THEMES OF NON-LANDED PRIVATE RESIDENTIAL PROPERTIES AND THEIR IMPACTS ON PRICE

Abstract

People are now placing more emphasis on the lifestyle aspect when deciding on the choice of accommodation. Consumers today are more value conscious. It is inadequate for a residential property to only fulfill the basic function of providing shelter; consumers nowadays demand value, lifestyle and specific features in their search for a dream home. With intensive competition in the private residential market, developers try to come up with innovative lifestyle features in order to cater to their consumers' preferences. In particular, more developers are emphasizing on the themes or lifestyle concepts of their developments to appeal to buyers. Although there is no proof that a themed condominium sells better, these projects are likely to attract more attention. The resale value might also be higher by 10 to 15 per cent depending on market conditions, as cited by Mr Donald Han, managing director of property consultancy Cushman & Wakefield. This dissertation seeks to find out whether such themes have an impact on the property price, and if they do, what the scale of this impact is. The results of this study indicate that adding a theme to a residential development does have a positive effect on the sale price, though other factors are also important in determining the price.