Why strata landed properties are trending right now [Part 1: D19 reviewed]

Here’s the backstory to why strata landed homes (also known as cluster housing) are now trending among property buyers: The price of landed property in Singapore outside of prime districts—D9, 10, 11—has been on the increase for years, and has picked up the pace following the Covid-19 circuit breaker. Three to five years ago, a buyer seeking an entry-level, four-bedroom or larger landed property (a freehold terrace, for example) would have plenty of options at the $2 million range, but that has since changed.

In the past six months, we have seen landed prices begin to accelerate, pushing up average prices for terrace homes in non-prime districts up by nearly 3% in the first two months of 2021 alone, and cumulatively by about 6.8% since the end of 2019.

At the same time towards the end of 2020, we have noticed a pickup in sales of strata landed homes. Strata landed, also known as cluster housing or cluster homes, is a type of landed private property that forms a small but growing portion of Singapore’s housing stock. Typically, strata landed homes feature four-bedrooms and above, and can either take the form of a terrace, semi-detached (semi-D) or a detached bungalow.

In fact, it’s common to see landed housing estates with terrace homes previously on the market for $2.5 million now transacting for $3 million or more, case-in-point being popular Outside Central Region (OCR) estates such as Serangoon and Hougang (both District 19).

Chart: Average prices of Serangoon vs Hougang Landed Terrace Homes (Quarterly)

In contrast, newly launched strata landed properties in the OCR have arrived on the market at the $2.5 to 3 million quantum that entry-level terraced homes were previously at not too long ago. And we’re even seeing previously staunch ‘freehold-only’ buyers, after weighing factors such as maintenance costs and facilities, choosing to buy a new launch 99-year leasehold strata terrace unit over a freehold terraced house.

At a time when new launch condo prices are running hot, this chart with data from URA Realis puts strata landed property in a very attractive light: The average per square foot (psf) price for newly launched strata terrace homes have yet to catch up with the recent increase in overall new launch condo prices, but as history shows that it’s just a matter time when strata landed psf prices follow suit.

Long story short, we’re now in a window of opportunity to secure a strata landed home at an undervalued price point compared to other unit types in new launch condo projects. This window is also narrow because of supply and demand. While demand for strata landed units will likely continue to increase in 2021, the supply of new strata landed units is finite and decreasing as uptake increases.

This is especially true in OCR estates that already have plenty of existing landed housing, because these estates have a critical mass of residents familiar with a landed lifestyle and a preference for living in a private property with a larger-than-average floor area. Today, OCR new launch condo units with an area 2,000 square feet (sq ft) or greater are almost exclusively penthouses or strata landed unit types.

Chart: District 19 Non-Landed Private Property Transactions (2,000 sq ft and above)

With the pick-up in sales of larger homes in District 19 and its numerous landed estates such as Serangoon Gardens and Kovan, this is the logical place to begin our series of reviews on strata landed homes.

Strata landed review #1: Riverfront Residences

TD;LR: Excellently positioned and well-laid-out strata terrace units that manage to optimise space in a compact footprint, which translates to a highly competitive price point.

• Location: Hougang Avenue 7 (District 19)

• Developer: Oxley Holdings (as part of a Joint Venture with KSH Holdings, SLB Development and Apricot Capital)

• Tenure: 99-year leasehold from 31 May 2018

• TOP (Expected): December 2024

• Residential Units: 1,472 with 21 strata landed units

• Strata landed type: Terrace

• Balance strata landed unit size: 2,110 square feet

• Balance strata landed unit list prices*: $2,447,000 to $2,520,000

• Balance strata landed estimated maintenance fee: $327.60 (monthly)

• Nearest MRT: Hougang (North East Line – 13 minutes walk or 3-stop bus ride – 1.1km)

• Primary Schools within 1km: CHIJ Our Lady of the Nativity, Punggol Primary School, Holy Innocents’ Primary School

(*Prices are accurate at time of writing and is subject to change at the developer’s discretion.)

We’ve previously done a comprehensive video review of Riverfront Residences, which was launched in 2018 on the site of the former Rio Casa HUDC. Fast forward to 2021, and this project still stands as one of the most affordably priced new launch condos in the market today.

Located next to the Serangoon River, the project’s key selling points are its accessibility to a network of parks as part of the 26-kilometre Northeastern Riverine Loop, a collection of 101 facilities set amidst three themed ‘coves’, three clubhouses as well as the best-of-both-world amenities plus development potential of Hougang—a mature estate with the upcoming Cross Island Line in the works as well as the future development of Hougang Central and the Paya Lebar Air Base in the pipeline.

The 21 strata landed units at Riverfront Residences are terrace homes, each uniformly measuring 2,110 square foot (sq ft) across three storeys. At an average transacted price of $1,152 psf, the strata landed units at Riverfront Residences are priced at about 14% below the overall average transacted unit psf price of $1,346, and about 12% below the average transacted unit psf price for 4- and 5-bedroom apartment units within the condo.

Location and Orientation within the condo

The 21 strata landed units at Riverfront Residences are clustered into two rows of 10 and 11 terraced units, and given an ideal location with direct frontage along either the 50-metre ‘Open Mangrove Lap Pool’ or the 75-metre ‘River Pool’.

 

Best of all, every strata terrace unit is sited on elevated ground, thanks to the project’s elevated landscaping and facilities deck. Starting from about 3.5 metres above street level, owners of the strata terrace units enjoy a much greater degree of privacy, helped by the layers of greenery and landscaping between the unit and road itself.

Owners of the strata terrace homes at Riverfront Residences will also relish having ‘buffer areas’ between the pool and their respective units. Although not part of the units’ floor area and technically a “common area”, these wooden-decked areas are intentionally designed to prevent pass-through resident traffic, meaning that owners can just pull up a chair right by the water, take a dip whenever they wish or just sit and relax with minimal interruption. (Units #65, #67, #69 and #71 have the largest buffer areas.

