| | | |  | | | Mah Bow Tan | | | | | | | The HDB is offering for sale about 3,000 Build-To-Order (BTO) flats this year and another 3,000 flats next year in the Sengkang and Punggol areas.
This is to build up critical mass quickly for HDB to start developing Punggol Town Centre.
Madam Tan Swee Joo and her family moved into a BTO flat in Rivervale Crescent last year.
She and her family chose the flat over thousands of unsold vacant ones in areas like Jurong and Woodlands because they like its location.
Madam Tan's family is just one of 8,000 households that have bought new homes under the BTO system.
The BTO project was first launched in April 2001 as a result of changing demand patterns for new flats over the years.
And, HDB says that it has managed to balance out the number of unsold flats in the market.
National Development Minister, Mah Bow Tan, said: "The BTO has helped to stabilise the oversupply situation and match new flat supply with new demand. We are concentrating on BTO projects in and around the town centre. As these projects are completed and people start to move in, then we will start to develop the town centre. The faster we can proceed with these BTO projects, the faster we can develop the town centre. But we can only develop as fast as the take-up rate. We cannot over build. If we over build again, then we will end up with the same problem like before."
Under the old Registration for Flat System, flats were built based on the number of people in the queue for flats.
But some potential flat owners changed their minds after the flats were built and left the queue, leaving the flats unsold.
At its peak, there were some 20,000 unsold flats.
There are now about 7,000 such flats available in the market.
Mr Mah added that for the time being, the BTO system of building flats is the way to go.
But it might be reviewed if demand for flats picks up again.
Not all BTO projects launched received a good take-up rate, he said.
Last year, about six BTO projects had to be scrapped because of low demand.
But HDB has successfully launched another 15 BTO sites at various locations in Sengkang, Punggol and the city area.
Under the BTO system, flat buyers need to apply only when HDB launches new flats for sale at their preferred location. - CNA/ir |
