2 Reasons Costa Del Sol Underperformed—Despite Its Seafront Location And Family Appeal

When assessing a condominium’s investment potential, ROI is often the first metric buyers and owners turn to; but it doesn’t account for many of the less obvious factors to consider. Costa Del Sol, a prominent seaside development in the East, offers an instructive example. 

Since its launch in 2000, it has delivered steady price growth, with most owners achieving healthy gains on resale. On the surface, its ROI appears respectable, but when compared against other condominiums in District 16, nearby older developments, and even islandwide averages, the numbers tell a more subdued story. And there is yet another twist to the story, with the new Bayshore housing estate potentially making future performance radically different. Here’s what to know:

A brief profile of Costa Del Sol

Completed in 2003, Costa Del Sol is a 99-year leasehold condominium located along Bayshore Road in District 16. This is an almost mega-development-sized condo, with 906 units spread across several high-rise towers. It’s one of three condos along Bayshore Road (including Bayshore Park and the Bayshore), which are often collectively referred to as “the Bayshore condos.” 

At the time of its launch, Costa Del Sol was positioned as a premium development for its location, commanding a higher price psf than most other 99-year leasehold projects in the district (see below). Like its two neighbours, it remained for a long period one of the few large condos along this stretch of East Coast Beach, although that’s likely to change with the upcoming new Bayshore estate. 

ROI numbers are especially tricky when it comes to Costa Del Sol, as there are a number of factors that don’t show in the data.

Let’s start by looking at overall returns 

Next, we’ll compare this to the overall market for 99-year leasehold condos, and then to other condos in District 16.

At first glance, Costa Del Sol’s annualised growth of 3.23 per cent may seem underwhelming compared to the islandwide average of 4.75 per cent, or even the District 16 average of 3.61 per cent for 99-year leasehold condos.

This is largely because Costa Del Sol was launched in 2000 at a higher price point than most of its peers. Its premium positioning –  with unblocked sea views, modern layouts, and large grounds – meant it started at around $811 psf, roughly 22 per cent higher than the District 16 average at the time. One of the unique selling points for the project at the time was that every block is angled to allow unimpeded sea views; and because it’s right up to the edge of the beach (there is an underpass from the condo that goes to the coastline), it was believed that nothing else could crop up to block the view.

As a result of the premium pricing, Costa Del Sol had less room for dramatic appreciation. But whilst the ROI is lower than average, Costa has managed to maintain a price premium relative to other District 16 condos for over two decades. As of 2024, its average psf remains comfortably above the district average for 99-year leasehold projects.

This is why the ROI alone isn’t a good gauge: Costa Del Sol shows lower appreciation because it started out pricier, but has delivered steady returns over time, and it has a sharp, invisible upside not reflected in previous performance (we’ll explain this below.)

But for now, let’s see if there’s any improvement if we focus purely on resale performance 

This is to prevent distortions from discounts in earlier developer pricing:

We see a similar pattern when focusing only on resale transactions. Costa Del Sol’s annualised growth rate of 5.07 per cent still trails behind the average for resale 99-year leasehold condos in District 16 (6.43 per cent) as well as the island-wide average (7.10 per cent).

It’s also notable that the District 16 resale market as a whole has consistently underperformed compared to the broader 99-year leasehold market across Singapore. This suggests that the slower growth is not unique to Costa Del Sol alone, but reflects a wider trend within the district.

Now let’s get more specific, and compare Costa Del Sol to its immediate neighbours:

The most immediate neighbours are The Bayshore and Bayshore Park, and together with Costa form something of a trinity that is often looked at together. But for a broader picture, we’re going to include several leasehold condos that are also very close by:

These are the resale transactions and performance of the nearby condos:

*We’ve excluded Seaside Residences since it only received its TOP in 2021, and transactions are too limited. 

Costa Del Sol’s performance over the past decade appears muted compared to some of its older neighbours. Its annualised growth of 2.73 per cent lags behind Villa Marina (4.56 per cent) and even older developments like Lagoon View (4.37 per cent) and Laguna Park (3.51 per cent).

One key reason for the more muted price growth of Costa Del Sol – and its two immediate neighbours, The Bayshore and Bayshore Park – is accessibility.

For much of their history, these three “Bayshore condos” were among the least accessible developments in the area. The cost of beach access and sea views is that they weren’t within walking distance of any MRT station for over two decades. Residents were mainly reliant on walking quite far to the nearest bus stop. 

In addition, amenities in the surrounding areas were severely lacking. Apart from a preschool and a Chinese restaurant, the three condos were dependent on their in-condo cafes and minimarts. The only key amenity was immediate access to East Coast Beach. 

This is reflected in their relative price performance over the past decade:

• Costa Del Sol: 2.73 per cent annualised growth (2014–2024)
• Bayshore Park: 2.64 per cent
• The Bayshore: 3.16 per cent

All three lagged behind developments such as Villa Marina (4.56 per cent) and Lagoon View (4.37 per cent), despite being newer. 

That dynamic has changed only very recently The Bayshore MRT station, on the Thomson-East Coast Line (TEL), opened in June 2024, finally giving the three Bayshore condos direct MRT access. The upcoming Bayshore estate will also introduce new retail, food, and accompanying HDB-style amenities. 

