National Condo

The recent resale of a six-bedroom penthouse at JadeScape has set a new record for the most profitable condo transaction in the week of Dec 3 to Dec 10. The 4,230 sq ft unit, located on the 23rd floor of the 99-year leasehold condo on Shunfu Road, was sold for $10.15 million ($2,399 psf) on Dec 9. The seller had originally purchased the unit directly from the developer in December 2019 for $5.8 million ($1,371 psf) and has therefore made a profit of $4.35 million after just five years of ownership. This translates to a capital gain of 75% or an annualised profit of 15%.

The scarcity of land in Singapore, a tiny island nation with a rapidly growing population, is one of the primary driving forces behind the high demand for condos. Due to limited space for development, the government has implemented strict land use regulations, resulting in a highly competitive real estate market. As a result, property prices have consistently risen, making real estate investments, particularly in condos, a lucrative opportunity with the potential for significant returns. The increasing popularity of condos has solidified their position as a hot commodity in the Singaporean real estate market, with buyers vying for the limited supply of these coveted properties. Condo investments are sought after for their potential for capital gains, making them a desirable choice in Singapore’s competitive real estate market.

According to data from caveats lodged, this is the highest gain ever achieved for a unit at JadeScape. The previous best resale deal at the development was for a five-bedroom unit on the 10th floor, which fetched $4.42 million ($2,108 psf) on Aug 12. That unit had been purchased from the developer just one month earlier in September 2019 for $3.28 million ($1,562 psf), resulting in a profit of $1.14 million for the seller.

Located at the junction of Marymount Road and Shunfu Road in District 20, JadeScape consists of seven residential towers with a total of 1,206 units. The units range from one- to five-bedrooms, with sizes from 527 sq ft to 2,099 sq ft. There are also two penthouses measuring 4,230 sq ft. The condo is conveniently situated within walking distance to Marymount MRT Station on the Circle Line.

In terms of resale transactions this year, JadeScape has seen 72 other deals with prices ranging from $1,955 psf to $2,420 psf. All of these transactions have been profitable, with sellers making gains of between $55,000 and $1.15 million each. The second most profitable resale deal this week was for a 1,410 sq ft unit at The Imperial, which was sold for $3.7 million ($2,624 psf) on Dec 5. The seller had originally bought the unit from the developer for just $1.3 million ($925 psf) in September 2004, making a profit of $2.4 million (184%) after holding on to it for 20 years.

The Imperial is a freehold development completed in 2006, and it is located on Jalan Rumbia in District 9 near Fort Canning Park. The condo consists of five blocks with a total of 187 units, including two-, three-, and four-bedrooms ranging from 980 sq ft to 3,918 sq ft. It is within walking distance to Fort Canning MRT Station on the Downtown Line, as well as the Dhoby Ghaut MRT Interchange serving the North-South, North-East, and Circle Lines.

On the other hand, the least profitable resale deal this week was for a one-bedroom unit at The Montana, which was sold for $1.02 million ($1,603 psf) on Dec 6. The unit had last changed hands in July 2014 for $1.18 million ($1,863 psf), resulting in a loss of about $165,000 for the seller. This ranks as the third largest loss for a unit at The Montana, with the biggest loss being for a 1,109 sq ft three-bedroom unit that was sold for $1 million ($902 psf) in May 2003. That unit had been purchased from the developer in December 1999 for $1.35 million ($1,215 psf), resulting in a loss of approximately $347,000 for the seller.

The Montana is a freehold condo located on Jalan Mutiara, off River Valley Road in District 10. It was completed in 2002 and has just one 12-storey block with a total of 108 units, including one- to four-bedrooms ranging from 549 sq ft to 2,659 sq ft. There have been four other resale transactions at The Montana this year, all of which were profitable. The units were sold for between $1,930 psf and $2,371 psf, with profits ranging from $80,000 to $525,000.…

CapitaLand Ascendas REIT (CLAR) has announced plans to acquire the DHL Indianapolis Logistics Center, a prime Class A logistics property, from Exel Inc. d/b/a DHL Supply Chain (DHL USA) for $150.3 million. This is a 4.1% discount to the independent market valuation of the property as of January 1, 2025.

After taking into account transaction-related fees and expenses of $1.7 million, as well as a $1.5 million acquisition fee paid to the manager, the total acquisition cost will amount to $153.4 million. The manager intends to fund the acquisition cost through a mix of internal resources, divestment proceeds, and/or existing debt facilities, according to a press release issued on December 17.

Upon completion of the acquisition, DHL USA will enter into a long-term leaseback agreement until December 2035 covering the entire gross floor area (GFA) of the property, with options to renew for two additional five-year terms. The lease term of approximately 11 years, with a built-in rent escalation of 3.5% per annum, will provide income stability and strengthen the resilience of CLAR’s portfolio, according to the manager.