Do note that for units #79 to #99 have far smaller buffer areas, as shown in the below in the site model:

Unobstructed water views and direct pool access aside, the strata landed units are located at an ideal distance away from the clubhouses and kids’ play areas—near enough to walk to on foot and far enough to preserve a good degree of peace and quiet. (On the flipside, nothing can stop residents from swimming right up to your doorstep to admire your strata terrace home.)

The rear of the strata terrace units at Riverfront Residences face the condo’s perimeter wall, with at least five metres of landscaping and a jogging track in between. Beyond the wall is the bi-directional Hougang Avenue 7 with two lanes in each direction. (The road itself is at least 12 metres from each unit, which is sufficient especially since the units sit on elevated ground.)

In any case, Hougang Avenue 7 typically has a lower-than-average volume of traffic, and at night the road can be almost completely quiet. The perimeter wall and the presence of greenery will offer a decent sound buffer, and the elevation means that although a unit might be right next to the bus stop, the structure and the people underneath it wouldn’t be visible from within the unit.

Orientation-wise, strata terrace units #59 to #77 can be classified as East-West facing, with the frontage (pool-facing side) of the units facing about 10 degrees clockwise away from due west. Although this means that these units will have exposure to the afternoon sun, the heat effect is reduced by three things:

• An architectural design that enables the facade to double up as a sunshade

• 17-storey blocks opposite that block the sun from around 4:30pm onwards

• A high ceiling that helps dissipate hot air

Of course, owners can install solar film to further reduce the effects of the afternoon sun. (To achieve the BCA Green Mark, the developer is also required to treat windows to reduce solar heat gain.) That said, buyers who want to minimise sun exposure, may see the Northeast-Southwest strata terrace units (#79 to #99) as better options.

Unit #99 is located nearest to the row of six commercial shops that are part of the condo development, and may encounter more human traffic in the area outside the unit.

Unit Layout/Floor Plan

Although the developer lists the four-bedroom strata terrace units in Riverfront Residences as three storeys in height, a more accurate description would be ‘two storeys with a basement level’. At 2,110 square feet, the strata units here are smaller than most such units on the market right now, but the smaller floor area helps keep the price affordable.

Most residents, especially those who drive, will access their strata terraces via its main entrance at the basement level. The ‘private car park’ at the doorstep of the unit (one of the defining features of a strata landed home) can easily fit two large SUVs or sedans. There’s just space outside the main door for a tall shoe rack.

Inside the basement, the powder room is a welcome addition, and the household shelter is large and long enough to fit a bicycle into. Other than that, the foyer here is just a corridor leading to the staircase; there’s not a lot of reason to linger here.

The staircase ushers the resident into the first storey living and dining area. This can make for a grand entrance, considering that the 3.2-metre ceiling height allows for the installation of a centerpiece lighting fixture. Having the pool as a backdrop just beyond the living room makes the arrival even more welcoming.

At about 5.5 metres from one boundary wall to another, the space for the living and dining areas is just about adequate and will receive plenty of natural light courtesy of the full-height, wall-to-wall windows.

Meanwhile, the L-shaped kitchen space is compact yet functional and allows owners to fully enclose the kitchen should they prefer to renovate it as such. There’s an area resembling a dry kitchen that can double up as both a breakfast bar and prep area, although there’s no additional sink.

The first storey also houses one of the four bedrooms in the unit. Although there’s no private lift within the unit, we figure that this common bedroom would be ideal as a parents’ room because there is a direct rear exit adjoining the kitchen-yard that would enable those with mobility concerns to enter and exit the house freely.

Most importantly and unlike strata landed units in many other projects, the units at Riverfront Residences do not include a Private Enclosed Space (PES) that’s typically part and parcel of ground floor layouts and counted as part of the saleable area. The developer deserves praise for not including the ‘buffer area’ between the unit and pool as a PES despite the degree of privacy it offers for the strata terrace owners. The units with the largest buffer areas are still available (at time of writing), although we imagine it won’t be long until these units are snapped up.

The second, topmost storey of the strata landed consist of the remaining three bedrooms. At nearly 320 sq ft, the master bedroom occupies a impressively large space on the second level complete with a good-sized ensuite bathroom, a walk-in closet, a pool-facing balcony as well as a sloping ceiling that rises up from 2.8 to 4.2 metres with full-height windows/window panels—something you won’t find in the regular apartment units.

Meanwhile, Bedroom 3, with a semi-ensuite bathroom, also has a sloping ceiling (ranging from 2.4 to 4.2 metres). We also like how the space of the common bedrooms are maximised thanks to recessed built-in wardrobes—again, this is something that the apartment layouts don’t offer.

While compact in size, we like that there is minimal wasted space in the strata terrace units at Riverfront Residences. The recessed wardrobes aside, we noted that the positioning of staircases and landings, which open up to corridors and regular shaped areas, help to maximise every square feet of the home.

Special mention must also be given to the placement of the aircon (A/C) ledges. Here, consolidating the placement of condenser units on the roof of the unit, instead of locating the units on residential levels (such as outside bedroom windows) as per common practice, is a move that improves the aesthetics and living experience of each strata terrace unit.

Appliances, fittings and flooring

Riverfront Residences strikes a balance between quality and affordability, and this is reflected in the developer’s choice of appliances and fittings. Each strata terrace units include built-in-ovens, a french-door refrigerator, washing machine and dryer, cooker hobs and hoods from Electrolux and sanitary fittings by Grohe.

