With the recent changes to the guidelines by URA on the Maxium Allowable Dwelling Units (DUs) in Non-Landed Residential Developments outside the Central Area.
They increase dividable size by the GFA from 70sqm to 85sqm and 100sqm (9 areas – Marine Parade, Joo Chiat-Mountbatten, Telok Kurau-Jalan Eunos, Balestier, Stevens-Chancery, Pasir Panjang, Kovan-How Sun, Shelford and Loyang).
Formula:


With this new changes, we are expecting a lower number of units per development, which will make developers building more bigger size units to achieve the targeted profit.
Case study:
Land Size: 10,000sqm
Plot Ratio: 1.4
GFA: 14,000
Scenario 1 (Previous guidelines of 70sqm):
Max DUs = 14,000 (GFA) / 70sqm = 200 units
Scenario 2 (New guidelines of 85sqm, not within the 9 areas):
Max DUs = 14,000 (GFA) / 85sqm = 164 units
Scenario 3 (New guidelines of 100sqm, within the 9 areas):
Max DUs = 14,000 (GFA) / 100sqm = 140 units
With the above, the unit sizes generaly increase by 15sqm (161 sqft) which translate to a high purchase price in general.
My personal take, developer may build lesser 1 bedroom unit, build more 2 bedrooms units and increase the sizes of the bigger units. With that, the 1 bedroom and 1+Study units supply will lower significantly in the years to come.