*This article was written on 17 Apr 2023 and does not reflect data and market conditions beyond.
The Florence Residences is a TOP apartment that is the only mega development in the Kovan area of District 19. Found along Hougang Avenue 2, between Kovan and Hougang, this project is located opposite of Hougang Stadium. The Florence Residences is a mega development, with a total of 1,410 units in total, making up approximately a quarter of private non-landed residential supply in the immediate area. With this many residential units entering the area, how will The Florence Residences change the game here in Kovan?
This comprehensive article provides a detailed review of The Florence Residences, a mega project situated in Kovan. It aims to assist potential buyers searching for a resale property in the OCR, covering critical aspects such as the condo’s location, pricing, floor plans, and amenities. In addition, the review delves into the condo’s basic details, site plan, floor plans, price trends, and more. Whether you’re a current resident of Kovan looking to upgrade or exit options, or someone interested in purchasing a property in the area, this article offers insightful information that can aid in your decision-making process. This review is a useful read for you to make an informed decision about purchasing a property in Kovan.
Location Analysis
The Florence Residences is situated about 800 metres from Kovan MRT and Hougang MRT (a 13-minute bus ride and walk), offering convenient accessibility to these stations. Although the condo is not adjacent to the MRT or an integrated development, its mega-project status provides residents and investors with the sought-after larger apartment options. The Florence Residences is ideal for those who prefer the relaxed and welcoming atmosphere of the heartlands, providing a peaceful haven amidst the bustling city life.
The Florence Residences is located near a variety of schools, Holy Innocents’ Primary, Xinmin Secondary and Primary as well as Montfort Secondary, and Junior School are all located within 1km. There are also many other schools in the Hougang and Kovan areas due to its heartland status. The Florence Residences offers 1 to 5 bedrooms unit sizes, with a larger proportion of 1 and 2 bedroom units, which takes up around two thirds of the units offered. However, with the mega development status, it will be bringing a total of 289 units that are sized larger than 1,000 sqft.
The Florence Residences boasts a plethora of amenities that cater to the needs and preferences of its residents. For instance, the development is within a 15-minute walk from the FairPrice supermarket at Hougang Mall, which is conveniently located near Hougang MRT. Additionally, the heartlands are dotted with mom-and-pop stores that offer a diverse range of goods and services. While residents can opt to shop at nearby physical stores, they can also consider utilising online delivery services for their grocery shopping needs, providing a convenient and hassle-free shopping experience.
Site Plan & Unit Distribution
The Florence Residences has 1,410 residential units spread over 9 blocks, each with 18 floors. The units range from one to five bedrooms and are arranged in a classic point block design. Depending on the unit size, the number of stacks in each block varies from 7 to 11. The site plan is aligned north-south, with corner stacks receiving slightly more sunlight in the morning and afternoon.
The Florence Residences places a strong emphasis on 1 and 2 bedroom units, which make up the majority of the development. However, for those seeking larger unit sizes that are typically scarce in the OCR due to the higher quantum, there are several noteworthy options in District 19. The condo comprises 22 stacks of 3 bedroom units (approx. 386 units), 5 stacks of 4 bedroom units (approx. 80 units), and 3 stacks of 5 bedroom units (approx. 48 units). Block 83, 89, and 93 house the 4 bedroom units, while the 5 bedroom units are located in blocks 85, 91, and 97. It is worth noting that the stacks of the larger bedroom sizes are typically pool-facing and positioned at the corner units, providing inward-facing views within the development.
Price Analysis
For the Price Analysis section of this opinion piece, we compare The Florence Residences (in orange) to Kovan Regency (in light blue) and Parc Vera (in dark blue). Kovan Regency (378 unit condo, TOP 2015, 99-year leasehold from 2012) and Parc Vera (452 unit condo, TOP 2014, 99-year leasehold from 2010).
After analysing the performance of The Florence Residences, Kovan Regency, and Parc Vera from 2019 to 2023Q1, we observed that The Florence Residences experienced the highest growth rate of around 20%. However, it is only marginally higher than the other two condos in the comparison group.
In comparison, Kovan Regency and Parc Vera recorded growth rates of approximately 18% and 19%, respectively, during the same period. As of 2023Q1, the average PSF transacted for The Florence Residences is $1,751, Kovan Regency is $1,631, and Parc Vera is $1,205. Do note that future developments and macroeconomic conditions will affect these price trends.