Mitsubishi wall-mounted air conditioning will be installed throughout the unit. Each unit is also fitted with a digital lock set by Yale and a smart home system by Figaro. Quartz kitchen countertops are standard, and the strata terrace units will be the only unit types at Riverfront Residences to get an under-counter wine chiller.

For flooring, porcelain tiles are standard for living and dining areas, and timber strips will feature in the bedrooms.

Other benefits

Developer Oxley Holdings has committed to offering a complimentary shuttle service to Hougang MRT for the first year.

Alternatives to strata landed units at Riverfront Residences + Comparison

The project also offers 4-bedroom apartment unit types in the nine residential blocks, including a ‘Premium’ layout that includes direct access to the unit from a private lift. The key difference between a strata terrace and an apartment unit here would be the apartment’s lack of direct access to swimming pools, the ‘buffer area’ that we like, and an exclusive car porch with a capacity for two cars.

And while high-rise apartment units facing the Serangoon River may have the advantage of river views, the strata terraces’ boast magnificent pool-front views from the living/dining areas and the master bedroom.

If you’re cost conscious of the high ceiling void areas that are part of the strata landed property, take note that in per square foot terms, a strata void area may be 30 to 50% the price of actual floor area. Each of the strata terrace units at Riverfront Residences has about 230 square foot of void area, which roughly amounts to an additional $80,000 to $90,000 outlay for the luxury of high ceilings.

That being said, we feel that the void areas of these strata terraces, such as the sloping roof in the master bedroom, are very well thought-out. In fact, we’d go as far as to say that these void areas within this strata terrace are well worth having and paying for, especially considering that owners also have the luxury of the “free”, semi-exclusive waterfront buffer areas we mentioned earlier.

Now, here’s a price comparison of the strata terrace and apartment balance units at Riverfront Residences (Note: 5-bedroom units are sold out):

And as a comparison to nearby projects, six strata terrace units at nearby Kingsford Waterbay condominium were sold by its developer Kingsford Huray at an average of $1,095 in the period from 2015 to 2017. Two of these units were subsequently resold in 2018 and 2019 for $1,320 psf and $1,187 psf respectively, netting both sellers a profit.

We’ll be reviewing strata terrace units at Affinity At Serangoon (also developed by Oxley Holdings) next. But first, a quick comparison: psf prices for strata terrace units at Riverfront Residences are about 5.5% to 11.4% lower than Affinity At Serangoon, while the quantum for the lowest priced available units is about 13.4% lower.

With the property price index for Outside Central Region condos now at a new high, evidence of price appreciation for similar unit types in the vicinity could mean that these brand new strata terrace units at Riverfront Residences are currently undervalued, with potential upward price movement that could potentially happen as soon as TOP is obtained.

Strata landed review #2: Affinity at Serangoon

TD;LR: A skylit interior and generously sized living area and master bedroom have prompted a flurry of buyers in recent months, and many of the choicer strata landed units have already been snapped up.

• Location: Serangoon North Avenue 1 (District 19)

• Developer: Oxley Holdings (as part of a Joint Venture with KSH Holdings, SLB Development and Apricot Capital)

• Tenure: 99-year leasehold from 18 May 2018

• TOP (Expected): December 2024

• Residential Units: 1,052 with 40 strata landed units

• Strata landed type: Terrace

• Balance strata landed unit sizes: 2,303 square feet (sq ft), 2,325 sq ft, 2,336 sq ft, 2,347 sq ft (Only 5-bedroom units are left)

• Balance strata landed unit list prices*: $2,825,000 to $3,165,000

• Balance strata landed estimated maintenance fee: $288.00 (4-bedroom, monthly), $324.00 (5-bedroom, monthly)

• Nearest MRT: Serangoon (North East Line/Circle Line – 4 stop bus ride – 1.77km); Serangoon North (Cross Island Line, Opening 2029 – 5 mins walk – 0.39km)

• Primary Schools within 1km: Rosyth School, Zhonghua Primary School

(*Prices are accurate at time of writing and is subject to change at the developer’s discretion.)

We previously did an in-depth video review of Affinity at Serangoon, which has a higher than usual number of strata landed homes (40 units) as part of its unit mix. The project is one of two large-sized condominiums (of more than 1,000 units) in D19 to offer strata landed homes, after Riverfront Residences.

The main draw of Affinity at Serangoon is its location within the mature town of Serangoon and District 19. While the development is a nine-minute bus ride or a short drive away from Serangoon Central (where the MRT interchange and NEX shopping mall is located), the project is well within one kilometre to Rosyth School (a highly-regarded primary school), close to the French School and the Serangoon Garden lifestyle enclave, and within walking distance to the future Serangoon North MRT station on the Cross Island Line.

So, Affinity at Serangoon strikes a balance between present value and upside. The strata landed homes here take the form of two- and three-storey homes, with 4- or 5-bedroom unit configurations. At the time of writing this article, more than 60% of the project’s 40 strata landed homes have been sold; and our review and analysis is based on the remaining balance units.

Location and Orientation within the condo

The strata terrace units at Affinity At Serangoon is located towards the southern side of the project. All strata terrace units facing the main swimming pool have been sold, and the remainder units are located along the southern perimeter of the condominium.

The remainder balance units are separated into two rows of terraces:

• The southwest row (#10 to #16A) consists of eight terrace homes located at the southwest corner of the condominium site and qualify as North-South facing. #10 (sold) and #10A are the two units that are closest to Serangoon North Avenue 1, which is a relatively quiet street that runs both directions in a single lane. A side gate near #10 provides residents pedestrian access to Serangoon North Avenue 1 a bus stop right outside the condo.

• The southeast row (#46 to #64) consists of 19 terrace homes located along the southeastern perimeter of the condo site and are Northwest-Southeast facing. Towards #64 (the southeastern corner of the site), the strata terraces gradually get nearer to the three-lane Yio Chu Kang Road. (The corner terrace #64 is about 27 metres from Yio Chu Kang Road. There will also be a side gate to Yio Chu Kang Road near to #64.)

