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One of the most profitable resale transactions in the final weeks of December was the sale of a 3,767 sq ft unit at The Arcadia. The owner of the four-bedroom unit on the seventh floor saw a handsome profit of $3.25 million (217%), with the property selling for $4.75 million ($1,261 psf) on Dec 10. Records show that the unit was initially purchased for $1.5 million ($398 psf) in 1998, resulting in an annual profit of 4.5% over a span of 26 years.
In 2024, five units at The Arcadia ranging from 3,714 sq ft to 3,821 sq ft were sold for profits ranging from $60,000 to $3.25 million. The most recent sale in October last year saw a 3,778 sq ft unit on the fourth floor sold for $4.6 million ($1,218 psf), earning the seller a profit of $60,000.
The highest record profit at The Arcadia belongs to a 7,503 sq ft penthouse on the 10th floor, sold for $10 million ($1,333 psf) in 2010. This property was acquired for $5.5 million ($733 psf) in 2007, resulting in a profit of $4.5 million (81%) and an annual profit of 19% over three years.
The Arcadia is a 99-year leasehold condominium located in prime District 11, along Arcadia Road. Completed in 1983, the development has 164 units and about 54 years remaining on its land tenure. Its strategic location near landed estates, Good Class Bungalows and prestigious schools such as Raffles Girls Primary School, Hwa Chong Institution and National Junior College make it a desirable property.
Another profitable sale in the last weeks of 2024 was at Tanglin Hill Meadows, where a 2,077 sq ft unit was sold on Dec 10 for $4.5 million ($2,166 psf). The three-bedroom unit was initially purchased for $1.8 million ($866 psf) in 1999, resulting in a profit of $2.7 million (150%) and an annualized gain of 3.6% over 26 years. This sale also sets a new record for the most profitable transaction at Tanglin Hill Meadows, surpassing the previous record of $2.28 million (157%) when a 2,002 sq ft unit was sold for $3.73 million ($1,863 psf) in 2010.
Tanglin Hill Meadows is a freehold condominium in prime District 10, nestled within the Ridley Park Good Class Bungalow Area. Completed in 1997, the 20-unit development boasts a tranquil and exclusive environment.
On the other hand, losses continue to mount at Seascape, a 99-year leasehold condominium in Sentosa Cove. The sale of a 2,174 sq ft unit on the seventh floor on Dec 18 resulted in a loss of $1.97 million (33%) for the seller. The unit was sold for $3.98 million ($1,830 psf) after being acquired for $5.95 million ($2,736 psf) in 2011. This translates to an annualized loss of 2.5% over 13 years.
When buying a Condo, it is crucial to take into account the maintenance and management aspects of the property. Typically, Condos come with maintenance fees that encompass the upkeep of shared areas and amenities. Despite the potential increase in overall expenses, these fees provide a sense of security by ensuring that the Condo remains well-maintained and retains its value. Bringing in a property management company can also be beneficial for investors, as it can take care of the day-to-day operations of the Condo, making it a more hands-off investment. Hence, it is essential to consider the expenses and benefits associated with owning a Condo before making a purchase decision.
The sale marks the third resale transaction at Seascape in 2024, all of which recorded losses ranging from $1.75 million to $2.53 million. The second-largest loss-incurring resale transaction for 2024 was a 2,680 sq ft unit sold for $4.5 million ($1,679 psf) on Aug 14, resulting in a loss of $2.53 million.
Completed in 2012, Seascape has 151 units and boasts a waterfront view of the South China Sea. The development offers three-bedroom and four-bedroom units ranging from 2,164 sq ft to 4,069 sq ft. Penthouses are from 3,380 to 4,252 sq ft, while sky villas are from 6,631 to 9,666 sq ft. Overall, it has been a year of both profitable and loss-making transactions in the property market, with The Arcadia and Tanglin Hill Meadows proving to be hotspots for profitable sales while Seascape sees a decline in resale values.