River Place Caught Attention Of Investor

River Place on Havelock Road fetches $1,307 psf
The 509-unit River Place on Havelock Road has recently caught the attention of investors and property agents attribute it to the perception that it could be undervalued relative to other newer projects in the vicinity — for instance, The Pier at Robertson, completed in 2006, where transaction prices in late September/October ranged from $1,696 to $2,032 psf; and Watermark at Robertson Quay, completed two years ago, where the most recent transaction in October was at $1,579 psf. The proximity of River Place to the CBD and the entertainment/F&B enclave of Boat Quay and Clarke Quay along the Singapore River makes it popular with expatriates. The condominium saw four transactions in the Nov 9 to 16 periods. Prices ranged from $1,143 to $1,307 psf, according to caveats lodged with URA Realis. Developed by Far East Organization, River Place consists of four towers, with one- to four bedroom units measuring 678 to 2,100 sq ft. The condominium along the Singapore River also contains 50 penthouses and maisonettes, measuring 1,292 to 3,649 sq ft. Completed in 2000, the 99-year leasehold River Place was launched in early 1997. It was also when the property market was still toppish, although sentiment had been affected by the tough anti-speculation measures introduced on May 15, 1996. Prices of units sold when the project was launched ranged from $1,100 to $1,200 psf. In the Tanjong Pagar area, the 351-unit Spottiswoode Residences was launched in early November at prices ranging from $1,720 to $2,150 psf. Even new launches of 99-year leasehold condos in the suburbs of Yio Chu Kang and Ang Mo Kio are priced at $1,100 to $1,200 psf today. Prices at River Place may not have moved much, but rental rates certainly have, and investors there are enjoying high rental yields, notes Alan Shue of Propnex. Most recently, the owner of a 1,389 sq ft unit at River Place listed an asking rent of $7,000 a month, says Shue. Monthly rental rates are $4.50 to $5 psf, translating into a rental yield of 5%. River Place has a strong take-up rate, especially among singles and young couples who are working in the CBD area such as Raffles Place. Another key contributing factor to the strong rental growth at the development is the spacious bedroom layout, adding that one-bedroom units range from 678 to 925 sq ft, unlike some of the new city apartments, which measure 350 to 400 sq ft. Situated along the Singapore River at Havelock Road and Clemenceau Avenue, River Place is a 10- to 15-minute walk to both the Clarke Quay and China Town MRT stations, as well as two bus stops away from the Raffles MRT station. Residents could also walk to Mohamed Sultan, Riverside Point, Clarke Quay and Boat Quay.
- The Edge