Normanton Park Condo Review

My review of Normanton Park, Kingsford Development

Recent trends have seen the Singapore property market thrive in a time of recession. The Singapore economy contracted by 5.8% in the last year, but private property prices remain stubbornly high. Just a day after the Ministry of Trade and Industry published the dire economic contraction estimates, , the Urban Redevelopment Authority (URA), announced that private property prices in Singapore increased by 2.1% in the fourth quarter of 2020. This pace is even faster than the healthy 0.8% increase in the third quarter 2020.

This buoyant private market is an indicator of the potential for perhaps the biggest private property new launches in 2021. Normanton Park will test buyers' appetites for private new homes. Personally, I am curious to see what this massive development does in today's property buying frenzy.

 

Information about the development

Normanton Park is 99-year leasehold development that consists of 1862 residential units. It spans 9 24-storey blocks as well as 22 2-storey strata terraces. The development will include 1 restaurant and 8 retail shops. The site covers approximately 61,408.9 sq. m or 661,005 sq. feet. Kingsford development bought the 488-unit Normanton Park estate, an ex-HUDC estate, in October 2017. This transaction was worth SGD$830.1million. It was the first 99-year leasehold collective sale with the highest land rates at that time. The purchase price was over SGD$30million above the reserve price. This land price is approximately SGD$969/square foot when you add the SGD$231.1million required to increase the lease to 99 years and a redevelopment charge of around SGD$283.4million.

In the first half 2019 Normanton Park was again the focus of the media when Kingsford Huray Development (a subsidiary of Kingsford Development) was issued a no-sale license. The Temporary Occupation Permit (TOP), was required before the developer can sell units. This was due in part to problems with Kingsford Development's past projects, Kingsford Waterbay or Kingsford Hillview Peak. Kingsford Development obtained approval to sell units in Normanton Park, before receiving the TOP in December 2020. However, there are some conditions. One, units in Normanton Park have to pass the Quality Mark assessment by BCA before they can apply for a TOP.

 

Is the development in the right place?

Normanton Park can be found at Normanton Park 1-9. It can be found at the end of Portsdown Flyover, and at Science Park Road which leads up to the National University of Singapore.

Kent Ridge MRT Station is the nearest MRT Station to Normanton Park, which is approximately 1.2 km away. It's a short walk of approximately 15 minutes and relatively unsheltered. 

Kent Ridge MRT Station can be found along the Circle Line. It will take approximately 19 minutes to reach Raffles Place MRT station. There are 8 stations along the journey. The cost is $1.48.

The train ride to Orchard MRT Station takes approximately 17 minutes and covers 8 stations. It will cost $1.44.

Driving from Normanton Park, to Raffles Place takes approximately 11 minutes. The distance traveled is 8.2 kms. This Google Map Query was performed on a weekend night, when traffic conditions were optimal. You should add additional time to account for peak hour traffic.

 

The selling points of the development

This mega-development offers many benefits. First, the facilities will be very comprehensive. Only Treasure at Tampines has been able to launch more units in the past few years than any other new development. Despite the extensive facilities, the maintenance fee will not be very high due to the many stakeholders who will split the costs of the development. In their marketing materials, the developer boasts over 100 lifestyle amenities for Normanton Park. The development will also include a restaurant as well as 8 retail shops.

The catchment area is huge as Normanton Park is right next to the Singapore Science Park. Tenants should be from these companies as well as the National University Hospital (NUH), NUS, and Mediapolis.

The URA Master Plan indicates that there are potential residential developments. The residential zone for the area of forest that runs parallel to the expressway is designated as residential. There should be more residential developments in the future. It should also lead to an increase in the number and quality of amenities available in the area.

 

Potential negative aspects of the development

The development's size can be both a blessing and a curse. Due to the number of units available, there is a possibility that the rental and resale market will be very competitive. It is hard to imagine where the HDB upgraders looking for units in Normanton Park, unlike Treasure at Tampines which is located in an estate with mature homes and is surrounded by residential houses, will be able to find them.

Potential buyers and tenants may be dissuaded by the distance to the nearest station, which is approximately 1.2 km away. Normanton Park is located far from a train station and in an estate that offers many amenities. This is an important consideration for buyers. Buyers will need to carefully consider their investment time frame and how connectivity will change over time.

 

My thoughts on the development

It will be interesting to see how it turns out. Due to problems with Kingsford Waterbay and Kingsford Hillview Peak, the developer has been put in a bad light. The requirements of URA requiring that all Normanton Park units pass the Quality Mark assessment by BCA before the developer can apply to a TOP make it seem like buyers will receive a quality-made development. Potential buyers will be influenced by the reputation of the developer.

The location is also a mystery to me. I am not as enthusiastic about this development because of the lack of connectivity. There will be an increase of fourfold in the number units in the new Normanton Park, compared to the previous Normanton Park. This could pose a problem for traffic management.