The developer of the South Beach Residences condo in the inner city turned down an offer of $26 million for one of its penthouses last year because it wasn't the right time to launch the project.

The firm's spokesman told The Straits Times yesterday: "We did not want to conduct any piecemeal sale of South Beach Residences. The plan has always been to launch sales when conditions are right. Currently, the high-end property market is very quiet."

The 190-luxury apartments, which are expected to be completed in the first half of next year, are part of the mixed-use South Beach project in Beach Road.

It integrates four heritage buildings that were used by the military, including the NCO Club of the old Beach Road Camp, with two new tower blocks.

The joint venture between City Developments and IOI Group will include about 500,000 sq feet of office space, 190 apartments, a 654-room hotel, about 37,000 sq ft of retail space and a 29,000 sq ft private club.

The hotel component, which had a preview opening on Sept 3, has around 150 rooms in operation, with rates from $490 a night.

Mr Jan Buttgen, the hotel's general manager, said on Wednesday: "We are rolling out our room inventory in stages. This will allow us to ensure that everything is perfect for our guests."

CDL, which has been silent on the project's luxury residential project, responded to a Straits Times query on Wednesday to say that the homes range from 950 sq ft for a two-bedroom unit to 6,500 sq ft for a five-bedroom penthouse.

Every unit will have a panoramic view of the skyline, said a South Beach spokesman, adding that all six penthouses will have a private swimming pool.

The tenants in the office tower, which has around 96 per cent occupancy, include Commonwealth Bank of Australia, City Serviced Offices, pharmaceutical group Sanofi, Rabobank and Bain and Company.

Many have been moving in since January, said CDL.