• Moving towards the opposite end (unit #46), the units are increasingly separated from Yio Chu Kang Road by distance as well as the well-positioned buffer of an existing landed housing cluster. That being said, buyers should be aware of the kids’ playground near #46 and #46A.

• Units #52A to #64 will have rear facades that open up to a 67-metre long Sanctuary Pool, and be about 7 metres away from the opposite row of strata terrace units.

• Seven units (#46 to #52) that do not directly face the Sanctuary Pool will have a semi-enclosed area called Sanctuary Lawn right outside their rear facades. These units are sold out.

• When it comes to sun exposure, the Northwest-Southeast orientation of the southeast row of strata terraces means that these units will receive angled exposure to the afternoon sun in the months of March to September every year, with the greatest exposure coming in June and July.

• That being said, units (#46 to #54) will receive a good amount of shielding from the afternoon sun courtesy of the 14 storey residential block (Block 20). Furthermore, the units are laid out such that the living room and master bedroom, which have a southern/southeastern aspect will not be exposed to the afternoon sun.

In terms of views, the balance strata landed units offer buyers some food for thought.

• Southwest row (#10 to #16A)

  • The main facade of the units in this row are oriented facing south towards the perimeter of the condo (i.e. southern aspect). The view over the perimeter wall, which is possible from the second storey of the strata terrace, is currently unblocked because the adjacent land is a large open field.

  • Take note that the ground level within the condominium, where the southwest row of strata terraces is located, is nearly two storeys beneath the street level of Serangoon North Avenue 1 and the open field to the south, making the entire row of terraces appear like single-storey buildings from the exterior.

• The photo below shows how the second floor of units in this row appear from the point-of-view of an onlooker from the open field:

• While the field is currently listed in the latest 2019 URA Master Plan as an unzoned Reserve Site, the size and location of the land lends itself well to high-rise housing or a school development. Regardless, any development could further compromise the privacy of these strata terrace units, since the master bedrooms here are equivalent to being at “ground level”.

• The living room, master bedroom and junior master bedroom has a southern aspect, whereas the kitchen and other bedrooms are located at the opposite end of the strata terrace and have a northern aspect. The living room, in particular, will face the retaining wall just metres away from the balcony, so the source of natural light will be from a large rectangular skylight on the roof (more on that when we talk about the unit layout).

• The northern aspect of southwest row units does not offer much of a view either, except for a narrow garden/water feature located between the strata terraces and Block 22. Take note that the northern facade of units #12, #12A and #14 are within 10-metre distance of Block 22’s residential units.

• Southeast row (#46 to #54)

  • The quieter facing for this row is its northwestern aspect, which also offers units #52A to #64 direct views of the condo’s 70-metre long Sanctuary Pool.

  • The main facade of the units have a southeastern aspect, which means that the living room, junior master bedroom and master bedroom have varying degrees of exposure to the main road (Yio Chu Kang Road) with the cluster of existing landed properties offering some buffer.

• Units #50, #50A and #52 (all sold) have pocket views of the main pool from its northwestern aspect

Unit Layout/Floor Plan

For the balance strata terrace units at Affinity At Serangoon, two main layout types are available:

• SL2A (5-bedroom; three-storey; 2,303-2,325 sq ft)

  • Available variants: SL2A (b), SL2A (c) – corner terrace

  • For southwest row units (#10 to #16A)

• SL2B (5-bedroom; three-storey; 2,325-2,347 sq ft)

  • Available variants: SL2B (b) – corner terrace

  • For southeast row units (#46 to #64)

The difference between SL2A and SL2B layouts is just down to a single variation: The bottom-level Private Enclosed Space (PES) in the SL2A layout is approximately 40% larger than SL2B.

So, in our unit layout analysis, we’ll refer to the 5-bedroom, three-storey SL2A layout for convenience.

Starting from the bottom level, one thing to point out is that although the official floor plan lists this level as “Basement 1”, only part of the unit is considered below-ground (the most obvious being the private car park underneath landscaped deck). Because of differences in ground height, the junior master bedroom on the same level has an open-air PES.

With the exception of units (#52A to #64), height differences between the strata terraces and the land outside the condo mean that the junior master bedroom will have no view other than the condo’s retaining perimeter wall.

That said, considering the absence of a private lift, it makes sense to include on the same level as the sheltered carpark an ensuite bedroom to accommodate those with mobility issues (such as aged parents). Moreover, both bed and bathroom are deliberately proportioned to allow a wheelchair to move around with ease.

At the basement/bottom level, there’s also ample space for storage of items such as tools and bicycles, including a porch area between carpark lots and the front door (ideal for things you don’t want to bring into the home), a household shelter and under-stair storage.

The staircase that leads up from the foyer to the first floor, where the living room is located, arrives at a rather hidden position between a common bath and bedroom. But the entrance can nonetheless be ultra-grand, thanks to an architectural masterstroke in the form of a skylight and void area above the dining area.

The skylight ushers in copious amounts of natural light in the daytime. The owner can also construct a dramatic 7-metre tall feature wall if he/she wishes to. (If you choose a corner terrace unit, this wall becomes a massive window.)

With a roughly six-metre wall-to-wall width that’s akin to non-strata landed inter-terrace, the first storey floor space is spacious enough to enable the owner to tweak the layout according to individual and family lifestyle and preferences. The spacious and squarish living area is highly functional, especially for multi-generational/extended family gatherings that are regular occurrences in landed homes.

