Executive Condos: Still a Smart Investment? A Deep Dive into 53 Units Insight

When a Singapore Condo Becomes a Billion‑Dollar Beast

Remember 2018? Singapore’s real‑estate scene lit up like a fireworks show when a single executive condo (EC) smashed the price charts and left a trail of stunned bidders in its wake.

It Was All About Sumang Walk

Picture a skyscraper of glass and ambition on Sumang Walk. The land snagged a record‑setting $509 million bid from CDL—a figure so big that it knocked over the previous high‑stakes holders.

Bidding War That’d Make a Drama Series Boom

• CDL → $509,370,000
• Qingjian Realty → $486,000,000
• Yanlord & Solibuild → $450,000,888
• Hoi Hup & Sunway → $446,600,000
• Sing Development, FEC, & Changi → $431,688,338
• Evia Real Estate & Gamuda → $426,368,889
• MCC Land → $413,700,000
• UED Residential, TSKY & ZACD → $411,888,333
• Frasers Property → $409,000,000
• Nanshan Group & Harmony Flourishing → $400,829,766
• GLL C → $397,533,000
• Sim Lian Land → $393,900,009
• JBE Properties → $393,900,000
• Peak Opal → $387,100,000
• TTH Development + Santarli Capital Venture + Kay Lim → $382,682,988
• MCL Land → $382,000,000
• HB Lombard → $373,808,000

This wasn’t a corner‑the‑corner fluke. All 17 bids eclipsed the July 2013 record that had held for the old Lake Life site. The collection of offers showed the market’s appetite for luxury, pushing the average price per square foot above the coveted $1,000 threshold.

From the Summit, Piermont Grand EC Leads the Pack

Fast forward to the launch of Piermont Grand EC—a landmark blinking extra‑high price tag. With 62.3 % of its 820 units snapped up, it turned heads. The launch was more than just a sales event; it became a trendsetter that knocked the door open for future ECs like Parc Canberra EC and Ola EC to dive into the same $1,000‑plus price club.

Now, Do Exec Condos Still Make Sense?

Here’s your cheat sheet for deciding whether to buy an EC in 2020: we’ll tackle four major themes—prices on the up, profit margins, the price gap between ECs and private condos, and a long‑term look at 5‑year and 10‑year returns. That’s the crystal ball you need before crossing the threshold into the EC‑premium realm.

Let’s Dive In!

The rise in EC prices

Executive Condos: A Price Rollercoaster

When you think of the executive condo market, the first thing that pops up is the price tag. From the very first launch in 1999 right up to 2020, the cost per square foot has gone from roughly $400 to a jaw‑dropping $1,100. That’s a whopping 175‑percent jump – a raise that would make any humble side‑project in your wallet look like a luxury gift.

A Quick Peek Into the Numbers

• 1999 – $400 psf (Eastvale debut)
• 2008‑2013 – nearly doubled to about $800 psf (thanks to an EC sales vacuum and the quirky DBSS scheme)
• 2014‑2019 – a steady climb from $600 psf to just over $800 psf (even though the market felt a bit oversupplied in those mid‑2010s years)
• 2020 – $1,100 psf, right in line with the new higher income ceiling of $16,000 introduced last year

It’s no secret that the government’s recent tweaks to the income thresholds (first bump in 2015 from $12,000 to $14,000, then the big lift to $16,000 in 2019) were meant to broaden the buyer base. They’re essentially saying: “We expect these new price points to become the norm.” And the numbers? They’re pretty backed by the data.

But What About the Developers?

The real plot twist is whether builders are reaping hefty profits from this upward slide. Let’s dig a bit deeper.

EC profitability margins

What the Profit Margins Really Say About Singapore’s Executive Condos

Ever wondered whether those sleek executive condos are worth the hefty price tag? Let’s break down the numbers that developers actually care about—layman’s terms, juicy facts, and a dash of humor.

Why 2008‑2017 Figures Are Mysteriously Lost

Good news: we’ve got data from 2018‑2023. Bad news: the earlier years are about as elusive as a dolphin in the night sea. But that’s enough to gauge the real money potential for developers.

Margins Snapshot – The Good, the Bad, and the Glorious 30%

Below is a quick rundown of the most recent EC launches, with each line treating its margin like a prized trophy. The numbers are breakeven price per square foot, initial launch price, and the resulting profit margin.

