A Jadescape Condo Owner Just Made A Record $1.1m In Profit: Why Is This Mega Condo Raking In The Big Bucks?

If you're tracking the latest trends in Singapore's property market, you'll find the recent sale at Jadescape particularly noteworthy. A unit at the development has just notched a profit of $1.122 million, a figure that stands out despite it being in the mass market segment. To put this into perspective, there was a $1.169 million profit at Seaside Residences in September 2023, but that property arguably falls into a more premium category, given its desirable sea views in the East.

Now, focusing on the Jadescape transaction, we're looking at a 2,099 square foot unit. Purchased for $1,633 psf and sold in October 2023 for $2,168 psf, the selling price of $4.55 million makes it the priciest unit the development has seen to date. For a new development in the Rest of Central Region (RCR), such a hefty profit margin is quite exceptional, as it's quite rare for profits to exceed the million-dollar mark. According to data available from URA, only around 0.88% of transactions exceed $1 million in profits since 2013.

Digging deeper, a look at the average profits at Jadescape reveals an interesting trend. Sellers here have generally fared better than their counterparts in other competing mega launches from around the same period in 2018.

Average Profit (First sale till November 2023)
Project	$ Gain	% Gain	Holding Period (Years)
JADESCAPE	$334,661	22.37%	3.7
1 Bedroom	$156,538	17.16%	3.6
2 Bedroom	$269,040	21.47%	3.7
3 Bedroom	$413,359	25.43%	3.8
4 Bedroom	$431,288	19.37%	3.2
5 Bedroom	$854,667	25.67%	3.6
PARC CLEMATIS	$286,823	22.38%	3.4
1 Bedroom	$145,667	19.23%	3.7
2 Bedroom	$255,529	21.37%	3.3
3 Bedroom	$387,885	25.89%	3.3
4 Bedroom	$518,000	24.30%	2.9
5 Bedroom	$732,000	26.45%	4.2
PARC ESTA	$285,576	22.73%	3.7
1 Bedroom	$139,065	16.69%	3.8
2 Bedroom	$286,040	23.77%	3.7
3 Bedroom	$431,942	27.53%	3.5
4 Bedroom	$697,000	33.46%	3.3
5 Bedroom	$479,667	20.90%	3.5
RIVERFRONT RESIDENCES	$180,672	19.02%	4.1
1 Bedroom	$101,186	15.67%	3.9
2 Bedroom	$170,935	19.52%	4.3
3 Bedroom	$306,314	23.76%	4.1
4 Bedroom	$554,889	29.57%	4.1
5 Bedroom	$675,944	31.44%	3.9
STIRLING RESIDENCES	$295,139	22.02%	3.8
1 Bedroom	$190,049	21.37%	4.2
2 Bedroom	$274,561	21.02%	3.8
3 Bedroom	$428,048	26.09%	3.9
4 Bedroom	$707,500	31.26%	4.1
THE FLORENCE RESIDENCES	$246,678	20.85%	3.7
1 Bedroom	$165,500	17.94%	3.7
2 Bedroom	$255,898	22.46%	3.9
3 Bedroom	$305,476	21.24%	3.5
4 Bedroom	$401,500	22.23%	3.9
TREASURE AT TAMPINES	$224,079	21.03%	3.6
1 Bedroom	$115,965	17.86%	3.8
2 Bedroom	$160,224	18.21%	3.5
3 Bedroom	$291,638	24.25%	3.7
4 Bedroom	$424,111	25.62%	2.9
5 Bedroom	$598,722	29.58%	3.7

This is also of further interest, especially considering that Jadescape launched right after the July 2018 cooling measures and initially trailed behind other developments like Riverfront, Parc Esta, and Stirling Residences in sales. So, what sets Jadescape apart?

Let's delve into the details to uncover the dynamics behind these impressive numbers:

Unit Specifics

This particular unit is one of the largest in Jadescape, featuring five bedrooms and sprawling over 2,099 square feet. Located in stack 40, positioned on a mid-level floor, it offers unobstructed views of the Thomson Garden Estate. The layout is a practical dumbbell design, boasting a private lift and a junior master bedroom strategically placed for privacy. Bedrooms 3, 4, and 5 are arranged around a shared bathroom.

There are only 2 such stacks in the development (40 and 46), so as you might imagine, these are of a rare breed within the project.

Jadescape's recent transactions have been notable, with prices reaching up to $2,283 psf. However, this specific sale at $4.55 million stands out, not only because of the unit's size but also due to the significant premium it fetched compared to other similar-sized units sold in 2022 for $3.7m and $4m. This jump could be attributed to the development's completion and the tangible appeal of the units, or possibly added value from renovations. The rarity of such large units could also be seen as a contributing factor, as the demand from the pandemic has shown.

Jadescape's Market Context

To understand a bit more about why Jadescape has been performing well, we first have to understand the history of the development.

The development's journey began with the acquisition of Shunfu Ville en bloc for $638 million - an underbid from the reserve price of $688 million. Despite the fact that the developers were able to acquire the land for a considerably good price, their launch prices were higher than most other mega developments during that period (aside from Parc Esta and Stirling Residences).