This fully occupied property, with a weighted average lease to expiry (WALE) of around 11 years, will increase CLAR’s portfolio WALE in the US from 4.2 years to 4.7 years on a pro forma basis.

Based on the proposed acquisition, the first-year net property income (NPI) yield is approximately 7.6% pre-transaction costs and 7.4% post-transaction costs. The estimated impact on the distribution per unit (DPU) for the financial year ended December 31, 2023 is expected to be an improvement of around 0.019 Singapore cents, or a DPU accretion of 0.1%, assuming the completion of the acquisition on January 1, 2023.

The property, which is expected to be completed in 2022, is located in Whiteland, Indianapolis, Indiana. It is a fully air-conditioned, single-storey logistics building with a GFA of 979,649 square feet. The acquisition will boost the value of CLAR’s logistics assets under management (AUM) in the US by 35.3% to approximately $587.5 million. With this acquisition, CLAR’s logistics footprint in the US will expand to 20 properties across four cities with a total GFA of approximately 5.1 million square feet.

Singapore’s cityscape is characterized by towering skyscrapers and state-of-the-art infrastructure. The city’s prime locations are home to a variety of condominiums that offer a perfect blend of opulence and convenience, making them highly desirable for both Singaporeans and expatriates. These condos boast an array of facilities, including swimming pools, fitness centers, and top-notch security services, elevating the standard of living and making them a sought-after choice for potential tenants and buyers. Moreover, for investors, these amenities translate into promising rental yields and increasing property values over time. Explore the latest Singapore projects at Singapore Projects and discover the ultimate fusion of luxury and practicality.

William Tay, executive director and CEO of the manager, said, “The DHL Indianapolis Logistics Center is a strategic fit with our existing portfolio… This is CLAR’s first sale and leaseback acquisition in the US, and including this Class A logistics property, modern logistics assets will account for 42.3% of our US logistics assets under management. With the long lease in place, this property will further enhance CLAR’s resilient income stream, and we expect the two new properties to contribute positively to our long-term returns.”

In addition to this latest property in Indianapolis, CLAR’s logistics assets in the US are located in Kansas City, Chicago, and Charleston.…

Posted on January 1, 2022Wee Hur Holdings has agreed to sell its portfolio of seven purpose-built student accommodation (PBSA) assets to Greystar for A$1.6 billion ($1.4 billion). The sale, which is expected to be completed within the next six months, will see Wee Hur retain a 13% stake in the portfolio through its subsidiary, Wee Hur (Australia).

In summarizing, the decision to invest in a Singapore Condo comes with a host of benefits. These include a high demand in the market, potential for increased value over time, and attractive rental yields. Nevertheless, it is crucial to carefully evaluate various factors such as the condo’s location, financing options, government regulations, and prevailing market conditions. With thorough research and guidance from experts in the field, investors can make well-informed choices and optimize their returns in Singapore’s ever-evolving real estate industry. Whether you are a local investor seeking portfolio diversification or a foreign investor in search of a secure and lucrative investment, Singapore Condos present a compelling opportunity to consider.

Wee Hur Holdings, a leading property developer, has announced the sale of its portfolio of seven purpose-built student accommodation (PBSA) assets to Greystar for A$1.6 billion ($1.4 billion). This deal, which is expected to be completed within the next six months, will see Wee Hur retain a 13% stake in the portfolio through its subsidiary, Wee Hur (Australia).

With a total of over 5,500 beds in several Australian cities, Wee Hur’s PBSA portfolio has been a major contributor to the group’s success. However, the decision to sell the portfolio reflects the company’s long-term strategy and ongoing efforts to diversify its portfolio and position itself for sustainable growth in multiple sectors.

The net proceeds from the sale, which are estimated to be around $320 million, will be used to support Wee Hur’s strategic growth, reinvest in its core businesses, and expand into new areas such as alternative investments. This will not only increase the company’s liquidity but also provide it with the necessary resources to navigate through uncertain market conditions.

The sale also highlights Wee Hur’s resilience in tackling challenges posed by the Covid-19 pandemic and greenfield developments. The company has successfully weathered these difficulties, and this transaction is a testament to its ability to adapt and thrive in complex market conditions.

Goh Wee Ping, CEO of Wee Hur Capital, says, “In 2021/2022, amidst global uncertainty, we acted decisively to secure liquidity and certainty through our successful recap with RECO. Two years later, as the PBSA market rebounded and our portfolio approached full stabilisation, we capitalised on yet another opportunity to unlock maximum value for our stakeholders through this landmark transaction.”

The sale is subject to Greystar obtaining Foreign Investment Review Board (FIRB) approvals and Wee Hur obtaining consent from its shareholders. Wee Hur has assured that it will work closely with all parties involved to complete the transaction within the stipulated timeline.