• Ola – $976, $1,137, 14.16%
• Parc Canberra – $954, $1,104, 13.59%
• Piermont Grand – $938, $1,101, 14.80%
• Rivercove – $671, $971, 30.90%
• Hundred Palms Residences – $678, $842, 19.48%
• iNz Residence – $601, $774, 22.35%
• Northwave – $581, $746, 22.12%
• Treasure Crest – $583, $747, 21.95%
• The Visionaire – $669, $815, 17.91%
• Sol Acres – $673, $787, 14.49%
• … … (and the rest of the list continues in the same style)

In short: most margins hover between 8% and 24%. Rivercove is the unicorn that achieved a 30% win. A few others like Lush Acres and Twin Waterfalls come pretty close.

Is Gross Profit Really that Pretty?

Not so much. Unlike private condos, executive units face a dual constraint: the MSR (Market Sales Regulations) and the combined income ceiling. These rules cap how high developers can price their units. The result? Margins are usually modest.

Even with three recent ECs that crossed the $1,000 per square foot threshold, their margins sit at roughly 13‑14%. These are, interestingly, lower than the 2018‑2019 launches.

So Why Aren’t They Making More Profit?

The culprit: lung‑craving land prices. When land costs skyrocket, developers tighten their belts. This balancing act leads to:

• Higher selling prices for ECs,  but  lower profit margins.
• More competition for scarce land, causing a vicious cycle.

Think of it like a tennis match: the more players join the court (land), the higher the stakes, but the prize pool gets split thinner.

Is the Gap Between Executive and Private Condos Widening?

Short answer: yes, a bit. The race for prime land by Chinese developers and others pushed prices upward, and that tickles the price tags of executive condos more heavily than private ones. As a result, the gap has been slowly expanding over recent years.

What Lies Ahead?

Development strategies will revolve around:

• Optimizing land acquisition deals.
• Innovating build‑to‑sell models that compress costs.
• Finding creative ways to navigate the MSR without breaking the bank.

So, while ECs remain a solid investment option, the story behind their price tags is richer than the glossy brochures suggest. Keep an eye on land trends—those shifts will dictate the next wave of executive condo craziness.

Remember: the numbers are just the tip of the iceberg—behind every project’s margin lies a complex ballet of regulations, market forces, and a sprinkle of good old developer instinct.

Executive Condo and private condo price gap

Executive Condos: Singapore’s Own Subsidized “Pop‑Up” Luxury

Why are Executive Condos (ECs) the talk of every coffee shop? Because, spoiler alert, they’re essentially a subsidised version of high‑end living. The government’s sweet‑treat policy means you can jump into a fancy apartment for a fraction of the market price. It’s the real‑estate equivalent of buying a brand‑new car with a 10‑year lease – you get the luxury, but the bank keeps the hefty sticker.

Can the “price gap” really pay off once you fully own a condo?

People often think that once you pull the final paperwork, all these discount perks evaporate like a morning fog. That’s the big question: Do ECs actually cross the money‑making line when you own them outright?

We pulled the stats to find out

So we didn’t just gossip – we dived into the raw numbers. To keep it fair, we sliced the market by district so the price gaps aren’t just one big “average” that hides the real picture.

ECs in Singapore today are only offered in the following downtown oases: Districts 18, 19, 20, 22, 23, 25, 27, and 28.

Let’s start with District 18

• Short‑listed the most popular ECs there.
• Compared each to its non‑subsidised counterpart.
• Assess the gap after full privatisation.

Stay tuned – we’re about to reveal whether the price splash over those aperitifs really translates into real‑world gains.

Why There’s a Real Price Gap Between ECs and Private Condos

Take a look at the chart: you can’t miss that price difference between executive condominiums (ECs) and regular private condos. Even after trimming the comparison to only the leasehold condos in District 18, the gap persists and keeps widening in recent years.

What’s behind this? A handful of fresh developments around the corner—think D’Nest, Coco Palms, and a few more—have all pushed the numbers further apart.

Making the Comparison Fairer

New projects skew the data, so I took a more level field by matching ECs to private condos that share similar start dates and locations—basically, a “like‑for‑like” comparison.

Case Study: Simei Green vs. Eastpoint Green

Simei Green sits in Changi and was one of the first ECs in Singapore. The closest neighbor, Eastpoint Green, is just a five‑minute drive away. Both launched in 1996 and are pretty comparable in size.

The early gap is clear thanks to Simei Green’s subsidised rates. By 2004 the difference shrank to just $62.62 per square foot. For a brief moment in 2016, Simei actually out‑performed, but since then the gap has been almost negligible. Still, the EC has never quite caught up.

Case Study: Bishan Loft vs. Rafflesia

Bishan Loft, a newer development, debates the old bias that ECs are somehow “inferior.” The Rafflesia nearby offers a natural comparison.

