Downtown Core (D2). The landsize of the development is approximately 54,802 square feet. Newport Residences is developed by City Developments Limited (CDL). Currently, there are 246 residential units planned for Newport Residences.

Newport Residences is also going to be one of Singapore’s first mixed developments that will have serviced apartments, offices, restaurants, and residential units all in one building. At the moment, Newport Residences will also offer a rare panoramic view of the sea. Combined with its freehold status, the exclusive 246 units are bound to attract plenty of attention from investors.

Newport Residences is located in the Core Central Region (CCR), in the larger Tanjong Pagar area. Conveniently located within a mere 500m radius of Tanjong Pagar MRT station on the East-West Line, and 500m away from the upcoming Prince Edward Road MRT Station on the Circle Line. The mixed development status offers a holistic spread of amenities, on top of the high level of accessibility and central location, this location offers investors a prime spot of real estate.

Newport Residences is estimated to TOP between 2028 to 2030. This is a good 5 to 7 years to completion, with the high-rise mixed development set in the CBD. With the Ayer Rajah Expressway (AYE), accompanying the sea view of Newport Residences it is likely that this project would need more time to complete due to the sophisticated and complex nature of the development.

The existing unit distribution of private housing in the immediate area is concentrated around Studio and 1-Bedroom units, which take up a strong majority of the units. Larger units that have 2-bedrooms and above are in relatively short supply in this immediate area for private housing and might attract buyers to this project.

Newport Residences have not confirmed its unit distribution and made it public yet, but it’s important to note how the larger units are in short supply in the immediate vicinity. Newport might go for a more strategic allocation of units to the larger unit size spectrum. There might be some smaller units still available to keep the quantum play open to investors. We also expect a good variety of unit types when it comes to this exclusive property.

This new development will be adding approximately 4.7% supply to this immediate area. Newport might also be attractive due to its relative newness to existing developments in this area. The youngest residential project in the vicinity is around 6 years old, and the oldest residential project is around 47 years old. The average age of residential projects in this area is around 15 years. This gives Newport an edge as one of the newer additions to this area in quite a few years.

Based on the current state of the new launch market, the ballpark estimate for the price of Newport Residences may come to around $3,000 to $3,500 psf. Depending on the market sentiment, the launch price might differ greatly from our estimates.

Newport Residences will be located in the larger Tanjong Pagar area. There are plenty of offices, shopping malls and retail amenities nearby. 100 AM shopping mall is only within 200m of Newport Residences. A large cluster of food options in the shophouses of the Duxton area (within 600m) also makes it an ideal location for foodies and people looking for diversity in their food options.

For those who love keeping active, the city centre offers multiple different indoor workout options. From spinning, yoga, gymming, bouldering, and much more, the central location comes with the convenience of having multiple options available for an active lifestyle. For outdoor enthusiasts, the Railway Corridor South will reopen its route from Spooner Road to Tanjong Pagar Railway Station. This will connect residents of Newport Residences with a hiking / cycling trail leading them all the way through Buona Vista, Bukit Timah, and more.

In terms of the future plan for the Downtown area of the CBD, the key focus is on transforming the largely commercial area into a great mixed-use city area where people can live, work and play. This is grounded in the idea of rejuvenating the CBD in terms of both retail and commercial activity. Moving forward, the Anson area (where Newport is located) will be more connected to the commercial hub in Raffles Place and predominantly take up a mixed-use approach to city development. This is great news for investors of residential or commercial developments in the area in general, but may take time for the government’s plan to transform the city to manifest.

Overall, Newport Residences is an attractive investment option for buyers looking for a freehold asset that has mixed-use elements, and is dynamic in an ever changing real estate market. The limited number of residential units (246) will leave buyers vying for the limited supply of quality residential investments in the area.

What does Newport Residences’ MOAT Profile look like?

The MOAT Analysis, created by PLB, is a thorough and comprehensive method for evaluating a property’s value by taking into account numerous factors that may influence it. This approach involves a detailed comparison of the property with others based on ten different aspects, with the goal of providing an impartial assessment of its appeal to the wider Singaporean market. If you’re interested in learning more about how our tool works, we’ve included an extensive explanation of the MOAT Analysis in our article, where you can find additional information and details. We encourage you to refer to the article for a deeper understanding of the process.

Before we jump into the analysis, we will highlight some of the other condominium projects to which we will use to approximate the MOAT score of Newport Residences. We will use five condominium properties based on its location and recency of development. Some of these developments might be leasehold due to the scarcity of comparable projects in the area. The comparison condos are: One Bernam, Sky Everton, The Arris, Altez, Spottiswoode Suites.

Based on the MOAT Analysis, the approximate MOAT score of the comparison condos comes to around 60%. This is considered a decent score. This is a rather accurate estimation as the nearest development to Newport Residences is One Bernam across the road, which has a MOAT score of 60%. What these condos excel at are the Bala’s Curve effect (especially for freehold developments), Rental Demand, Quantum Effect (especially for smaller investment units), and MRT Effect. The prime location, coupled with freehold status definitely stands out.

Focusing in on the Parents’ Attraction Effect (which only scored a 2), we only have Cantonment Primary School as a nearby option for families with schooling children. Based on the location and content covered so far, this project seems to cater more towards expats, working professionals, and investors who are looking for a centrally located and convenient location for living and working.

With an estimated 246 units, we can expect Newport Residences to be a humble addition to the residential supply of the area. With new launch prices currently heated up, it will not be surprising if this new launch helps to push up prices of newer nearby developments. However, due to the longer development timeline, investors may need to have solid holding power for the longer horizon of this project through the current interest rate cycle.

The Verdict for New Launch

Let’s take a moment to weigh the pros and cons of this project and decide if it meets the unique needs of your family. Keep in mind that every property is different and what works for one family may not work for another. To help you make an informed decision, here are some key advantages and disadvantages to consider. Ultimately, the decision to purchase a residential property is a significant one, and it’s essential to do your due diligence and carefully consider all factors before making a commitment.

Before making a decision on whether this project meets your family’s unique investment or ownstay needs, let’s take a moment to evaluate its pros and cons. It’s important to keep in mind that every property is distinct, and what suits one family may not suit another. To assist you in making an informed decision, here are some key advantages and disadvantages to consider. However, purchasing a residential property is a major decision, and it’s critical to conduct your due diligence and carefully evaluate all factors before committing. Ultimately, taking the time to assess the benefits and drawbacks will assist you in determining whether this project is a suitable fit for you and your family.