This New EC Will Have 3-Bedders Priced From $1.29m: What You Need To Know About Novo Place

Tengah is a new town, so there will be a lot of “firsts” over the coming years. At the helm is a new Executive Condominium (EC), which will be in the Plantation Way area of Tengah. Built to blend into the town’s wider concept, Novo Place will be closely watched as despite the rising prices, an EC still represents the cheapest entry into the condo market. Here’s what you need to know about this upcoming EC:

Overview of Novo Place

Novo Place will be a 504-unit EC, on a land area of about 176,971 sq. ft. and a GPR of 2.8. It will consist of seven blocks of 18-storey flats. 

This is a project by Sunway/Hoi Hup; two names that we’re used to seeing appear together by now. Recently the same duo developed The Continuum as well as Terra Hill, so they should be quite fresh in the market’s memory. In the past, Sunway’s notable EC projects include Parc Canberra and Northwave. The two are also behind Parc Central Residences, another EC in Tampines, which launched quite recently in 2021.

Facilities will include four pools, two function rooms, a gourmet dining room, and a gym, among others. There is only one multi-purpose court (we can count that as the tennis court), but that should be okay for a 504-unit project. The layout of this condo’s clubhouse is quite unique: it’s an almost corridor-like 80-metre stretch, to take advantage of the greenery views of the upcoming forest fringe linear park. The view could be quite impressive in the near future. 

The developer has said that every unit will have a North-South orientation and that no unit will face the road at the Plantation Close area. Note that there are also only four units per floor.

Unit mix

Starting Prices

Novo Place is clearly intended as a family condo, as the units are purely three and four-bedders. That said, the sizes may appear on the small side, compared to older resale condos or launches from years ago – but this is partly attributable to the changes from GFA harmonisation (see below). 

The three-bedders start from 872 sq. ft., with the largest reaching 947 sq. ft. These constitute the majority of the units at Novo Place. Four-bedders are only a small percentage of the overall count though (28 per cent); but given the lower price point of an EC, the larger four-bedders may still be affordable regardless. So even though larger units should be harder to move, we won’t be surprised if the handful of four-bedders sell out faster than expected.

Note that there are 249 car park lots with three EV lots and three handicap lots. Fewer than one lot per unit, but this matters less than in many other condos, as Tengah is intended to be a car-lite town anyway; and the upcoming train station is very nearby (as good as it gets for an EC). 

Novo Place’s units are not PPVC, which makes the interior more flexible. Walls between the bedrooms and living rooms are removable, so smaller families can easily merge spaces. For the units that have the “+ study” option, the added study space can be used to extend the living or master bedrooms instead.

Balconies are always contentious because some love them and some hate them, but these units have balconies that spill out from the living and dining rooms. The balconies are squarish (as are the rooms) for practicality, so interior design should be easy with most of these layouts. 

For those curious about where Novo Place stands, here’s a look at its starting price compared to other known prices in the new launch market.

3 Bedroom New Launch Alternatives

4 Bedroom New Launch Alternatives

One important factor to consider: this is a post-harmonisation project

Novo Place is coming after the GFA harmonisation rules, first set out in 2022. This means the developer can’t include certain unusable spaces, like air-con ledges, in the overall square footage. 

This has the effect of making the units appear smaller on paper, as older condos included air-con ledges, strata void spaces, etc. to add a hundred square feet or more. But these spaces were illusory and unusable anyway; so keep this in mind when making comparisons.

This more honest approach also creates a misleading impression that post-harmonisation condos, like Novo Place, are more expensive. For example:

Consider the three-bedder + study unit, with an assumed sale price of $1.6 million. 

If the developer used pre-harmonisation measurements, the size of this unit would be 1,001 sq. ft., and not 947 sq. ft. This would translate to a price of $1,598 psf, which seems typical for a new launch EC in 2024.

With post-harmonisation measurements (947 sq.ft.), we would end up with a price of $1,690 psf instead. It looks more expensive, but bear in mind the total price ($1.6 million) is still the same. Also, the actual living space is unchanged, as the new measurements leave out unusable areas. 

Overview of the site 

The site, located in Plantation Close, was bought at $348.5 million (about $703 psf) in September last year.

