With a $980 million price tag, Pacific Mansion has sold to the tune of being the second-highest en bloc deal.
Freehold River Valley site bought by Singapore property tycoon
Together with his Malaysian billionaire cousin Quek Leng Chan, Singapore property tycoon Kwek Leng Beng purchased the site in district 9. This is a prime piece of freehold land which attracted the interest of both local and foreign developers.
Mr Quek’s GuocoLand successfully tendered for site together with Intrepid Investments and Hong Realty. Mr Kwek’s Hong Leong Investment Holdings (HLIH) owns the majority stakes of the latter 2 entities while the rest of the family members also have stakes in the businesses.
The highest bid in history for an en bloc sale was $1.34 billion for Farrer Court in 2007. Now Pacific Mansion follows closely on its heels with $980 million. The other successful collective sales with similar figures include Tampines Court’s $970 million and Amber Park’s $907 million.
15 successful collective sales in first quarter of 2018
Any doubts about a flourishing collective sales market this year may have been quashed as 15 developments found buyers with the first quarter of the year. A total of almost $5.8 billion already makes up for almost 67% of the $8.7 billion from 30 collective sales in the whole of 2017.
Some of the notable sales thus far include Cairnhill Mansions, Riveria Point, Pearlbank Apartments, Eunos Mansion, Goodluck Garden, and Katong Park. Pacific Mansions’ land cost may break even at $2,530 psf to $2,800 psf. That would mean consumers may be looking at selling prices of $3,000 psf to $3,200 psf in the launch of the new development on this site.