While the kitchen is rather compact for a five-bedroom unit, it’s still highly functional in layout and storage and can comfortably fit two cooks. Plus, it opens up to a very useful rear PES and in certain units, offers a soothing view of the Sanctuary Pool. A gate from the PES also makes it easy to access the condo’s facilities.

A second flight of stairs from the living area takes us up to the second, topmost floor of the strata terrace, where the ensuite master bedroom is located alongside two common bedrooms and one common bathroom.

At a total of 400 sq ft with 3.95 metres of ceiling height, the size of the master bedroom here resembles an actual landed property. The sense of space is further enhanced by the usage of clear glass for the walls that border the void area. The design allows light from the skylight to filter into the bedroom, whilst also requiring the occupant to install extra curtains for privacy and keeping light out. It’s a bit of a double-edged sword but it definitely looks modern and aesthetic.

For the size of the master bedroom, it must however be pointed out that the ensuite bath is only slightly larger than the common bathroom. Here, a separate shower-bathtub would certainly have made a welcome addition. Also, the master bedroom windows only reach about two-thirds of the ceiling height, which is about 2.6 metres.

Meanwhile, the two common bedrooms on the second storey are decent-sized, and can comfortably fit a queen bed with ample space for side tables.

Also worth noting is that a glass divider is what separates the second storey corridor/aisle from the void area. While this is a win in terms of style, families with young children might want to replace this with more sturdy, reassuring options such as a concrete parapet or metal railings.

Overall, the unit layout of the strata terraces at Affinity At Serangoon offers ample space in the areas where large families need it the most—the living and dining areas. In other places such as the master bedroom, an above average square footage gives the space a landed feel, which is important for buyers looking to emulate landed living without the accompanying price tag.

Appliances, fittings and flooring

Alongside a more luxurious provision of space, appliances and fittings at Affinity At Serangoon are of an appropriate standard, with a suite of European branded kitchen appliances by Bosch and sanitary fittings by Grohe.

Mitsubishi wall-mounted air conditioning will be installed throughout the unit. Each unit is also fitted with a digital lock set by Yale. Quartz kitchen countertops are standard.

For flooring, porcelain tiles are standard for living and dining areas, and timber strips will feature in the bedrooms.

Other benefits

Developer Oxley Holdings has committed to offering a complimentary shuttle service to Serangoon MRT for the first year.

Alternatives to strata landed units at Affinity At Serangoon + Comparison

The 3-storey strata terrace is the only unit type at Affinity At Serangoon to offer five bedrooms, so buyers with large families who still want to buy into this project will have to settle for four-bedders located in the residential towers. Five-bedroom units at neighbouring new launch The Garden Residences are also sold out.

With the strata terrace units at Affinity at Serangoon doing their best to emulate the feel of landed living, and the fact that the development is located near to the landed Serangoon Garden and Kovan landed residential areas, it’s logical that we proceed to compare the prices here with recent landed property transactions nearby to better discern a buyer’s options.

While psf prices are higher for strata terrace units at Affinity At Serangoon compared to a new-build freehold non-strata landed terraces, this is understandable because of the full suite of facilities that come with living in a condominium, and also because condo ownership involves having an undivided share in the condo’s common property in addition to one’s own unit.

In any case, the quantum of an Affinity At Serangoon strata terrace unit is quite significantly lower than the majority of landed homes in Serangoon Garden estate, which are predominantly freehold/999-year leasehold.

It’s worth pointing out that there are leasehold landed homes within Serangoon Garden as well. A recent May 2020 transaction for a brand-new leasehold inter-terrace at Serangoon Garden Close (part of the Haus@Serangoon Garden development) transacted for cheaper than a strata landed unit at Affinity At Serangoon.

This is down to four things, location, amenities and facilities and future development. The Haus@Serangoon Garden landed area is located in a far-flung part of Serangoon Garden, leaving the owner roughly 750 metres to 1 kilometre from the nearest shop or eatery and about 370 to 620 metres from the nearest bus stop—a level of inconvenience that is almost unheard of in Singapore (especially within the amenities-packed D19).

A strata terrace at Affinity At Serangoon sits on the other end of the spectrum. With an affordable monthly maintenance fee of $324 that’s roughly on par with the amount it takes to maintain a terraced house, the strata terrace homeowner gets to enjoy a full suite of condo facilities and far greater accessibility.

When it comes to getting around, public transport availability and accessibility is essential if you’re raising a family. Residents at Affinity At Serangoon can rely solely on public transport to get from point A to B to obtain every daily necessity imaginable.

For starters, shops in the Serangoon North neighbourhood centre (including a supermarket) are within a seven-minute walk, as will the upcoming Serangoon North MRT station. Shops, hawker centres, cafes and eateries at the popular Serangoon Garden enclave are 3 bus stops away, whereas the vibrant commercial hub at Serangoon Central and MRT interchange is accessible in under 10-minutes via bus.

Perhaps being within one kilometre of a highly-regarded primary school such as Rosyth School could be what truly convinces die-hard landed dwellers to switch to a strata terrace. In any case, they’d better hurry because good strata terrace units are scarce, and there’s always a buyer who’s one step quicker!

Strata landed review #3: Parkwood Collection

TD;LR: A unique, premium offering in D19 strategically located to benefit from the future development of Hougang

• Location: Lorong 1 Realty Park (District 19)

• Developer: Fantasia Investment (Singapore)

• Tenure: 99-year leasehold from 22 September 2017

• TOP (Expected): November 2022
  Residential Units: 53 strata landed units

• Strata landed type: 50 Semi-Detached and 3 Terrace (Terrace units are sold out)

• Balance strata landed unit sizes: 4,510 sq ft (Type 1A) to 6,469 (Type 2A)

• Balance strata landed unit list prices*: $3,414,000 – $4,938,000

• Balance strata landed estimated maintenance fee: $600 – $700

• Nearest MRT: Hougang (North East Line/Future Cross Island Line – 9-minute walk or 3 stop bus ride – 750m)

• Primary Schools within 1km: Holy Innocents’ Primary School, Montfort Primary School, Xinghua Primary School, Xinmin Primary School

(*Prices are accurate at time of writing and is subject to change at the developer’s discretion.)

