MARKET UPDATES

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Another sale en bloc: Toho Mansion in Holland Village goes for $120.4m

SINGAPORE - KBD Ventures, a subsidiary of construction and property developer Koh Brothers, has won the collective sale tender for Toho Mansion in Holland Road for S$120.43 million or around S$1,805 per sq ft per plot ratio. The freehold site, which has an area of 4,427.8 sq m and a plot ratio of 1.4, can be redeveloped into a potential gross floor area of 6,818.7 sq m, including a 10 per cent bonus balcony area, Koh Brothers said in a filing with the Singapore Exchange early on Friday (March 9). Zoned for residential use under the Urban Redevelopment Authority's 2014 Master Plan, the plot enjoys enjoys a high development baseline with no development charge to redevelop the site, Edmund Tie & Company, the marketing agent for the sale, said on Friday. Toho Mansion is a walk-up apartment complex with two four-storey residential blocks consisting of a total of 32 apartments. It sits on an elevated site next to a Good Class Bungalow housing estate and is in close proximity to Holland Village Shopping Centre and Chip Bee Gardens. The sale and purchase of the property are expected to be completed three months after the date of the acceptance. Said Francis Koh, managing director and group chief executive of Koh Brothers: "We are excited to have won this prime and rare freehold site that is in the heart of the vibrant Holland Village lifestyle enclave." KBD Ventures intends to redevelop the property, subject to obtaining the necessary approvals from the authorities. Koh Brothers said that the purchase would allow the group to expand its development portfolio in Singapore. "We look forward to creating a fresh concept that will offer a seamless and integrated experience with the great convenience and connectivity in this up-and-coming neighbourhood, which has been earmarked by the Government for a highly anticipated makeover and expansion," Mr Koh added. The Toho Mansion site "will mark the third site to be added to our land bank, as we continue to prudently seek attractive development sites at choice locations". "In view of the recovering residential sector in Singapore, we will monitor the market closely to launch the project at an opportune time to capitalise on the upcycle," Mr Koh said. Edmund Tie & Company's senior director for investment advisory Swee Shou Fern commented: "This is a very attractive site that stands out from the crowd. Its many positive attributes include the coveted freehold tenure, single ownership, prestigious Holland Road address, high development baseline and the convenience of Holland Village, Chip Bee Gardens and the MRT station located right at its doorstep." Koh Brothers shares were trading 0.5 cent down, or 1.5 per cent, at 33 cents as at 12.34pm on Friday.

Source: Straits Times
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Developer releasing 30 units in Nim Collection

The first developer to launch a private residential project this year, Bukit Sembawang Estates, will release 30 out of 47 units in the first phase of its landed development, Nim Collection, at an average price of $2.8 million to $3 million. The launch of the project tomorrow follows a recovery in landed home values, marked by two quarterly price upticks in the second half of last year. Located in Nim Road off Ang Mo Kio Avenue 5, this project is one of the first to adopt the new "envelope" control guidelines that offer greater flexibility in the design and configuration of interior space. The guidelines do away with some of the current "micro-controls", such as the attic profile, floor-to-floor height and basement protrusions, and instead control the envelope or the overall bulk of the house. Mr Ng Chee Seng, executive director and chief executive of Bukit Sembawang Estates, said the development offers homes that break away from the usual conventional design. "This includes a unique blend of high spatial heights, volume, luxury of space and layout." The 99-year leasehold project is designed in partnership with Mr Mok Wei Wei of W Architects and is jointly marketed by CBRE, Edmund Tie & Company, and Huttons Asia. Phase 1 of the project comprises 37 inter-terraced units, eight corner terraced units and two semi-detached houses. The first two phases of the project have planning permission for 98 units. Bukit Sembawang Estates' land bank in the area is said to be able to house some 300 landed homes in total. For Phase 1, the developer is selling the inter-terraced units spanning 1,916 sq ft of land with 4,478 sq ft of built-up area for around $2.75 million, sources say. CBRE executive director for residential Joseph Tan said: "Landed terraced homes are very limited in supply. Bukit Sembawang Estates Limited has chosen a very opportune time to put the houses on the market, at a time when the sentiments around Singapore's residential market have improved." The official index for landed homes rose 1.2 per cent in the third quarter and 0.5 per cent in the fourth quarter. This brought the full-year price change for landed homes to a 0.5 per cent decline, following three years of a price slump. Prices fell 4.5 per cent in 2016, 4.1 per cent in 2015 and 5.4 per cent in 2014, according to data from the Urban Redevelopment Authority. The previous major landed project launch was Kismis Residences by Low Keng Huat (Singapore) in May last year, which had sold 11 of 31 units as of January this year, for $4.1 million on average. These sold units span an average land area of 1,624 sq ft. Bukit Sembawang Estates' last landed project launch was freehold Luxus Hills Phase 7, where 32 units were fully sold.

