An executive maisonette in Potong Pasir was sold in August 2024 for a record S$1.24 million. Located at Block 133 Potong Pasir Avenue 1, the low-floor unit was built in 1984, leaving it with a lease period of 58 years and seven months. This sale marks a slight increase from a similar unit sold in February 2024 for S$1.16 million, according to the Housing and Development Board (HDB) transaction history on 99.co.
Background
The unit spans 1,733 square feet, approximately twice the size of a regular three-room flat, and was sold at S$715.52 per square foot. Interestingly, it is not the most expensive flat sold in the estate, but it is the most expensive executive flat. In the same month, a five-room Model A maisonette in a neighbouring block but on a higher floor sold for S$1.25 million, or S$730.57 per square foot. According to EdgeProp, executive maisonettes are considered the “more premium version” of Model A maisonettes. These types of flats are no longer built and have been replaced by executive condominiums.
Central location
Block 133 Potong Pasir is a rare sight in modern Singapore: a four-storey HDB building on prime real estate. The centralised location makes properties in the area highly coveted. Two MRT stations, Woodleigh and Potong Pasir, are within walking distance. Woodleigh Mall is nearby, and the Kallang River is on the other side. The newly opened Bidadari Park is also in close proximity. The recently sold unit is located within 1km of St. Andrew’s Junior School and Cedar Primary School. Other educational institutions like Cedar Girls’ Secondary School, St. Andrew’s Junior College, and Maris Stella High School are also nearby.
HDB flats with very high resale prices ‘a minority’
While record HDB resale prices frequently make headlines, units with very high resale prices constitute “a very small proportion of all transactions,” said Minister for National Development Desmond Lee on Aug. 20. Such transactions make up only 0.5 per cent of all four-room or smaller flats transacted in the last two years. These units are very central and well-served by transport connectivity and comprehensive amenities. Lee noted that more than half are also located on very high floors, above 30 storeys, and have good views. However, they have caused Singaporeans to be concerned about “the affordability of resale flats as a whole.”
“Flat sellers who are reading such news raise their expectations about how much the flat could bring, while flat buyers become anxious to secure flats before prices get higher. If we are not careful, such market dynamics can cause the resale market to run out of line with economic fundamentals and cause a bubble,” Lee added.
Flats that cross the million-dollar mark make up about 2 per cent of all resale transactions over the last 1.5 years.
Future implications
The sale of this executive maisonette at a record price highlights the ongoing demand for prime real estate in central locations. As more high-value transactions occur, there is a growing concern about the overall affordability of HDB flats. The government may need to consider additional cooling measures to prevent the market from overheating and ensure that housing remains accessible to the broader population. Future developments in the area, such as new amenities or transport links, could further influence property values and market dynamics.