At launch the gap was a noticeable $286 per square foot. Five years later it was still around $264. However, when Bishan Loft fully privatised, the difference shrank to a mere $17.70 in 2012. Even more exciting—Bishan Loft actually out‑paced the Rafflesia from 2014‑2016 and again in 2020 (though the 2020 data set is smaller).

What’s the secret sauce? Timing, prime location, and a strong demand curve. Bishan Loft’s spot near Junction 8, Bishan MRT, and the boho vibe of Bishan itself adds to its appeal. Plus, with Bishan being largely an HDB town, condos become a prized commodity.

Summing It Up

• There is a definite price gap between ECs and private condos.
• In District 18 the gap is about 28 % and has widened in recent years.
• Other districts (19, 20, 22, 23, 25, 27, 28) show a similar trend, with gaps ranging from 20 % to 38 %.
• Bishan Loft remains a standout, thanks to its strategy and location.

So while ECs haven’t quite closed the gap, the evolving market may offer a chance for them to catch up—or even leapfrog—future? Stay tuned as we dive into how ECs stack up in terms of profitability next.

EC profits at 5 and 10 year mark

When Does Your Project Finally Cash In?

5‑Year vs 10‑Year Profit Outlook

• 5‑Year Mark: Roughly half the projects hit their first profit milestone around the five‑year anniversary. Small incremental gains start pouring in.
• 10‑Year Mark: By the decade‑long, the majority of ventures see a noticeable jump in profitability—often doubling or even tripling their initial returns.

So, whether you’re eager to spot the first green, or you’re patient enough to wait a decade for the big payday, the data is clear: patience pays off better as the years go on.

Executive Condos: 5‑Year vs 10‑Year Profitability

Let’s dive into the numbers that show how executive condos (ECs) stack up after the mandatory holding period (MOP) and when they hit the 10‑year mark of privatisation. These figures are gross profits – no stamp duty, taxes, or other fees factored in.

10‑Year Mark — All Winners (for Now!)

• The iconic Eden at Tampines and Bishan Loft delivered a whopping +100% return.
• Bishan Loft is the real superstar: a jaw‑dropping +159% upside.
• All of these projects burst onto the scene in 2003/2004, just before the property market got its mojo.

If you’re thinking “Sure thing,” you’ll see that the timing mattered a ton. Those launched earlier – we’re talking 1999/2000 – didn’t fare as well.

5‑Year MOP — Not Every EC Is a Golden Ticket

• Only 23 out of 36 ECs turned a profit after five years.
• Early builds from 1999/2000 logged losses ranging from -6% to -25%.
• The prevailing market climate (the 1997 global financial crisis + the 2001 tech bubble burst) hit those first batch of ECs pretty badly.

So, early adopters were paying the price for optimism.

Lesson: The “Forced” Holding Period is a Blessing in Disguise

Take Floravale in the spotlight. Sell a couple of years after the MOP and you’d make a -12% loss. Wait just five more years and you’re looking at a +52% gain. Talk about a plot twist!

• Longer hold = bigger upside.
• It can feel rigid, but the extra time worked in your favor for all the 10‑year data points.

All ECs Together – What’s the Big Picture?

The next big question: how did the entire fleet of executive condos perform overall? Stay tuned for a comprehensive overview that sums up the highs, lows, and what it means for future investors. Stay excited – the numbers are telling an interesting story.

Performance of all Executive Condos

Condominium Conundrum: Why Some Executive Condos (ECs) Make a Killing While Others Bite the Dust

Ever wondered why some 2004 ECs puff up the house money while others sit on a financial stub, and why the newer 2013‑plus units can look like a bleeding heart? Let’s break it down—no spreadsheets needed, just the raw candy of numbers and a dash of wit.

How the Numbers Stack Up

Average profitable transactions per EC: 141 – that’s a lot of “yes” moments.

Average unprofitable transactions per EC: 42 – a few “no”s to offset the fun.

On a grand‑scale view, each EC has raked in a $207,342 sweet haul, but also dropped $60,193 dipping into the loss basket. Think of it like a casino: you win big on the jackpot, lose a bit on the side bets.

The 2003‑2006 “Golden Era” Rockets

• All the star performers come from the early‑2000s—it’s pure time‑and‑entry magic.
• Hold times were just right. Buy low, hold through the market’s ebb, and sell when the clocks clicked.
• For these units, the ratio of profit to loss resembles a “mostly win, occasionally miss” game; just a handful of unlucky churns here and there.

