Unit at The Balmoral reaps $1.77 mil profit

By Charlene Chin / EdgeProp Singapore | February 28, 2020 7:58 AM +08

Tags: The Balmoral Balmoral Park Stevens MRT Gains and Losses The Centrepoint Orchard Road 99 years leasehold Somerset MRT Valley Park River Valley Road 999-year leasehold Great World MRT Jardin Dunearn Road King Albert Park MRT freehold

The seller of a resale unit at The Balmoral made a 60% profit, or an annualised profit of 3% over almost 14 years (Credit: Albert Chua/ The Edge Singapore)

The seller of a resale unit at The Balmoral made a 60% profit, or an annualised profit of 3% over almost 14 years (Credit: Albert Chua/ The Edge Singapore)

SINGAPORE (EDGEPROP) - The seller of a unit at The Balmoral, along Balmoral Park, made the top gain of $1.77 million over the week of Feb 11 to 18. The 3,154 sq ft unit on the first floor was bought for $2.96 million ($938 psf) in May 2006 and sold for $4.73 million ($1,500 psf) on Feb 17. The seller therefore made a 60% profit, or an annualised profit of 3% over almost 14 years.

Located in District 10, The Balmoral was completed in 1986 and comprises 81 freehold units. It is a 14-minute walk to the Stevens MRT Station on the Downtown Line.

The second top gain made over the week – a 103% profit of $1.55 million – was at The Centrepoint along Orchard Road. The 1,173 sq ft unit on the fourth floor was purchased for $1.5 million ($1,278 psf) in July 2007 and sold for $3.05 million ($2,600 psf) on Feb 14. This means that the seller made an annualised profit of 6% over almost 13 years.

The Centrepoint, in District 9, comprises 66 units on a 99-year leasehold. It was completed in 1983 and is a four-minute walk to Somerset MRT Station on the North-South Line.

A unit sold at Valley Park, along River Valley Road in District 10, made the third largest gain over the week, netting a 133% profit of $1.33 million for the seller. The 1,356 sq ft unit on the sixth floor was bought in March 2004 for $1 million ($737 psf), and sold for $2.33 million ($1,718 psf) on Feb 17. The seller therefore made an annualised profit of 5% over 16 years.

Valley Park, completed in 1997, comprises 728 units on a 999-year leasehold. It is a 13-minute walk to the upcoming Great World MRT Station on the Thomson-East Coast Line, slated for completion in 2021.

The greatest loss incurred over the week was from the resale of a 1,884 sq ft unit at Jardin in District 21 (Credit: The Edge Singapore)

The greatest loss incurred over the week was from the resale of a 1,884 sq ft unit at Jardin in District 21 (Credit: The Edge Singapore)

On the other hand, the greatest loss incurred over the week was from the resale of a 1,884 sq ft unit at Jardin in District 21. Having sold the property for $2.87 million ($1,524 psf) on Feb 12, the seller suffered an 18% loss of $639,300. The unit was purchased in December 2007 for $3.51 million ($1,863 psf). Over a holding period of 12 years, this translates into an annualised loss of 2%.

Jardin, along Dunearn Road, comprises 140 freehold units. Completed in 2012, it is six minutes by foot to King Albert Park MRT Station on the Downtown Line.

Check out the latest listings near The Balmoral, The Centrepoint, Valley Park, Jardin, MRT Stations and Schools

For price trends, recent transactions, other project info, check out these projects' research page: The Balmoral, The Centrepoint, Valley Park, Jardin

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This resale property sold for the highest profit in 2017 – here’s why

By Fiona Ho / EdgeProp | November 21, 2017 7:00 AM +08

Tags: Singapore properties resale highest profit 2017 The Balmoral Buying & Selling

On April 21, a 7,653 sq ft unit at The Balmoral in prime District 10 was sold at a $5.4 million profit, the highest recorded in the year 2017 so far.

The seller, said to be an Indonesian who is based in Singapore, had bought the first-floor unit for $5.2 million ($679 psf) in August 1997 and sold it at $10.6 million ($1,385 psf). The profit works out to 104%, or 4% a year over 20 years.

In this article, we examine the factors that potentially contributed to the exponential sale profit.

1) Timing

The seller had purchased the unit in August 1997, amid the Asian financial crisis that gripped much of East Asia from the second quarter of the same year. During this period, the property price index (PPI) of non-landed residential properties fell 11.8% in 2H1997 from 2H1996.