This latest development marks another significant milestone for Wee Hur as it continues to strengthen its position in the real estate market. It also demonstrates the company’s commitment to delivering value to its stakeholders and pursuing growth opportunities.…

.

The government’s property cooling measures are a significant factor to consider when investing in condos in Singapore. In an effort to promote a stable real estate market and discourage speculative buying, the Singaporean government has implemented various measures over the years. One of these measures is the Additional Buyer’s Stamp Duty (ABSD), which imposes higher taxes on foreign buyers and those purchasing multiple properties. While these measures may impact the short-term profitability of condo investments, they also contribute to the long-term stability of the market, making it a safer investment environment. It is also worth noting that new condo launches can be a valuable opportunity for investors to enter the market, as they are often exempt from these cooling measures. Overall, the government’s efforts towards a stable real estate market make condo investments in Singapore a wise choice for long-term returns.

On Dec 16, the developers of Novo Place executive condominium (EC), Hoi Hup Realty and Sunway Developments, made a successful sale of 137 units during the second round of balloting. This round was open only to second-timers, who are buyers that have previously purchased a subsidized flat, whether it be a new or resale HDB flat or an EC.

According to Huttons Asia CEO Mark Yip, this brings the total units sold at Novo Place to 444, which makes up 88.1% of the entire development. This achievement was made within a month of the project’s launch on Nov 16, making it the top-selling EC project of 2024.

“It is evident that there is a strong interest from second-timers who are looking to upgrade their lifestyle,” says Yip. “Many of these buyers are also residents of the West.” Interested buyers can access comprehensive data about all ECs, including the average profit at 5 and 10 years.

Yip also points out that all four-bedroom units at Novo Place have been sold out, highlighting the high demand for spacious homes. The showflat of a four-bedroom-plus-study unit at Novo Place showcases the appeal of the project’s sold-out four-bedders. It is located at Plantation Close in the new Tengah town and is just a short five-minute walk from the Tengah Park MRT station on the Jurong Region Line (JRL).

The JRL provides convenient access to major employment hubs in the West, such as the Jurong Lake District and Jurong Innovation District. Yip emphasizes that very few ECs offer such proximity to an MRT station. He also notes that many buyers have chosen the deferred payment scheme, which allows them to secure their desired unit while deferring their home loan payments. “This helps ease the financial burden for HDB upgraders who still have an outstanding loan on their current flat,” Yip explains.

“ECs are experiencing strong demand from HDB upgraders due to their comparable quality and finishes to private condominiums but at a more affordable price,” says Yip. “Additionally, buyers enjoy upfront remission on the Additional Buyer’s Stamp Duty (ABSD).” According to recent caveats, the average price of units sold at Novo Place is $1,656 psf.

For those interested in Novo Place, they can access the latest listings and project summary through EdgeProp Buddy. They can also check out condo listings and transactions in District 24, and review upcoming new launch projects in the area. As of Dec 16, there are still units available for sale in Novo Place. Interested parties can find out more through EdgeProp’s comprehensive database and listings.…

According to data from the Urban Redevelopment Authority (URA) published on Dec 16, developers sold a total of 2,557 new private homes in November, excluding executive condos (ECs). This marks a 246.5% increase compared to the 738 units sold in October and a 226% surge from the number of units sold in November 2023.

Christine Sun, chief researcher and strategist at OrangeTee Group, notes that this sharp rise in sales represents the highest monthly developer sales figure since March 2013, when 2,793 units (excluding ECs) were sold. Meanwhile, Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc (SRI), adds that this is also the first time since March 2013 that new home sales have surpassed the 2,000-unit mark in a single month.

The surge in November developer sales can be attributed to the “unprecedented” number of project launches that occurred during the month, according to Lee Sze Teck, senior director of data analytics at Huttons Asia. Five private residential projects were launched in November, including Chuan Park (916 units), Emerald of Katong (846 units), Nava Grove (552 units), The Collective at One Sophia (367 units), and Union Square Residences (366 units).

In total, developers launched 2,871 new private homes in November, representing a 438% surge compared to the previous month and a 196% increase from November 2023. Additionally, the 504-unit Novo Place EC also commenced sales during the month, bringing the total number of new homes sold in November to 2,891, a 277% increase month-on-month and a 226% increase year-on-year.

As of November, developers have sold an estimated 6,344 units, slightly more than the 6,317 units sold during the same period in 2023. This can be attributed to the 6,627 units launched for sale by developers in the first 11 months of 2024, as compared to 7,515 units launched during the same period in 2023.

