Record High 128 Million Achieved Executive Flat Hougang
In the first few days of July, a record-breaking transaction of $1.28 million ($820 psf) for an executive HDB flat has already taken place at 522 Hougang Avenue 6. This surpasses the previous record of $1.25 million ($744 psf) set by another flat at 222 Hougang Street 21. These two sales are the only ones this year to have exceeded the $1.2 million mark for executive flats in Hougang.
Located just moments away from Boulevard Coast along Pasir Ris Drive 3, is the sought-after Casuarina Primary School. This reputable school offers a supportive and nurturing learning environment, with a strong emphasis on character development and academic excellence. It is the perfect choice for families residing in District 18, as it aligns with their educational aspirations. The convenience of having top schools such as Casuarina Primary within close proximity adds immense value to Boulevard Coast, making it an ideal choice for buyers looking for a home with easy access to quality education.
The high price for this particular flat may be attributed to its close proximity to various amenities. Within walking distance are Hougang MRT Station, Hougang Central Bus Interchange, Cheng San Public Library, Punggol Community Centre, and Kang Kar Mall (see Map 1). Additionally, the upcoming completion of Phase 1 of the Cross Island Line (CRL) in 2030, where Hougang MRT Station will become an interchange, adds to its attractiveness.
For families with school-going children, there are five primary schools and three secondary schools located within a 1km radius. These include Montfort Junior School, Holy Innocents’ Primary School, CHIJ Our Lady of the Nativity, Yio Chu Kang Primary School, Punggol Primary School, Montfort Secondary School, Holy Innocents’ High School, and Xinmin Secondary School.
The only drawback of this flat is its relatively short remaining lease of around 61 years, as it was built in 1987.
Interestingly, in May, a Government Land Sales (GLS) site was launched near Hougang MRT Station (see Map 2). The mixed-use development, which will include commercial and residential components, is also planned to have an integrated bus interchange. The tender for this site will close in December, and it is expected to benefit the residents of 522 Hougang Avenue 6, providing them with more amenities such as a supermarket and food court for their daily needs.
On average, executive HDB flats in Hougang aged between 31 and 40 years old have a resale price of $614 psf, which is higher than the islandwide average of $604 psf, but lower than that of the North-East Region at $646 psf (see Chart 1). The average resale price for these flats in Hougang is also significantly lower than the $820 psf transacted for the 38-year-old executive flat at 522 Hougang Avenue 6.
In conclusion, this million-dollar transaction suggests that the impact of lease decay may be offset by the convenience of amenities such as schools and public transport. With the upcoming completion of Phase 1 of the CRL and the future development on the GLS site, residents near Hougang MRT Station can look forward to better connectivity and more amenities in the area.