Projects	Price ($)	Price ($PSF)
JADESCAPE
1 Bedroom	$899,314	$1,705
2 Bedroom	$1,216,648	$1,691
3 Bedroom	$1,671,378	$1,669
4 Bedroom	$2,283,449	$1,655
5 Bedroom	$3,279,400	$1,562
PARC CLEMATIS
1 Bedroom	$794,440	$1,622
2 Bedroom	$1,158,529	$1,607
3 Bedroom	$1,539,515	$1,614
4 Bedroom	$2,202,625	$1,653
5 Bedroom	$3,215,000	$1,512
PARC ESTA
1 Bedroom	$830,480	$1,779
2 Bedroom	$1,246,230	$1,682
3 Bedroom	$1,576,993	$1,624
4 Bedroom	$1,954,421	$1,598
5 Bedroom	$2,294,938	$1,626
RIVERFRONT RESIDENCES
1 Bedroom	$662,488	$1,357
2 Bedroom	$883,085	$1,317
3 Bedroom	$1,297,922	$1,292
4 Bedroom	$1,884,235	$1,281
5 Bedroom	$2,142,500	$1,276
STIRLING RESIDENCES
1 Bedroom	$934,410	$1,967
2 Bedroom	$1,302,165	$1,795
3 Bedroom	$1,724,000	$1,731
4 Bedroom	$2,438,579	$1,771
THE FLORENCE RESIDENCES
1 Bedroom	$849,203	$1,469
2 Bedroom	$1,068,766	$1,443
3 Bedroom	$1,424,100	$1,407
4 Bedroom	$1,826,250	$1,399
TREASURE AT TAMPINES
1 Bedroom	$644,650	$1,376
2 Bedroom	$854,422	$1,368
3 Bedroom	$1,199,250	$1,288
4 Bedroom	$1,640,515	$1,293
5 Bedroom	$2,035,579	$1,183

Launched just post the July 2018 cooling measures, Jadescape faced initial skepticism due to its slightly larger unit sizes and higher price points. The launch saw brisk sales of over 330 units, but overall it lagged behind other competitors. This was because some of these developments were launched at $1,6xx psf, and Jadescape was launched at a higher price point of $1,7xx psf.

As such, during that period the price of Jadescape was used by agents to push other competing projects like The Garden Residences.

It only really started to pick up more after other launches like Riverfront Residences, Tre Ver, Parc Esta, and Stirling Residences started to sell out the majority of their units.

Market Dynamics and Jadescape’s Success

In retrospect, several factors contributed to Jadescape's success. The shift in preferences towards larger units post-pandemic played a significant role, as Jadescape offered more spacious layouts in contrast to many other developments.

For bigger units (5 bedders) especially, it wasn't common to find them at a size above 2,000 square feet:

	Average Size (Sq Ft)
Project	1BR	2BR	3BR	4BR	5BR
JADESCAPE	527	728	1,060	1,401	2,099
PARC CLEMATIS	560	753	1,061	1,368	2,040
PARC ESTA	515	741	1,044	1,277	1,469
RIVERFRONT RESIDENCES	549	710	1,098	1,518	1,755
STIRLING RESIDENCES	553	757	1,049	1,655
THE FLORENCE RESIDENCES	558	791	1,059	1,425	1,733
TREASURE AT TAMPINES	474	630	952	1,304	1,701

The willingness to invest in spacious units outside the CCR is also evident in the broader market trends. For instance, Amo Residence recently sold its last penthouse unit at $5.6 million.

Here are also several other new launches that have sold in recent months that are close in size (but of course, not comparable in location).

Project Name	Transacted Price ($)	Area (SQFT)	Bedroom	Unit Price ($ PSF)	Sale Date
TERRA HILL	8,200,000	3,035.45	5	2,701	12-Apr-23
THE RESERVE RESIDENCES	6,119,762	2,335.79	5	2,620	26-May-23
PICCADILLY GRAND	3,684,000	2,045.16	5	1,801	28-Jan-23
PICCADILLY GRAND	3,449,000	1,894.46	5	1,821	1-Jun-23
PINETREE HILL	4,688,000	1,733	5	2,705	14-Jul-23
PINETREE HILL	4,388,000	1,733	5	2,532	14-Jul-23
PINETREE HILL	4,448,000	1,733	5	2,567	15-Jul-23

It also helped that they had a good margin due to the collective sale of Shunfu Ville. This meant that they had the means to invest in quality finishings that translated into a product that resonated well with buyers. Understandably, this is a factor that's hard to quantify. But from what I've heard on the ground, the overall build quality at Jadescape seems to be quite decent - and given the wider trend of quality issues at other recently completed launches, Jadescape seems to have come out quite well.

Jadescape's RCR location is probably also another factor, as most of the competing mega-developments are in the OCR regions. Having easy access to Marymount MRT station on the Circle Line is certainly another major selling point.

It'll definitely be interesting to see how these mega developments continue to perform as more units start coming on the market - as it stands many of these projects look to be a success, be it from being bought and sold at the right time, or just a product that is appealing to most Singaporeans.

The ongoing success of these projects will likely depend on their continued alignment with evolving consumer preferences and market dynamics, particularly in a landscape where buyers are increasingly discerning about factors such as space, amenities, and location. As the market absorbs more units, the sustained performance of these mega developments will be one that I'll be keeping a keen eye on.