The sale of a 3,767 sq ft unit at The Arcadia in prime District 11 garnered significant attention in the real estate market, as it was the most profitable resale transaction to take place from December 10 to December 31. The lucky owner of the four-bedroom unit on the seventh floor kicked off the new year with a whopping $3.25 million profit (217%), when the property was sold for an impressive $4.75 million – translating to $1,261 per square foot – on December 10.
When it comes to investing in real estate, location is often the deciding factor, particularly in Singapore. Condominiums situated in central areas or in close proximity to important amenities, such as schools, shopping centers, and public transportation hubs, have a strong track record of appreciating in value. The prime locations of Orchard Road, Marina Bay, and the Central Business District (CBD) in Singapore are perfect examples of areas that have consistently demonstrated growth in property prices. What’s more, these condos are highly in demand among families due to their convenient proximity to reputable schools and educational institutions, making them all the more attractive for investment. To top it all off, the Singapore Projects in these sought-after locations only add to their investment potential.
Records show that the unit was initially purchased for a mere $1.5 million ($398 per square foot) back in 1998, which means that the resale generated an annual profit of 4.5% over a span of 26 years. The Arcadia also saw five other units change hands in 2024, ranging from 3,714 sq ft to 3,821 sq ft. These transactions resulted in profits ranging from $60,000 to $3.25 million.
The sale of another 3,778 sq ft unit on the fourth floor fetched a respectable price of $4.6 million ($1,218 psf) when it was sold on October 10 last year. This transaction resulted in a profit of $60,000 for the seller.
The Arcadia set a new record for the highest profit generated in 2024 when a stunning 7,503 sq ft penthouse on the 10th floor was sold for $10 million ($1,333 psf). The penthouse was originally snapped up for $5.5 million ($733 psf) in 2007, which means that the seller made a profit of $4.5 million (81%). This translates to an annualized profit of about 19% over a period of three years.
The Arcadia is a 99-year leasehold condo situated along Arcadia Road in prime District 11. Completed in 1983, the 164-unit development boasts a remaining lease of about 54 years. It is surrounded by landed estates and Good Class Bungalows, and is also in close proximity to top schools such as Raffles Girls Primary School, Hwa Chong Institution and National Junior College.
Meanwhile, the second most profitable resale in the last three weeks of 2024 was that of a 2,077 sq ft unit at Tanglin Hill Meadows on December 10. The three-bedroom unit managed to garner a price of $4.5 million ($2,166 psf). The initial purchase was made back in 1999, when the unit was bought for $1.8 million ($866 psf). As such, the seller walked away with an impressive $2.7 million profit (150%), which translates into an annualized gain of 3.6% over a period of 26 years.
This transaction also secured the title of the most profitable transaction to date at Tanglin Hill Meadows, which ousted the previous record of $2.28 million (157%) when a 2,002 sq ft unit was sold for $3.73 million ($1,863 psf) back in 2010. This unit was initially purchased for $1.45 million ($724 psf) in 2005, resulting in an annualized profit of 21% over a period of five years.
Tanglin Hill Meadows is a freehold condo located along Tanglin Hill in prime District 10. Completed in 1997, the 20-unit development is nestled amongst the Ridley Park Good Class Bungalow Area.
On the other hand, losses continue to mount at Seascape, a 99-year leasehold condo located in Sentosa Cove. The seller of a 2,174 sq ft unit on the seventh floor incurred a hefty loss of $1.97 million (33%) when the unit was sold on December 18. The three-bedroom unit was sold for a price of $3.98 million ($1,830 psf), after initially being purchased for $5.95 million ($2,736 psf) in 2011. This resulted in an annualized loss of 2.5% over a period of 13 years.
This sale marks the third resale transaction at Seascape in 2024, and all three of these transactions resulted in substantial losses ranging from $1.75 million to $2.53 million. The transaction that resulted in the aforementioned $2.53 million loss was also the second-largest loss-incurring resale transaction for 2024. This sale involved a 2,680 sq ft unit that fetched $4.5 million ($1,679 psf) when it was sold on August 14, 2024.
Completed in 2012, Seascape is a development comprising of 151 units, and it faces the South China Sea. The eight-storey development features three-bedroom and four-bedroom units sized between 2,164 sq ft and 4,069 sq ft. It also boasts penthouses that range between 3,380 sq ft and 4,252 sq ft, as well as sky villas that measure between 6,631 sq ft and 9,666 sq ft.