Source: Straits Times
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4 residential sites join collective sale market

Another four residential sites have hit the collective sale market to meet what appears to be an insatiable demand from developers. Asia Gardens in Everton Road leads the way with an asking price of $338 million, followed by Park View Mansions near Jurong Lake at about $320 million. Firms may also consider 27 Moulmein Rise with a reserve price of $110 million, or Katong Omega Apartments at $41 million. Edmund Tie & Company, which is marketing Asia Gardens, said the asking price of $338 million works out to a land rate of $1,675 per square foot per plot ratio (psf ppr), or $1,523 psf on the maximum potential gross floor area (GFA), including the 10 per cent bonus balcony area. The site has a high development baseline, so no development charge is payable, including the 10 per cent bonus balcony area. Freehold Asia Gardens, which was completed in the late 1980s, is in the Spottiswoode enclave. It comprises 80 apartments and four penthouses on a land area of about 72,059 sq ft with a gross plot ratio of 2.8. It could yield a condominium of up to 36 storeys with about 270 units, assuming an average size of 70 sq m, said Edmund Tie & Co. Asia Gardens is near the Central Business District, a short drive from Orchard Road and HarbourFront, and only 400m from the Outram Park MRT interchange, serving the East-West and North-East lines and the upcoming Thomson-East Coast Line. Mr Swee Shou Fern, Edmund Tie's senior director of investment advisory, said: "The property (enjoys) unobstructed panoramic views of the city skyline and sea beyond the Tanjong Pagar port area." Meanwhile, owners at Park View Mansions are expecting $320 million in their collective sale attempt. That translates to $1,183 psf ppr, inclusive of $157 million to intensify the land and to top up to a fresh 99-year lease, marketer Huttons Asia said. Park View Mansions has a land area of 191,974 sq ft, with an allowable gross plot ratio of 2.1. The site can yield about 403,145 sq ft of GFA upon redevelopment. Developers can also target 27 Moulmein Rise near Novena and an adjoining plot of land with a combined reserve price of $110 million. This translates to a land rate of $1,525 psf ppr, based on a maximum allowable GFA of 72,147 sq ft, including a 10 per cent balcony area, Savills Singapore said. Both plots are owned by 27MR and no development charges are payable. The sites, which have a total land area of 22,198 sq ft, could yield up to 87 units. 27 Moulmein Rise is in prime District 11 and near the upcoming Health City Novena, which is due for completion by 2030. The fourth site released by tender is freehold Katong Omega Apartments at 357 to 367C, East Coast Road, in District 15. All owners of the 18 units have unanimously agreed to sell, so strata board approval is not required. Marketer Teakhwa Real Estate said the site is expected to fetch at least $41 million, or about $1,062 psf ppr, including a development charge of $480,000. Katong Omega Apartments is in a heritage district on a land area of about 27,902.4 sq ft, with a plot ratio of 1.4, and an allowable height of up to five storeys. Tenders close on April 5 for Katong Omega Apartments, April 16 for Asia Gardens, April 18 for 27 Moulmein Rise, and April 20 for Park View Mansions.

Source: Straits Times
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Katong Omega Apartments up for collective sale at S$41m

SINGAPORE - The slew of recent collective sales of private apartments continues unabated with the latest addition of Katong Omega Apartments, up for sale en bloc with an indicative price of S$41 million. Strata board approval is not needed for the sale as all 18 owners of the freehold District 15 residence at 357, East Coast Road, have signed on, marketing agent Teakhwa Real Estate said in a statement on Wednesday (March 7). The guide price translates to S$1,061.90 per sq ft (psf) of potential gross floor area, including the differential premium of about S$480,000, subject to confirmation by the relevant authorities. The land rate will be reduced to S$1,021.50 psf if the 10 per cent bonus balcony gross floor area (GFA) is included. The site is expected to fetch an average selling price of about S$1,750 to S$1,850 psf, said Teakhwa Real Estate's managing director Sieow Teak Hwa."For its freehold tenure, superb location and undemanding land rate expectation, we can expect very strong developers' interest for this rare site," he added. The plot is zoned "residential" and has a land area of around 27,902.4 sq ft, with a plot ratio of 1.4 and allowable height of up to five storeys. The potential GFA is about 39,063.4 sq ft, Teakhwa said, which could yield 36 apartments of about 1,076 sq ft per unit for a new residential development. Teakhwa highlighted the three to four-minute walk from the development to the future Marine Terrace MRT station, currently scheduled for completion in February 2023. Marina Bay, the Central Business District and Changi Airport are also 10 to 15 minutes away by car. It is within 1km to Tao Nan and CHIJ (Katong) primary schools, and is near shopping malls like i12 Katong, Parkway Parade and Roxy Square. The tender will be launched on Thursday and close at 3pm on April 5, 2018.

