DEAL WATCH: The Arc at Draycott unit selling below $2,000 psf

By Tan Chee Yuen / The Edge Property | November 4, 2016 11:31 AM SGT
The twin 36-storey towers of The Arc at Draycott are located on Draycott Drive and Ardmore Park. The freehold project by niche developer BS Capital was completed in 2008 and contains a mix of two- to four-bedroom units as well as penthouses.
A 1,130 sq ft, two-bedroom unit at The Arc at Draycott is on the market for $2.24 million ($1,982 psf). The unit is vacant, according to Linda Ong, a realtor with PropNex Realty, who is marketing the property.
The two most recent deals at The Arc at Draycott this year also involved 1,130 sq ft two-bedroom units: One was on the fifth floor and fetched $2.15 million ($1,902 psf) in March; the other, on the eighth floor of the same tower, was sold in May for $2.25 million ($1,991 psf).
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Prices at The Arc at Draycott have fallen to the levels of 2005/06, when the project was launched
The asking price of the 1,130 sq ft two-bedder put up for sale recently is in line with the market, says Ong. Prices have softened since the peak of the market in July 2007, when a 1,270 sq ft, three-bedroom unit on the 19th floor was sold for $3,000 psf, or $3.81 million.
Prices have fallen below $2,000 psf since the start of 2015. That year, a two-bedder was sold for $2.2 million ($1,947 psf) in January, and a 1,270 sq ft three-bedder fetched $2.43 million ($1,913 psf) in May, according to caveats lodged. This means prices have fallen to the levels of 2005/06, when the project was launched. Monthly rental rates for two- and three-bedroom units at The Arc at Draycott have averaged $4,717 over the past six months. This means a gross rental yield of 2.6%, based on the latest asking price.
For more information, call marketing agent Linda Ong at 9692 9111.
This article appeared in The Edge Property Pullout, Issue 753 (Nov 7, 2016) of The Edge Singapore.