The Sail @ Marina Bay

Property experts predict a continued uptrend in prime property prices as investors from China, India and Indonesia continue to add to their portfolio by buying high end properties in Singapore. According to Knight Frank’s residential division head Peter Ow, the opening of the Integrated Resorts (IR) at Marina Bay and Sentosa “will present more leasing opportunities for high-end residential properties and will help create new residential enclaves, strengthening the overall living experience of these new clusters.”

With transaction prices at The Sail @ Marina Bay already breaching S$3,000 psf and more high end residences like Marina Bay Suites being built, are the current property prices sustainable? Liam Bailey, Knight Frank’s head of residential research, points out that low interest costs have protected potentially distressed owners and reduced the supply of property for sale. Additionally, low savings interest rates has prompted cash rich individuals to seek out property investments for better yields and driven demand up for property.

“Our view is that most prime markets are suffering from an undersupply of stock and this will help maintain prices in the short term. Looking further ahead, however, it is those locations that offer a genuine lifestyle attraction to the world’s wealthy, rather than just an investment opportunity, that will prove most sustainable,” he wrote.