In tandem with the crisis, the median $psf price for units transacted at this medium-rise project plummeted to $931.5 psf in 3Q1997 from its peak of $1,186.5 psf in 2Q1996.

Needless to say, the $5.2 million ($679 psf) price tag of the first-floor unit in August 1997 came at a bargain for the discerning buyer.

2) Holding power

The saying that patience is a virtue is especially valid when it comes to property investments.

Due to its highly illiquid nature, property investors have to be doubly sure that they have the holding power to weather any dips in property prices and rental demand before making a purchase.

The seller in question here is said to also own several other high-end properties within the Core Central Region (CCR), including a unit at the exclusive precinct of Sentosa Cove.

Greater holding power allows investors to tide over temporary setbacks in the market or wait for the market forces to turn in their favour. In another demonstration on why holding power is so crucial to property investments, a 7,642 sq ft unit that was bought for $4.7 million ($615 psf) in September 1995 was sold at $12 million ($1,570 psf) in September 2013. This translated to a profit of $7.3 million, the highest to be recorded at The Balmoral. The profit works out to 155%, or 5% a year over 18 years.

3) Uniqueness of the property

According to a source who does not want to be named, the 7,653 sq ft unit at The Balmoral has a “unique” set-up and is something of “a townhouse within a condo development.”

The source added that the buyer, who purchased the unit for his own stay, was a foreigner who was keen on buying landed property, but could not do so within the prime districts of 9, 10 and 11.

The unit also comes with its own parking space, so it is “effectively like owning a landed property without actually buying one,” the source said. Incidentally, based on our research data, close to half of the owners at The Balmoral are non-Singaporeans.

To date, based on the matching of URA caveat data for The Balmoral, there have been 18 profitable transactions, with an average profit of $1.76 million (79%), and seven unprofitable transactions, with an average loss of $536,714 (16%). The 81-unit project is a freehold condominium completed in 1986 and is located within 600m of the Stevens MRT station.

Find similar units within the prime districts here!

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Profit of $5.4 mil at The Balmoral

By Lin Zhiqin / The Edge Property | May 13, 2017 8:30 AM +08

Tags: Gains and Losses The Balmoral Ardmore Park Park Infinia

Seven private non-landed houses were sold for a profit of more than $1 million each in the week of April 18 to 25. On April 21, a 7,653 sq ft unit at The Balmoral in prime District 10 was sold at a $5.4 million profit. The seller had bought the first-floor unit for $5.2 million ($679 psf) in August 1997 and sold it at $10.6 million ($1,385 psf). The profit works out to 104%, or 4% a year over 20 years.

Based on the matching of URA caveat data for The Balmoral, there have been 18 profitable transactions, with an average profit of $1.76 million (79%), and seven unprofitable transactions, with an average loss of $536,714 (16%).

A 7,653 sq ft unit at The Balmoral in prime District 10 was sold at a $5.4 million profit on April 21

A 7,642 sq ft unit that was bought for $4.7 million ($615 psf) in September 1995 and sold at $12 million ($1,570 psf) in September 2013 earned a profit of $7.3 million, the highest at The Balmoral. The profit works out to 155%, or 5% a year over 18 years. The 81-unit The Balmoral is a freehold condominium completed in 1986 and is located within 600m of the Stevens MRT station.

A 2,885 sq ft unit at Ardmore Park in prime District 10 fetched the second-biggest profit of $2.45 million for the week of April 18 to 25. The unit was bought for $7.25 million ($2,513 psf) in June 2009 and sold at $9.7 million ($3,363 psf) on April 18. The profit works out to 34%, or 4% a year over eight years. Based on the matching of URA caveat data, the unit has changed hands thrice. The first seller had bought it from the developer for $5.76 million ($1,991 psf) in 1996 and sold it at $5 million ($1,733 psf) in 2003, a 13% loss, or 2% a year. In 2009, the next seller made a profit of $2.25 million when he sold the unit at $7.25 million. The profit works out to 45%, or 7% a year over 5½ years.

There have been four profitable and one unprofitable transaction at Ardmore Park so far this year. Find the most affordable listing in the project here

Based on the matching of URA caveat data, there have been four profitable transactions and one unprofitable transaction at Ardmore Park so far this year. The profits range from $2.45 million (34%) to $4.6 million (94%). The unit that was sold at a $70,000 (1%) loss was bought for $8.25 million ($2,860 psf) in June 2011 and sold at $8.18 million ($2,836 psf) on April 5. The freehold Ardmore Park was completed in 2001 and has 330 units.