MOAT Analysis
To provide an impartial and well-rounded evaluation of The Florence Residences, we conducted a thorough MOAT Analysis that assesses the property from multiple perspectives. As a resale condominium, we compared The Florence Residences to four other similar properties around the Kovan area. Our MOAT Analysis systematically evaluated The Florence Residences based on ten different dimensions, ensuring a comprehensive and unbiased assessment of the property. You may read our introduction to the MOAT analysis here for further details.
We compare The Florence Residences (1410 unit apartment, TOP 2023, 99-year leasehold from 2018) with Kovan Melody (778 unit condo, TOP 2006, 99-year leasehold from 2004), Kovan Regency (378 unit condo, TOP 2015, 99-year leasehold from 2012), Kovan Residences (521 unit condo, TOP 2011, 99-year leasehold from 2007), and Parc Vera (452 unit condo, TOP 2014, 99-year leasehold from 2010).
These projects have done very well for Bala’s Curve Effect, Quantum Effect and Exit Audience. This signals that the condos in this area are relatively new with a large proportion of units catering to smaller families in the form of 2-bedroom sizes. Thus, the more affordable quantums. The high Exit Audience score also points to the diversity of the residential cluster here in District 19. The quantum effect score may be high because of the larger proportion of 1 to 2 bedroom units. The final MOAT scores are as follows: The Florence Residences (64%), Kovan Melody (60%), Kovan Regency (68%), Kovan Residences (64%), and Parc Vera (64%)
According to the MOAT Analysis, The Florence Residences has the highest scores for Bala’s Curve Effect and Exit Audience. It has decent scores for Parents’ Attraction Effect and Quantum Effect. The Florence Residences will soon obtain its TOP, we expect the overall MOAT score to increase with a higher Rental Demand and Volume Effect score.
We expect the volume of transactions to increase, depending on the market sentiment. Other residents and property owners in District 19 should also watch this TOP project closely. As it accounts for around 25% of residential supply in the immediate area, we could see potential for non-landed private residential inflation if The Florence Residences owners decide to sell upon TOP at favourable prices.
The main appeal of this project is that it is located in District 19 (Hougang) with a large cluster of Exit Audience as a potential future exit plan. The mega development status of The Florence Residences will provide a much larger supply of bigger units for multi-generational families. The large residential cluster also means more schooling options for families with younger children. It is located near Hougang and Kovan MRT and is a reasonably good OCR location.
Floor Plan Analysis
This section aims to provide you with a comprehensive understanding of The Florence Residences various floor plans. Our detailed analysis includes square footage, room dimensions, layout options, and key features of each unit, ensuring that you have a thorough understanding of the available living spaces before making any decisions. The Type 1B2 1-Bedroom layout is a popular choice among 1-bedroom units at The Florence Residences, spanning 484 sqft with a versatile and compact design. Upon entering, you’ll notice the entrance corridor leading to the well-equipped kitchen, followed by the dining space located adjacent to the L-shaped kitchen. The living area has a balcony, giving a good balance of space and lighting. This unit is perfect for those seeking a functional and comfortable living space within a limited footprint.
If you are interested in a slightly larger unit, we also have a current listing that is a 1-bedroom and study layout in the link here. Alternatively, you can view a home tour of a different unit with a similar layout. 
At The Florence Residences, there are multiple 2-bedroom options available, each with unique features and benefits. Among them, the Type 2C3 floor plan is an efficient 2-bedroom layout due to its dumbbell design, offering approximately 635 square feet of living space.
The kitchen and dining area are well partitioned to a corner near the entrance, while the living area serves as the central space that connects the balcony, bedrooms on opposite sides, and the kitchen and entrance towards the back. This highly efficient layout gives a more expansive feel to the home despite being only 635 sqft of space. If you’re looking for a 2-bedroom unit that maximises space and privacy without compromising on functionality and comfort, the Type 2C3 layout at The Florence Residences is an excellent choice.
You can check out our home tour of a 2-bedroom and 2 bathroom alternative in the link here. We also have a second home tour of a different 2-bedroom unit here.
The Type 3C1 3-Bedroom Classic layout at The Florence Residences is an excellent choice for families seeking a spacious 3-bedroom unit. With a total area measuring at 893 sqft, it provides ample room for comfortable living. Compared to the other 3-bedroom options, the layout here is more squarish and has only a small corridor connecting the bedrooms to the living space. The layout is thoughtfully designed, with the living area and bedrooms separated to provide privacy and a sense of space. The unit features a functional kitchen, a dining area that can comfortably fit a six-seater table, and a balcony that extends the living area and floods the space with natural light. The Type 3C1 layout strikes a balance between size and practicality, making it a desirable option for families looking for a comfortable living space.
