SINGAPORE (EDGEPROP) - The sale of a 2,077 sq ft unit at The Oceanfront @ Sentosa Cove was the most unprofitable transaction over the week of July 27 to Aug 3. The four-bedroom was sold for $3.69 million ($1,781 psf) on July 27, but the owner paid $5.29 million ($2,549 psf) for the unit in August 2007. (See also: Buying in Sentosa Cove — at a discount to luxury homes on the mainland)

The transaction resulted in a loss of $1.6 million (30%) for the seller, which translates to an annualised loss of 2.5% over 14 years.

The Oceanfront is a 99-year leasehold condominium project within the exclusive Sentosa Cove residential neighbourhood on Sentosa Island. The development was completed in 2010 and consists of 264 units.

The latest resale transaction at The Oceanfront is the second most unprofitable sale at the development so far this year. The deal that resulted in the top loss is the sale of a 3,025 sq ft unit in April.

The four-bedroom unit changed hands for $6.05 million ($2,000 psf) when it was sold on April 26 this year. But the property had been bought for $8.16 million ($2,700 psf) in July 2007. Thus, the seller made a $2.11 million loss (–25%) on the transaction, which translates to an annualised loss of 2.1% over 13 years.

There have been 11 unprofitable resale transactions at The Oceanfront this year compared to five profitable deals. Losses have ranged from $2.11 million to $50,000, which came from the sale of a 1,711 sq ft unit on June 1 that fetched $2.54 million ($1,490 psf).

---

---

The most profitable deal during the week in review occurred at Ocean Park, a freehold condo on East Coast Road in District 15. A 2,110 sq ft, three-bedroom unit was sold for $3.38 million ($1,602 psf) on July 27. The seller had previously bought the unit for $1.24 million ($589 psf) in May 1999. (See: Discover insightful data of any Singapore condominium with our condo directory)

Thus, the seller made a $2.14 million profit (172%), which translates to an annualised profit of 4.6% over 22 years.

Ocean Park is a 304-unit development that was completed in 1984. It consists of two- to three-bedroom units and penthouses. One of the main attributes of Ocean Park is its proximity to six schools — Ngee Ann Primary School, CHIJ Katong Convent, St Patrick’s School, Victoria Junior College, CHIJ Katong Primary School and Tao Nan School.

The development is also less than 200m to the upcoming Marine Terrace MRT Station on the Thomson-East Coast Line. This station is one stop from Marine Parade Station which is beside Parkway Parade shopping mall.

The most recent resale transaction at Ocean Park is also the second most profitable resale that has been recorded so far. The most profitable deal involved a 3,897 sq ft unit that was sold for $4.3 million ($1,104 psf) in March 2011, after it had been purchased for $1.69 million back in May 2005. Thus, the seller earned a profit of $2.61 million (154%) or an annualised profit of 17% over close to six years.

The week also saw the sale of a 2,325 sq ft unit at Pandan Valley which fetched $3.21 million ($1,384 psf) when it was sold on July 28. The unit had been bought for $1.69 million ($731 psf) in July 2009. Thus, the seller earned a profit of $1.52 million (89%) on the resale, which translates to an annualised profit of 5.4% over 12 years.

Pandan Valley is a freehold condo that was completed in 1978. The 623-unit development consists of two- to five-bedroom units.

There have been 15 resale transactions at Pandan Valley so far this year, and they have all been profitable, according to caveats. The most profitable resale deal at Pandan Valley this year was a 3,272 sq ft unit which fetched $3.8 million ($1,164 psf) when it was sold on May 14. The seller made a profit of $2.31 million (155%), which was an annualised profit of 4.7% over 20 years.

Check out the latest listings near The Oceanfront @ Sentosa Cove, Ocean Park, Pandan Valley, Marine Terrace MRT Station, Ngee Ann Primary School, CHIJ Katong Convent, Victoria Junior College, Tao Nan School

---