While developments consisting of solely strata landed homes can be found across the D19 landed estates of Serangoon Garden, Kovan, Bartley and Upper Paya Lebar, these usually consist of 10 units or fewer. For buyers seeking a combination of exclusivity, amenities plus convenience, finding a large-scale cluster housing project like Parkwood Collection, which is located near town centre amenities and an MRT station, can be like stumbling upon treasure.

Located on a sprawling 13,400 square metre site (about the size of two football fields) in Hougang’s Realty Park landed precinct, this 99-year leasehold project consists of 50 semi-detached and 3 strata terrace homes. Residents will be less than 600 metres away from Hougang MRT and town centre, and directly benefit from the likely commercial expansion of the town centre when the Cross Island Line opens by 2030.

The developer, Fantasia Investment (Singapore), differentiates Parkwood Collection from competing strata landed new launches in D19 and Outside Central Region by going down the premium-luxury route. The majority of the units here are semi-detached, the common areas are more extensive than comparable strata-landed-only projects, and each unit has provisions—such as a Ken-jo internal private lift for every unit—that put it on par with higher-end, new-build landed homes.

With units averaging a floor area of 4,900 sq ft, the massive floor space of Parkwood Collections’ three-storey homes (five storeys if you count the attic and full-sized basement) ranks this among the largest landed properties in D19, even among non-strata landed semi-D homes in the district.

Site Plan Analysis

The site, with entry for residents via Lorong 1 Realty Park, takes the form of an elongated land parcel, bordered on the long sides by the Realty Park landed housing precinct on the northeastern aspect and Hougang Avenue 2 on the southwestern aspect.

The northeastern aspect, towards Realty Park, is understandably the quieter facing. Residents of units directly facing Realty Park can also enjoy unblocked views towards Hougang Central from the third floor and the attic, because most of the existing landed homes in this estate are only two-storeys in height.

Knowing that an inward facing towards the landscaping and pools within the condo is preferable to an outward facing towards Hougang Avenue 2, the developers have designed the strata landed such that the side facing the road is the unit’s rear frontage.

For the common bedrooms that still face the road, the developer has put in place a five-metre green buffer called the Forest Oasis that help mitigate the effects of road noise as well as preserve a sense of privacy and exclusivity (especially from prying eyes of passengers on double-decker buses).

In any case, private residential developments are now subject to NEA Acoustic Treatment guidelines, which ensures indoor sound levels for residential dwellings do not exceed 57 decibels with the windows open. So, it’s possible to get a good night’s sleep with the windows closed and passing traffic reduced to a nothing more than a whisper, even for the units (#47 and #49) that are nearest to the junction of Hougang Avenue 2 and Upper Serangoon Road.

Facilities-wise, what Parkwood Collection offers is adequate considering this is a purely strata landed development with only 53 units to split the maintenance fee, which according to the developer is in the $600 to $700 range (more on fees later). A handful of units have frontage directly opening up to either one of the condo’s two pools that measure 50 and 60 metres in length.

There is also a 45 square metre gym, roughly equivalent to the size of a one-bedroom apartment, located near the condo’s main entrance. This is a decent-sized gym and we foresee a few owners opting to have their own fitness equipment within their units, given their large floor area.

Notably, there’s no children playground within Parkwood Collection itself. This is not a big concern as there will be a 0.33-hectare public park right next to the development, built by Fantasia as part of tender requirements. Accessible via a side gate on the western end of the condo, the park will likely have an assortment of play facilities for kids.

Other facilities include a BBQ pit—with two charcoal grills and seating for 15—tucked away in the far northeast corner of the development (next to #55), a 500 metre jogging path, and an underground function room.

In terms of spacing between units, the void between each semi-D pair is on average two metres wide, and considering the narrowness of this passage, units do not have a many openings towards the long side of the home aside from ventilation windows, making the semi-D feel more like a terrace house on the interior.

What prospective buyers should really pay attention to is whether the frontage of a unit is directly facing the neighbour’s frontage and the distance between frontages. Most of the strata units at Parkwood Collection that face each other have at least a four-metre buffer, but for #119, the distance to the opposite unit is just 2.3 metres.

 

Also important to highlight is the fact that three balance units (#107, #109 to #111) directly face the condo’s single-storey gymnasium, with just 3.3 metres of separation between the gym and living room PES. Even if gym goers are unable to see into the units and vice versa, the view from the living room of these units will still be compromised.

With 34 out of 52 strata semi-detached homes still available at Parkwood Collection, there are choice units in terms of facing and positioning. Speak to us to find out more about the development or read our next section on Unit Layout.

Unit Layout/Floor Plan

Type 1B (4,865 sq ft) strata semi-detached homes, which has five bedrooms and six full bathrooms, make up 40% of the units at Parkwood Collection—the most of any unit type. From the layout of Type 1B, buyers can also get a good idea of the space allocation, finishings and other details/elements that are also implemented across the other unit types in the development. (Type 1B is also the show unit in the development’s sales gallery.)

Looking at the Type 1B floor plan, the first thing that strikes us is the spaciousness of the entire strata semi-D unit. The three-storey home with attic and basement feels like five full floors, and the unit has a footprint of about six metres by 13.5 metres.

At the basement, the private car park can comfortably accommodate two larged sized cars. Once through the main door, the owner will be greeted with a space that functions very well as a family or recreational area, in addition to the requisite powder room and a maid’s room with attached toilet. The family area also receives a good dose of natural light thanks to an airwell. (The airwell measures about 3 sq m and is part of the saleable area.)