Source: Straits Times
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FEC Properties buys Hollandia in collective sale for $183.4m

A unit of developer Far East Consortium International (FEC) has bought a collective sale site in prime Holland Road for $183.38 million. Hollandia, which sits on a 4,970.8 sq m freehold plot at the junction of Holland Road and Queensway, is in a popular residential enclave of landed homes and high-end condominiums. It is also near bustling Holland Village and an MRT station. The six-storey block of 48 apartments was built in the mid-1980s. Owners can expect gross sale proceeds of $3.3 million to $4.2 million, which works out to over $2,000 psf on strata area. The site can be developed up to 12 storeys with an allowable gross floor area (GFA) of 10,004.56 sq m. Owing to its high development baseline with an equivalent gross plot ratio of 2.01, no development charge is payable, including the additional 10 per cent GFA for balconies. The price for Hollandia condominium translates to a land rate of $1,703 per square foot per plot ratio (psf ppr), said marketing agent Savills Singapore. The last major collective sale site in the Holland vicinity was in December 2011, when Henry Park Apartments in Holland Grove was sold. FEC said it plans to redevelop the site into a high-end residential development, with total GFA of about 10,000 sqm. "The acquisition is... a great addition to the development pipeline in Singapore following Artra, which was successfully launched last year," it said. The firm's unit, FEC Properties, launched the 400-unit Artra near Redhill MRT station last April. The project, which FEC is jointly developing with New World Development in a 70-30 joint venture, had sold 191 apartments as at the end of last year. The Chiu family that controls Hong Kong-listed FEC also has privately held businesses through its Tang Group of Companies. FEC has also undertaken projects in Australia and mainland China. Including the Hollandia deal, the nine collective sales so far this year have totalled $3.3 billion, after 30 deals last year of $8.7 billion in all.

Source: Straits Times
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Sentosa Cove penthouse sold at $2.4m loss

A two-level penthouse at The Berth by the Cove was sold for $3.25 million, or $1,105 per square feet (psf) - almost half its original value - at an auction on Wednesday. Edmund Tie & Company received five bids for the sixth-storey property. The last owner had bought the unit for $5.64 million, or $1,919 psf, in 2011. This means a loss of about $2.4 million, or 42 per cent. This transaction is the first auction sale of a Sentosa Cove property this year. It is a mortgagee sale, which means it is a sale put up by the lender, usually because the borrower has difficulty servicing the mortgage. According to the real-estate consulting firm, this is the fourth Sentosa Cove property since 2017 to be sold for almost half of its initial purchase price. In January this year, a unit in Sentosa Cove's Turquoise was sold for $3.59 million, 43 per cent lower than its last purchase price of $6.29 million. In March last year, an apartment in Marina Collection was sold for $3 million, or at a 42 per cent discount, while a Seascape unit was sold at $6.2 million in February last year - representing a loss of 51 per cent from its original value of $12.8 million. Said the firm's head of auction and sales, Ms Joy Tan: "Mortgagee sale units along this stretch of Sentosa Cove are hard to come by, given its healthy rental and resale transactions. The auctioned price of $1,105 psf is very reasonable." The four-bedroom unit at The Berth by the Cove has a floor area of about 2,939 sq ft, and features unblocked views of the marina, as well as the landed enclaves of Paradise Island and Coral Island. It comes with a double-volume ceiling in the living area, private lift access and a private spa pool attached to the master bedroom. Located along Sentosa's coastline, this condominium is also one of the few developments on the island which offer residents 25 berths for their private yachts. Ms Tan said: "Sentosa Cove properties are on the upward swing this past year, and we still see ready buyers looking to invest in good buys on the island. "We expect another five units to be placed for auction for the rest of the year." The next auction by Edmund Tie & Company will be on March 21.

Source: Straits Times
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Cuscaden Road site up for tender under Goverment Land Sales programme

SINGAPORE - A site at Cuscaden Road has been launched for sale by public tender on Tuesday by the Urban Redevelopment Authority (URA) under the confirmed list of the first half 2018 Government Land Sales (GLS) programme. The tender for the site will close at 12 noon on April 26. The tender closing for this site will be batched with two other residential sites at Silat Road and Mattar Road which will be launched for sale in March 2018, the URA added. These two sites are also under the confirmed list of the first half 2018 GLS programme. The 5,722.5 square metre 99-year leasehold site - zoned for residential use under URA's 2014 Master Plan - at Cuscaden Road has a gross floor area of 16,023 sq m. The maximum building height of the site stands at 100 m and can potentially yield about 170 residential units, the URA said.

Source: Straits Times
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Holland Road condo up for collective sale

The Estoril, a condominium at 95 and 97, Holland Road, is up for collective sale with a guide price of $220 million, reflecting a land price of about $1,625 per sq ft per plot ratio. Sitting on a site area of about 84,600 sq ft and zoned "residential" with a height control of up to 12 storeys, the development comes with a plot ratio of 1.6 based on the 2014 Master Plan, and has a maximum allowable gross floor area of about 148,896 sq ft, including a 10 per cent bonus area on balconies. According to the Urban Redevelopment Authority development baseline record, no development charge is payable. The site could potentially be redeveloped from its current 44 units into a residential development of 166 units. CBRE capital markets director Sammi Lim believes a land price of less than $250 million will be "palatable" for developers. "The spotlight on the current collective sale cycle seems to have started to shift to the prime districts," he said. "The recent sale of Cairnhill Mansions, the first residential development site sold in the prime district in the current cycle, will kick-start more prime activity en bloc in the coming months." CBRE is the exclusive and sole marketing agent for The Estoril. The public tender for The Estoril will close on April 3.

Source: Straits Times