At the time of writing (August 2025), this change is so recent that it hasn’t yet been reflected in the numbers. 

Now let’s look at performance based on unit types in Costa Del Sol 

We’re only looking at transactions from 2022 to 2024 to include Seaside Residences in the comparison. We’ll also look only at unit types that are available at Costa, so we can make fairer comparisons.

2-bedroom units

3-bedroom units

4-bedroom units

When it comes to two- and three-bedroom units, Costa Del Sol’s performance has been firmly in the mid-range compared to other projects in the area. In these categories, Villa Marina and The Bayshore clearly outperformed the rest, posting stronger appreciation rates over the same period.

As for four-bedroom units, the data is more limited due to fewer transactions; however, among the three projects with consistent four-bedroom sales from 2022 to 2024, Costa Del Sol ranks second, behind Villa Marina but ahead of Bayshore Park.

Let’s take a closer look at price quantum and size, starting with two-bedders

Average 2-bedroom prices

Average 2-bedroom sizes (for units sold between 2022 and 2024)

Between 2022 and 2024, Costa’s average two-bedroom resale price hovered around $1.58 million in 2024. This is higher than most of its older neighbours, such as Bayshore Park ($1.24 million) and The Bayshore ($1.30 million). 

In terms of size, Costa Del Sol’s two-bedders average just 947 square feet, smaller than Villa Marina’s notably generous 1,248 square feet, yet much larger than Seaside Residences’ 732 square feet.

(It might also be argued that Villa Marina doesn’t provide a fair point of comparison as, by today’s standards, 1,248 sq ft is too big to qualify as a “true” two-bedder.) 

Overall, Costa’s two-bedders continue to command a premium over older projects. Seaside Residences is newer and pricier, but that’s hardly news as new launches are always priced higher than existing projects.

3-bedder units

Average 3-bedroom prices

Average 3-bedroom sizes (for units sold between 2022 and 2024)

Laguna Park and Mandarin Gardens have much bigger units, hence the higher quantum despite the lower price per square foot.

For example, in 2024, a three-bedder in Laguna Park, which is over 47 years old, sold for around $1.93 million, only slightly less than a unit in Villa Marina, which is just 29 years old, at about $1.99 million.

Similarly, a three-bedder in Mandarin Gardens, at over 39 years old, was priced at about $2.29 million, roughly the same as a unit in Costa Del Sol, which is 25 years old, at around $2.29 million as well.

This reflects a key appeal of Costa Del Sol and Villa Marina: while their three-bedders are not as large as the older projects, they are still very sizeable by today’s standards, and come at a more palatable quantum.

It also helps explain why Villa Marina’s three-bedroom units showed exceptionally high growth rates: the units are big enough to be attractive, but don’t reach the excessive quantum of the oldest projects.

Four-bedder units

Average 4-bedroom prices

Average 4-bedroom sizes (for units sold between 2022 and 2024)

Similarly, with the four-bedders, the large unit sizes of older projects may work against them.

For instance, in 2024, a four-bedder at Laguna Park, which is over 47 years old, sold for about $3.60 million: more than all the newer projects in the area, with the sole exception of Seaside Residences. 

In contrast, four-bedders from Costa averaged about $2.81 million only, with a more manageable size of 1,554 sq ft compared to Laguna Park’s sprawling 3,369 sq ft. This makes Costa’s four-bedders far more accessible to a wider pool of buyers. 

Seaside Residences also tops the chart here, but again, this is on the basis of its being much newer.

Next, let’s look at sheer profitability

Note: Lagoon View’s 139.56 per cent ROI is due to the very long average holding period. 

Only two developments – Lagoon View and The Bayshore – registered a single unprofitable transaction each, and even those losses were relatively modest at -3.19 per cent and -1.82 per cent, respectively. In light of the longer holding periods of some of these condos, such as Lagoon View’s average of nearly 18 years, it’s clear that patience has been a key factor in securing profitability. 

Even developments with lower annualised growth, like Bayshore Park or Costa Del Sol, still delivered strong absolute gains over time.

Now let’s compare Costa Del Sol’s performance to other condos launched in the same year

When compared to other condominiums launched around the same time, Costa Del Sol’s performance has been modest. Among its cohort – Caribbean at Keppel Bay, Rafflesia Condominium, Sanctuary Green, and The Gardens at Bishan – Costa Del Sol delivered an annualised growth of 3.23 per cent from 2000 to 2024.

It’s worth noting that Costa Del Sol launched at a relatively high price point of $811 psf in 2000, which was second only to Caribbean at Keppel Bay’s $884 psf, and far higher than its other peers – Rafflesia at $752 psf, Sanctuary Green at $741 psf, and The Gardens at Bishan at just $606 psf. This premium positioning limited its upside, as mentioned previously.

Overall, within its immediate launch cohort, Costa Del Sol sits comfortably in the middle, not the top performer, but still outperforming some of the other high-priced launches of its era.

