{"id":17383,"date":"2018-06-21T12:08:58","date_gmt":"2018-06-21T04:08:58","guid":{"rendered":"https:\/\/www.99.co\/blog\/singapore\/?p=17383"},"modified":"2023-08-04T17:45:43","modified_gmt":"2023-08-04T09:45:43","slug":"riverfront-property-in-singapore","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/insider\/riverfront-property-in-singapore\/","title":{"rendered":"Riverfront property in Singapore: Is the hype worth a higher price?"},"content":{"rendered":"
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While it\u2019s clear that a seafront property can command a price premium, we\u2019re less certain when it comes to a riverfront property in Singapore. After all, our sunny island doesn\u2019t have many actual rivers to speak of; the longest, Kallang River, is barely 10km. Also, most rivers here are narrow channels of water with concrete banks. In fact, locals tend call these so-called rivers longkangs<\/em> (“drains” in Hokkien) without second thought.<\/p>\n\n\n\n

However, there are exceptions to the rule, such as the Singapore River, the upper stretches of the Kallang River, and Serangoon River.<\/strong> We were interested to find out if the properties along these rivers show any significant differences in value, so we did a little research on three locations with 99.co\u2019s analytics tools. Here are our findings:<\/p>\n\n\n\n

Location 1: Robertson Quay<\/strong><\/h3>\n\n\n
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\"Riverfront<\/figure><\/div>\n\n\n

Background:<\/strong> Once a polluted waterway as a result of trading activity, this 3.2-kilometre long Singapore River has since been cleaned up and transformed into several lifestyle clusters, each with its own distinct character. For instance, Clarke Quay is a vibrant nightlife district, whereas Robertson Quay is quieter and more laid-back.<\/p>\n\n\n\n

What we did:<\/strong> We specifically looked at the Robertson Quay area along the Singapore River, where the concentration of condos along Singapore River is the largest. We compared the condos in this area (10 of them) against condos in two adjacent areas \u2014 one just behind the riverfront area (River Valley, South) and the other closer to the Orchard Road shopping belt (River Valley, North). The areas are all part of District 9 (D9), considered a prime district in Singapore.<\/p>\n\n\n\n

The date range of the comparison is the past ten years.<\/p>\n\n\n

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\"Riverfront<\/a><\/figure><\/div>\n\n\n

Analysis:<\/strong> Being situated next to the Singapore River didn’t afford condos a price premium in D9. On average, condos at River Valley, North (nearer to Orchard Road), held an distinct per square foot (psf) price advantage over its riverfront counterparts throughout the years. Condos in River Valley, South had a roughly similar average psf price to Robertson Quay condos until 2015.<\/p>\n\n\n\n

While the average psf prices in River Valley, North and South, increased significantly over the past two years, we haven’t seen that being translated to the Robertson Quay properties. It’s worth noting that average psf prices for condos in Robertson Quay is still 2.73% lower than 2013 levels, before cooling measures were put into place.<\/p>\n\n\n\n

Verdict:<\/strong> Properties along the Singapore River do not hold a price premium over nearby D9 properties. One reason for this is property prices have been traditionally higher in the more sought-after estates nearer to Orchard Road, where there are also more practical amenities such as supermarkets and cinemas. A greater number of buyers in D9 could also prefer the quieter, more private surrounds of River Valley, North and South, as opposed to a home located in a high-traffic riverfront area.<\/p>\n\n\n\n

Location 2: Bishan<\/strong><\/h3>\n\n\n
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\"Riverfront<\/figure><\/div>\n\n\n

Background:<\/strong> As recently as 2008, the stretch of Kallang River that runs along Bishan new town<\/a> was still an unsightly concrete canal that separated the estate from Bishan-Ang Mo Kio Park. The government announced a major project to naturalise the river in 2007, which started in 2009. When the project was completed in 2012, what was once a canal had become a winding river with grassy, gently sloping riverbanks. When you see the wildflowers and migratory birds, it’s hard to imagine what this river once was.<\/p>\n\n\n\n

What we did:<\/strong> Here, we’re looking specifically at HDB flats. We compared prices between the row of flats directly facing Kallang River, and the row of flats directly behind it (where units have negligible to no river views). The HDB flats in this comparison were all built back in 1992, and consists of 4-room HDB flats and bigger.<\/p>\n\n\n\n

The date range of the comparison is the past 15 years.<\/p>\n\n\n

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\"Riverfront<\/figure><\/div>\n\n\n

Analysis:<\/strong> Compared to the blocks directly behind, the average psf price premium of Bishan river-facing blocks never exceeded 9.42% pre-2014. (Bear in mind the river-facing units already had an unblocked views of Bishan-Ang Mo Kio Park.) Then, two things happened in 2013:<\/p>\n\n\n\n