Average price of luxury condos in 2022 dips 7% y-o-y

These developments will likely contribute to the luxury Bukit Batok EC condo market in 2023. On the other hand, the 872-unit Marina One Residences by M+S Pte Ltd, a joint venture between Temasek Holdings and Khazanah Nasional Berhad, is expected to be completed in early 2023.

In 2022, there was a marked decrease in the number of penthouse deals compared to the year prior, due to the lack of new luxury projects being launched. Seven of the top 10 most expensive luxury condo deals by psf price in 2022 were at Les Maisons Nassim. These three deals included a 22nd floor unit at Boulevard 88 ($4,924 psf), a third-floor unit at The Nassim ($4,915 psf) and a 17th floor unit at Ardmore Park ($4,881 psf).

In 2021, the top 10 condo deals were dominated by Les Maisons Nassim, with four of the deals, and Park Nova penthouses, with the other three. The remaining three of the top 10 deals were the super penthouse at CanningHill Piers ($5,360 psf), Eden ($6,024 psf, which was also the second highest in psf terms last year) and Klimt Cairnhill ($5,309 psf).

According to Han Huan Mei, director of research at List Sotheby’s International Realty, the average size of the top 10 transactions in 2022 was 2.4% smaller than those in 2021. Furthermore, the average price per unit of the top 10 transactions in 2022 was about 4% lower than the average price in 2021. The average psf price for the top 10 luxury condo transactions in 2022 was 6.7% lower than that achieved in 2021, attributed to the higher price points of new luxury condominium projects launched last year.

The biggest condo deal on a psf basis in 2021 was the 7,500 sq ft super penthouse at Les Maisons Nassim that was sold for $75 million or $6,210 psf in October 2021. The second biggest penthouse at Les Maisons Nassim, at 12,066 sq ft, sold for $59.77 million in March 2022 and made it the second biggest deal based on absolute price, at $4,953 psf. The penthouse was the lowest psf price transacted at Les Maisons Nassim since Shun Tak Holding launched the project in May last year, and was ranked seventh among the top 10 on a psf basis this year.

The smallest penthouse at Les Maisons Nassim, sized at 11,227 sq ft, fetched $68 million in October this year, at a psf price of $6,057. This was the highest condo deal in 2022 on a psf basis.

The resale market of luxury condos in 2022 also saw soaring prices, with three of them making it to the top 10 list. The $4,881 psf achieved by the unit at Ardmore Park in July 2022 was the highest psf price achieved in the 330-unit freehold condominium development, which was launched in June 1996 and completed in 2001.

At The Nassim, a 4,069 sq ft, four-bedroom unit on the third floor of the five-storey, low-rise development was sold for $20 million in May this year, at a psf price of $4,915. This was a record price for the 55-unit luxury condo completed in 2015, and was described by List Sotheby’s Han as “a record high for a non-penthouse unit in the development.”

At Boulevard 88, a 2,799 sq ft, four-bedroom unit on the 22nd floor of the 28-storey, luxury residential twin towers was sold for $13.78 million ($4,836 psf) in December. This was a sub-sale, with the previous owner purchasing the unit in July 2019 for $10.32 million ($3,688 psf).

Recognising the demand for large units, some developers are prepared to offer selected units for sale to those who intend to amalgamate them or for family members who want to live close to each other in the same condo. This was seen at the 54-unit Park Nova by Shun Tak Holdings and the 558-unit Midtown Modern, where developer GuocoLand launched a Sky Bungalow Collection in July this year.

At Park Nova, two four-bedroom units on the third and fourth levels with a combined strata area of 4,413 sq ft were sold for $20 million ($4,532 psf) in August 2022. The buyer is a Singaporean who intends to amalgamate the two units into a duplex.

Another two 1,432 sq ft, three-bedroom units on the 10th and 11th floors of Park Nova were sold for $6.434 million ($4,494 psf) and $6.504 million ($4,541 psf), respectively, at the end of November, according to URA Realis. These were purchased by family members who want to live close to each other.

At Midtown Modern, six pairs of units were launched for sale under the Sky Bungalow Collection in July 2022. The first units sold were two 1,808 sq ft, four-bedroom units on levels 29 and 30 that fetched $17 million, at $4,700 psf. This was the highest psf price in the development to date. In August, a 1,808 sq ft four-bedroom unit on the 11th floor of Midtown Modern and another 1,808 sq ft unit on the 12th floor were purchased for $4.72 million ($2,610 psf) and $4.76 million ($2,632 psf) respectively. These units were said to be purchased by family members who wanted to live close to each other, and were not part of the Sky Bungalow Collection.

Looking ahead, a number of mixed-use developments with high-end residences in the downtown area of the Core Central Region (CCR) are scheduled for launch in 2023. This includes the redevelopment of the 200-unit 8 Shenton Way (former AXA Tower) by a consortium led by Perennial Holdings and Alibaba Group, which is poised to be the tallest skyscraper in Singapore. Another is the 246-unit Newport Residences (former FujiXerox Towers) by City Developments Ltd. On the other hand, the 872-unit Marina One Residences by M+S Pte Ltd, a joint venture between Temasek Holdings and Khazanah Nasional Berhad, is expected to be completed in early 2023. List Sotheby’s Han comments that these projects “may offer penthouses with high price tags”

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