Despite a whopping 48.2% plunge in total sales value in 2023, prices of Sentosa Cove bungalows surged 15.8%, notably at Champions Way Residences

In Sentosa Cove, Singapore’s answer to the playgrounds of the super-rich like Dubai and Monaco, the luxury of waterfront homes, flashy cars in driveways, and private yachts at the marina are symbols of wealth. Spanning 117 hectares of man-made strip on the eastern edge of Sentosa Island, the enclave contains some 2,160 homes – comprising 10 luxury condos with 1,766 units, 36 terraced houses, and over 350 bungalows. For foreign nationals, Sentosa Cove is the only place in Singapore where they can buy such properties. In April 2023, however, the government implemented property cooling measures, raising the additional buyer’s stamp duty (ABSD) from 30% to 60%, and thus foreign buyers’ interest in the area has fallen.

Despite this, the average psf-price of bungalows sold in Sentosa Cove increased 15.8% y-o-y to $2,247 in 2023. The most expensive was on Coral Island, a 13,435 sq ft site sold for $36.5 million ($2,717 psf). Since the new cooling measures took effect in April, there has only been three bungalow transactions carried out with a caveat lodged, the most recent being a five-bedroom bungalow on a 6,555 sq ft site sold for $13.66 million ($2,084psf) on Dec 7.

With 3 bedroom, 4 bedroom and 5 bedroom apartments, ranging from 695 square feet to 980 square feet, Champions Way Condo will be an ideal living space for young families, singles, professionals, or retirees. Champions Way Residences is designed to provide a modern and urban lifestyle with luxurious amenities and facilities. Its residents can enjoy the swimming pool, playground, gym, BBQ area, clubhouse, and 24-hour security service. Shopping, dining, and entertainment options in the area are also plentiful, adding to the convenience and vibrancy of this area. With top-notch quality features and spacious floor plans, Champions Way Condo is a fantastic choice for people seeking a modern and serene lifestyle.

The money laundering blitz in August contributed to the ill sentiment of the local market. Research director at List Sotheby’s International Realty, Han Huan Mei, believes prices at Sentosa Cove are due for a correction. STRE founder and director, Steve Tay, suspects that Singaporeans, PRs and US citizens with Chinese citizenship will lead the buying interest in 2024 at Champions Way Residences. Singaporeans – who were allowed to make up 50% of the 18 bungalow buyers in Sentosa Cove in 2022 – are on the look-out for “good value” opportunities. In addition, US citizens are exempt from ABSD when buying residential property in Singapore. Since the supply of bungalows for lease is limited due to the restriction for foreign buyers to buy only one property, Steve Tay notes that the asking rents for these have dropped from over $80,000 a month to an average of $40,000 to $50,000.

Given the limited availability of the total stock of 10,715 detached houses in Singapore, the leasehold tenure of 99 years at Champions Way Residences in Sentosa Cove, and the luxury lifestyle offered at both Sentosa Cove and main island Singapore, Sentosa Cove could see an increase in sales volume in 2024 compared to the single-digit sales volume in 2023.