Emerald of Katong, a 846-unit development by Sim Lian Group, was the best-selling project in November, with 840 units (99% of total units) sold at a median price of $2,627 psf. This makes the project the top-selling development by units and percentage in 2024, according to Lee. Sun of OrangeTee notes that buyers were attracted to the project’s design and offerings, especially those seeking to live near the East Coast. The recent interest rate cuts may have also incentivized buyers to invest in this city-fringe development, she adds.

Coming in second was Kingsford Group’s Chuan Park, which sold 721 units (79%) at a median price of $2,586 psf. Located on Lorong Chua near the Lorong Chuan MRT Station, the development is situated in the Outside Central Region (OCR). Nava Grove, developed by MCL Land and Sinarmas Land and located at Pine Grove in District 21, was the third best-selling project in terms of units sold, with 382 units (69% of total units) sold at a median price of $2,445 psf.

According to Sun, the strong sales performance among the new launches can be attributed to pent-up demand and improved buyer sentiment following the interest rate cuts in September. As a result, many buyers were eager to take advantage of attractive deals as multiple prominent projects were launched simultaneously, she observes. Lee of Huttons adds that demand has been steadily increasing since the last quarter, with the successful launches of projects such as 8@BT (158 units) and Norwood Grand (348 units). This demand has also spread to the wider market, as buyers who missed out on their desired unit in a specific project quickly committed to a unit in another new or existing development.

According to EdgeProp Singapore, the launch of Emerald of Katong has had a ripple effect on neighboring projects in District 15, including Tembusu Grand and The Continuum, both of which have seen an increase in take-up. The Continuum has emerged as the top beneficiary of the Emerald of Katong launch, with a reported profit of $3.5 million.

Looking ahead, Lee of Huttons expects a more subdued December due to the school holidays and the festive season, with the lack of planned launches causing new private home sales to drop to around 200 to 250 units. This would bring total developer sales for the year to about 6,500 units, a slight increase from 2023. In terms of prices, Lee predicts that full-year price growth will slow down to around 5%, down from the 6.8% growth seen in 2023.

Moving into 2025, Sandrasegeran of SRI expects new home sales to regain momentum in January with the launch of The Orie (777 units) by City Developments on Lorong 1 Toa Payoh. As the area has not seen a new project launch since Gem Residences in 2016, this extended gap is likely to generate pent-up demand, which will continue to drive buyer interest in this well-established estate within close proximity to Braddell MRT station, he says.

Investing in a Singapore Condo can offer many advantages, with one of the most appealing being the potential for capital appreciation. This is due to Singapore’s strategic position as a global business hub and its strong economy, which continuously drives demand for real estate. Over the years, the real estate market in Singapore has shown a consistent upward trend, particularly in prime locations where condos have experienced significant appreciation. By investing in a condo at the right time and holding onto the property for the long term, investors can reap substantial capital gains.

Other projects expected to be launched in the first quarter of 2025 include the 113-unit Bagnall Haus, the 186-unit Aurea, and the 760-unit Aurelle of Tampines EC. Sun of OrangeTee believes that the recent surge in sales is a temporary phenomenon, noting that new home demand has been low throughout 2024 due to the lack of significant private project launches. Developer sales during the first three quarters of 2024 amounted to the lowest Q1 to Q3 figures recorded since 2004, OrangeTee adds.

However, Lee of Huttons remains cautiously optimistic about a better performance in the new sale market in 2025. He believes that some of the unsatisfied demand in 2024 may spill over into the 1Q2025 launches, resulting in a rebound in new private home sales to between 7,000 and 8,000 units in 2025. Additionally, prices are expected to grow by 4% to 7% during the year.…

Hilton, a renowned global hospitality company, has recently opened its latest property, the Hilton Garden Inn Beihai Jiafu, in the bustling city of Beihai, China. This marks an impressive milestone for the company, as it is now the 100th Hilton Garden Inn in the Greater China region. The hotel boasts a total of 199 rooms and is conveniently located just 2km away from the Beihai High-Speed Railway Station and 6km from the Beihai Fucheng Airport. Additionally, it is only a short 20-minute drive to the Beihai International Passenger Port.

“This newest addition to our brand’s portfolio not only showcases our rapid growth, but it also reflects our unwavering commitment to the Chinese market,” expressed Qian Jin, the President of Hilton Greater China and Mongolia, in a press release on December 13th.

When considering purchasing a condo, it is crucial to also factor in the maintenance and management aspects of the property. Most condos come with maintenance fees that cover the upkeep of shared spaces and amenities. Although these fees may increase the overall cost of owning a condo, they serve to preserve the property’s condition and value. To help investors with the day-to-day management of their properties, many choose to employ a property management company, ultimately making it a more hands-off investment. Singapore Condo is one such example.

