The Wharf Residence hits $1,624 psf

THE EDGE SINGAPORE

| BY CHERYL CHEAH |

The Mohamad Sultan and River Valley Road neighbourhood is once again in the spotlight as Capita-Land’s 186-unit The Wharf Residence in Tong Watt Road will soon be completed. The most recent recorded transaction at the 999-year leasehold development was for a two-bedroom, 1,076 sq ft unit on the 14th level that changed hands in a sub-sale for $1.75 million ($1,624 psf) last month. The original buyer paid $1.26 million ($1,172 psf) for the unit in
June 2009, hence realising a price gain of 38.6% in less than three years.

Earlier this year, a 1,442 sq ft unit on the fifth floor of one of the four high-rise towers at The Wharf Residence was sold for $2 million ($1,352 psf). The previous owner acquired the three-bedroom apartment for $1.56 million ($1,080 psf) three years ago and made a 25.2% gain.

The Wharf Residence contains 173 apartments in four towers and 13 conservation terraced houses. The apartments are a mix of two- to four-bedroom apartments, as well as five penthouses. The 13 terraced houses called the Vintage Collection have floor areasof 4,478 to 4,930 sq ft. During the launch in May 2009, 80% of the apartments were snapped up at prices ranging from $1,300 to $1,600 psf.

It’s not just The Wharf Residence that’s seeing interest. Investors have also been picking up units of other condominiums in the vicinity. Another condo that’s been popular with tenants and investors is the 302-unit
freehold Martin Place Residences by Frasers Centrepoint. A two-bedroom, 1,044 sq ft apartment on the fourth level of one of the two blocks changed hands on the secondary market a second time last month for $1.9 million ($1,820 psf). The first owner purchased the unit from the developer in May 2009 for $1.43 million ($1,373 psf) and
sold it for $1.67 million ($1,600 psf) a year later. Two floors below, a one-bedroom, 592 sq ft apartment was transacted for $1.2 million ($2,027 psf) in January.

Next door to The Wharf Residence is the 118-unit Waterford Residence by Hoi Hup Realty. The project with a 999-year leasehold was completed in 2010. A 1,647 sq ft penthouse was recently sold for $2.14 million ($1,299 psf), according to a Feb 28 caveat lodged with URA Realis. The seller paid $2.02 million ($1,224 psf) for the unit when the project was launched in April 2007.

Last December, a smaller 1,044 sq ft, three bedroom apartment on the seventh floor of Waterford Residence fetched $1.61 million ($1,542 psf), which was near the record price of $1,756 psf achieved in June last year. That was the third time the seventh floor unit had changed hands. The original owner purchased the unit from the developer for
$1.36 million ($1,304 psf) in May 2007 and sold it two years later for $1.39 million ($1,329 psf).

Even the older condos in the neighbourhood have been seeing a pick-up in activity on the resale market. “Given that
this is a prime district 9 address, condo units here are seeing more activity as they are seen to be more affordable compared with those in the Grange Road-Paterson Road neighbourhood, where asking prices are generally in the $3,000 psf range,” says Nancy Wong, senior marketing director of ERA Realty.

In the River Valley neighbourhood, the 606-unit Aspen Heights by the former DBS Realty (now CapitaLand) has seen a spike in buying interest. This is significant as it was launched in the previous property boom of the mid-1990s. The most recent transaction took place last month when an 883 sq ft unit on the third level of one of the blocks was sold for $1.3 million ($1,473 psf). The owner purchased the unit in mid-1996 for $1.215 million ($1,377 psf). Prior to that, there were five transactions of larger units in December, with prices ranging from $1,410 to $1,599 psf. Most of the sales were done just before the imposition of the additional buyer’s stamp duty on Dec 8.