Unit at The Metz fetches $1.35 mil

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/ EdgeProp
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December 8, 2018 8:00 AM SGT
In the Somerset area, just off the prime Orchard Road shopping belt, transactions of one-bedroom units were seen at two developments on Devonshire Road. A 581 sq ft unit on the 11th floor of The Metz changed hands for $1.35 million ($2,323 psf) on Nov 23, the same price as that paid for the purchase in 2008.
Prior to the recent transaction, the unit had changed hands twice in sub-sales in 2007 and 2008: for $955,000 ($1,643 psf) and $1.35 million ($2,323 psf) respectively. The first buyer had purchased the unit from the developer in 2005 for $750,000 ($1,290 psf).
The Metz is a 169-unit freehold condominium developed by MCL Land. Launched in late 2004, the project was completed in 2007. It is located just across the road from the malls in the Somerset area and next to the entrance to Somerset MRT station. The project comprises a mix of studio units and one- to three-bedroom apartments ranging from 570 to 1,647 sq ft. There are three penthouses of 3,240 to 3,272 sq ft.
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A one-bedroom studio unit at The Metz was sold for $1.35 million ($2,323 psf) on Nov 23 (Pictures: Samuel Isaac Chua/The Edge Singapore)
As the project was developed more than a decade ago, before the global financial crisis, unit sizes are larger compared with some recently launched apartments in the city centre. After the global financial crisis, shoebox apartments became popular, as developers kept units small to ensure absolute prices were “bite size”, according to property agents.
Shoebox apartments were very popular with buyers in early 2009, following the launch of the 293- unit Alexis on Alexandra Road, where the majority of the units were one- and two-bedroom apartments that started from 388 sq ft and were priced from just under $500,000. Most of the units were snapped up within the first weekend of their launch, with many of the buyers being investors.
Developer EL Development also rode the wave of shoebox apartments with the launch of Illuminaire on Devonshire in April 2009. All 72 units in the project were snapped up within three days of its launch. Given the project’s prime location and higher psf price, one-bedroom units that started from 441 sq ft were priced from $750,000, while two-bedroom units of 635 sq ft were priced from $1.044 million. The average price achieved at the development was $1,700 psf.
Condominiums on Devonshire Road include The Metz and Illuminaire on Devonshire
A 441 sq ft unit at Illuminaire on Devonshire changed hands recently for $939,000 ($2,128 psf), according to a caveat lodged on Nov 23. The previous owner had purchased it at the launch for $753,000 ($1,706 psf) in May 2009. The project was completed in 2011.
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Dominic Lee, head of PropNex’s luxury sales team, expects such opportunistic buys at The Metz and Illuminaire Devonshire to be sporadic. “The recent cooling measures in July have stopped any potential speculative buying for smaller-sized residential units in the prime districts,” he says.