Mr Chua and his family, who reside in Hong Kong, were one of the first 25 buyers at Draycott Eight, a luxurious private condominium with 136 units which was launched at the end of 2005. According to the caveat lodged, the Chua family purchased a 14th-floor unit with four bedrooms and 2,896 square feet for $5.1 million ($1,762 per square foot) in June 2006. One of the main reasons for their decision was the prime location of the condo at Draycott Park, situated near Scotts Road and Orchard Road. Mr Chua also mentioned that close family members had made purchases of floors upstairs and across the road.The Chua family has grown to love living at Draycott Eight, so they also bought the adjoining four-bedroom unit. This unit consists of 2,863 square feet and was purchased for $5.65 million ($1,973 per square foot) in November 2006, according to the caveat lodged at that time. They had intended to hold the unit as an investment property and rent it out. Developed by renowned property developer Wing Tai Holdings, Draycott Eight is located within the prestigious neighbourhood of Draycott Drive-Draycott Park, near other esteemed clubs like The American Club and Tanglin Club in prime District 10.The condo occupies a 153,000 square feet site with three 24-storey blocks. Two of the blocks are for four-bedroom units that are either 2,863 or 2,986 square feet in size, as well as penthouses ranging from 4,015 to 4,187 square feet. The third block is made up of two-bedroom apartments, which includes 1,173 square foot simplexes and 1,798 square foot duplexes or “Sky Suites.” One of the most distinctive features of Draycott Eight is the two-storey black-and-white conservation bungalow on the property, which was built in the 1920s. It was once the residence of a British Air Marshall before becoming the École Française de Singapour (Singapore French School) for the next 30 years from 1967. The junior master bedroom of one of the two units at Draycott Eight offers a magnificent view of Goodwood Hill Estate and Balmoral area (Photo: Samuel Isaac Chua/EdgeProp Singapore) Facilities, viewsWhen Wing Tai Holdings acquired the land in a government land sales tender in 1997, the developers decided to conserve the black and white bungalow and repurposed it as the clubhouse at Draycott Eight. The clubhouse offers an impressive range of amenities, including a library, business centre, theatre, multi-purpose hall, jacuzzi and sauna, well-equipped gym, game rooms, and billiards room. The clubhouse also has a dining room, which residents can use to host parties. Other facilities outside of the clubhouse include a 50-metre swimming pool, tennis courts, a barbeque area, and extensive landscaped grounds. The condominium is currently undergoing upgrades for the facilities at the clubhouse and the grounds.Mr Chua mentions that Draycott Eight is serene and has exceptional facilities in an email response to EdgeProp Singapore. “The condo is very well-managed and has an excellent concierge team.” The junior master bedroom of one of the two units at Draycott Eight offers a magnificent view of Goodwood Hill Estate and Balmoral area (Photo: Samuel Isaac Chua/EdgeProp Singapore) Another selling point for the Chuas is the stunning views from their unit’s living room and bedrooms, which overlook Ardmore Park and the Goodwood Hill Estate with its black-and-white bungalows set amid sprawling gardens. According to Mr Chua, it has been effortless to find tenants over the years as units at Draycott Eight are highly sought-after due to its prime location and spacious unit sizes. “The profile of tenants has not changed much over the years,” he notes. “Many are upper management with either local or foreign companies.” Rents for the unit have progressively increased over the years. Back in December 2020, the monthly rent for the unit was $11,700. Fast-forward to December 2022, and the monthly rent was $17,000, including furniture rental and maintenance charges. “Rent continued to increase steadily with every lease renewal,” he says. A living area of one of the four-bedroom units in its original condition (Photo: Samuel Isaac Chua//EdgeProp Singapore) Eight-bedroom home for $14 millionNow that the Chua family resides abroad, they no longer require both apartments in Singapore. Therefore, they have decided to put the units up for sale. Senior Associate Vice President of List Sotheby’s International Realty, Ms Nancy Tey, is the appointed agent for the sale of the two units. Both units were renovated early this year. The original marble flooring in the living and dining area, kitchen and bathroom fittings, and timber flooring in the bedrooms are still in excellent condition. The units are available for sale at $7.18 million each, which equates to $2,508 per square