Luxury condos on sentosa has drop by 50%. Is there any takers at times of volatility ands uncertainty?
http://forums.condosingapore.com/sho...est-from-funds
seems like many r looking at it. I read on the edge that SIS (formerly IT, not the sugar SIS) is also setting up a fund to look at it. that person interviewed specifically pointed out that he is looking at most of CCR, including sentosa, marina bay, D9, 10 and 11. So it seems that funds are being set up to look at these big sized luxury ppty.
These are brave souls. There are many reasons why Sentosa and CCR condos have dropped like a rock, such as irrational exuberance, greed, speculation, Chinese money, and homogenization of Singapore. On the last issue, Singapore used to have all high end shopping concentrated in the urban core. No longer. Many suburban malls are no worse than those in downtown. Who will shop at Orchard if you can shop at the same stores at your neighborhood malls without having to drive a long way?
some of the losses which i didn't pick out but reported on the edge:
Jardin
Sold 27 Jan 16 1787sq ft 2.36m
Bought 21 Dec 07 3.288m
Grange Resi
Sold 26 Jan 16 2583sq ft 6.1m
Bought 23 Sep 11 6.9m
Cairnhill Crest
Sold 22 Jan 16 1733sq ft 3.18m
Bought 21 Nov 07 3.95m
Scotts Square
Sold 25 Jan 16 614 sq ft 2.032m
Bought 19 Oct 07 2.7m
all except 1 were bought during the hype of 2007.
at the current prices, the irrational exuberance, greed and speculation is already gradually priced in/unwound as seen by those who bought at 2007 selling now at depressed prices. Chinese money is still present (they bought both the units at ritz carlton resi at ABOVE DEVELOPER'S ASKING PRICES). i can understand your point on the last issue of homgenization. however, to some pple, its never the same. they only want these prime properties for various reasons. i don't know all the reasons but here are some i can think of:
Freehold at that kind of quantum (this is not readily available outside of CCR even if u consider clusters of freehold land in OCR and RCR).
the prestige. even if the same shops can be found elsewhere, it is still unrelated to why the rich prefers to own/stay in CCR. besides, some shops at the very high end are not found elsewhere.
far east has sold another 2 units of this project. big quantum is moving again it seems.
BOULEVARD VUE CUSCADEN WALK Condominium 10 CCR Freehold Resale 1 $15,896,900 - 4,478 sq ft Strata 21 to 25 3,550psf Feb-16
BOULEVARD VUE CUSCADEN WALK Condominium 10 CCR Freehold Resale 1 $15,225,200 - 4,478sq ft Strata 16 to 20 3,400 psf Feb-16
Signature at lewis
Sold 1 FEB 2016 1 LEWIS ROAD #XX-XX 1,841sq ft 1,358psf
Bought 24 SEP 2009 1,370psf
the edge reported that one unit sold to an indonesian man and another unit sold to his daughter.
more large quantum transactions spotted:
a 3rd unit at Boulevard Vue
BOULEVARD VUE CUSCADEN WALK Condominium 10 CCR Freehold Resale 1 14,687,840 - 4,478 Strata 11 to 15 3,280 Feb-16
and
a penthouse at urban resort
URBAN RESORT CONDOMINIUM CAIRNHILL ROAD Condominium 09 CCR Freehold Resale 1 $12,197,500 - 6,857sq t Strata 16 to 20 1,779psf Feb-16
oops, seems like this is the one that the edge said was indo and daughter. instead, it is danish and son.
Pandora co-founder and son buy 2 units at Boulevard Vue: Per Algot Enevoldsen is paying almost S$15.9 million or S$3,550 per square foot (psf) for his apartment while son Christian is buying a unit three floors below for close to S$15.23 million or S$3,400 psf.
5.6m in stamp duty for foreigner. Amazing feo
Thanks everyone for the support! Find A Home Loan is Standard Chartered #1 broker in 2013.
watermark
Sold 22 FEB 2016 3 RODYK STREET #XX-XX 1,733sq ft 1,546psf
Bought 3 AUG 2010 1,580psf
its a bit different for CCR. sellers have various reasons to sell. and $ flow be it the return of $ for the sale itself or the $ outflow for monthly payments could be one of the chief reasons for these individual sellers.
for the buy side, what i am very curious about is that this freehold 1733 sq ft 3+study took so long to sell at 2.68m. in contrast, 99 year leasehold 1572 sq ft 4 bedders at Principal Garden in district 3 seems so easy to move. 18 units sold from 2.454m to 2.56m. the watermark unit was advertised way before principal garden was launched.
why why why?
The reason for this is probably due to the noise and dust coming from the construction going on opposite Watermark now. I have seen a 4 bedder there couple of months ago and if it's that unit, I think there is a privacy issue as it's rather close to the end of the block..
It is also hard for me to understand why anybody would want to pay >$1000 psf for OCR private properties, mostly with only 99-years lease or even much less, when they are poor investment because they have little chance of capital appreciation (since the pay raise of general population that live in OCR will always be very limited)(remember, if general population's pay rise is too fast means high inflation which should not happened!),
and when they could get a HDB flat for <$400 psf or EC for $700+ psf or rent a HDB flat with 3 bedrooms in OCR for <$1800 per month.......
My theory has been working perfectly fine over the long term (since my properties are bought for long-term and not for speculation and flipping)..........
You wait for 30 years and you will know whether your 99-years leasehold OCR properties got long term holding value.............
But then again, I would expect that you would have flipped your 99-years leasehold properties to the next greater fool (so you are also not affected)........