Hitting the collective sale market once more at $3 million below its previous asking price is Gilstead Mansion in the city fringes. It previously had a guide price of $65 million.
Gilstead Mansion site will be affected by restriction of apartment size
The Gilstead Mansion site is in one of the 9 areas which will face a new restriction on apartment sizes. Starting 2019, apartment sizes of new residential developments in some areas will be bound by a 100 sq m minimum.
This also means that the maximum number of units allowed in the new project on the site will be subjected to the new guidelines. These new regulations will apply to new developments in 9 areas outside of the central area.
The average minimum size will be raised from the current 70 sq m to 85 sq m come January 17 next year but these 9 areas will have further restrictions of 100 sq m.
Will these new rulings affect developers’ interest in en bloc sales of properties situated within these 9 districts?
The districts which come under these guidelines include Stevens-Chancery, Marine Parade, Joo Chiat-Mountbatten, Balestier, Telok Kurau-Jalan Eunos, Pasir Panjang, Kovan-How Sun, Shelford and Loyang.
According to previous guidelines of a 70 sq m minimum, 56 units can be built on this Stevens-Chancery site.
See more: Chancery Esquire – Launched for Sale by Tender
City fringe district 11 popular with developers, buyers and tenants
The city fringe district 11 (Novena, Newton, Thomson) is on the radar of developers, buyers and tenants alike as it is close to the Orchard road shopping belt, highly accessible by car and public transport and has quite a variety of dining, recreation and lifestyle options in the vicinity.
The KK Women’s and Children’s Hospital and Newton Food Centre are just a stone’s throw away and schools in the area include those along the Bukit Timah stretch such as Anglo Chinese Primary School, Anglo Chinese Barker Road, St. Joseph Institution and Singapore Chinese Girls’ School.
The area has a good mix of private non-landed properties as well as landed ones. The 35,751 sq ft Gilstead Mansion site is a good size for developers looking for manageable prime sites at reasonable prices.
Compared to the land rates of surrounding sites such as Chancery Court and Dunearn Gardens which are $1,610 psf and $1,962 psf respectively, the 24-unit Gilstead Mansion site’s land rate is a very palatable $1,524.70 psf.