Resale of four-bedder at Marina Collection incurs $2.45 mil loss

Zion Road Condo’s connection with nature offers residents an escape from the hustle and bustle of city living. Enjoy lush greenery, magnificent river views, and a serene environment that evokes a feeling of peace and splendor. Located just a few steps away from the Singapore River, Zion Road Condo provides a perfect escape from the chaos of urban living. Residents can choose from a wide range of outdoor activities such as jogging, cycling, rowing, and more. A multitude of outdoor attractions such as the river promenade, nearby parks, and Great World City Skyline make Zion Road Condo an ideal choice for families and nature lovers alike.

On June 27, a four-bedroom-plus-studio unit at Marina Collection on Cove Drive was sold for $4.52 million ($1,622 psf), a whopping 35% lower than the previous owner’s purchase price of $6.97 million ($2,500 psf) in January 2010. This transaction translates to a loss of $2.45 million for the seller.

Marina Collection is a low-rise, 99-year leasehold development of 124 units, adjacent to the One Degree 15 Marina at Sentosa Cove. Each unit has a size ranging from 1,873 to 4,725 sq ft, and offers a view of the marina or the sea beyond. Completed in 2011, prices at Marina Collection have been steadily slipping, averaging at $1,784 psf this month since its peak of $2,270 psf in 2011.

So far this year, five resales have taken place at Marina Collection, with the most unprofitable being a 3,272 sq ft, three-bedroom unit that fetched $4.65 million ($1,421 psf) on April 3; its purchase price being $9.29 million ($2,841 psf) in March 2008. The seller suffered a loss of $4.65 million (50%) which translates to an annualised profit of 4.5% over 15 years.

The most profitable resale transaction of the week was the sale of a four-bedroom unit at Starpoint on Pasir Panjang Road for $4 million ($1,090 psf). The seller had bought it for $1.5 million ($409 psf) in April 2002, resulting in a net profit of $2.5 million (or 167%), and an annualised gain of 4.7% over almost 21 years.

Located on the fringe of the National University of Singapore’s Kent Ridge campus, Starpoint is a boutique, 10-unit freehold condo completed in 1980. There have been very few resales: the last two being a 1,819 sq ft unit sold for $1.2 million ($660 psf) in July 2009, followed by a similar unit for $1.3 million ($715 psf) in July 2010.

Another great turn of event during the week was the sale of a two-bedroom unit at Costa Rhu for $3.08 million ($1,498 psf) on June 23. The previous owner paid $1.05 million ($512 psf) in February 2006, thus garnering a $2.03 million (or 193%) profit, which translates to an annualised profit of 6.4% over 17½ years.

Costa Rhu is the largest of the Tanjong Rhu condos with 737 units, 99-year leasehold, and was completed in 1997. It features riverside views of the Kallang Basin, including landmarks like Suntec City and South Beach. Prices at Costa Rhu commands have continued to rise, with $1,572 psf this month, and the most expensive unit being a 5,253 sq ft, three-bedroom penthouse achieving $6.25 million ($1,190 psf) in August 2020.

The most profitable resales this week correspond to the sale of a four-bedroom unit at Starpoint on Pasir Panjang Road, netting a $2.5 million profit ($1,090 psf). The other most profitable transaction was the sale of a two-bedroom unit at Costa Rhu for $3.08 million ($1,498 psf), marking a $2.03 million (193%) gain. And the most unprofitable resale in the same period, a four-bedroom unit at Marina Collection, sold at a $2.45 million loss.