Two sellers suffered losses of more than $1 million each in the week of April 18 to 25. On April 21, a 2,756 sq ft unit at Duchess Residences in prime District 10 was sold at the biggest loss of $1.41 million for the week. The seller had bought it for $5.01 million ($1,826 psf) from the developer in June 2007 and sold it at $3.6 million ($1,306 psf). The loss works out to 28%, or 3% a year over 10 years.

The 120-unit Duchess Residences is a 999-year leasehold condo completed in 2011. Find the most affordable listing in the project here

There were six rental contracts for units ranging from 2,700 to 2,800 sq ft at Duchess Residences in 2H2016, with the monthly rent averaging $8,350. This implies a 3% gross rental yield for the recently transacted unit. The 120-unit Duchess Residences is a 999-leasehold condo completed in 2011 and adjacent to Hwa Chong Institution.

A 1,249 sq ft unit at Scotts Square in prime District 9 was sold at the second-biggest loss of $1.23 million for the week. The seller had bought it for $5.03 million ($4,026 psf) from the developer in October 2007 and sold it at $3.8 million ($3,043 psf) on April 24. The loss works out to 24%, or 3% a year over 9½ years.

There were seven rental contracts for Scotts Square units ranging from 1,200 to 1,300 sq ft in 1Q2017, with the monthly rent averaging $7,271. This implies a 2% gross rental yield for the recently transacted unit. The freehold Scotts Square is a mixed-use development located on Scotts Road, within walking distance of the Orchard MRT station. It was completed in 2011 and has 338 units.

Separately, a 6,232 sq ft unit at The Marq on Paterson Hill in prime District 9 was sold at a $4.64 million loss on April 12. The seller had bought it for $26.44 million ($4,294 psf) from the developer in July 2007 and sold it at $21.8 million ($3,498 psf). The loss works out to 18%, or 2% a year over 10 years. The 66- unit The Marq on Paterson Hill is a freehold condo completed in 2011.

From April 25 to May 2

Three private non-landed houses were sold for a profit of more than $1 million each in the week of April 25 to May 2; there were only seven unprofitable transactions.

On April 25, a 2,336 sq ft unit at Sun Rosier in District 19 fetched the week’s biggest profit of $1.27 million. The seller had bought it for $655,000 ($491 psf) in June 2003 and sold it at $1.93 million ($824 psf). The profit works out to 194%, or 8% a year over 14 years. The 78-unit Sun Rosier is a freehold condo completed in 1985. It is located within walking distance of the Bartley MRT station.

A 1,464 sq ft unit at Park Infinia at Wee Nam in prime District 11 fetched the week’s second-biggest profit of $1.26 million. The seller had bought it for $1.27 million ($865 psf) from the developer in September 2005 and sold it at $2.53 million ($1,728 psf) on April 28. The profit works out to 100%, or 6% a year over 11.6 years. This transaction also marks the most profitable deal at Park Infinia so far this year.

So far this year, all eight transactions at Park Infinia at Wee Nam have been profitable. Find the most affordable listing in the project here

Based on the matching of URA caveat data, all eight transactions at Park Infinia so far this year have resulted in profits for the sellers. The average profit is $774,677, or 62%. The freehold, 486-unit Park Infinia at Wee Nam was completed in 2008 and is located about 600m from the Newton MRT station.

A 2,648 sq ft unit at Gallop Gables in prime District 10 fetched the week’s third-biggest profit of $1.1 million. The seller had bought it for $3.12 million ($1,178 psf) in April 2009 and sold it at $4.22 million ($1,594 psf) on April 25. The profit works out to 35%, or 4% a year over eight years.

Based on the matching of URA caveat data, there have been 45 profitable transactions and one unprofitable transaction at Gallop Gables. The profits average $876,488, or 50%. In November 2016, a 2,852 sq ft unit was sold at a $348,760 loss. The seller had bought it for $4.65 million ($1,630 psf) in April 2010 and sold it at $4.3 million ($1,507 psf). The previous seller of this unit bought it for $3.33 million ($1,169 psf) in April 2009 and made a $1.32 million (39%) profit when he sold it a year later. The freehold, 140-unit Gallop Gables was completed in 1997 and is located near the Farrer Road MRT station.

