The sale of a three-bedroom unit at Palm Spring was the most profitable resale transaction over the period of Jan 14 to 28.
According to caveats lodged, the 1,884 sq ft unit on the fourth floor fetched $4.4 million ($2,336 psf) when it was sold on Jan 20. The unit had been bought for $1.21 million ($642 psf) back in August 2005. Thus, the seller reaped a profit of $3.19 million (264%) on the sale, which translates to an annualised profit of 6.8% over nearly 20 years.
The sale also makes it the most profitable resale transaction to date at Palm Spring, leaping over the previous record profit of $2.56 million (185%) when a 1,970 sq ft unit on the first floor was sold for $3.94 million ($2,000 psf) in April 2023. That unit had been bought for $1.38 million ($701 psf) in January 2003.
According to a tabulation of resale transactions by EdgeProp Singapore, prices at Palm Spring have consistently increased over the past 20 years. Last month, the average transacted price was about $2,342 psf, after increasing from about $1,439 psf in January 2015. The average price was about $973 psf back in January 2005.
A three-bedder at Palm Spring was sold for $4.4 million ($2,336 psf) on Jan 20. (Picture: Samuel Isaac Chua/The Edge Singapore)
Last year, two units at Palm Spring were sold. A 947 sq ft unit changed hands for $2.19 million ($2,312 psf) in September, which resulted in a profit of $990,000. A 1,496 sq ft unit was also sold for $3.36 million ($2,246 psf) last October, which resulted in a profit of $2.24 million.
Palm Spring is a freehold condominium on Ewe Boon Road in prime District 10. The 167-unit development was completed in 1997 and is 28 years old. The condo is close to Stevens MRT Interchange on the Downtown (DTL) and Thomson-East Coast Lines, as well as Newton MRT Interchange on the North-South Line and DTL.
Meanwhile, the second most profitable resale transaction during this period was the sale of a four-bedroom unit at Orchard Bel Air, which raked in a profit of $3 million (182%) when it was sold on Jan 15.
The 3,229 sq ft unit on the 12th floor changed hands for $4.65 million ($1,440 psf) on Jan 15. The unit had been bought for $1.65 million ($511 psf) back in May 2001. The sale translates to an annualised profit of 4.5% over nearly 24 years.
The sale of a 3,229 unit at Orchard Bel Air raked in a profit of $3 million when it was sold on Jan 15. (Picture: Samuel Isaac Chua/The Edge Singapore)
The transaction which holds the record profit at Orchard Bel Air is the sale of a 6,512 sq ft penthouse unit on the 25th floor that fetched $8.3 million ($1,275 psf) when it was sold in January 2013. This unit had been bought for $3.83 million ($588 psf) back in March 2006.
The only other 99-year leasehold condo in the vicinity is the neighbouring Cuscaden Reserve, a 192-unit luxury condo which was completed in 2023. Transaction data indicates that the average price at Cuscaden Reserve is about $3,043 psf.
Orchard Bel Air is a 99-year leasehold condo on Orchard Boulevard in prime District 10. The condo was completed in 1984 and has about 54 years left on its land tenure. Next to Orchard Bel Air is a government land sale (GLS) site on Orchard Boulevard that was awarded to a UOL-SingLand joint venture last February. The JV’s winning bid was $428.28 million or a land rate of $1,617 psf per plot ratio.
On the other hand, the most unprofitable transaction during the period in review took place at Marina Bay Suites, when the seller of a 1,625 sq ft unit, on the 58th floor, incurred a loss of $1.15 million (27%) when it was sold on Jan 24.
The unit changed hands for $3.1 million ($1,907 psf) when it was recently sold, after fetching $4.25 million ($2,614 psf) back in May 2012. As a result of the sale, the seller incurred an annualised loss of 27% over close to 13 years.
The seller of a 1,625 sq ft unit at Marina Bay Suites incurred a loss of $1.15 mil when it was sold on Jan 24. (Picture: Samuel Isaac Chua/The Edge Singapore)
The most recent transaction is the latest in a streak of unprofitable deals at Marina Bay Suites, which has seen 14 consecutive loss-making deals in the past nine months. Losses during this period range from $40,000 to $2.5 million.
Marina Bay Suites is a 99-year leasehold condo that is part of the six towers that make up Marina Bay Financial Centre mixed-use development located at Central Boulevard and Marina Boulevard. The 221-unit Marina Bay Suites consists of a 66-storey residential tower with a mix of three- and four-bedroom units.
A tabulation of caveats by EdgeProp Singapore also indicates that the average selling price at Marina Bay Suites have fallen from $2,502 psf in January 2015 to $1,921 psf as of January. Other nearby 99-year leasehold condos command higher resale prices, such as The Sail @ Marina Bay ($2,047 psf), Marina Bay Residences ($2,242 psf), Marina One ($2,103 psf) and V on Shenton ($2,027 psf).