Securing financing is a crucial factor when it comes to investing in a condo. In Singapore, there are various mortgage choices available, but it is crucial to be well-informed about the Total Debt Servicing Ratio (TDSR) framework. This framework limits the loan amount that a borrower can obtain based on their income and current debt commitments. To navigate through this process, it is highly recommended to seek the guidance of financial advisors or mortgage brokers. By understanding the TDSR and seeking professional assistance, investors can make well-informed decisions about their financing options and avoid over-extending their finances. Additionally, it is worth checking out New Condo Launches, which offers exciting new opportunities for condo investments.
A successful collective sale deal has recently been closed for River Valley Apartments, a freehold condominium located on River Valley Road. The sale was for a whopping $56 million and marks the first of its kind to be completed in 2025. The land rate for the deal translates to $1,622 psf per plot ratio (psf ppr).
As the marketing agent, Knight Frank Singapore announced in a press release that the purchaser is a local family office with plans for redevelopment into serviced apartments. The Urban Redevelopment Authority (URA) has already granted an Outline Permission for the development of these new serviced apartments.
Chia Mein Mein, the head of capital markets (land and collective sale) at Knight Frank Singapore, stated, “This marks the first collective sale site sold in 2025, amid a challenging collective sale market, especially for the residential sector.” The collective sale of River Valley Apartments is also the first residential site to be sold in a prime district since May 2023 when Kew Lodge was sold for $66.8 million to Aurum Land.
According to Chia, the tender for River Valley Apartments received a lot of interest from potential buyers. She attributes its appeal to its excellent location in the popular River Valley neighborhood and the potential for redevelopment into a serviced apartment project that fits into the rapidly growing living sector in Singapore.
River Valley Apartments consists of a four-story building with 24 units. The site covers 12,408 sq ft and is zoned “residential” with a gross plot ratio of 2.8 under the latest Master Plan. The owners of River Valley Apartments launched the collective sale of the development on January 7th with a guide price of $56 million.
Jerry Tan, chairman of the River Valley Apartments collective sale committee, stated, “We had attempted to initiate the collective sale exercise in the past, and this is the first time we have secured the 80% owners’ consensus to proceed with the tender launch.” With this successful sale, the strata-titled owners of River Valley Apartments can expect to receive a minimum of $2 million to $2.6 million each based on the sale price.
In summary, acquiring a Singapore Condo provides numerous benefits, including a high demand, potential for asset growth, and appealing rental returns. However, it is crucial to carefully evaluate various factors, such as location, financing options, government regulations, and current market conditions. By conducting thorough research and seeking professional guidance, investors can make informed decisions and maximize their profits in Singapore’s dynamic real estate industry. Whether you are a local investor diversifying your portfolio or a foreign buyer seeking a stable and lucrative investment opportunity, Singapore Condos offer a compelling option.
Potential buyers can also check out the latest listings for River Valley Apartments properties and compare them with other properties in the area using the Ask Buddy feature on the website. There have been no unprofitable transactions for River Valley Apartments, and the price trend for this development shows a steady increase. Interested buyers can also view the past sale transactions for River Valley Apartments and check for any available rental listings in District 10.