This article appeared in The Edge Property Pullout, Issue 779 (May 15, 2017) of The Edge Singapore.

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Discount at One Balmoral spurs interest in older condos in the vicinity

By Tan Chee Yuen / The Edge Property | December 10, 2016 8:00 AM +08

Tags: Done Deals One Balmoral Pinewood Gardens The Balmoral Three Three Robin

In just a fortnight since developer Hong Leong Holdings offered a 13% discount for units at One Balmoral from Nov 12, nine have been sold. The number of units sold in the two-week period is equivalent to when the project was launched off-plan in 2013. This brings the total sales tally to 18 so far, according to caveats lodged with URA Realis.

Recent sale of units at One Balmoral ranged from $1.49 million ($2,522 psf) for a 592 sq ft, one-bedroom unit on the 12th floor to $3.19 million ($2,261 psf) for a 1,410 sq ft, three-bedroom unit. The most popular units were the two-bedders of 969 sq ft that were sold at $2.03 million ($2,094 psf) to $2.11 million ($2,175 psf).

One Balmoral is a freehold condominium with a total of 91 units, and is a redevelopment of a condo bearing the same name. Hong Leong had paid $125 million for the 43-unit apartment block in March 2007, which translated to a record price of $1,188 psf per plot ratio for the Balmoral area.

One Balmoral is a freehold condominium with a total of 91 units

The recent strong sales at One Balmoral have stirred interest in older condos in the Balmoral Park neighbourhood, according to property agents. For instance, at Pinewood Gardens, a 2,056 sq ft, four-bedroom unit on the third floor was sold for $2.98 million ($1,449 psf), according to a caveat lodged on Nov 24.

“Pinewood Gardens appeals to homebuyers as it is a low-rise development on a sprawling freehold site,” says Alan Yap, an associate director at ERA Realty Network. Besides the bigger units at these older condos, another draw is the collective sale potential, he adds.

Pinewood Gardens is a freehold 149-unit condo completed in 1990. It was developed by listed property giant City Developments, whose parent company is Hong Leong. The 26-year-old condo contains a mix of two- to four-bedroom units ranging from 1,259 to 2,120 sq ft.

As most of the buyers of older condos such as Pinewood Gardens are owner-occupiers, there have not been many transactions in the project. Prior to the recent transaction in November, there was a resale in July, when a 1,249 sq ft unit fetched $1.95 million ($1,562 psf).

Located across the road from Pinewood Gardens is The Balmoral, a freehold residential project by Comtech Development completed in 1986. The 30-year-old project contains 81 units, which are a mix of four-bedroom apartments of 2,745 to 3,208 sq ft, maisonettes of 2,659 to 2,734 sq ft, and penthouses of over 5,700 sq ft. Typical prime condo developments built in the 1980s have large units and are favoured by owner-occupiers.

The Balmoral also has en bloc potential, according to agents. The most recent transaction at the project was for a 3,132 sq ft unit on the first level that fetched $3.33 million ($1,063 psf), according to a caveat lodged on Nov 25. Prior to that, the last transaction was for a 2,745 sq ft unit on the third level that changed hands for $3.75 million ($1,366 psf), based on a caveat lodged in June.

Back to back with Pinewood Gardens is Three Three Robin fronting Robin Road. Completed in 2005, the freehold project by luxury developer SC Global Developments contains just 36 units.

This year, Three Three Robin has seen five resales — the highest number since 2011. Most of the units that changed hands this year were three-bedroom ones of 1,582 to 1,636 sq ft, and they were sold at between $2.55 million ($1,559 psf) and $2.8 million ($1,770 psf), according to caveats lodged from March to August.

The most recent transaction at Three Three Robin, however, was for a 1,367 sq ft, two-bedroom unit on the 10th floor. The unit was sold for $2.35 million ($1,719 psf), according to a caveat lodged on Nov 29. It changed hands five years ago for $2.65 million ($1,939 psf), according to a caveat lodged in June 2011. Prior to that, the unit fetched $2.15 million ($1,573 psf) in March 2007. When it was first sold by the developer in 2005, it went for $1.61 million ($1,178 psf).

This article appeared in The Edge Property Pullout, Issue 758 (Dec 12, 2016) of The Edge Singapore.

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Unit at The Balmoral reaps $1.77 mil profit