Despite an uptick in interest over the last two months, property prices in Sentosa Cove remained depressed, with a 4,069 sq ft waterfront apartment at Seascape sold at a loss of almost S$4 million, reported The Straits Times.
Bought in 2010 by Dyna-Mac Holdings chairman and chief executive Lim Tze Jong for around S$12.8 million, the luxury apartment went for S$9 million last month, showed Urban Redevelopment Authority (URA) data.
It was sold to a foreigner after about six months on the market.
The $2,212 psf price achieved for the unit was an improvement from $1,524 psf price achieved for a similar unit earlier in the year. Located at the higher level of Seascape, the apartment was sold for S$6.2 million, which translated to an eye-popping loss of S$6.6 million given that it was acquired for S$12.8 million in June 2010.
Knight Frank revealed that it was the most red ink transaction out of the 16-loss making deals registered from April 2016 to 31 March 2017. In fact, only 11 of the 30 transactions involving Sentosa Cove properties notched up gains during the period.
“The property market is stirring but Sentosa is a very fickle market,” said Savills Singapore research head Alan Cheong.
“Prices have reached a point where they are close to the mid-tier market on the mainland, which is why interest is growing for Sentosa Cove properties.”
Alice Tan, head of consultancy and research at Knight Frank, noted that while most people are looking at Sentosa Cove, the area is not “a prime target compared with prime districts 9 and 10”.
This article was edited by Denise Djong.