Why is Gem Residences selling like hotcakes?
It is one of the best selling new launched projects since 2015.
Solid sales at GEM Residences boosted May numbers. The biggest launch in the month came from Gem Residences, jointly developed by Gamuda , Evia Real Estate Pte and Maxdin Pte Ltd, was the best seller in May with 312 of 578 units. This accounts for30% of May volumes sold. Nearly 300 units were reportedly sold on first day of the launch.
Vijay Natarajan, Investment Analyst at RHB Research Institute Singapore notes that thus has resulted in one of the best take-up rates at 54% among recent new launches since 2015.
Natarajan noted that a lack of recent new launches in the nearby vicinity, contributed to the strong sales.
Jones Lang LaSalle (JLL) concurred while adding that the project’s healthy take-up rate can be attributed to its location near the Braddell MRT station in the mature Toa Payoh housing estate, where there has been a dearth of new launches in recent years.
Other factors, analyst said, include attractive pricing at a median price of SGD1,431psf, smaller unit sizes, and aggressive marketing strategies.
According to JLL, about 89 per cent of units sold in the development are one- and two-bedroom units, with majority priced within an affordable quantum of around $1 million and below per unit.
ERA Key Executive Officer Eugene Lim added that investors were the main driver of healty take-up with 1 and 2 bedroom units at GEM Residences being the most popular amongst buyers.