Good Class Bungalow (GCB) transactions in the prestigious Tanglin Hill are very rare. The most recent, according to a caveat lodged on Nov 3, was for a 21-year-old GCB on a freehold site of 34,585 sq ft. It was sold for $57 million ($1,648 psf) in a private-treaty deal. Both the seller and buyer were Singaporeans. The psf price is just slightly higher than that of a GCB located across the street that was built in 1992 and sits on a 23,982 sq ft plot. This GCB changed hands in April for $38.8 million ($1,618 psf).
Meanwhile, a GCB at Victoria Park Road on a freehold elevated site of 32,077 sq ft was sold for $48 million ($1,496 psf) a fortnight ago. A caveat has yet to be lodged. The last time the property changed hands was just two years ago, when it was sold for $38.67 million ($1,205 psf). Hence, the seller saw a 24% capital appreciation.
Given the rather gloomy economic outlook and market uncertainty, the recent Tanglin Hill and Victoria Park Road deals took about three months to negotiate and close. This is because there aren't too many buyers at this end of the market, given the large quantum price and most of the buyers being owner-occupiers looking to tear down and redevelop the existing property into a luxurious bungalow for their own use. Large GCB plots of at least 30,000 sq ft that can be sub-divided into two smaller GCBs are also becoming increasingly scarce.
Including the recent transaction at Tanglin Hill, there have been only three transactions that have crossed the $50 million mark in the last 12 months.
Smaller GCBs with land areas of 15,000 to 16,000 sq ft in prime districts 10 and 11 (Bukit Timah, Chancery Hill and Bukit Tunggal) that had asking prices of $24 million to $26 million at the beginning of the year have been transacted at $22 million to $23 million. The transaction prices of these GCBs are probably 5% to 8% below what the owners were asking for at the start of the year — an indication that sellers were prepared to adjust their prices downwards to meet buyers' expectations.
HIGH-END CONDOS
In the Tanglin area, there have also been some transactions in the high-end condominium segment. In the Tanglin area is the 46-unit luxury condo 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.
Last year, some units purchased for $3,550 psf four years ago were sold on the secondary market at an average of $3,200 psf. From last December to September this year, units sold in the low-rise development ranged from $3,000 psf for second-floor units to $3,527 psf for higher-floor units.
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 1,593 sq ft three-bedroom apartment on the eighth level was sold for $3.2 million ($2,009 psf). 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).
Tanglin Park's main attraction is its location; being in a quiet and exclusive neighbourhood is definitely an advantage.
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. Ardmore Park is a perennial favourite not only because of its spacious units but also its facilities and landscaping.
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 : The Edge – 28 Nov 2011
No comments:
Post a Comment