The basement also functions as a lobby, with a private lift that is placed near the centre point of the unit. Unlike some cluster homes with private lifts that do not serve the attic, the private lift here serves all five floors of the unit. The lift, from Ken-Jo, is a gearless-type that operates with minimal noise and can take up to five passengers (up to 340 kg at one go).

On the first storey, the private lift opens up directly to the dining area, which is logically located between the kitchen and living area. At about 3 by 3 metres and sharing space with the lift landing, the size of the dining area can feel a bit modest. Meanwhile, there’s also the option of alfresco dining because the first-storey PES measures a massive 6 by 2.5 metres.

Meanwhile, the kitchen space is larger-than-average and there is ample room to add more storage and countertop space—or even a tall-unit—without compromising ease of movement. Although the living area is very good-sized, the placement of the first-to-second-floor staircase along the boundary wall, instead of wrapping it around the lift, makes it slightly more challenging to reconfigure and fully utilise the first storey space.

We like the fact that the ceiling height for the first-storey rises to 3.3 metres, which enables the owners to install a 0.5 metre tall chandelier or lighting fixture without it looking out of place.

Two bedrooms, a common bedroom and the junior master bedroom, are located on the second storey, along with a terrace area measuring about 2 by 1.7 metres. Both bedrooms have ensuite bathrooms, and the junior master bathroom is fitted with a bathtub and separate shower stall.

The thing is, if you haven’t seen the actual master bedroom, you’d be forgiven for mistaking the junior master—which has ample space for a workstation/lounge area and a walk-in-wardrobe—for the master bedroom. Such is the luxury of space, even the ensuite common bedrooms on the second and third storeys can pass off as a master bedroom in most other D19 developments.

The actual master bedroom, which is located on the third storey, is even more show-stopping. At roughly 430 sq ft, this is the size of a high-end hotel suite. The buyer can partition the space to create a spacious walk-in-wardrobe and still have room for a king-size bed. Meanwhile, the nearly 7-metre long master bathroom comes with his-and-hers basin, a shower stall and a space to accommodate a 2-metre long bathtub.

All bedrooms have an adequate 2.8 metre ceiling height. Speaking of which, there are no void areas across the entire unit, which goes against the recent trend of double-volume ceilings. Bedrooms also come without balconies. The result is an overall spacious yet practical layout, perfect for buyers who are conscious of paying for non-useable space.

For many buyers, a strata landed property wouldn’t resemble a landed home if it doesn’t have an attic and an accessible roof terrace. For Parkwood Collection, two open-to-sky roof terraces on each side of a unit’s attic, measuring about 24 sq m and 9.5 sq m each for the Type 1B unit, lets owners organise gatherings and enjoy luxuries like a rooftop jacuzzi.

For strata landed homes in particular, the roof gardens are also important because they make up for the lack of front and backyards typical of non-strata landed homes.

Indoors, the attic features a common bedroom, a common bathroom and two distinct areas that can serve as a family area or something more personal, such as a home office or a study. The common bedroom has patio doors that open up to the larger roof terrace and, trust us, there’s bound to be a family member who’ll fight for the rights to this bedroom.

Ceiling heights for the bedrooms are 2.8 metres with the exception of the attic bedroom, which is 2.4 metres high in non-sloping areas.

For the most part, the unit Type 1B at Parkwood Collection makes full use of the massive floor area and showcases the level of luxury that the developer brings to every unit. Not only can buyers acquainted to landed living relate to the spaces within, they’ll also get to enjoy condo facilities while taking a backseat approach to the maintenance and upkeep of the exterior premises.

Appliances, fittings and flooring

In line with its premium positioning, units at Parkwood Residences feature appliances from V-Zug and sanitary fittings from Villeroy & Boch and Hansgrohe.

For flooring, developers have specified marble/engineered marble tiling in units’ non-utility common areas, such as the living and dining rooms. Bedrooms, meanwhile, have engineered timber strip flooring. Bathrooms and kitchens feature homogeneous and ceramic tiles.

Alternatives to Parkwood Collection + Comparison

There are many reasons why buyers might want to secure a unit at Parkwood Collection, but the chief consideration comes down to whether there are any comparable properties in Singapore in terms of floor area (space) and quantum (price).

For the sheer floor area that a Parkwood Collection unit offers, landed homeowners know how much it would cost to build such a unit themselves. At the current market rate construction cost of roughly $300 psf, it would cost nearly $1.46 million to build a Parkwood Collection Type 1B unit from scratch and another $0.3 million to renovate it according to premium specifications (a private lift costs anywhere from $80,000 to $90,000 alone).

Multi-generational buyers also tend to stick to the same area when buying a new home. And space-wise there’s a distinct lack of new-build landed options in D19 that provide the same built-up area at a comparable quantum of around $3.5 million.

To find an alternative that’s comparable to Parkwood Collection in D19, one would have to look to older resale strata landed developments. The development that most closely resembles Parkwood Collection is the freehold Verdana Villas (TOP: 2014), located near the Serangoon Garden Circus. Two strata semi-D units here recently transacted in 2021:

• A 4,392 sq ft unit at $3,180,000 ($724 psf)

• A 4,402 sq ft unit at $2,950,000 ($670 psf)

At face value, Verdana Villas has a roughly similar psf to Parkwood Collection. With a freehold status, most buyers would instinctively gravitate towards Verdana Villas.

But compare Verdana Villas and Parkwood Collection more closely, and you’ll see where a fallacy of freehold value begins to kick in. While both developments are located within a designated 3-storey mixed landed area, Verdana Villas is far more densely developed: the site is 72% Parkwood Collection’s land area, but has more units (56) compared to Parkwood (53).

