Sales of Sims Edge fail to meet market expectation

There remain 10 out of 78 units for sale for the project located at Sims Avenue when it was actually expected to sell out on June 17 launch like Fission Capital’s “Centra Heights”- a 90-unit new condo within the vicinity which was fully snapped up on April 18 preview.

The remaining 10 units of Sims Edge all have two bedrooms with size ranging from 474 sqft to 603 sqft and price starting from as low as $688,000 to $814,000, sources from Huttons Real Estate Group said. This translates to an average asking price of around $1,300 psf.

Being almost 90% sold though is still a “very good take-up”, said property analyst Oii Yi Tung of KimEng Research especially for such “smallish” units that are primarily purchased for investment purposes.

“At the current price levels, and with the upcoming supply putting a lid on upside, property is losing its appeal as an investment class,” he said.

Main selling points of Sims Edge, developed by Macly Equity, according to Huttons are as follows:

• Just 5 mins or approximately 500m walk to Paya Lebar Business Hub and Paya Lebar MRT station.
• About 7 mins walk to Aljunied MRT station.
• Surrounded with loads of amenities and eateries
• Possess a high potential for capital return in time to come and rental demand will be good once Paya Lebar Business hub is ready with all MNCs and offices going into operation.
• With its close proximity to Marina Resort and Euno Industrial, tenancy will not be a problem at all.

Huttons expect that with the upcoming Paya Lebar Central, Sims Edge will bring in high rental returns of around 5.5-6%: $2,500-$2,800 on the average for one-bedroom unit and $3,200-$3,500 for the 2-bedroom.

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