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Jardin sees another loss-making transaction

By Esther Hoon

/ The Edge Property |

October 28, 2016 10:15 AM SGT

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The week of Oct 11 to 18 saw the ninth consecutive unprofitable deal at Jardin. The seller incurred a loss of $524,250 from the transaction. He had purchased the 1,130 sq ft unit from the developer in September 2010 at $1,897 psf and resold it at $1.62 million, or $1,433 psf, on Oct 13. The annualised loss works out to 5%. All resale transactions at the project since 2015, where the previous caveats can be traced, have been unprofitable. The biggest loss recorded in the project was from a 1,808 sq ft unit, which incurred a loss of $1.44 million in March this year. Jardin is a 140-unit freehold condominium on Dunearn Road near Bukit Timah Plaza that was completed in 2012.

A 1,130 sq ft unit at Jardin was sold at a loss of $524,250 on Oct 13

Over at Cyan, a freehold condo in prime District 10, a 1,658 sq ft unit was sold at a loss of $497,000 on Oct 13. The seller paid the developer $2,472 psf for the unit in September 2010, a price in the top 3% at the project historically. The unit was resold at $3.6 million, or $2,172 psf. In November 2015, another 1,658 sq ft unit at the project was resold at $1,872 psf. The transaction resulted in a loss of $935,000 for the seller, the biggest loss recorded in the project. Of the four transactions concluded at the project so far this year, two were profitable.

The top gain of $3.27 million in the week of Oct 11 to 18 accrued to a 3,111 sq ft unit on the 22nd floor of Yong An Park, a 288-unit freehold condo on River Valley Road in prime District 9. The unit was held for nearly 18 years before it was resold at $5.2 million, or $1,672 psf. It was previously purchased in February 1999 at $620 psf. The annualised gain works out to 6%. This marks the second profitable deal at the project this year. In September, a 1,023 sq ft unit on the second floor netted a $265,000 profit after being held for seven years.

Separately, in the landed housing segment, a terraced house on Charlton Lane fetched a toppish $3.1 million, or $2,035 psf on land area, on Oct 18 after being held for slightly over a year. The transaction reflects an 88% gain, or $1.45 million. The seller had purchased the property at just $1.65 million, or $1,083 psf, last year. The property sits on a 1,528 sq ft freehold plot. Including a seller’s stamp duty of $372,000 payable, the profit works out to $1.08 million. This is the first landed house on Charlton Lane that crossed the $2,000 psf mark. The hefty price gain, however, may be partly attributed to the ongoing refurbishment of the property into a three-storey house with an attic and basement.

Meanwhile, two 99-year leasehold, strata-terraced house in The Shaughnessy in Yishun found buyers in the week of Oct 11 to 18. The bigger profit of $554,340 accrued a 3,283 sq ft terraced house that was purchased more than a decade ago, in November 2005, at $242 psf. The unit was resold at $1.35 million, or $411 psf, on Oct 12, for an annualised gain of 5%.

The smaller profit amounted to $130,000, or an annualised gain of 1% over eight years. The seller, who purchased the property in May 2008 at $368 psf, resold it at $1.35 million, or $407 psf, on Oct 14. Only four of the 182 resale transactions at The Shaughnessy so far this year, where the previous caveats could be traced, were unprofitable. The four properties were purchased in 2011 and 2012 from the resale market. Only one property purchased between 2011 and 2012 was resold at a profit, which amounted to $50,000.