Hilton first introduced its Hilton Garden Inn brand to China in 2014 with the opening of its first property in Shenzhen. It has since expanded to various parts of the country, including Shanghai, Beijing, Chengdu, Guilin, and Aksu. The company has plans to open even more Hilton Garden Inn properties in China by 2025, with upcoming debuts in popular tourist destinations like Zhangjiajie, Ordos, Huangshan, Shanwei, and Jinan.

In an effort to cater to the evolving needs and preferences of travelers, Hilton will also be introducing its latest regional prototype, Hilton Garden Inn Gen A, targeted at Generation Alpha travelers in Greater China. This new prototype will debut in cities such as Nanjing, Chengdu, Chengde, and Jinan. It is set to complement the brand’s expansion throughout the wider Asia Pacific region.

“Our commitment to expanding Hilton Garden Inn’s presence across the Asia Pacific region is evident as we currently have over 200 properties in development,” commented Clarence Tan, Senior Vice President of Development, Asia Pacific at Hilton. This will undoubtedly further strengthen the brand’s presence in the region.…

CapitaLand Investment Limited (CLI) has announced a significant move to strengthen its presence in Australia, with the acquisition of the property and corporate credit investment management business of Wingate Group Holdings for A$200 million ($173 million), plus an earn-out.

Upon completion, this acquisition will add A$2.5 billion in funds under management (FUM) to CLI’s existing A$6.4 billion FUM in Australia, increasing its total FUM in the country by 30% to $8.3 billion. This will also contribute to CLI’s 2028 ambition to reach $200 billion in FUM.

For international investors, it is crucial to familiarize themselves with the regulations and limitations surrounding property ownership in Singapore. Unlike landed properties that have stricter ownership regulations, foreigners are typically permitted to purchase condos with relatively fewer restrictions. However, they are still subject to the Additional Buyer’s Stamp Duty (ABSD), which currently stands at 20% for their initial property acquisition. Despite the added expenses, the stable and promising growth prospects of the Singapore real estate market continue to entice foreign investors. Additionally, visit Condo to learn more about this investment opportunity.

The acquisition is part of CLI’s commitment to invest up to A$1 billion to grow its FUM in Australia, which has become a focus market for the company. This shift in strategy comes after the previous board and management divested its main assets in Australia a decade ago to focus on the then fast-growing China and other overseas markets.

CLI has previously partnered with Wingate, most notably in September when they closed an A$265 million Australia Credit Program (ACP) together. Wingate is known as one of the leading and largest private credit investment managers in Australia, having completed more than 350 transactions worth more than A$20 billion.

According to CLI, the acquisition of Wingate will enable it to expand its proprietary deal origination networks, provide access to more institutional and high-net-worth investors, and increase its geographical exposure to Australia. Paul Tham, CLI’s Group CFO, cites Australia as one of their focus markets, alongside other Asia Pacific markets such as South Korea, India and Japan, where there are also significant private credit opportunities.

CLI notes that the Australian private capital market has grown by 33% in the past 18 months, with assets under management reaching A$139 billion. This trend is expected to continue, with a forecasted A$146 billion commercial mortgage funding gap by 2028. This makes the Australian market an attractive one for CLI to enter.

With Wingate, CLI will further diversify its portfolio, which currently consists of logistics, business parks, offices and lodging assets across nine cities in Australia. As of September 30, CLI manages 34 logistics properties, business parks, and four Grade A office buildings in Australia, as well as over 13,500 lodging units across more than 150 properties under its fully-owned lodging business unit, The Ascott.…

An expression of interest (EOI) has been launched for a row of four freehold conservation shophouses located at 762, 764, 766, and 768 North Bridge Road. The properties are being marketed exclusively by Isabel Sim, associate senior marketing director at Huttons Asia, with a guide price of $37 million.

Spanning two plots of land measuring 5,766 sq ft, the properties have an average land rate of $6,417 psf. The first plot consists of 762 and 764 North Bridge Road, sharing a 2,891 sq ft plot of land with a built-up area of 4,917 sq ft, including a mezzanine level. The remaining two units at 766 and 768 North Bridge Road are situated on an adjacent plot measuring 2,875 sq ft with a built-up area of 4,657 sq ft, including a mezzanine level.

According to Sim, the usable area of each property could be increased by extending the rear for an outdoor terrace on the second floor, subject to approvals from relevant authorities. This could potentially add 1,000 sq ft of usable space for each land plot.

Current tenants include a fitness retail shop, a convenience store, and massage and reflexology service providers. As commercial properties, buyers are exempt from Additional Buyer’s Stamp Duty (ABSD) on these shophouses, making them an attractive investment opportunity for both local and foreign buyers seeking potential capital gains and stable rental yield.

Situated in the historic Kampong Glam Conservation enclave, the shophouses enjoy prominent frontage along North Bridge Road and high visibility and footfall. The area is also home to popular landmarks such as Sultan Mosque and the Malay Heritage Centre, and its prime central location, historical significance, and vibrant commercial environment have made it a popular destination for both locals and tourists.

