SINGAPORE (EDGEPROP) - Singapore-listed property investment and development group, Ho Bee Land, has released its 16 remaining units for sale at the six-storey, high-end condo, Turquoise in Sentosa Cove. After a promotional discount ranging from $500,000 to $750,000 per unit, prices are said to be in the range of $1,290 psf to $1,536 psf, which is equivalent to prices of suburban, 99-year leasehold condominiums today. Sentosa Cove, however, is Singapore’s premier waterfront residential enclave, and part of the Core Central Region (CCR).
Entrance to the 91-unit Turquoise at Sentosa Cove (Photo: Samuel Isaac Chua/EdgeProp Singapore)
On top of that, the developer is extending a guaranteed 3% gross rental yield for two years for these 16 units, which have been fully leased. The special promotion period is from March 27 to May 26.
Under the promotion, a 2,088 sq ft apartment on the second level, originally priced at $3.68 million ($1,762 psf) is now on offer at $3.18 million ($1,522 psf) after a $500,000 price cut. Another second-floor unit, originally priced at $3.39 million ($1,624 psf), is now available for $2.74 million ($1,313 psf) after a $650,000 deduction.
Meanwhile, a 2,411 sq ft, four-bedroom unit on the fifth floor, originally going for $4.1 million ($1,701 psf), has just been sold for $3.35 million ($1,390 psf), after a $750,000 markdown.
Upon the release of these 16 units, a 2,088 sq ft three-bedroom, fourth-floor unit was snapped up over the weekend of March 27–28. Originally priced at $3.71 million ($1,7786psf), the unit was scooped up for $3.2 million ($1,536 psf) after a $500,000 discount.
“We are always monitoring the market and when we think there’s an opportunity to sell, we will do so,” says Chong Hock Chang, Ho Bee group director of projects and marketing.
Located at Cove Drive, the 91-unit Turquoise was completed in 2010. Typical units are three- and four-bedroom apartments. Sizes of three-bedroom apartments range from 2,088 sq ft to 2,573 sq ft; while four-bedroom apartments are from 2,400 sq ft to 3,053 sq ft. Penthouses start from 3,111 sq ft to 3,746 sq ft, and sky villas are from 6,900 sq ft to 7,987 sq ft.
The apartments at Turquoise are served by private lift, and have kitchens fitted with Miele appliances, designer sanitaryware such as Laufen Alessi Collection by Stefano Giovannoni and AxorStarck bathroom fittings by Philippe Starck. Along with full condominium facilities, the condo which fronts the waterway, comes with 21 private berths.
Ho Bee was a first-mover in Sentosa Cove, developing five of the 10 luxury condos in the waterfront enclave including the 302-unit Cape Royale (left) and Turquoise (Photo: Samuel Isaac Chua/EdgeProp Singapore)
A first-mover in Sentosa Cove, Ho Bee developed five out of the 10 high-end, 99-year leasehold condos at the 117ha stretch of reclaimed land on Sentosa Island. Besides Turquoise, the other four condos developed by Ho Bee are the 200-unit The Berth by the Cove, the 249-unit The Coast, the 151-unit Seascape and the 302-unit Cape Royale, with the latter two developed in collaboration with Malaysian group, IOI Properties.
Foreign demand at Sentosa Cove may have been dampened by the global financial crisis in 2008–2009. This was followed by nine successive rounds of property cooling measures, from September 2009 to July 2018, which included hikes in additional buyer’s stamp duty (ABSD) for foreigners which increased from 10% in 2011 to 15% in 2013 and 20% in the latest round.
“We have always been, and continue to be, confident of the Sentosa Cove market because of the scarcity value and its unique offerings as a residential enclave,” says Ho Bee’s Chong. “There are many examples overseas of such seaside residences commanding a premium. Foreigners love the lifestyle but unfortunately, due to the high ABSD imposed on foreigners, demand from this segment has dried up over the last few years.”
However, interest in bungalows and condominiums in Sentosa Cove started to pick up last year. During the 2½-month Covid-19 “circuit breaker”, people began to appreciate space, proximity to nature, and being outdoors. Sentosa Cove presented the ideal resort lifestyle: with greenery, waterfront and seafront living, golf courses as well as dining options and a gourmet grocer at Quayside Isle. “With the pandemic, Sentosa Cove provides an ideal location if you need to work from home,” says Ho Bee’s Chong.
Even the rental market at Sentosa Cove has become more active since last year.
Over 90% of the units at Cape Royale are leased. “With flexible work arrangements part of the new normal, many find working from a sea-facing and resort-like apartment in Sentosa Cove a very much welcomed option,” says Chong.
The apartments at Cape Royale are large too, he points out. For instance, three-bedroom-plus-study units range from 1,680 to 1,905 sq ft; and four-bedroom-plus-study units are from 2,508 to 3,111 sq ft. Meanwhile, penthouses have sizes from 4,672 to 8,181 sq ft. “Size is an important consideration for those who want to work from home comfortably and effectively,” adds Chong. Average rent of units at Cape Royale is said to be in the “mid-$4 psf per month”.
The remaining units in Turquoise and Seascape which are still in Ho Bee’s portfolio are also over 90% leased. Average monthly rents are from mid-$3 psf to low-$4 psf, notes Chong.
With the pandemic, more people have come to appreciate what Sentosa Cove has to offer in terms of wellness and well-being, adds Chong. “With our government’s success in tackling the pandemic, there are now more reasons for foreigners to seriously consider raising their family here. Hence, despite the hefty ABSD, analysts have reported that foreign demand for residential units has gone up recently.”
In the resale market, the latest unit to have changed hands at Turquoise was for a 2,400 sq ft, four-bedroom unit on the fifth floor. It was sold for $2.8 million ($1,166 psf) in February, according to a caveat lodged. The unit last traded for $3.58 million ($1,491 psf) in January 2018. Prior to that, it was sold for $5.87 million ($2,446 psf) in October 2012.
At Seascape, units have been sold at prices above $2,000 psf since 2019. For instance, two 3-bedroom units were sold last year: a 2,174 sq ft unit on the fourth floor that was sold for $4.45 million ($2,047 psf) in February 2020, followed by a 2,163 sq ft unit for $4.51 million ($2,085 psf). Two 4-bedroom units of more than 2,852 sq ft at Seascape were sold in January for $6 million ($2,103 psf) each, based on caveats lodged to date.
After being in the doldrums for the past nine years, Sentosa Cove has revived. “We are beginning to see more life at Sentosa Cove,” notes Ho Bee’s Chong. “The Covid-19 pandemic has helped to accentuate the benefits of living close to nature.”
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