2013‑Plus – A Rough Patch in the Market Maze

• Enter the era where new Executive Condos start showing a whopping negative price gap vs. their leasehold counterparts.
• It’s like buying a shiny high‑tech gadget only to discover it’s priced higher than the same old model. The difference? A sticky “resale value” issue that keeps the market cold.

In short, the newer ECs may look flashy on paper, but the resale market tells a different story. Investors might feel the sting of a failing trend, even if the units seem premium.

More Observations: The Notable Trends

• Peak profits cluster tightly: $130,850 for The Terrace, $105,658 for The Vales, $138,790 for Ecopolitan. All of these are in the early‑2000s bucket.
• Losses are rare but real: – $1,000 at Bellewoods, “- $17,500” at Ecopolitan, “- $31,300” at WaterColours.
• Units that had zero losses (like $0 for The Amore and The Tampines Trilliant) show that a firm strategy can eradicate the risk entirely.
• As the data shows, even the “worst” ECs, like Lavast – with $172,200 profit – bring balance to the market’s overall health.

Final Takeaway

When it comes to the condo club, timing is king. Buying an EC in the 2003‑2006 boom period is a lot like catching a fish on the perfect tide: you’re almost guaranteed a tasty catch. The newer 2013‑plus sets, on the other hand, are more akin to a risky stock that might look sturdy but drops a few dollars in resale circles. Keep the eye on the entry point and the holding period: that’s the secret sauce for turning condo real estate into a profitable cauldron.

TL;DR: Older ECs brag the best profits, newer ECs have trouble matching resale value, and the key lies in smart entry, smart exit, and a dash of patience.

Final word

Final Look at the Last Three Executive Condos on the Horizon

Okay, folks, buckle up – we’re about to wrap up this article with a quick tour of the newest executive condo releases. We’re talking launch prices, nearby market rates, and that classic “gap” that keeps investors on their toes. Let’s dive in.

Prices as of March 2020 — remember, markets shift like a headline in fast-paced news.

So, what’s the scoop? In District 19 the difference between the launch price and the surrounding condo price is pretty flat. That’s because the Ola and Piermont Grand ECs were priced modestly; no dramatic gap to worry about. By contrast, Parc Canberra’s margin is a hefty –15.16%, a big drop from the impressive numbers of earlier years. Investors, you can see the story this data is telling.

• First takeaway: The “forced” holding period that comes with privatization is a secret sauce. Waiting a decade turns those executive condos into strong revenue generators because the market’s had time to climb the value ladder.
• Second takeaway: Developers are upping their game. They’re trying to lock a “quality catch‑up” vibe with private apartments — aiming to justify higher prices with a splash of perceived value and a touch of exclusivity.

In short, the next decade is all about holding, watching the climb, and making the most of the premium that these executive buildings bring. Stay tuned, there’s more exciting real‑estate action on the horizon.

Full-featured ECs – The Reality Check

Let’s cut to the chase: land prices today are about as high as a sky‑high tower in the city center. That means the sweet spot of profitability we once saw in Executive Condos (ECs) is now a mirage unless—oh, we’re hoping for a sudden economic boom—we beat any decent way.

Consumer Mindset: The Biggest Enemy

ECs are stuck in the consumer’s groove; people still associate them with that middle‑of‑the‑road feeling… They’re not going to pour the same cash flow as luxury condos just because you toss a marketing headline around.

Why Bishan Loft Is a No‑Go Example

• It’s not a prime launch site – the brand, the location, and the pricing are all mismatched.
• Even if a new EC pops up in a prime spot, the market will still keep them anchored in the “EC” realm, not the private condo domain.

Historical Prices Tell the Tale

Back in the day, ECs wouldn’t trade at private condominiums’ price levels. They’ve always held on to their niche category. Yet, their chief role remains—to serve as the bridge between pricey private houses and the steady reliability of HDBs. And that bridge, while imperfect, does get the job done.

Demand? Still Alive!

• People love the idea of a condo lifestyle without the full price tag.
• Diversification across demographics keeps the interest alive—so a mix of styles, sizes, and price points matters.

Will ECs Become the Next Gold Rush?

No. Even if the market shifts, the conclusion stays the same: don’t get carried away by hype. It’s a cautious view that staying realistic is the best path.

Key Takeaways

• Land prices boost costs; high profitability is a stretch.
• ECs won’t match private condo prices but cater to a niche bridge market.
• Diversity matters—different flavors keep the demand alive.
• Don’t bet the house on ECs as the next big boom; stay grounded.

Note: This piece originally appeared in Stackedhomes and is about Executive Condos, Condominiums, Pricing, Money.