foot for the 2,863 square feet unit and $2,479 per square foot for the 2,896 square feet unit. However, if a buyer decides to purchase both units, the price tag is $14 million, which equates to $2,431 per square foot, Ms Tey adds. The junior master bedroom of one of the two units at Draycott Eight offers a magnificent view of Goodwood Hill Estate and Balmoral area (Photo: Samuel Isaac Chua/EdgeProp Singapore) Block owned by institutional investorsDraycott Eight is a 99-year leasehold condo, which means it has 72 years remaining on its lease since its inception in 1997. Back in 2007, the developer sold an entire block of 23 four-bedroom units to two Morgan Stanley funds. One of the funds purchased 23 units, including the penthouse on the block’s top half, while the other fund bought the remaining 22 units. The average price for these transactions stood at $2,600 per square foot. In 2010, Keppel Fund Management (now Alpha Investment Partners) acquired a stack of 22 units from one of the Morgan Stanley funds for $157 million ($2,300 per square foot). In 2015, Far East Consortium International, listed in Hong Kong, purchased the other stack of 23 units for $150 million ($2,200 per square foot). Two years later, TPG Angelo Gordon, formerly known as Angelo Gordon, acquired the 22 units from Keppel Fund Management at the price of over $100 million ($1,700 per square foot). Based on listings, the current asking rent for a four-bedroom unit at Draycott Eight ranges from $18,000 to $22,000, with some units even asking for $26,000 a month, says Ms Tey.Caveats lodged to date indicate that the last transaction at Draycott Eight was for a four-bedroom unit on the top eighth floor. The 2,896 square feet unit changed hands for $6.28 million ($2,169 per square foot) in March. The view of Ardmore Park from the living room of one of the units (Photo: Samuel Isaac Chua/EdgeProp Singapore) Price comparison for leasehold and freeholdGiven that it is a 99-year leasehold condo, prices of the units at Draycott Eight are lower compared to freehold projects with similar unit sizes in the same area. Investors looking to purchase units for rent will enjoy higher returns due to the lower entry price, says Ms Tey. She highlights the 330-unit project by Pontiac Land, Ardmore Park, which offers four-bedroom units at 2,885 square feet. Completed in 2001, Ardmore Park has long been considered the bellwether for luxury condos. Based on caveats lodged, the last transaction at this project was in July for a four-bedroom unit on the 18th floor of one of the three 33-storey blocks that changed hands for $12 million ($4,160 per square foot). Units at Ardmore Park first crossed the $4,000 mark per square foot in 2022 when a unit on the 26th floor changed hands for $12.23 million ($4,240 per square foot). It hit a high of $14.08 million or $4,881 per square foot in July 2022. Transactions this year have been in the range of $4,108 to $4,472 per square foot. Based on current listings, asking prices at Ardmore Park range from $11 million for a low-floor unit to $14 million for a high-floor unit. Over at Draycott Eight, four-bedroom units are priced between $6.5 million and $7 million. “For the cost of one unit at Ardmore Park, one could potentially purchase two units at Draycott Eight,” Ms Tey says. She adds that these units are available for private treaty sale.Ten most recent transactions at Draycott EightSource: EdgeProp BuddyCheck out the latest listings for Draycott Eight, Ardmore Park, Condominium propertiesAsk BuddyAny profitable transactions in Draycott Eight?Recently launched projectsListings for condo unitsProject summary for Ardmore Park condoPast Condo sale transactionsAny profitable transactions in Draycott Eight?Recently launched projectsListings for condo unitsProject summary for Ardmore Park condoPast Condo sale transactions
In summary, the option of investing in a condo in Singapore is a highly advantageous one. This is mainly due to its high demand, potential for increasing in value, and attractive rental yields. However, key factors such as location, financing, government regulations, and market conditions must be carefully evaluated before making any decisions. By conducting thorough research and seeking guidance from professionals, investors can make well-informed choices and capitalize on the dynamic real estate market in Singapore. Whether you are a local investor looking to diversify your portfolio or a foreign buyer in search of a stable and profitable investment, adding a condo in Singapore to your assets presents an enticing opportunity.
The Chua family, who currently reside in Hong Kong, were one of the first 25 buyers at Draycott Eight, a luxurious private condominium with 136 units that was launched in the latter part of