It’s a no-go for the Mandarin Gardens en bloc attempt as only 68% consent was secured by the time the collective sales agreement expired.
$2.927 billion second time Mandarin Gardens raised asking price
Mandarin Gardens condominium raised their reserve price for the second time last month to $2.927 billion to encourage owners to sign the collective sale agreement. The first time they raised it was in November last year from $2.479 billion to $2.788 billion when the owners discovered the land was undervalued.
The collective sale committee (CSC) was hard-pressed to secure an 80% agreement before its expiry last Sunday, to no avail.
Despite the numerous rounds of revisions on the asking price, the 1,017-unit in Siglap has yet to launch their first collective sale attempt.
The development’s first attempt at the en bloc process was in 2008. The global financial crisis, however, threw a wrench in the works.
The current CSC responsible for this latest en bloc attempt will be dissolved but some owners have hope for the formation of a new committee soon.
Some owners value their homes for the location and unit-size
Mega sites such as Mandarin Gardens may be entering the market at a rather inopportune time as developers’ appetites have been satiated. The restrictive environment following last July’s cooling curbs has also made land acquisition more expensive, largely narrowing the profit margins.
Some owners at the Mandarin Gardens are also reluctant to let go of their homes as has rare sea-views and for its location. An MRT station on the Thomson-East Coast line will soon be built near it.
The unit which ranges between 732 sq ft and 3,800 sq ft are also rare in size, especially in the midst of new condominiums which are usually much smaller.