Sceneca Residence is an upcoming mixed-development at Tanah Merah Kechil. Sceneca Residence was supposed to be launched in 2022, but it was slapped with a no-sale license by the Controller of Housing (COH) on 12th May. The move inevitably pushed the launch to the first quarter of 2023. Although the developer gave no reasons, some market sources speculated that it had something to do with the Normanton Park sales launch.
Sceneca Residence is developed by MCC Land. In addition, MCC Land has developed iconic developments such as One Bernam, The Landmark, The Poiz Residences (another mixed-development), etc. MCC Land has also been awarded BCA Green Mark Platinum for its outstanding contribution towards promoting sustainability design.
The uniqueness of the Tanah Merah estate is the vast private landed enclaves. The vibe is similar to the recent Lentor Modern development, where private landed enclaves surround it. It is common for home buyers and investors to source around in the vicinity for a suitable unit before branching elsewhere.
We will look at the transactions of the completed projects at Tanah Merah to see if the above statement is true.
Is It Overpriced Compared To Other New Launch?
Let’s look at the tender results.
Fifteen developers were vying for this piece of land. The above results translate to $930 psf per plot ratio (ppr) for the Tanah Merah Kechil Link plot. If you look at the winning bid of AMO Residence at $1,118 psf ppr and Lentor Modern at $1,204 psf ppr, Sceneca Residence seems like a snatch. Even the latest Lentor Hills Road (Parcel B) highest bid was $1,130 psf ppr!
Based on the tendered sale price, Sceneca Residence will likely be priced from $1,680psf and above. Its closest “competitor” – Sky Eden @ Bedok, had moved 75% of the total unit for an average price of $2,100psf during its launch. The momentum was attributed to the proximity to an MRT station, easy access to amenities and major employment centres. What a huge price difference, just 1 MRT station away!
What About Developments at Tanah Merah?
For easy comparison, we will look at the three newest developments (Urban Vista, The Glades & Grandeur Park Residences) surrounding Tanah Merah MRT Station.
The chart shows that prices around the vicinity haven’t moved much. However, the Covid-19 pandemic had caused an uptick from 2020 that corresponded with the overall resale price movement islandwide.
As reflected, prices of the resale properties had not appreciated much except for Grandeur Park Residences. Ironically, the owners of Urban Vista likely have difficulty selling their units for a profit when the project is just opposite Tanah Merah MRT Station.
Is it due to a lack of resale transactions within the projects? There were 107 resale transactions recorded for Urban Vista, while The Glades moved a total of 131 resale units within the last five years. Some experts attributed the lower-than-expected increment to the initial high selling price. During the uptrend cycle in the property market, Grandeur Park Residence transacted at an average price of S$1,389psf. Urban Vista & The Glades were transacted at an average of S$1480psf.
With Sceneca Residence expected to launch at S$1,680psf and above, it will be on par with the current resale price at Grandeur Park Residences. So naturally, with land bid prices going up, the final land parcel opposite Sceneca Residence will not be sold at a low price.
Whether the future resale price of Sceneca Residence will see a sharp rise will likely depend on future public infrastructure and improvement around the area. Sceneca Residence, being the only mix-development in the area, may attract more eyeballs just for the development’s convenience.
Sceneca Residence Development Plan
Sceneca Residence will have 2 Blocks of 14 & 15-storey apartments. There will be 268 residential units, making Sceneca Residence the smallest development in the vicinity. Will this matter? Due to the lower quantum, a project with a higher number of 1 & 2 Bedrooms will likely attract investors. Unlike homeowners, investors generally do not hold on to the unit for an extended period. Therefore, if there are more transactions in the project, it will help with the resale price.
There will be 2,000 m² of commercial space on the ground floor, of which, 1,000 m² reserved for a supermarket. There will be separate vehicular ingress and egress for residents and commercial users from Tanah Merah Kechil Link. This is undoubtedly a plus point, unlike other similar development that utilises the same entranceway.
There will be a sheltered linkway from Sceneca Residence that connects to Tanah Merah MRT Station entrance and a future bus stop at New Upper Changi Road.
Amenities Around Sceneca Residence
There are numerous schools and tertiary institutions within proximity to Sceneca Residence. According to OneMap, Bedok Green Primary, Temasek Primary, Anglican High School, Bedok View Secondary, Bedok South Secondary, and Saint Anthony’s Canossian Primary & Secondary are all within a 1km radius.
Fitness facilities such as Bedok Sports & Fitness Centre (600m) & Bedok Park Connector (660m) provide direct connectivity to East Coast Park & Bedok Reservoir Park.
Apart from the 2,000 m² of commercial space known as Sceneca Square, shopping malls such as East Point Mall, Bedok Mall, Changi City Point, Tampines Mall & Jewel @ Changi Airport are all within 1 to 2 MRT stops away.
Although Sceneca Residence has excellent connectivity via public transportation nodes, drivers may find the connectivity to major arterial expressways disappointing. On top of connectivity issues, roads leading to Sceneca Residence can be congested during peak hours.
Upcoming Infrastructure That May Benefit Tanah Merah
Changi Business Park is poised to expand into a vast 71-hectare area with URA’s ambitious goal of positioning it as the perfect business gateway for global travellers. With quick access to one of the world’s most renowned airports, Changi Business Park offers an ideal location for companies looking to take advantage of Singapore’s rapidly expanding aviation market.
Expanding businesses in the area will result in a substantial increase in employment, leading to increased rental demand. This trend will continue as more land is put to use, resulting in an influx of jobs and people into the area.
With the construction of Changi Airport Terminal 5 and future connectivity to an MRT station, Tanah Merah may likely be within 4-6 MRT stops away.
Which Facing Will Be The Best?
Based on the assumption, the two blocks will likely be pushed towards Tanah Merah Kechil Link to minimise noise generated from Upper Changi Road and Tanah Merah MRT Station. Shared facilities will be located nearer to Upper Changi Road. The site layout will probably be the same as Tre Residences in the Aljunied area.
Units facing the North will enjoy the quiet ambience while overlooking the common facilities of East Meadows & Casa Merah. The problem is the setback from Sceneca Residence to the other two projects is likely less than 20m. Those who value privacy may find this an issue.
Although units facing the South will be affected by noise generated from the road and trains arriving and leaving Tanah Merah MRT station, those units will enjoy the privacy it offers as the future project is at least 100m away. In addition, the future land parcel has a maximum plot ratio of 1.6, whereas Sceneca Residence is 2.8. The difference in plot ratio means that units located on the higher floors may enjoy better views.