CDL unit markets unsold units at The Residences at W Sentosa at 40% less than 2010 launch price

CITYVIEW Place Holdings, a unit of property developer City Developments Ltd : C09 0%(CDL), has put on the market 58 units of The Residences at W Singapore Sentosa Cove, a project that was completed in 2011.

A spokesperson from Cityview Place Holdings said that these units were “specially curated” and put up for sale at “an attractive price for a limited period”. Prices start at S$2.1 million for a two-bedroom unit and go up to S$3.5 million for a four-bedder.

This follows an increase in interest and sales activity in Sentosa Cove properties in recent months, said the spokesperson. 

Located in District 4 of the prime Core Central Region, the 99-year leasehold luxury development was developed by CDL and sits on around 250,000 sq ft of land. The lease for the site started in 2006, leaving around 80 years remaining. The project houses 228 residential units and was completed in 2011. 

Most units at the development were leased between 2011 and 2024, The Business Times understands. Rents typically ranged from S$4.49 to S$6.97 per square foot (psf) per month. 

In this round of sales, two-bedroom units sized at 1,227 square feet (sq ft) will start at S$2.1 million or S$1,726 psf. Three-bedders of 1,625 sq ft will cost around S$2.7 million or S$1,648 psf, and four-bedders sized at 2,067 sq ft at S$3.5 million or S$1,687 psf. Some five-bedroom penthouse units will also be on sale.

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In comparison, latest caveats data showed that just 20 units were sold since April 2010. Prices ranged between S$3.5 million and S$6.6 million, with the median unit price standing at S$2,810 psf. This was around 40 per cent more than CDL’s current price for the 58 units that will be on sale.

The most recent transaction – a resale – at the luxury development was for a 1,259 sq ft unit at S$2.2 million or S$1,747 psf in September 2023. The seller made a loss of around S$1.5 million from the original price of S$3.7 million or S$2,907 psf in April 2010. 

URA Realis figures also indicated that condominium prices on the Southern Islands ranged between S$2.5 million (S$1,511 psf) and S$8.1 million (S$1,665 psf) in the year thus far. The median unit price was S$1,999 psf. 

In late March, a 2,691 sq ft unit at the 99-year leasehold luxury development Cape Royale in Sentosa Cove transacted at S$5.4 million or S$2,023 psf. 

Home prices in Sentosa Cove therefore remain “attractive”, said Marcus Chu, chief executive officer at ERA, one of the marketing agents for The Residences at W Singapore Sentosa Cove. “(This presents) homebuyers and investors an opportunity to acquire a unit in a coveted luxury oceanfront development at a price comparable to today’s Outside Central Region homes.” 

The government’s Sentosa-Brani Master Plan to redevelop the resort island, together with limited future housing options in Sentosa Cove, also means that there is potential for future property value appreciation, added Chu. 

The Residences at W Singapore Sentosa Cove is part of CDL’s upscale integrated development Quayside Collection. Besides the residences, the development comprises five-star hotel W Singapore-Sentosa Cove as well as the F&B and retail property Quayside Isle. 

In 2014, CDL raised S$1.5 billion through a club deal with US investment giant Blackstone and Malaysia’s CIMB Bank to create a platform for investors to effectively buy the present and future cashflows of the Quayside Collection. 

In 2019, CDL acquired full control of W Singapore-Sentosa Cove and Quayside Isle, in the hope of riding on the government’s plans to reshape the resort island of Sentosa.

At the end of 2023, Blackstone sold its interests in the project to US investment firm BlackRock.

Cityview Place Holdings will hold viewings for the 58 units between Apr 10 and Apr 14 by appointment. Sales booking for The Residences at W Singapore Sentosa Cove will start on Apr 15.