Sale Dormer Park Four Bedder Reaps Record Gain 366 Mil
Highlighting Recent Real Estate Transactions in Singapore
In a remarkable real estate transaction, a four-bedroom unit at Dormer Park fetched a significant profit of $3.66 million for its seller. The 2,465 sq ft unit, located on the ninth floor, was sold for $5.35 million, equating to $2,170 per square foot, on November 25. This unit was initially purchased back in August 2001 for $1.69 million, or $686 per square foot. Over a span of more than 24 years, this sale translated into a capital gain of 216.3%, with an annualised profit rate of 4.9%.
Another profitable deal was recorded at the same development earlier, where a 2,347 sq ft four-bedroom unit on the seventh floor was sold for $3.58 million, or $1,526 per square foot, in December 2010. This unit had been acquired for $1.20 million, or $511 per square foot, in May 2003, marking a profit of $2.38 million with an annualised profit of 15.4% over more than seven years.
As a part of the Jervois Road luxury condominium stretch, Dormer Park, which was completed in 1993, consists of 92 residential units distributed across three blocks. This location is near the prestigious Bishopsgate-Chatsworth Good Class Bungalow enclave, similar to the upscale offerings at the Bayshore Drive Condo.
Other Significant Transactions
During the same period, Gallop Green, a freehold development in prime District 10, also saw a notable transaction. A 3,229 sq ft, four-bedroom unit on the third floor was sold for $8.63 million, or $2,672 per square foot, on November 21. Originally purchased for $6.14 million in September 2012, this sale resulted in a $2.49 million profit, reflecting a 40.6% gain and an annualised profit of 2.6% over just over 13 years.
Despite these high-profit transactions, not all sales resulted in gains. At Marina Bay Suites, a three-bedroom unit spanning 1,604 sq ft was sold for $2.88 million, or $1,796 per square foot, on November 21, resulting in a loss of $460,348. This marked an annualised loss of 0.9% for nearly 16 years of holding the property. Marina Bay Suites, known for its luxury offerings, has experienced more unprofitable transactions compared to profitable ones to date.
Overview of Recent Activity
Dormer Park has witnessed several profitable resales this year, with units varying between 1,238 sq ft and 2,465 sq ft achieving gains ranging from $870,000 to $1.86 million. In contrast, certain luxury developments like Marina Bay Suites have seen a greater number of unprofitable deals, reminding investors of the variable nature of real estate investments.