SC Global Developments, an upscale developer, has reportedly sold six flats at its Seven Palms at Sentosa Cove condominium for $3,100 per square foot to $3,400 per square foot – record-setting prices for the upmarket waterfront residential district.
The three and four-room flats were transacted at approximately $9 million to $15 million apiece on a lump sum basis.
All the flats in the four-storey project will be facing either the Tanjong Golf Course at Sentosa Golf Club or Tanjong Beach.
According to reports, Singaporeans picked up two out of the six flats recently sold while Singapore permanent residents bought the remaining four.
Market watchers think that SC Global is possibly looking at approximately $3,500 per square foot as the average price for the units at Seven Palms at Sentosa Cove. The condominium will have only 41 units.
The standard sizes of the apartment are between about 2,750 square feet and 6,500 square feet.
It is understood that the largest flat in the 99-year lease development, a penthouse measuring 8,000 square feet, is priced at approximately $25 million to $30 million.
Before this, the peak median price reached by a Sentosa Cove condominium developer was $2,734 per square feet at Marina Collection which was developed by Lippo Group. Marina Collection was released in the later part of 2007.
The peak price for a flat in that project was $2,917 per square feet, for a flat in the fourth floor that was sold at over $9.8 million some time in December 2007.
Property analysts were mostly not surprised because of the record-setting price achieved at Seven Palms given the condo’s unique positioning.
”This will be the only condo on Sentosa Cove with direct access to a beach. And SC Global has established a track record of being able to command a premium to the market for its project,” noted Joseph Tan, an executive director at CB Richard Ellis.
”We’re seeing big-ticket transactions coming back to the market. For example, there are more of the $4.5 million to $12 million per apartment deals again as the bottom-up property recovery spreads to the luxury residential sector,” Tan added.
Kerry Hill Architects, the designers of several Aman resorts, designed Seven Palms.
SC Global acquired the 113,797-square-foot plot, a site that went by the Beachfront Collection when it was marketed, during a tender by Sentosa Cove Private Limited (SCPL) that closed some time in July 2007.
The top bid, amounting to $268.3 million, was calculated at about $1,800 per square foot per plot ratio. Presuming a breakeven cost of nearly $2,400 per square foot, SC Global will be gaining a pre-tax profit of over $170 million from the project.
The site has a 1.31 plot ratio and its height limit is four storeys. The maximum total number of units set by SCPL, the master planner for the district, is 88. SC Global, however, opted to construct less than half of the maximum number, but with larger units.
All ground-floor units and penthouses have their own swimming pool each and every flat in the condo has a private lift. The projects neighbouring residences are bungalows.