The Potential Upside for Property Value in Pasir Ris
When it comes to Singapore, every town has its day. That being said, Pasir Ris – a Housing & Development Board housing estate – is about to go through some significant changes because the estate is now officially about 30 years old. The plans to rejuvenate Pasir Ris have been announced not that long ago and HDB got the ball rolling back on August 28, 2018, by launching a 3.8-hectare land parcel for tender. The land is located at the Pasir Ris town center and it’s intended to be used as mixed development. With this in mind, it will be equipped with an integrated bus exchange, town plaza, and polyclinic, as well as with about 600 private condominium units.
Speaking of condominiums, the rejuvenation of Pasir Ris already began several years ago. 5,595 new condominium units have been completed since 2016, with Palette (892 units), D’Nest (912 units), and Coco Palms (944) units being listed in the biggest projects category. Such a big addition of private housing in Pasir Ris serves as a testament to the appeal of living in the town. It is also important to note that Pasir Ris has a combination of five important attributes that no other town in Singapore has!
Proximity to Changi Airport
When it comes to housing estates in Singapore, Pasir Ris is the closest one to Singapore’s Changi International Airport. If you are going by car, the airport is just 5 to 10 minutes away and if you are going by bus, it is about 20 minutes away. This is one of the main reasons why Pasir Ris is considered to be one of the most popular towns for frequent travelers.
Keep in mind that proximity to Singapore’s Changi International Airport also means proximity to aircraft, logistic, and air freight-related industries, including the Changi Aircraft Center, Loyang Industrial Estate, and Changi North Industrial Park. Although Pasir Ris sits near Singapore’s Changi International Airport, the residents don’t have to deal with any aircraft noise pollution as the town is far enough from any existing flight paths.
Cross Island Line
With a little bit of help from the East-West MRT line, the residents of Pasir Ris can get to the city in just about 40 minutes. The upcoming Cross Island Line – which could feature an express service – will serve as a connection between Pasir Ris and all the other parts of Singapore, making commuting extremely easy. This line will become operational in about 10 years and will serve as a connection between Pasir Ris and Clementi, Ang Mo Kio, Hougang, Jurong, and West Coast.
It is also important to note that the Cross Island Line will most likely form an interchange with the existing Pasir Ris MRT Station, and it looks like two more stations on each side of the town are also included in the plan. On top of that, the Cross Island Line will give the residents of Pasir Ris direct access to Singapore’s Changi International Airport.
Seafront Living and Sea-Views
Currently, Pasir Ris is pretty much a seaside resort town for the people of Singapore. There are some condominiums – as well as some HDB units – that offer some nice views of the beautiful Serangoon Harbour, which means that its residents get to enjoy some awesome views of the water. Since many Singaporeans are ”spoilt” by views of container terminals and docked ships, it is pretty safe to say that the sea-views from the Pasir Ris condominiums are some of the best that the country has to offer, right?
The majority of residents of Pasir Ris live within a 10-minute bike ride from the beautiful Pasir Ris Park, which is an awesome 6.8km-long, 70-hectare recreational area. As far as cycling, Pasir Ris is one of the first bike-friendly towns in Singapore. There are cycling paths alongside almost every road and park connector that is connected to neighboring towns. For example, cyclists can travel to Changi Beach Park via a dedicated bike path.
When it comes to natural beauty, Pasir Ris has an entire collection of recreational amenities that an HDB town should have. Things like White Sands, Elias Mall, Loyang Point, NTUC Downtown East, & Pasir Ris West Plaza make this town as beautiful as it is. As far as kid-friendly activities, both the Wild Wild Net and the NTUC Pasir Ris Resort offer a lot of fun for the youngest ones. For those who like to indulge in sports activities, the Pasir Ris Sports Center is equipped with a swimming complex and facilities for badminton and table tennis, as well as with many other sport-related things.
Pasir Ris also has seven elementary schools, four secondary schools, an international school (Overseas Family School), and a junior college (Meridian Junior College). Also, we have heard some really good news about the Pasir Ris Central Hawker Center. This center serves your typical chicken rice and char kway teow, as well as some more trendy and international dishes such as pork belly burgers, Wagyu beef bowls, and Korean bingsu.
HDB has decided to build a cycling path that will pass through the town center and lead straight to the coast. Every HDB’s plan for Pasir Ris that is connected to the Remaking Our Heartlands program is likely to further increase the interest in living in the estate.
So, what does all of this mean for property development in Pasir Ris? Well, when it comes to living or buying a property in Pasir Ris, there is absolutely no doubt that it is currently a bargain. From 2010 to 2016, the prices for flats in Pasir Ris could not really reach the leves of those in its western and northern counterparts. However, in the meantime, the average PSF prices for Jurong West and Jishun have fallen, while the average PSF transaction price for Pasir Ris has risen by 2.07%. This could be a sign that potential buyers are finally starting to recognize the town’s attributes, which is – of course – great news for Pasir Ris.
When it comes to 4-room HDB resale flats, the average prices of Pasir Ris units have been in line with the Singaporean ones for the most part. Prices of five-room flats, on the other hand, have gone below the Singaporean average price. But there is a good chance that the prices for five-room flats in Pasir Ris will not stay out of line for much longer. This means that there could be some really good news for Pasir Ris in the near future.
As far as 99-year leasehold condominiums, the easiest thing to do is to put Pasir Ris and Tampines against each other. The reason for this is that comparing the values between condominiums in two neighboring towns makes the most sense in this case. Before 2008, the average PSF transaction price for Pasir Ris leasehold condominiums was constantly lower than that of the ones that can be found in Tampines. However, from 2016 to 2018, Pasir Ris managed to bridge that gap. In 2018, the prices of condominiums in Tampines were contorted upwards, and it was all thanks to the launch of The Tapestry and The Alps Residences. That being said, there are not that many things that are currently separating the property value between Pasir Ris and Tampines.
So, which of these two towns has more significant developments in the pipeline? Pasir Ris would be the right answer because when compared to Singapore, the estate is currently at a large price deficit. The last time there was such a big difference between Pasir Ris and Singapore was back in 2007. Keep in mind that the following year (2008) was known for the Global Financial Crisis. 2008 was the year when the average PSF transaction prices across non-prime 99-year leasehold condominiums in Singapore fell by 10.2%. However, the average PSF transaction prices for 99-year leasehold condominiums in Pasir Ris experienced an increase of almost 55%. Only time will tell if something like this will happen once again in the future!