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Unit at The Oceanfront sold at 10-year low of $1,150 psf
By Tay Hock Meng | March 24, 2016
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A 1,647 sq ft, three-bedroom unit on the first level of one of the blocks at The Oceanfront @ Sentosa Cove changed hands for $1.89 million, according to a caveat lodged on March 2. That translated to $1,150 psf, the lowest resale price since 2006, when the high-end project was launched at $1,300 to $1,350 psf. The previous owner purchased the unit for $2.09 million ($1,270 psf) in a sub-sale in September 2008 when the global financial crisis struck.

 

The 264-unit The Oceanfront was launched in 2006. It was fully sold and completed in 2010. 

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The unit had been on the market for the past year, with asking prices in the range of $1,200 to $1,300 psf, according to Bruce Lye, managing partner of SRI5000, a division of SLP International. The price is “fair”, as it reflects the fact that the unit does not have seafront views, but instead faces an electrical substation, he says. The unit is currently rented out at $4,800 a month, with the lease expiring in October. Based on the sale price, the gross rental yield is about 3%.

The 264-unit The Oceanfront was developed jointly by City Developments and TID. It was fully sold and completed in 2010. The 99-year leasehold, high-end project contains nine blocks, with the tallest tower being 15 storeys, and is located at the mouth of the marina. Units at The Oceanfront are said to be a mix of two-bedroom units of 1,216 sq ft to four-bedroom units of 4,284 sq ft. Penthouses are from 4,585 to 8,095 sq ft.



The price of $1,150 psf at The Oceanfront is also the lowest transaction recorded in Sentosa Cove since last December, when a 3,057 sq ft penthouse at The Berth by the Cove changed hands for $3.2 million ($1,047 psf). The sale of the penthouse was considered “an urgent sale”, as the owner had wanted to cash out to reinvest elsewhere, say marketing agents.

The Berth by the Cove was the first condo at Sentosa Cove to be launched for sale in November2004, and average prices then were $850 psf. The 200-unit development was completed in 2006. At Marina Bay Residences, a 980 sq ft, two-bedroom unit on the fourth floor of the 55-storey residential tower was sold for $2.38 million ($2,430 psf), according to a caveat lodged on March 4. The unit last changed hands for $2.39 million ($2,438 psf) in 2011.

The 428-unit, 99-year leasehold condo located at Marina Bay was launched at end-2006 and sold out within three days. It was completed in 2010. Itis part of Marina Bay Financial Centre, a giant mixed-use scheme with three office towers and a basement retail mall linked to the MRT stations. The consortium for the development is Keppel Land, Hongkong Land and CK Hutchison Holdings.

 

This article appeared in the City & Country of Issue 720 (March 21, 2016) of The Edge Singapore. 


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