Boon Keng terraced houses, shophouses up for collective sale

Dated: 16-Jul-2018

A cluster of Freehold shophouses, terraced houses and walk-up apartments at the intersection of St George's Road and Serangoon Road is on the market, with a reserve price of $133.66 million.

At that price, owners of the 29 units spanning a 25,621 sq ft site located near Boon Keng MRT are expected to receive between $2.3 million and $10.6 million each.

But a prospective buyer will also have to pay more. The tender, which will start today, comes with two conditions. The developer has to get in-principle approval from the Singapore Land Authority to purchase some 8,611 sq ft of state land for about $7.6 million within the boundary of the site. The land, which comprises backlanes and roads, has a plot ratio of 1.4.

The developer will also have to get in-principle approval from the Urban Redevelopment Authority for increasing the plot ratio of the residential plots from 1.4 to 2.8 with development charge payable estimated at $25.8 million.

If these two conditions are met, the site will have a gross floor area of of 95,850 sq ft. Including the development charge and cost of state land, it will work out to $1,743 per square foot per plot ratio.

The shophouses are zoned residential with commercial on the first storey.

With a plot ratio of 3, the developer can build up to five storeys. The sale includes three rows of residential units, mostly terraced houses.

Mr Terence Ng, key executive officer at Jie Sheng Housing Agency, said he was not concerned about the government's recent cooling measures, due to the commercial component of the plot.

He added that developers might want to apply to the authorities to rezone the land to commercial and residential use, so it can have more retail units.

The tender will close on Aug 17 at 3pm.

Correction note: An earlier version of this story incorrectly stated that the development charge payable is $33 million. It should be $25.8 million. We are sorry for the error.

Source: Straits Times