For comparison, the land plot for Aurelle at Tampines, which closed in the same month, saw a tender price of $721 psf, whilst a more recent site in August this year, at Jalan Loyang Besar, closed at $729 psf. The highest so far has been $768 psf, which is the new record EC price in Tampines.

As such, the price was on the low end, reflecting Tengah’s still developing status. While we don’t have exact prices for Novo Place yet, we would expect it to be among the most affordable launches to date – even among ECs. The nearest EC competition would be Altura and Lumina Grand, but Lumina Grand is already 83.4 per cent, and Altura has just 15 units left of its 4 and 5-bedders.

Marketing materials have highlighted the proximity to the Jurong Lake District, and Jurong East. This is a natural pick as Jurong already has a strong retail hub around Jurong East with IMM, JEM, and so forth. We notice Choa Chu Kang is not highlighted as a neighbour though; probably because it’s a lot less ritzy than its Jurong counterpart.

But let’s see past this: 

Tenagah is a very new area with few amenities at the moment. You will have to travel out to neighbouring towns for most of your retail and entertainment; and this may be the case for many years to come. There’s a first-mover advantage – but first-mover advantage means having to put up with these initial inconveniences. This doesn’t mean Novo Place is bad by the way, simply that it’s a project for those who are willing to settle in for the long haul.

For those expecting to flip this EC at the five-year mark, it may not be a long enough time for the area to be built up. There’s no telling how quickly Tengah will develop as a desirable town. You’ll mostly be looking at HDB upgraders in surrounding areas: Tengah is expected to have some 30,000 potential upgraders by that time, while Choa Chu Kang could see 48,900 potential upgraders. Bukit Panjang could see 35,325 potential upgraders, whilst BukIT Batok could see 40,612 potential upgraders.

The key word to these 155,000 upgraders though, is potential, so the demand is more than a little speculative. So whether you’re buying for own-stay use or investment, we’d suggest you buy with a longer-term view than the usual five-year stint. Tengah is just too new for accurate predictions. 

That said, it helps that the nearest MRT station – Tengah Park on the JEL – is a very short walk away. It’s up only in 2028, but that’s not an issue as it’s near the point of Novo Place’s completion anyway. If it’s not there by the time you move in, it will be soon.

As an aside, it helps to understand a bit about Tengah’s town plan as well. Specific to this condo, the Plantation Way area will include a large communal garden, and this is where the neighbourhood centre will be located (see here for details on what new generation neighbourhood centres do). 

So while Tengah is not yet developed, in future this area will be something of a hub, with the MRT station and numerous heartland amenities being nearby. It’s just that in the meantime until it all comes around, you may need to entertain yourself in surrounding towns. 

One issue to know about: the neighbouring plots

On one side of the plot, there are plans for a future Chinese temple. We know some of you don’t mind, but just as many may be worried about noise. On the other adjoining land parcel, there’s space given over for a future high-rise. Tengah is surrounded by greenery so we don’t think it’s going to impact your view, but just be aware Novo Place won’t be the lone set of towers for too long.

Right now these are just empty land parcels though, so their impact is speculative.

Is it worth looking at? 

Tengah is shaping up to be a nature lover’s dream, perhaps on par with what Bukit Timah has to offer in future. And if the plans on paper come through, it could be a fantastic family town, given its car-lite angle and huge park spaces. Given how quickly the government transformed neighbouring Jurong, we’ve seen that the pace of development has picked up over the years. 

Also, changes in some neighbouring areas – like the Jurong Innovation District – will be completed in around 2027, close to when Novo Place will be ready. It’s also around this time that the JEL line will be near the completion of its second phase; and the line will likely be complete in 2030, before Novo Place’s Minimum Occupancy Period (MOP). Again though, we think this is really for people who are looking beyond a short five years.

Given that Novo Place is in the hub of its specific neighbourhood, this also means the potential for long-term appreciation. 

If you like greenery, you like the west side, and you’re patient, this could be still a reasonable entry point into the condo market when it launches (we’ll need to see the prices then). But at night, if the sound of crickets instead of a passing train/nearby mall would make you feel glum, you may want to look somewhere else.