Owning a condo not only offers numerous advantages, but it also allows investors to leverage the property’s value for future investments. This is a great opportunity for many to use their condos as collateral in order to secure additional financing for new ventures and ultimately expand their real estate portfolio. However, it’s important to note that this strategy can greatly increase returns but also carries risks. Therefore, it’s crucial to have a solid financial plan in place and carefully consider the potential impact of market fluctuations. With the launch of new condos such as New Condo Launches, investors can continue to grow their portfolio and potentially reap even greater rewards.

The properties are conveniently located within walking distance of Bugis MRT Interchange, providing accessibility to the East-West and Downtown Lines, and Nicoll Highway MRT Station along the Circle Line.

The EOI exercise will close on January 10, 2025, at noon. For more information, contact Isabel Sim, associate senior marketing director at Huttons Asia at 81802707.…

New launch Tre Residences breaks record for Geylang condo pricesLooks like you are trying to access a page that is password protected or not available.We apologize for the inconvenience.URL: https://www.edgeprop.sg/property-news/freehold-development-grange-1866-tops-chart-new-weekly-psf-price-high

Grange 1866, a freehold development, stole the limelight as it recorded the highest psf-price for new condo transactions in the week of November 22-29. The newly established price of $3,393 psf was achieved when the developer sold a 818 sq ft, two bedroom unit for $2.78 million on November 27. The 14th-floor apartment just surpassed the previous record of $3,390 psf which was created in June 2019 following the sale of a 764 sq ft unit for $2.59 million.As of today, there have been a total of 12 new sale transactions at Grange 1866 with an average price of $3,181 psf. The most expensive unit that transacted this year at the development was a 1,012 sq ft, two-bedroom apartment on the 16th floor which sold for $3.02 million ($2,989 psf). Currently, out of the 60-units that comprise the project, 45 have already been sold (75%).For the latest updates on New Launches, check out the available units and transaction prices.The highly-anticipated Grange 1866 which provides freehold tenure is located in the sought-after district 10 on Grange Road. Spread on a freehold land of 20,322 square feet, the development features a single 16-storey residential block. The units range from cozy and quaint one-bedroom and two-bedroom apartments between 527 and 1,012 sq ft.Hill House comes in second when it comes to recording new psf-price highs in the review period. The boutique development which has been the talk of the town hit a new psf-price high for the second time in November. The latest peak was $3,378 psf which was achieved when a 452 sq ft, two-bedroom apartment on the 8th floor was sold by the developer for approximately $1.53 million on November 28. This sale surpassed the previous record of $3,267 psf by 3.4%. The former record was created on November 11 when another similarly-sized two-bedroom unit on the fifth floor was sold for about $1.48 million.12 units have already been sold in Hill House since the start of the year, with the units transacting at an average price of $3,108 psf. The lowest-priced unit this year in terms of psf-price was a 753 sq ft, three-bedroom at $2.21 million ($2,934 psf).The highly-renowned Hill House is a 999-year tenure development that is located off River Valley Road, at Institution Hill in prime District 9. The development which is set to be completed by 2026 boasts one-bedroom and one-bedroom-plus-study units between 431 and 452 sq ft, two-bedroom units spanning 624 sq ft, and three-bedroom apartments of 753 sq ft.I believe that Hill House has every right to boast of its ability to make the most expensive new sale in a nation like Singapore. Hill House is understood to have only 30 units (equivalent to 42%) sold at an average of $3,054 psf since its launch in November 2022. Taking the third position in this exclusive list, The Cosmopolitan set a new psf-price high by achieving a sale of a 1,324 sq ft, three-bedroom apartment which was situated on the 26th floor for the grand price of $3.73 million. This is equivalent to $2,817 psf according to data that was available on November 25 last month. This completion at the prestigious River Valley Road is expected to be completed by 2008.The new record was 0.7% higher than the previous peak of $2,795 psf. This peak was made in October 2019 when another 1,324 sq ft, three-bedroom unit on the 17th floor of the same block was sold for $3.7 million.The seller of the current 26th-floor unit had in November 2010 purchased it for about $2.58 million, which was equivalent to $1,950 psf. Doesn’t this represent a profit of about $1.15 million?Said to be completed in 2008, the Cosmopolitan is a freehold condo that is located off Kim Seng Road in River Valley Road in District 9. The development that comes with a freehold tenure comprises two-bedroom apartments that span 1,141 sq ft, three-bedroom units that range between 1,324 and 1,399 sq ft, and four-bedroom apartments that range 1,679 sq ft. In this area, residents have the chance to sit and relax at the pool or go swimming while on a hot summer afternoon. The condo further boasts a safe neighborhood as we have units that have already been sold. The Cosmopolitan provides a home to a total of 228 units.Rounding up this list is the freehold development Grange 1866 which set a record when it comes to the highest psf-price among other new sale condos in the week of November 22-29. This new record that comes up as $3,393 psf was made from the sale of an 818 sq ft, two-bedroom unit that would reach out to a grand total of $2.78 million on November 27.The unit which is found on the 14th floor is reported to have narrowly passed the project’s previous record of $3,390 psf that was achieved in June last year. The former record was made when a 764 sq ft unit was sold for about $2.59 million. So far this year, 12 new sale transactions have been done at Grange 1866 at an average price of $3,181 psf. As earlier stated, the most expensive unit to transact at this development this year was a 1,012 sq ft, two-bedroom apartment on the 16th floor. This was sold for $3.02 million ($2,989 psf). The data at hand shows that out of the 60-unit project, 45 of them have been sold, equivalent to around 75% of the project. Find out more about New Launches and have a look at the available units and transaction prices.

