One of Singapore’s most exciting areas gazetted for future development
by the Urban Redevelopment Authority. Farrer Park combines the best of both
worlds in one location, with the historic Little India district on one side and
the vibrant Bras Basah-Bugis arts and entertainment precinct on the other.
Quaint and charming arts houses, boutique hotels and new F&B establishments
that are sprouting to life add much vitality and variety to the area.
Shop houses along Serangoon and Jalan Besar offer some of the city’s
best local fare, while the 24-hour Mustafa Centre and eco-friendly City Square
Mall draw crowds with their offer of a unique retail experience.
The transformation of Farrer Park has taken shape over the past few
years with the successful completion of the Farrer Park MRT Station to Tekka
Market’s remarkable facelift. At the same time, heritage landmarks are lovingly
preserved, while modern infrastructure continues to boost the area’s
accessibility and development potential.
In addition, Connexion at Farrer Park will be one of the world’s first
integrated healthcare and hospitality complexes. Comprising a specialist medical
centre with 189 consultation suites, a private tertiary hospital, a luxury
hotel equipped with state-of-the-art conference and wellness facilities and a
ground floor lifestyle retail zone, Connexion (built directly above Farrer Park
MRT Station) will strengthen and support Singapore’s position as Asia’s leading
medical hub when it is completed in 2013.
Opportunities for Property Investors
In tandem with the general increase in
properties prices across Singapore, the private property prices in the Farrer
Park precinct (District 8) has also risen over the past years with the
completion of City Square Mall. Labeled as a “quiet achiever” by property
experts and consultants, City-fringe homes tend to be overshadowed by those in
prime and mass-market areas.
Notably, in recent years, the demand of
show-box apartments (which refer to less than 500 square feet) within the
Farrer Park precinct has gained popularity due to its proximity to Orchard,
City Hall and CDB area.
TARGET: One-Bedroom Apartments at the Farrer
Park Precinct
City-fringe one-bedroom apartments at the
Farrer Park precinct are highly sought after partly for their accessibility,
public transport links and lifestyle amenities. Investors also find it easy to
get expat tenants as their accommodation budgets scale down.
From an investment perspective, the price level
for a one-bedroom residential apartment at Farrer Park ranges from S$600,000 to
S$900,000, thus offering good affordability for property investors.
More importantly, rental prices of Farrer Park one-bedroom
residential properties have increased with the ongoing transformation of the
heritage precinct.
As seen in the following graph, indicative
rentals for condominiums nearby the Farrer Park MRT station range from S$3.84
psf to S$4.67 psf. For one-bedroom units, rental price per square foot are
generally higher due to its compact size.
Using the latest freehold development project, Le Somme (located next to City Square Mall),
in the area for reference, the approximate rental yield is as follows:
Price of a
one-bedroom apartment: S$750,000
Size: 560
sq ft
Expected
Rental per month: S$5.35 psf or approximately S$3,000 per month
Expected
Rental Yield: 4.8%
Driven by its proximity to city and amenities, one-bedroom
apartments within Farrer Park area will likely to see potential upside and good
rental yields with its affordability and growing popularity.
To find out more details on the latest freehold
development project in this area, please visit: www.le-somme.com
The
information contained herein does not constitute or form any part of any offer
for sale or subscription of, or solicitation, recommendation or invitation for
or in relation to any offer to buy properties nor shall it or any part of it
form the basis of, or be relied on in connection with, any contract or
commitment whatsoever.
All
the information contained herein has not been independently verified. No
representation or warranty, express or implied, is or will be made in or in
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information contains certain forward looking statements and forward-looking
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assumptions and involve known and unknown risks, uncertainties and other
factors which may cause the actual results, performance or achievements to be
materially different from those expressed in these forward looking statements.
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properties listed herein. The inclusion of such statements and information
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forecast results will or are likely to be achieved. Actual future performance
could differ materially from these forward-looking statements and information.