At the junction of Balmoral Road and Stevens Road is Hong Leong Holdings’ One Balmoral in prime District 10. On May 16, a 2,228 sq ft, three-bedroom penthouse changed hands for $4.48 million ($2,012 psf), the largest transaction in the development so far in terms of absolute price. The sale was brokered by Aaron Wan, associate division director of ERA Realty Network, who has been marketing units at One Balmoral since 2014.
The buyer of the penthouse is believed to be a Singaporean investor, who opted for the deferred payment scheme. Hong Leong Holdings has offered buyers the option of a DPS since last November. Those who opt for it will enjoy an 11% discount instead of the 13% offered to those who take up the normal payment scheme. Under DPS, the buyer only needs to pay a 20% down payment, with the remaining 80% payable 24 months later. ERA’s Wan reckons the penthouse can fetch a monthly rent of $10,000, which translates into a gross rental yield of 2.7% for the buyer.
Since launching the DPS at One Balmoral, the developer has sold 33 units, excluding a resale unit. Prices ranged from $1.34 million ($2,258 psf) for a 592 sq ft, one-bedroom unit to $4.48 million ($2,012 psf) for the penthouse sold on May 16. So far, the developer has sold over 70% of the units at the freehold, 91-unit project which previewed in July 2013 and was completed in September 2016.
A 270-degree view from a bedroom at the penthouse at One Balmoral
The resale transaction at One Balmoral was for a 969 sq ft, two-bedroom unit that fetched $2.06 million ($2,124 psf) in April. The unit was purchased from the developer for $2.11 million ($2,175 psf) last November.
Also in prime District 10 is Cluny Park Residence, located across the road from the Singapore Botanic Gardens and the Botanic Gardens MRT station on the Circle Line. A 1,507 sq ft, three-bedroom unit at the project was sold for $3.45 million ($2,289 psf), according to a caveat lodged on May 11. Two other units have been sold this year: Another 1,507 sq ft, three-bedroom unit also fetched $3.45 million in February, while an 840 sq ft, two-bedder was sold for $2.1 million ($2,501 psf) in March.
Based on caveats lodged, about half of the 52 units in Cluny Park Residence have been sold to date. The freehold, boutique luxury condominium was designed by Chan Soo Khian of SCDA Architects, who is also responsible for The Marq on Paterson Hill, Leedon Residence and TwentyOne Angullia Park. Developed by listed developer Tuan Sing Holdings, Cluny Park Residence was completed in July last year.
Transactions in high-end condos have picked up as both Singaporeans and foreign investors are lured by developers’ discounts and DPS. “These have helped drive sales,” says ERA’s Wan.
Buyers are also seeing opportunities in the resale market. A 2,713 sq ft, four-bedroom unit at Sky@Eleven in prime District 11 was sold for $3.85 million ($1,419 psf), according to a caveat lodged on May 15. The unit was purchased a decade ago for $3.74 million ($1,380 psf), according to a caveat lodged with URA Realis in August 2007. The 273-unit Sky@ Eleven was completed in 2010, and has four interlinked towers of 43 storeys each.
In the city-fringe location of Alexandra, a 3,089 sq ft, five-bedroom duplex at Ascentia Sky fetched $4.2 million ($1,360 psf), according to a caveat lodged with URA Realis on May 15. The unit was purchased for $4.3 million ($1,400 psf) in October 2012. The 373-unit, 99-year leasehold condo was developed by Wing Tai Holdings and completed in 2013.
This article appeared in The Edge Property Pullout, Issue 780 (May 20, 2017) of The Edge Singapore.