Three plum residential buildings near Orchard Road have been sold to three different developers for a total of $190.5 million.
Property consultancy firms JLL and CBRE said in a joint statement yesterday that the tenders for the freehold properties in Grange Road, Cuscaden Walk and Hullet Road were launched in October with a total guide price of $185 million. The firms jointly managed the tender exercise, which closed on Nov 2, on behalf of vendors seeking offers for the buildings individually or as one lot.
In September, the three properties, owned by a group of three investment holding firms, were estimated to fetch $200 million in total. The owners were reportedly part of a trust operating in Britain.
Mr Karamjit Singh, international director and head of residential at JLL, said: “These properties attracted interest from a wide variety of parties, including long-term investors and those looking to build serviced apartments, aside from developers.”
A consortium led by Sustained Land is paying $103.8 million for 3 Cuscaden Walk – comprising 11 large four-bedroom apartment units – which has a land area of 21,560 sq ft with a gross plot ratio of 2.8.
This reflects a land rate of about $1,826 per sq ft per plot ratio (psf ppr) on the potential gross floor area, including an estimated development charge of $6.43 million.
A unit of Singapore-listed property and hospitality group Roxy-Pacific Holdings bought 120 Grange Road, an 11-storey block of 18 flats, for $48.5 million or $1,841 psf on the strata area. It has a total strata area of 26,350 sq ft, on a land area of 15,780 sq ft, with a gross plot ratio of 2.1. Roxy-Pacific Holdings executive chairman Teo Hong Lim said: “The allowable plot ratio is 2.1 times and based on the baseline which is close to 2.1, we only need to pay development charges for the bonus balconies’ gross area of additional 10 per cent. As a development site, our purchase price is estimated at $1,463.6 psf ppr.”
Roxy-Pacific also said the acquisition will be financed by internal funds and bank borrowings.
The smallest of the three properties, 8 Hullet Road, was sold for $38.2 million or $2,073 psf to Hullet Development, a consortium led by Mr Patrick Kho of Lian Huat Group.
The site has a 10-storey block of 18 apartments with a total strata area of 18,428 sq ft.
JLL noted that two apartments of 2,680 sq ft and 3,348 sq ft at The Claymore are up for sale by private treaty by the same sellers of the three properties.
Mr Jeremy Lake, executive director of investment properties at CBRE Singapore, said Hullet Development plans to build a high-end development, “given the excellent location… in the heart of Orchard Road”.
Mr Singh said that the results of the tender exercise reflect “confidence in the stability of the high-end residential market which, prior to this year, saw a steady decline in values over the preceding four years”.