On Jan 25, a penthouse unit at The Trevose in prime District 11 was sold for $2.55 million, or $764 psf. The seller bought the 3,337 sq ft, fifth-floor unit at $907 psf in October 2010. The loss works out to $475,000, or 3% annualised over a holding period of six years. Based on URA caveat data, the next most recent transaction for a similar-sized penthouse was in May 2012, when a 3,358 sq ft unit was sold at $2.9 million or $864 psf.
There were six rental contracts for units larger than 3,000 sq ft at The Trevose last year. The monthly rents averaged $8,200, which implies a 4% gross rental yield for the recently transacted unit. The Trevose is located beside the Raffles Town Club and was completed in 2001. The 99-year leasehold condominium comprises 142 units.
Also on Jan 25, the seller of a 527 sq ft unit at The Clift sustained a loss of $188,860. The unit was bought at $2,178 psf in a sub-sale in May 2012 and sold at $1,820 psf. The loss works out to 16%, or 4% annualised over a holding period of nearly five years. Prices of units between 500 and 600 sq ft at The Clift peaked at $2,370 psf in 2013 and trended down to $2,026 psf in 2016.
The monthly rents for units in this size range averaged $3,474 in 2016. Based on the transacted price of $960,000, this implies a 4% gross rental yield for the recently transacted unit. The Clift is a 99-year leasehold development located opposite Amoy Street Food Centre and within walking distance of the Tanjong Pagar and Telok Ayer MRT stations. It was completed in 2011 and has 312 units.
Jan 26 marked the first unprofitable transaction at Astoria Park since 2010. The 1,173 sq ft unit was bought at $938 psf on Jan 25, 2013 and sold at $929 psf a day after the four-year holding period requirement stipulated under the Seller’s Stamp Duty rules was fulfilled. The loss worked out to $10,000. The seller would have been liable for a 4% or $43,600 SSD if he had sold the unit just a day earlier.
Based on URA caveat data, this unit has changed hands four times so far. A seller sustained losses of $128,000 in 2007, while a subsequent seller enjoyed a $550,000 profit in 2013.
The monthly rents for units of between 1,100 and 1,200 sq ft at Astoria Park averaged $3,527 in 2016, which implies a 4% gross rental yield for the recently transacted unit. Astoria Park is a 99-year leasehold condo adjacent to the Kembangan MRT station. It was completed in 1995 and comprises 354 units.
This article appeared in The Edge Property Pullout, Issue 766 (Feb 13, 2017) of The Edge Singapore