11 Jul 2024
The Luxury Property Market 1H2024 Review & Outlook
Property Insight

Resilient 1H2024 Growth in CCR Non-Landed Property Market

In the first half of 2024, the non-landed property market in the Core Central Region (CCR) showed resilient growth despite a slight moderation in the second quarter. Prices in the CCR adjusted by 0.2% in 2Q2024, following a 3.4% increase in 1Q2024. Overall, non-landed prices in the CCR rose by 3.2% during the first half of 2024, significantly outpacing the 0.8% increase seen in the first half of 2023. This growth was likely driven by an increase in transactions at the $10 million and above price point, highlighting the robustness and potential of the non-landed property sector in the CCR.

Top-Selling New Project Launches in CCR for 1H2024

The best-selling new project launches in the CCR for the first half of 2024 included:

• 19 Nassim: Sold 35 units at a median price of $3,334 per square foot (psf).

• Watten House: Sold 33 units at a median price of $3,246 psf, attributed to its location in a sought-after Good Class Bungalow neighborhood.

• Klimt Cairnhill: Sold 32 units at a median price of $3,402 psf.

• One Bernam: Sold 16 units at a median price of $2,690 psf.

• Enchanté: Sold 9 units at a median price of $2,821 psf.

The scarcity of new project launches within the CCR has fueled a healthy level of interest among buyers and investors.

Skywaters Residences Leads High-Value CCR Launches in 1H2024

High-value new launch condominiums, particularly those priced at $10 million and above, saw notable transactions in 1H2024. Key developments included:

• Skywaters Residences: Achieved a record price of $47.3 million ($6,100 psf) for a unit, setting a new benchmark for luxury living.

• 32 Gilstead: Transacted three units at prices around $14.5 million.

• Watten House: Continued strong performance with units sold around $11.8 to $12.2 million.

These transactions underscore the enduring appeal of premium properties to wealthy foreign investors, with Skywaters Residences capturing significant interest due to its exclusive residential experience and prime location.

Underlying Presence of High-Value Resale Condo Transactions in 1H2024

The resale condominium market in 1H2024 also saw significant transactions, particularly those exceeding the $10 million threshold. Notable transactions included:

• The Ritz-Carlton Residences Singapore, Cairnhill: Two units sold for $16.5 million each ($5,397 psf).

• St Regis Residences Singapore: Sold a unit for $14 million.

• Hilltops, The Marq On Paterson Hill, Ardmore Park, and 3 Orchard By-The-Park: All saw high-value transactions.

These sales highlight the continued demand for luxury resale properties in prime locations.

Modest Increase in Foreign Purchases of Non-Landed Properties in 2Q2024

Foreign purchases of non-landed properties increased modestly in 2Q2024, rising from 21 units in 1Q2024 to an estimated 45 units. This marks the highest number of units purchased by foreigners since 2Q2023. Despite higher Additional Buyer's Stamp Duty (ABSD) rates, foreign buyers continue to be significant players in the property market, reflecting the enduring appeal of the CCR segment.

Outlook

The outlook for the CCR market in the second half of 2024 remains cautiously optimistic. The positive performance in the first half, coupled with high-value transactions and gradual growth in foreign buyer interest, suggests a resilient market. Upcoming projects like One Sophia/The Collective at One Sophia are expected to attract significant interest due to their prime locations and excellent accessibility. Investors and buyers are encouraged to stay attentive to market trends and emerging opportunities, particularly in high-value segments. The CCR's premium properties, with their strategic locations and exclusive amenities, are likely to maintain their attractiveness to both local and international buyers.

Click here for the full report 

Prepared By:

Mohan Sandrasegeran

Head of Research & Data Analytics

You may also like

Property Insight
28 Mar 2025
Retail Property Market 2025: Trends Shaping Investor Strategies

Singapore's retail landscape demonstrated resilience in 2024, underpinned by a sharp rebound in international visitor arrivals and strategic investor activity. Visitor arrivals surged by 21.5%, growing from 13.6 million in 2023 to 16.5 million in 2024, with strong contributions from Mainland China, Indonesia, and India. This growth was fueled by a robust calendar of high-profile events—including concerts by global artists like Taylor Swift, Ed Sheeran, and Coldplay, as well as the Formula 1 Singapore Grand Prix and Singapore Art Week—which bolstered tourism-related sectors like retail and hospitality.

Retail property transactions in 2024 moderated slightly, registering approximately 250 caveated transactions compared to 272 in 2023. Despite this moderation, District 7 (Middle Road/Golden Mile) emerged as the top-performing district with 52 transactions. This reflects investor confidence tied to the transformation of the Golden Mile Complex into The Golden Mile, integrating retail, office, and medical suites alongside the upcoming Aurea residential tower. Districts 14 (Geylang, Eunos) and 9 (Orchard, River Valley) followed with 35 and 32 transactions, respectively, underscoring demand for strategically located and historically stable commercial zones.

From a project perspective, Parklane Shopping Mall led with 12 transacted retail units, indicating sustained interest in older, strata-titled developments with flexible configurations. Far East Plaza and Sim Lim Square also recorded strong activity, each with 10 units transacted, appealing to niche businesses and tourist-centric trades.

Notably, City Developments Limited’s acquisition of Delfi Orchard for S$439 million highlighted institutional interest in Orchard Road’s rejuvenation. Other high-value deals included transactions along Irrawaddy Road, North Bridge Road, and Beach Road—signaling a preference for prime, high-footfall locations.

