Three-bedroom unit at Cavenagh House rakes in $2.27 mil profit

The sale of a three-bedroom unit at Cavenagh House raked in a profit of $2.27 million, and set a record profit in that condo.

SINGAPORE (EDGEPROP) - The sale of a 1,636 sq ft unit at Cavenagh House, a freehold condominium on Clemenceau Avenue North, was the most profitable resale transaction over the period of Jan 3 to 24. The three-bedroom unit on the second floor changed hands for $3.1 million ($1,895 psf) on Jan 17. The unit fetched about $829,500 ($507 psf) when it was purchased in July 1999.

As a result, the seller earned a profit of $2.27 million (273%), which translates to an annualised profit of 5.8% over more than 23 years. Based on URA caveats, this is also the most profitable resale transaction at Cavenagh House to date.

The previous record was for the sale of a 1,701 sq ft unit for $3.25 million ($1,911 psf) on Aug 31 last year. The sale earned that seller a profit of $2.11 million (186%), which is an annualised profit of 4.3% over 25 years.

The profit from the sale of the three-bedder on Jan 17 is a record at Cavenagh House. (Picture: The Edge Singapore)

Cavenagh House is close to Newton Road, Scotts Road and the Orchard Road shopping belt. It is also within prime District 9. Other landmark buildings in the area include Mt Elizabeth Hospital.

Cavenagh House is located beside Anglo-Chinese School (Junior). Other nearby schools include the LaSalle College of the Arts (Winstedt Campus), the Ministry of Education Language Centre (Newton), and the Orchard campus of the Chatsworth International School.

Cavenagh House is more than 50 years old; the condo was completed in 1972. The 80-unit development comprises a spacious mix of three-bedroom apartments that range from 1,636 to 1,701 sq ft.

According to URA caveats, the most expensive resale transaction at the condo occurred last year when a 1,701 sq ft unit on the seventh floor was sold for $3.25 million ($1,911 psf) on Aug 31. The second highest price paid for a resale unit at Cavenagh House was for a 1,636 sq ft unit that fetched $3.21 million ($1,961 psf) on Jan 3, 2022.

Cavenagh House’s favourable location and desirable attributes have resulted in a positive price trend over the last few years, moving from about $1,226 in January 2013 to $1,953 psf in January 2023. However, its average price is lower than that of most of the surrounding freehold properties, for example, Casa Cairnhill ($2,079 psf), Vida ($2,089 psf) and Cairnhill Residences ($2,527 psf).

Meanwhile, the second most profitable resale transaction during the period in review was for a 2,745 sq ft unit at Tomlinson Heights, a freehold condo on Tomlinson Road in prime District 10. This unit was sold for $10.5 million ($3,825 psf) on Jan 5. It fetched $8.4 million ($3,065 psf) back in May 2011. Thus, the seller earned a profit of $2.1 million (25%), which translates to an annualised profit of 2% over nearly 12 years.

However, the most profitable deal at Tomlinson Heights so far is for a 2,745 sq ft unit that changed hands for $10.9 million ($3,971 psf) on Dec 19, 2022. The unit was bought for $7.5 million ($2,732 psf) back in April 2017. As a result, the seller made a profit of $3.4 million (45%), which translates to an annualised profit of 6.8% over five years.

Tomlinson Heights is a luxury 70-unit condo off Orchard Boulevard, comprising a 36-storey tower with a mix of three- and five-bedroom units of 2,551 to 6,738 sq ft.

On the other hand, the most unprofitable transaction from Jan 3 to 24 was for a 2,465 sq ft unit at Reflections at Keppel Bay. The unit was sold for $4.5 million ($1,826 psf) on Jan 9, but it had been bought for $5.5 million ($2,231 psf) in April 2012. Thus, the seller suffered a loss of more than $998,000 (18%), which translates to an annualised loss of 1.9% in more than 10 years.

Reflections at Keppel Bay was designed by renowned American architect Daniel Libeskind. (Picture: Samuel Isaac Chua/The Edge Singapore)

Coincidentally, the second most unprofitable deal also occurred at Reflections at Keppel Bay, and involved a 1,722 sq ft unit that fetched $3.07 million ($1,781 psf) on Jan 17. This unit was previously transacted for $3.98 million ($2,313 psf) in May 2013. This means the seller incurred a loss of about $916,000 (23%), which translates to an annualised loss of 2.7% in nearly 10 years.

Reflections at Keppel Bay is one of a handful of condos that face the Keppel Bay marina in the Harbourfront district.

Developed by Keppel Land, Reflections at Keppel Bay is a 99-year leasehold development designed by renowned American architect Daniel Libeskind. The entire project consists of six towers as well as 11 six- to eight-storey villa apartment blocks.

Based on profit and loss calculations from URA caveats, Reflections at Keppel Bay has seen more unprofitable sales than profitable ones, with about 185 deals resulting in losses and 65 deals turning in profits.

The most unprofitable deal at the development so far is for a 7,050 sq ft unit that fetched $11 million ($1,560 psf) in September 2021. However, the unit was bought for $18 million ($2,550 psf) in May 2007. This resulted in a loss of $6.98 million (39%), which is an annualised loss of 3.3% over 14 years.

Check out the latest listings near Cavenagh House, Tomlinson Heights, Reflections at Keppel Bay, Vida, Cairnhill Residences, Anglo-Chinese School (Junior), LaSalle College of the Arts (Winstedt Campus)