City Square Residences unit sold for $1.18 mil profit
By Timothy Tay / EdgeProp | December 19, 2017
The sale of a 1,216 sq ft, three-bedroom unit in City Square Residences was one of the most profitable deals in the week of Nov 28 to Dec 5. The previous owner pocketed a $1.18 million (180%) profit, or an annualised profit of 9% over a 12-year holding period. Located on the 22nd floor, the unit was bought from the developer in 2005 for $658,240 ($541 psf) and sold for $1.84 million ($1,513 psf) on Nov 30.
This is the third-highest recorded profit this year at the 910-unit development. The top 10 most profitable units at City Square Residences this year, which fetched profits ranging from $862,800 to $1.52 million, were bought between 2005 and 2007, based on the matching of URA caveats.
Interest in the development has picked up since the start of the year, and most buyers are either local or foreign investors, says a property agent from ERA Realty Network who has brokered the sale of several units at City Square Residences this year and has six units there listed for sale on EdgeProp.sg. According to her, the location and prices at the freehold City Square Residences are big draws for investors, and units are underpriced compared with leasehold properties in the area.
Designed by architecture firm Ong & Ong, City Square Residences is located 200m from the Farrer Park MRT station on the North-East Line, and comprises a mix of one- to four-bedroom units ranging from 570 sq ft to 1,518 sq ft, in six 28- and 30-storey blocks.
The highest recorded profit in the week of Nov 28 to Dec 5 was achieved in the sale of a 1,733 sq ft, three-bedroom unit in Richmond Park. The seller, who bought the fifth-floor unit through a sub-sale for $2.78 million ($1,604 psf) in 1996, realised a $1.92 million (69%) profit when it was sold for $4.7 million ($2,712 psf) on Dec 4.
This is the fourth unit that has changed hands at Richmond Park this year; other units include a similarly sized three-bedroom unit that fetched $4.15 million ($2,395 psf) and a pair of 1,259 sq ft, two-bedders that were sold for $2.85 million ($2,263 psf) each. The freehold, 159-unit Richmond Park was completed in 1996 and comprises a mix of two- and three-bedroom units as well as penthouses. It is located in District 9 on Bideford Road, behind The Paragon mall. The development is near Cairnhill Heights, which recently announced its latest collective sale attempt, with a price tag in excess of $80 million ($2,045 psf).
In District 15, a 2,325 sq ft, four-bedroom unit at Parkshore was sold for $3.15 million ($1,355 psf) on Dec 4. The seller realised a $1.83 million (139%) profit, or an annualised profit of 8% over 11 years. The seller had bought the eighth-floor unit in 2006 for $1.32 million ($568 psf). This is the most profitable transaction ever recorded at Parkshore, based on the matching of caveats.
The transaction volume at Parkshore has doubled this year compared with last year, when five units were sold. According to the matching of caveats, there has been only one unprofitable sale this year: A 1,324 sq ft, three-bedroom unit on the fifth floor was sold at a $110,000 loss. Meanwhile, profits ranged from $230,000 to $1.83 million for the seven profitable transactions. The freehold development on Tanjong Rhu Road comprises 152 units of two- to four-bedroom units between 990 sq ft and 2,325 sq ft.
This article appeared in EdgeProp Pullout, Issue 810 (Dec 18, 2017)
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