Owners of properties which have previously missed their en bloc opportunities could have something to look forward to as 2 more city-fringe developments re-enter the collective sale market.
They may be banking on developers’ interest in the location of their sites.
City fringe location selling point for en bloc properties
While the mega-site of Pine Grove is increasing its reserve price, most properties which are making subsequent attempts at the collective sale process are holding steady to their previous asking prices or even lowering them in order to entice developers.
At Kentish Green condominium, for example, the site has been put up for collective sale once more at a reduced price of $200 million. This is $30 million lower than their previous ask.
The property is situated near Farrer Park MRT station and could potentially draw interest from both local and foreign investors. The new Russian Cultural Centre and the Russian Orthodox Church will also be built nearby, which may increase the expatriate population in the area.
With the $200 million reserve price, should the deal close successfully, each owner of the 122-unit condominium in Oxford-road will receive between $1.5 million to $1.8 million.
The site currently has a plot ratio of 2.8 but could be increased up to 3 should the request submitted by the collective sale committee be approved by the Urban Redevelopment Authority (URA).
St Thomas Ville sticking to the reserve price of $58 million
The River Valley area is popular with expatriates and the well-heeled locals, hence the sale of a palatable plot could potentially attract developers.
In addition, the St Thomas Ville condominium near River Valley road is sticking to their $58 million asking price, an affordable quantum for the 23-unit freehold property.
The year-end festivities may have paused the development’s en bloc attempt due to delays in verification of technical details, thus they are now trying their hand once more at the collective sale process.
The freehold status of the site, its palatable size and gross plot ratio of 2.8 plus its prime district 9 location could all account for its appeal.
The site is near the Great World City shopping mall, orchard road shopping belt and schools such as River Valley Primary School and Chatsworth International.
There is also no restriction on the minimum unit size as it is within the central area. Last July’s property curbs had enforced an 85 sq m per-unit size minimum on new non-landed private homes outside of the central area.
The tender for both sites will close on 28 March and 27 March respectively.