Penthouse at UE BizHub City rakes in $2.2 mil profit

/ EdgeProp Singapore |

October 22, 2023 11:57 AM SGT

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Topping the list of most profitable resale transactions from Sept 26 to Oct 10 is the sale of a five-bedroom penthouse at UE BizHub City (formerly known as UE Square). The 3,089 sq ft unit, on the 18th floor, was sold for $6.28 million ($2,031 psf) on Oct 6. The penthouse had been purchased for $4.1 million ($1,327 psf) back in December 2009. As a result, the seller raked in a profit of $2.18 million (53%). This translates to an annualised gain of 3.1% over 14 years.

This also makes it the most profitable resale at the development to date. It leaps over the previous record which saw a 2,196 sq ft unit on the fourth floor transact for $4 million ($1,822 psf) in June 2018. The unit had been bought for $1.86 million ($849 psf) in April 2009. Thus, the seller reaped a profit of $2.14 million (114%), which translates to an annualised gain of 8.6% over nine years.

UE BizHub City is the flagship building of United Engineers (UE), a local real estate and development company which was acquired by Shanghai-based Yanlord Land Group in 2019. UE is now privatised, and is a unit of Yanlord Land.

Read also: Three-bedder at Hawaii Tower reaps $3.2 mil profit

The 3,089 sq ft unit, on the 18th floor, was sold for $6.28 million ($2,031 psf) on Oct 6 (Photo: Samuel Isaac Chua/EdgeProp Singapore)

UE BizHub City was completed in 1997. It is a mixed-use development that comprises an 18-storey office building with a four-storey shopping podium, as well as a pair of 18-storey residential blocks that house 345 units. A service road divides the mixed-use development, separating the office/commercial tower from the two residential towers.

The development is located in the Robertson Quay area, within a short walk of the eateries along Robertson Quay and Quayside. It is next to Fort Canning MRT Station on the Downtown Line; the station is connected to the Fort Canning hilltop park.

On average, residential prices at UE BizHub City have seen significant increases over the past few years. Based on resale caveats, the average price at the development is $1,986 psf, above $1,327 psf in October 2013. The average price was $904 psf back in October 2003.

Resale residential prices at UE BizHub City are also on a par with nearby residential projects, such as RV Point ($1,982 psf), Vivace ($2,181 psf) and Robertson Edge ($2,075 psf).

A 1,367 sq ft unit, on the 20th floor, fetched $3.02 million ($2,208 psf) on Sept 29 [Photo: Samuel Isaac Chua/EdgeProp Singapore]

The second most profitable transaction that occurred between Sept 26 and Oct 10 was the sale of a three-bedroom unit at The Chuan, a 999-year leasehold condo on Lorong Chuan. The 1,367 sq ft unit, on the 20th floor, fetched $3.02 million ($2,208 psf) on Sept 29. The unit had been bought for about $992,000 ($726 psf) in October 2006. Thus, the seller gained a profit of $2.03 million (204%), which translates to an annualised gain of 6.8% over 17 years.

This sale has set a new record profit at The Chuan. Previously, the record was held by a 2,594 sq ft unit, which was sold for $3.6 million ($1,388 psf) in November 2020. The unit had previously fetched $1.73 million ($667 psf) in May 2006. This resulted in a profit of $1.87 million (108%), or an annualised gain of 5.1% over 14 years.

The Chuan is a 106-unit condo which was completed in 2007 by local real estate group Kheng Leong Co. The condo is close to Lorong Chuan MRT Station on the Circle Line. Schools nearby include St Gabriel’s Primary School, Nanyang Junior College and Australia International School.

So far this year, only two resale transactions have been lodged at The Chuan. Apart from the Sept 29 transaction, a 1,281 sq ft unit on the ninth floor changed hands for $2.5 million ($1,952 psf) on July 31.

The three-bedroom unit, on the 37th floor, was sold for $3.15 million ($1,951 psf) on Sept 27 [Photo: Samuel Isaac Chua/EdgeProp Singapore]

On the other hand, the sale of a 1,615 sq ft unit at Marina Bay Suites was the most unprofitable transaction during the period in review. The three-bedroom unit, on the 37th floor, was sold for $3.15 million ($1,951 psf) on Sept 27. The unit was bought for $3.8 million ($2,357 psf) back in June 2010. Thus, the seller suffered a loss of about $656,000 (17%), which translates to an annualised loss of 1.4% over 13 years.

The latest transaction at Marina Bay Suites marks the seventh unprofitable resale at Marina Bay Suites so far this year, with losses ranging from $185,000 to $1.13 million. The greatest loss at Marina Bay Suites this year is for a 2,680 sq ft unit on the 25th floor, which was sold for $5.25 million ($1,959 psf) on April 10. That unit had been purchased for $6.39 million ($2,383 psf) in December 2009. This resulted in a loss of $1.13 million (17%), which translates to an annualised loss of 1.4% over 13 years.

There has been only one profitable transaction at Marina Bay Suites this year.

Marina Bay Suites is a 99-year leasehold development on Central Boulevard in the Marina Bay financial district. The 66-storey residential tower was a joint-venture project between Keppel Land, CK Asset Holdings (formerly Cheung Kong Property Holdings) and Hongkong Land. Completed in 2013, it has 221 units. Typical residences are three- and four-bedroom units ranging from 1,572 to 2,691 sq ft.

Check out the latest listings for Marina Bay Suites, The Chuan properties

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