EXECUTIVE CONDOMINIUMS : A NEW FORM OF HOUSING IN SINGAPORE

Abstract

The Singapore Government recently introduced a new form of housing, Executive Condominiums, to meet Singaporeans' growing demand for better quality housing. Executive condominium is a quasi-private form of housing that is similar in design and quality to mid-range private condominiums. These units are initially subjected to the same ownership and resale restrictions as other public housing but will be semi-privatized, meaning that units can only be sold to Singapore citizens and permanent residents in 5 years' time, and fully privatized in 10 years' time. After privatization, the executive condominiums will fully assume private condominium status. From the research, it was found that the feedback from potential buyers of the first batch of executive condominiums at both Pasir Ris and Jurong East is generally good. An overwhelming 100% of the respondents interviewed commented that they are willing to purchase at the price range quoted by the developers. In terms of location, majority of the respondents chose the Eastvale development at Pasir Ris, thus showing that Pasir Ris is a preferred location than Jurong East. Most of the respondents (54%) are satisfied with the sizes of the executive condominium units but wish that the sizes could increase in the future. With regard to the design and layout as well as the quality and facilities, there is a general consensus among the respondents that they are of a comparable standard to those of private condominiums. The study also shows that the three major concerns regarding the executive condominiums, as highlighted by the respondents are the affordability levels of' the individual respondents (both first-timers and HDB Upgraders) to the executive condominiums, the limited number of units available to the public in the "open category" and the method of allocation of units to successful applicants. It is also found from the study that the purchase price is the most important factor in the selection of an executive condominium unit, followed by availability of financial packages and design and layout of units. On the whole, executive condominiums are found to be a near substitute to private condominiums in terms of quality and design, but are at much lower prices. However, whether the executive condominiums can help fulfill the growing demand for better quality housing will depend on the extent of how the major concerns mentioned above are resolved.