The leasing market also improved, with total retail rental value rising by 2.7% year-on-year from $254.5 million in 2023 to $261.2 million in 2024. Median rentals held firm across multiple regions, with the North and North-East regions commanding premium rates. Fringe and Central Areas also experienced rental recovery, reflecting sustained demand in key retail corridors.

Looking ahead to 2025, Singapore's retail sector is poised for continued growth. The Singapore Tourism Board projects 17.0 to 18.5 million visitors, generating up to $30.5 billion in tourism receipts. This optimism is supported by new attractions such as Illumination’s Minion Land at Universal Studios Singapore and the Disney Adventure Cruise Line, both expected to draw significant regional traffic.

Retail will also benefit from a vibrant MICE calendar, bringing in high-spending business travelers. Experiential retail, the integration of physical and digital commerce, and evolving consumer expectations will continue to shape leasing and investment trends. While external risks such as geopolitical uncertainties and macroeconomic fluctuations persist, the sector remains anchored by Singapore’s strong fundamentals, diversified tourism base, and investor confidence in well-located assets.

Click

here

for the full report 

Prepared By:

Mohan Sandrasegeran

Head of Research & Data Analytics

Email:

mohan@sri.com.sg

  

Property Insight
19 Mar 2025
GLS Tender Results: Bayshore Road Site Attracts Strong Developer Interest

Sing-Haiyi Garnet Pte. Ltd. secured the Bayshore Road residential site with a top bid of $658.9 million ($1,388 psf ppr), narrowly surpassing Sing Holdings Residential Pte. Ltd. by 0.8%. The tender attracted eight bidders, reflecting strong developer interest in this well-located site.

This marks the highest number of bidders for a non-EC GLS site since Jalan Tembusu in 2022, underscoring the continued demand for well-located private residential plots. The Bayshore precinct is undergoing major transformation, presenting an opportunity for developers to establish an early foothold in a future waterfront district.

The site’s strategic location enhances its appeal. It is close to Temasek Junior College, Temasek Secondary School, and the upcoming Bayshore MRT station on the Thomson-East Coast Line. Connectivity is further strengthened by the East Coast Parkway (ECP), providing easy access to the CBD and Changi Airport.

This land parcel is the first private residential site launched in the Bayshore neighbourhood, an area envisioned as a dynamic residential and community hub. The Urban Redevelopment Authority (URA) plans to integrate development with green spaces, places of worship, sports and recreational facilities, and educational institutions, fostering a holistic living environment.

The precinct's long-term potential likely contributed to the keen competition, with developers leveraging the First-Mover Advantage to set a benchmark for future developments. The Bayshore transformation began in October 2024 with the launch of two Build-To-Order (BTO) projects. This signals the evolution of Bayshore into a vibrant, well-integrated residential enclave with a blend of coastal living and urban convenience.

The site's proximity to a prestigious landed housing enclave provides an opportunity to attract potential upgraders. Homeowners in these exclusive estates may transition to new condominiums offering modern facilities, enhanced security, and a low-maintenance lifestyle. Additionally, a mature residential catchment could encourage existing homeowners to downsize or invest, further supporting demand.

Overall, this GLS tender reinforces Bayshore’s potential as a desirable residential district, offering connectivity, urban transformation, and investment potential. The strong bidding interest reflects developers’ confidence in the area's long-term value.

Click

here

for the full report 

Prepared By:

Mohan Sandrasegeran

Head of Research & Data Analytics

Email:

mohan@sri.com.sg

  

Property Insight
18 Mar 2025
February 2025 New Launches Drive Strong Developer Sales

Developers sold a total of 1,575 units (excluding ECs) in February, maintaining strong market momentum from January’s 1,083 private residential units transacted. This marks the second consecutive month of robust sales, driven by sustained demand for newly launched projects. The key contributors to February’s performance were Elta and Parktown Residence, the only two new launches, which played a pivotal role in sustaining buyer interest and driving sales.

The Outside Central Region (OCR) was the primary driver of sales, accounting for 92.2% of total private residential units (excluding ECs) sold, significantly surpassing the Rest of Central Region (RCR) at 6.2% and the Core Central Region (CCR) at 1.6%. This highlights the ongoing demand for mass-market homes, particularly in well-connected suburban locations offering attractive price points. The influx of new launches provided fresh options, stimulating activity in this segment.

GLS Supply Pipeline Strengthens Market Resilience

While new home sales transactions remain substantial, they align with market demand, reflecting measured absorption of available supply. With more project launches expected and an increase in Government Land Sales (GLS) sites, the market maintains a steady pace.

Most recent project launches originated from GLS sites, as collective sale activity has moderated. 

Best-Selling Projects in February

The top-selling project was Parktown Residence, which transacted 1,041 units at a median price of $2,363 psf. The strong response is attributed to Tampines' first fully integrated development, which seamlessly blends thoughtfully designed residences with a retail mall, MRT connectivity, and bus interchange access, transforming it into a self-sustaining lifestyle hub.

The second best-selling project was Elta, with 326 units sold at a median price of $2,538 psf. Its success stems from pent-up demand, as it is the first new residential project in the Clementi planning area since 2020.

Market Outlook: Sustained Momentum in 1Q2025

March is expected to sustain market momentum, supported by Aurelle @ Tampines, Lentor Central Residences, and Aurea. These new projects will drive continued buyer interest, reinforcing market resilience.

With the transition into 2Q2025, upcoming launches—including Arina East Residences, Marina View Residences, Artisan 8, and One Marina Gardens—are set to energize the market, providing new opportunities for homebuyers and investors while ensuring stability.

Click

here

for the full report 

Prepared By:

Mohan Sandrasegeran

Head of Research & Data Analytics

Email:

mohan@sri.com.sg