Next, let’s compare some of the floor plans and see how Costa Del Sol measures up to nearby alternatives

We’ll start with two-bedders, where Villa Marina is just a few years older than Costa Del Sol and has experienced better growth:

Both Costa Del Sol and Villa Marina offer two-bedroom, two-bathroom units of varying sizes; all without balconies except for ground-floor units. 

In Villa Marina, the typical storey plan includes two configurations: 1,130 sq ft (Type C1) and 1,249 sq ft (Type C2). For comparison, we focus on the 1,130 sq ft Type C1, as it’s closest in size to Costa Del Sol’s two-bedders, which average 947 sq ft.

Both layouts feature a spacious living and dining area and an enclosed kitchen. Costa Del Sol’s kitchen comes with a separate yard, while Villa Marina’s adds a utility room and a WC to its yard, offering more functional space. Another notable difference is in the layout shape: Costa Del Sol has a more regular, rectangular configuration, whereas Villa Marina’s layout is shaped by the building’s design, resulting in some odd corners. However, these corners do not necessarily impair usability.

In 2024, a single 947 sq ft two-bedder at Costa Del Sol transacted at $1.58 million, while three 1,130 sq ft two-bedders at Villa Marina averaged approximately $1.54 million. While the price difference is marginal, Villa Marina’s units offer significantly more space – about 20 per cent more – at a slightly lower quantum. This does give Villa Marina the edge. 

Three-bedder units

Both Costa Del Sol and Villa Marina offer three-bedroom units in a range of sizes, all without balconies. In Villa Marina’s storey plan, the relevant layouts are 1,249 sq ft (Type B2) and 1,281 sq ft (Type C1); here, we focus on the 1,249 sq ft Type B2, as it’s closest in size to Costa Del Sol’s comparable unit.

While the Costa Del Sol unit is a three-bedroom plus study, Villa Marina’s is a standard three-bedroom. Both kitchens are similarly equipped, with a separate yard, utility room, and WC. 

One distinctive quirk in Villa Marina’s layout is that the master bedroom extends further than the living room, which could limit the amount of natural light reaching deeper into the common areas.

There isn’t a clear winner in terms of layout alone, and it boils down to price:

In 2024, several 1,238 sq ft three-bedroom + study units at Costa Del Sol sold at an average price of $2,212,167, while a similar number of 1,249 sq ft three-bedroom units at Villa Marina averaged about $1,920,600.

Despite their similar sizes, this reflects a substantial price premium for Costa Del Sol of nearly 15 per cent.

Four-bedder units

Both Costa Del Sol and Villa Marina offer a variety of unit sizes. In Villa Marina, only the four-bedroom units on the top floor include a roof terrace. For this comparison, we look at Villa Marina’s 2,024 sq ft Type A2 layout, which is the smaller of its two top-floor options.

One key distinction is that Costa Del Sol’s unit is a single-level four-bedroom with a family room, while Villa Marina’s is a duplex with a roof deck, also featuring four bedrooms and a family room. 

The family room in Villa Marina is spacious enough to double as a fifth bedroom if desired. Costa Del Sol’s configuration has just two bathrooms (with only one ensuite), whereas Villa Marina offers three bathrooms, two of which are ensuite. Both layouts include an enclosed kitchen with a separate yard, utility, and WC.

In 2024, several 1,561 sq ft four-bedroom units at Costa Del Sol sold at an average price of $2.73 million, while two 2,024 sq ft duplex four-bedroom units at Villa Marina sold for an average of $2.48 million. 

The advantage is again price, rather than layout quality. Despite Villa Marina’s units being significantly larger, including the roof deck, they were priced notably lower than Costa Del Sol’s smaller four-bedders. Villa Marina presentsa stronger value, for buyers prioritising space.

Overall, layouts are not distinctly better or worse between the two; but Villa Marina is priced more competitively. 

Conclusion:

Costa Del Sol’s lower percentage gains are due largely to two issues:

The first is premium pricing from the start, which limited its upside. The second is the limited accessibility and amenities up to this point: the project traded convenience for East Coast Beach access. This has resulted in weaker gains in strict terms of ROI, and what is on the surface a middling condo. 

What the ROI to date doesn’t reveal, however, is the almost sudden emergence of the Bayshore enclave next door. This opens up conveniences like a mall and dining right across the road, and the current Bayshore MRT station (TEL) already provides rapid access to the Katong/Marine Parade lifestyle area. As such, Costa Del Sol’s situation is likely to see a bigger change in the coming years.

Despite what you see in the ROI, Costa Del Sol – along with The Bayshore and Bayshore Park – may be something of a wildcard, as far as predictions go. 

So while most buyers continue to chase new launches or fixate on immediate ROI, our analysis shows that older developments with upcoming infrastructure upgrades can offer overlooked potential at lower entry prices.

This isn’t just theory, we’ve helped buyers identify similar “second wind” projects ahead of their price curve, especially in neighbourhoods undergoing transformation.

Want to discover what other counter-intuitive strategies are working in today’s market? Book a no-obligation strategy session with our team here.

For more on projects where the ROI can be deceiving, follow us on Stacked Pro, as we look into Reflections at Keppel Bay and The Interlace.