The former-HUDC estate of Braddell View was viewed as prime property long before it was privatised in March this year. And now, its value has possibly appreciated as it goes up for collective sale.
Prime spot in a growing suburban district
The latest en bloc deal to be sealed was Pine Grove at $1.65 billion. But Braddell View’s $2 billion, should the sale be closed, will trump that. Each unit owner will then stand to receive an average of more than $2 million. With over 1.125 million sq ft of development space, it still has 63 years left of its 99-year lease. The residential site has a 2.1 plot ratio and would comfortably house a new development of up to 3,000 units.
The collective sale committee started the process going after receiving 82% vote from its 400 responses to sell the property en bloc. While the property has a great deal of potential with its proximity to the Braddell, Marymount and Caldecott MRT stations, the estate is rather getting on with age.
The last boom in the collective sale market was back in 2007. During this time, plots where new condominiums such as The Interlace and d’Leedon now stand were sold. As large and impressive as these developments are, unsold units remain. With collective sales, the time factor is crucial. There is competition now from other sites being sold en bloc, such as Normanton Park, and also possibly competition in the future. Will this year’s surge in en bloc sales be a positive thing a few years down the road? How will the entry of that many new units impact the market?