THE EDGE: High-end condos in district 10 see buyer interest

There have been some transactions in the high-end condominium segment in district 10.

In the Tanglin area is the 46-unit luxurious 8 Napier, located next to Gleneagles Hospital and Medical Centre and the Singapore Botanic Gardens. According to URA, as at end-October, 27 units in the luxury condo have been sold. The project was completed last year. The developer of 8 Napier is Hasetrale Holdings. In late 2007, 19 units were sold to private equity real estate investment fund MGPA's Asia Fund III at an average price of $3,550psf. The fund sold the units in July last year for an undisclosed price.

Last year, some units purchased for $3,550psf four years ago were sold on the secondary market at an average of $3,200psf. From last December to September this year, units sold in the low-rise development ranged from $3,000psf for second-floor units to $3,527psf for higher-floor units. Most recently, a 2,013sqft three-bedroom unit on the fifth level was sold for $6.5 million ($3,229psf). The buyer is said to be a Permanent Resident who is buying for her own use, says Nancy Hawkes of Jones Lang LaSalle, who brokered the sale.

There seems to be interest in old condos with spacious apartments. At the 274-unit freehold Tanglin Park condo developed by City Developments Ltd (CDL) 22 years ago, there were two transactions in the week of Nov 1 to 8, based on caveats downloaded from URA Realis as at Nov 23. A 1,593sqft three-bedroom apartment on the eighth level was sold for $3.2 million ($2,009psf). This is the fifth time the unit has changed hands in the last 16 years (URA's database of caveats go back only to January 1995).

One can trace the ups and downs of the property market from the transaction history of this unit. The very first recorded resale was in April 1995, when the unit was sold for $1.83 million ($1,146psf) <1,149psf>. It changed hands three years later for $1.53 <$1.23> million ($772psf), in December 1998, at the height of the Asian financial crisis. The unit was subsequently resold in January 2007 for $2 million ($1,255psf). The buyer sold the apartment six months later, at the peak of the last property boom, for $3 million ($1,883psf), enjoying a 50% gain in that short period of time.

The second transaction at Tanglin Park in the week of Nov 1 to 8 was for a 1,109sqft two-bedroom apartment that changed hands for $2.1 million ($1,858psf) <$1,894psf>. The seller paid $1.15 million ($1,037psf) for the apartment in a resale in 1995, hence seeing an 83% gain in 16 years.

"Tanglin Park's main attraction is its location; being in a quiet and exclusive neighbourhood is definitely an advantage," says Andy Goh, a property agent and president of AG Prestige Home.

Another condo that is known for its luxurious and spacious apartments is the 330-unit Ardmore Park by Wheelock Properties that was completed 10 years ago. The development comprises three 30-storey towers and typical units are 2,885sqft four-bedroom apartments. There are four penthouses of 8,740sqft. A four-bedroom unit on the eighth floor of one of the towers changed hands recently for $9 million ($3,120psf). Based on caveats lodged, the seller had purchased it for $5.03 million ($1,742psf) <$1,744psf> when the project was launched in July 1996, and hence saw a 79% capital appreciation. "Ardmore Park is a perennial favourite not only because of its spacious units but also its facilities and landscaping," says Goh. "The condo attracts a good mix of investors and occupiers, although these days, most of the buyers are looking to buy for their own occupation."

Source: THEEDGE SINGAPORE

THE EDGE should really double check their figures before they go to print...

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