If you take a look at the site plan, you’ll notice the vast difference in common area available and facilities (e.g. one 26-metre pool) that are a downsized version of Parkwood’s. Despite more units and fewer facilities, Verdana’s average maintenance fee of $580 is only slightly cheaper than the $600 for a Type 1B unit at Parkwood Collection.

(A side note about maintenance fees: Parkwood Collection’s $600-$700 monthly fees are definitely on the high side for a condo in the Outside Central Region, and on the same level with condos in RCR districts, such as Silversea). The reason is because maintenance costs for landed property with three-storeys with an attic all adds up, especially for glass-facade buildings that may necessitate regular exterior washing of windows.)

The most important point of difference between Verdana Villas and Parkwood Collection isn’t about facilities and maintenance fees. Looking long-term, we believe Parkwood Collection has a far higher upside potential AND redevelopment/en-bloc potential than Verdana Villas, despite having a 99-year leasehold tenure.

The upside potential comes from the future development of Hougang we mentioned earlier, but the future redevelopment/en-bloc potential could be what seals the deal for Parkwood Collection.

First of all, there is latent potential for the Parkwood Collection land parcel to intensify land use, even before the project is completed. That’s because the developer has built up only 38% of the site area, even though URA allows a maximum site coverage of 50% for strata landed housing developments outside Good Class Bungalow Areas (GCBAs). In other words, the land remains about 24% underutilised.

The land area-to-owner ratio at Parkwood Collection is also one of the best we’ve seen, with the 53 units having a share of the over common area amounting to over 90,000 sq ft. (In comparison, Verdana Villas has 56 units sharing a common area of about 52,000 sq ft.) A good land area-to-owner ratio maximises the potential profit in an en bloc.

(Sidenote: Each Type 1B owner has a share value of 12 out of an estimated total of 656. This translates to an undivided share of a massive 90,860 sq ft of the developments’ common area, based on 63% of the Parkwood Residences site belonging to common areas.)

Secondly, Parkwood Collection’s location next to a main road works to its advantage. As part of LTA’s mandatory traffic impact studies, whether a plot of land can be redeveloped for higher-density use depends on whether surrounding roads can support the corresponding increase in traffic. (There have been instances where a large plot of land was unable to be redeveloped, or are unattractive to developers, because it’s only accessible by narrow single-lane roads and new roads can’t be built.)

So, in future, if the 3-storey mixed landed zoning restrictions for Parkwood Collection were to be lifted, the authorities might allow a high-rise, high-density redevelopment on the site, which would possibly involve moving the entrance to Hougang Avenue 2 subject to approval. The fact is very few, if any, strata landed developments currently have this redevelopment potential. If and when such a deal is done, whoever owns a Parkwood Collection unit at the time will be looking at a windfall that could eclipse previous en bloc deals.

Finally, in the long-term, the possibility of competition from new, large-plot, purely strata landed projects is low. Parkwood Collection was originally a public playground put up by URA for low-rise residential redevelopment, and there aren’t that many such opportunities in this part of Singapore for that to happen on a regular basis (at least not near the future interchange hub of Hougang).

While there are large land parcels between Realty Park and Hougang Central zoned for eventual residential development (either condo or HDB), any condo development with strata landed unit types is likely to differ from the unit size and premium positioning of Parkwood Collection, and lean more towards the mass market positioning of Riverfront Residences.

So, Parkwood Collection will remain a standout development in Hougang and D19 for some time. Multiple factors make the development an attractive proposition for those who can afford it, especially among larger families who have deep roots in the district.

Summary: Should you buy a D19 strata landed home?

We’ve covered a lot of ground in our mega strata terrace review, which should have more or less helped you decide on whether such a property is suitable for you and your family. Here’s some more pointers you should consider.

Unlike landed property where there is proprietary ownership of land via a Certificate of Title, owners of strata landed property hold a Strata Certificate of Title (similar to owning a condo unit) and are subsidiary proprietors of their units with ownership of the project’s common area determined according to each owners’ share value.

One key appeal of strata housing among buyers lies with the fact owners don’t have to spare time and effort maintaining the exterior of the property. Tasks such as landscaping and painting works are handled by a managing agent and are funded by fixed monthly and quarterly maintenance fees from owners. In contrast, landed homeowners need to take a ‘hands-on’ approach to upkeep their property, having to bear the burden of occasional high costs for major repairs.

While strata landed remains a niche, it’s looking increasingly less so. Developers of large condominium developments are incorporating strata landed as part of their unit mix, resulting in the increasing number of leasehold strata landed homes touting highly competitive entry pricing (as opposed to freehold). As part of larger condo projects, leasehold strata landed properties give buyers a full suite of facilities—a clear differentiation from landed property ownership—alongside generously-sized layouts of 2,000 square feet or higher and two parking lots per unit (versus one lot per unit for regular units).

On the resale market, strata landed units may also benefit from the scarcity factor and fewer competition, but the most eye opening numbers in favour of strata landed properties may lie in rental yield. The table shows a three-way price versus rent comparison between Verdana Villas strata semi-Ds, landed semi-Ds within one kilometre of Verdana Villas, 4-bedroom condos in D15 in the RCR:

It’s highly probable that buyers out there are always aware about the potential perks of strata terrace homes in D19. The fact that the choicer strata landed units here are going fast means eager and opportunistic buyers are abound. (As we typed this, another one of Riverfront Residences’ strata terrace homes was sold.)

If you’re interested in or contemplating buying a new launch strata landed property, or have any questions regarding new launch projects, we’d be happy to help. Leave us a message and we’ll get back to you!

[Every effort has been made to ensure the accuracy of this article. Information released after 11 March 2021 may not be reflected in this article.]