SINGAPORE: A jumbo flat at Bukit Merah changed hands for S$1.53 million, setting a record for four-room flats. The property is located on the lower floors of Block 50 Moh Guan Terrace in Tiong Bahru, Bukit Merah.

What makes this resale particularly unusual, however, is that the flat’s lease started in 1973, the property portal 99.co reported. This means that the flat has only around 45 years and nine months left on its lease. This transaction is markedly different from other recent Housing and Development Board (HDB) resales, which fetched high prices because they had much longer leases remaining.

Nevertheless, there has been a consistent demand for flats in mature estates, particularly those that are larger.

“In many ways, this latest transaction also reflects how some buyers are increasingly prioritising space, heritage, and location over lease tenure alone,” 99.co pointed out.

Indeed, the record-breaking sale of the Moh Guan Terrace flat spans 1,615 sq ft, which means its price translates to S$947 per square foot.

Another thing that works in the flat’s favour is its location, especially since Tiong Bahru is one of the best-known heritage neighbourhoods, combined with the modernity of recent MRT lines, as well as retail and lifestyle attractions.

While unusual, the sale is not without precedent. In June 2023, a 1,894 sq ft 50-year-old four-room flat at the same address already sold for S$1.5 million. At the time, the high price raised some eyebrows, since Moh Guan Terrace did not even have an elevator. A few months later, a large 39-year-old resale flat on the 10th to 12th floors of Block 326, Ubi Avenue 1, similarly sold for a high price, changing hands for S$1.06 million.

In contrast, a five-room HDB flat at City Vue @ Henderson on 96A Henderson Road that still has 92 years and one month on its lease sold for an eye-watering S$1.728 million in April. /TISG

Read related: 4-room flat in Tiong Bahru fetches record breaking $1.5M price, despite being 50 years old