Five Regent Court units sold for more than $650 psf

There was a flurry of transactions at the 25-year-old Regent Court recently. The 49-unit freehold condominium failed to sell en bloc for $34 million, or $528 psf, after it surfaced last December that the stamp duty for the en-bloc sale agreement in 2007 had not been paid by Regent Development, a nominee of Landquest Pte Ltd. Earlier, some owners also opposed the deal as they claimed that the sales proceeds could not cover their purchase price.

As it turns out, the failed en-bloc deal has enabled owners to ride on the recent rise in property prices. In particular, Regent Court has benefited from the strong take-up rate of new mass-market projects like Airstream @ St Michael’s Road. Property buyers who had come to view Airstream’s showflat would have driven past Regent Court, which is located along Serangoon Road, the main road leading to St Michael’s Road. In August, all 70 units at Airstream, which is developed by Millennium Homes, were sold within day, via balloting at an average price of $1,100 psf. Nearby, developments such as St Michael Regency, One St Michael’s and yet-to-be-completed Beacon Heights have been sold for an average of $800 psf this year, although latest sales saw some units breach $900 psf.

Regent Court, which is located near the Boon Keng MRT station, has had a total of eight transactions from August to Sept 25, according to caveats lodged with URA Realis. Only three units changed hands over the seven years before 2007.

For the period of Sept 18 to 25, there were five transactions priced from $670 to $707 psf. For instance, a 1,108 unit on the eighth floor went for $780,000, or $704 psf.

With prices breaching the $650 psf level, several homeowners were able to sell at a profit. For instance, a 1,528 sq ft unit on the third floor went for $1.08 million, or $707 psf. The original owner had purchased it for $805,000, or $527 psf, in 1997. In August, a 968 sq ft unit on the sixth floor was sold for $700,000, or a high of $723 psf. The original owner had purchased it for only $555,000, or $573 psf, in 1995.

A property agent, who recently sold a unit at Regent Court, notes that demand for mass-market projects with good amenities remains strong.

Source: The Edge, 19 Oct 2009