You can check out the home tour of the successfully sold 3-bedroom unit and 3-bedroom penthouse in the links provided.
The Type 4C3 layout at The Florence Residences is a spacious and functional 4-bedroom option, perfect for larger families or those with live-in helpers. With approximately 1,281 square feet of space, this layout provides an efficient design that maximises the living area. The kitchen in this layout is more extensive than the other unit types, and it includes a washer area, utility space, and washroom located behind it. The living and dining areas are also more spacious and act as the central space connecting the bedrooms on opposite ends, the balcony at the front, and the kitchen at the back. The master bedroom has an en suite bathroom for added privacy and convenience, while bedrooms 2, 3, and 4 share a common bathroom with the common area. Bedroom 3 shares the balcony space, providing a private area to relax and enjoy the peaceful surroundings.
The Type 5B2 layout is the largest option available at The Florence Residences, featuring 5 spacious bedrooms and a total area of 1,679 sqft. Upon entering, the private lift takes you to the private lift lobby space, which is equipped with a restroom for added convenience. The living and dining area is expansive, and the balcony provides plenty of natural light, making it an ideal place to relax and unwind. The island dry kitchen is well-appointed and accompanied by a sizable L-shaped wet kitchen at the back, which also has a washroom and back exit. The master bedroom is generously sized and comes with a private walk-in wardrobe that leads to a luxurious master bathroom with two sinks and a bathtub. Bedrooms 2 and 3 share a common bathroom, while bedrooms 4 and 5 share a bathroom with the living and dining space. Bedroom 3 also shares the balcony space, providing an ideal place to enjoy the outdoors while still having privacy.
The 5-bedroom layout at The Florence Residences exudes a sense of luxury and sophistication, making it an ideal option for families seeking a high-quality living experience. The private lift lobby and expansive balcony add to the exclusivity of the unit, while the island dry kitchen and L-shaped wet kitchen at the back provide ample space for cooking and entertaining guests. The master bedroom, complete with a private walk-in wardrobe and a spacious bathroom featuring two sinks and a bathtub, creates a relaxing and indulgent space to unwind after a long day.
The Florence Residences offers a variety of bedroom layouts ranging from 1-bedroom to 5-bedroom units. The Type 1B2 1-Bedroom layout is a versatile and compact design that spans 484 sqft. The Type 2C3 2-Bedroom layout is an efficient dumbbell design that offers approximately 635 sqft of living space with bedrooms on opposite sides of the living room. The Type 3C1 3-Bedroom Classic layout is a spacious option measuring 893 sqft. The Type 4C3 4-Bedroom layout is ideal for larger or multi-generational families with live-in helpers and measures approximately 1,281 sqft. Finally, the Type 5B2 5-Bedroom layout (1,679 sqft) is the most luxurious option with a private lift lobby, island kitchen, walk-in wardrobes, and spacious master bathroom.
Growth Potential
The URA Master Plan is a useful resource for most market participants to assess the growth potential of a development and have more clarity on future developments in the area. However, it’s important to note that the plan is subject to changes and revisions based on government priorities and unforeseen circumstances.
The Hougang area sports a few relevant upcoming changes that might improve the prospects of The Florence Residences as well as other projects in the same area. The Lorong Halus Industrial Estate will be a new cluster that will bring additional food, work and lifestyle options nearby. This will improve the amenities offered in District 19 and perhaps improve the rental demand. The ABC Waters projects will also improve the green and blue spaces in Hougang for families and recreation options.
Arguably, the most impactful upcoming change would be the Cross Island Line. Hougang MRT will be better connected by 2032 (Phase 1 & 2 Completion). This would give residents of Hougang a better connection to the west of Singapore and the Changi area. Higher accessibility and connectivity as a district may help improve the value of properties which are able to benefit from the fact that Hougang is directly connected to the Cross Island Island and would be a connecting point to the North-East Line for other commuters.
The growth potential of The Florence Residences is largely influenced by amenity and connectivity-related changes in the area. While the development of the Cross Island Line and other amenity and infrastructure related projects will take time to materialise, prospective residents of The Florence Residences need to keep in mind that other properties in the same area that are of closer proximity to the future developments may benefit more.