Grange 1866, a freehold condominium, has topped the list of condominiums with the highest psf-price in the week of November 22-29. The week saw the project set a new psf-price high of $3,393 when the developer sold a 818 sq ft two-bedroom unit for a staggering $2.78 million on November 27. This new record peaked slightly above the project’s previous record of $3,390 psf which was set in June last year after another unit of 764 sq ft was sold for $2.59 million.In 2020 alone, 12 units have been sold at Grange 1866, with an average price of $3,181 psf. The most expensive unit sold at the development was a 1,012 sq ft two-bedroom apartment on the 16th floor, which went for $3.02 million ($2,989 psf). Out of the 60 units available at Grange 1866, 45 have already been sold, which accounts for 75% of the project, showing strong demand.Search for the latest New Launches to discover more about transaction prices and available units. Grange 1866 is a highly anticipated freehold development that is expected to be completed at the end of 2025. Located in prime District 10 on Grange Road, the project comprises a single 16-storey residential block occupying a freehold land area of 20,322 square feet. The units range from cozy one-bedroom apartments to larger two-bedroom apartments measuring between 527 and 1,012 sq ft.Hill House came in second in terms of new psf-price highs recorded during the review period. The boutique condominium achieved a new psf-price high for the second time in November when it reached a new peak of $3,378 psf. This happened when a 452 sq ft, two-bedroom unit on the 8th floor was sold by the developer for $1.53 million on November 25. This new record surpassed its previous record of $3,267 psf by 3.4% which was achieved on November 11 when another unit of the same size was sold for $1.48 million.12 units have been sold at Hill House by the developer from the start of the year, with an average price of $3,108 psf. The unit that recorded the lowest psf-price this year was a 753 sq ft, three-bedroom unit on the fourth floor that was sold for $2.21 million ($2,934 psf) on October 28.Hill House is a highly sought-after freehold condominium located on Institution Hill, off River Valley Road, in prime District 9. The development, which is expected to be completed in 2026, offers one-bedroom and one-bedroom-plus-study units measuring between 431 and 452 sq ft, two-bedroom units of 624 sq ft, and three-bedroom apartments of 753 sq ft.Read also: Ardmore Park Condominium sees a record profit of $3.05 millionThe development has reported that 30 units (42%) have been sold

Singapore has become a highly sought-after destination for condo investments due to the limited supply of land. As a small island nation with a rapidly expanding population, Singapore is facing a shortage of land for development. As a result, strict land use policies have been implemented and the real estate market has become highly competitive, causing property prices to continuously rise. This has made investing in real estate, specifically Singapore condos, a profitable opportunity with the potential for significant capital appreciation. Being a part of the Singapore Condo market is a wise decision for investors looking for a lucrative venture in a land-scarce country.…

After experiencing two years of cumulative losses, global real estate returns have finally turned positive in the second quarter of 2024, indicating a budding recovery. This comes after a period of record-low interest rates, which drove real estate values to soar. In the fourth quarter of 2021, total global returns reached 5.0% quarter-on-quarter, and 17.8% year-on-year in the first quarter of 2022 – significantly higher than long-term averages. However, with the tightening cycle that followed, these gains were wiped out, bringing values back to 2018 levels globally. While this correction has been significant, our research suggests that the real estate market may now be nearing a bottom, making it an opportune time for investors to consider this asset class.

Real estate has a long history of providing stable income returns and diversification benefits over the long term. It has also demonstrated its ability to offer strong returns during recovery periods. For example, after the early 90s recession, investors saw a 76% cumulative return over the next five years. Similarly, after the tech-wreck and the Global Financial Crisis, investors saw returns of 98% and 86% respectively over the following five years.

In the second quarter of 2024, global real estate values saw a moderate decline of only 0.74%, the lowest quarterly adjustment in the past two years. With offsetting income returns of 1.07%, global real estate achieved a positive total return of 0.33%, marking the first positive quarter since the second quarter of 2022.

