More affordable housing awaits Singaporeans after Paya Lebar Air Base relocation: expert

About 150,000 new homes can be built in the area once the base is moved out.

Singaporeans can look forward to a more affordable housing supply following the relocation of the Paya Lebar Air Base (PLAB), according to a property expert.

OrangeTee's Christine Sun said once the airbase is relocated, 150,000 new public and private homes can be built in the future town.

"The ramp-up in housing units in Paya Lebar may help reassure Singaporeans that there will always be sufficient land to meet the housing needs of all Singaporeans," Sun said.

According to Sun, there could be around 100 to 130 build-to-order (BTO) launches from the Paya Lebar site ranging from 700 to 1500 units for each project; this is if there are 100,000 to 120,000 units planned for HDB BTO flats.

"If five projects are launched per year, we can expect the BTO supply to last 20-25 years," she added.

For private homes, Sun said there can be around 40 to 70 EC and condo launches with 500 to 1000 units each, assuming 30,000 to 50,000 units will be planned for private housing in the area.

"This area is considered to be Outside of the Central Region (OCR). There should be healthy upgrader demand should new condos being built in the area. Moreover, due to the generous space available, larger land parcels or bigger condo projects offering ample facilities can potentially be built," she said.

Sun, however, underscored that the redevelopment of Paya Lebar will not take place immediately, thus, the current supply crunch will not be resolved yet.

"This means that demand for housing, especially in the suburbs, will remain tight in the short term," she added.

Meanwhile, Prime Minister Lee Hsien Loong also announced plans to lift building height restrictions in Paya Lebar and its surrounding areas once the airbase moves out.

According to Sun, the change may lift the en-bloc potential of some resale condominiums in areas around Paya Lebar, Marine Parade and Hougang.

"Some of the condominiums launched in the past that are below 20 storeys may have the potential for future redevelopment. These condominiums can be torn down and rebuilt to a much higher level in the future," Sun said.

"There are 8871 flats in Hougang and Marine Parade completed before/on 1980. These older flats could be redeveloped under Sers to better optimise the land use since the height restrictions have been lifted and taller flats can be built now," she added.