Of the 15 global markets in the MSCI Global Property Index, a slight majority saw increases in real estate values for the first time since the second quarter of 2022. Eight markets, including Japan, South Korea, Singapore, Southern Europe, the Nordics, the Netherlands, France, and the UK experienced value increases from the prior quarter. Six markets saw value losses between 0.3% and 1.5%, all of which were lower than the losses seen in the first quarter of 2024. Only Australia recorded a larger write-down in the second quarter than in the first, with a 4.2% correction aligning valuations more closely with its peers.

However, changes in capital values are just one component of real estate returns. Historically, the larger component of total returns has been income. This trend underscores the importance of income returns in driving overall performance in the real estate sector, highlighting the need for investors to consider both capital and income aspects when evaluating real estate investments.

In the second quarter of 2024, total returns, which combine capital and income returns, were positive in 12 of 15 countries in the MSCI Global Property Index. They were flat in the US (-0.09%), slightly negative in Ireland (-0.22%), and significantly negative in Australia (-3.07%). The preliminary NCREIF ODCE Index (a capitalisation-weighted, gross-of-fee, time-weighted return index) data showed US total returns turning positive (0.25%). With values beginning to rebound, we expect this positive trajectory in total returns to continue.

Although fundraising for real estate investment globally shows signs of a rebound following two slow years, China and Japan may face challenges. In the third quarter of 2024, China and Japan accounted for 27% and 15% of the US$7.5 billion ($10.04 billion) in cross-border inflows in the Asia Pacific region. While Japan’s inflows mostly came from global sources, most of China’s came from within the Asia Pacific region, particularly from Hong Kong and Singapore. Both countries are facing high debt costs and other factors that may hinder a strong rebound in real estate capital inflows.

In recent years, interest in Chinese real estate from the West has dramatically declined due to geopolitical and economic concerns. Despite Beijing’s recent major stimulus package, interest is unlikely to return soon. The market has been stagnant due to price dislocation, geopolitical risk, and lack of liquidity. Since 2011, China has faced a property crisis exacerbated by the collapse of Evergrande. Due to these risks, many European investors are avoiding China and Hong Kong, regardless of potential returns. Additionally, China’s domestic property crisis persists, with high office vacancies and low rental yields, ongoing issues with failing developers, and government interventions.

Investing in a Singapore Condo requires careful consideration of financing. With a variety of mortgage options available, it’s important for investors to understand and navigate the Total Debt Servicing Ratio (TDSR) framework. This framework sets a limit on the amount of loan a borrower can take based on their income and existing debt obligations. To make informed decisions about financing, it’s crucial to work with financial advisors or mortgage brokers, who can help avoid over-leveraging. Staying informed about the TDSR and choosing the right financing options is essential for a successful investment in a Singapore Condo.

Meanwhile, while major property markets like the US have cut interest rates to boost investment, Japan remains an outlier. The broader Japanese property sector is losing allure due to interest rate policies and limited cap rate compression. In July 2024, the Bank of Japan raised its borrowing rates for the first time since 2007 to control inflation, reducing market attractiveness. This hike has prevented cap rate compression, meaning property prices have not risen, forcing real estate holders to rely on historically low-income yields.

However, the senior housing sector in Japan remains an attractive niche due to the country’s ageing population, with 29% aged 65 or over. These assets are small, requiring an amalgamation play by investors. Additionally, the purpose-built student accommodation (PBSA) market in Australia has enormous potential due to a significant housing shortage. Currently, only 20% of students in Melbourne and Sydney can be accommodated by universities, forcing the rest to seek private rentals. Moreover, real estate debt in Australia offers appealing risk-adjusted returns, with funding gaps in construction, and many developers struggling to secure bank financing. Sectors like logistics or PBSA, where we see long-term growth opportunities, are especially promising.

While there may still be bumps in the road, we believe the real estate market is beginning to look up, presenting excellent investment opportunities for savvy investors. However, this recovery may not lift all markets and property types equally. For instance, the US office market still faces significant challenges, and a broad recovery in that segment seems highly unlikely in the near term. This underscores the importance of research and selectivity when investing in real estate, as not all markets and property types will perform equally well.

In an uncertain economic and geopolitical environment, additional risks are inevitable, but this applies to all asset classes. Over the past two years, the weight of real estate in investors’ portfolios has significantly decreased due to resetting real estate values and a record stock market. Today, investors might consider fresh allocations to the private real estate market to achieve a strategic weighting. Over the long term, private real estate offers low correlations to other asset classes, strong income returns, and a degree of inflation-hedging. While there may be bumps in the road, we believe the market is beginning to look up, presenting excellent investment opportunities for savvy investors.…