SINGAPORE – The owners of Pearlbank Apartments have garnered enough signatures to launch a fourth collective sale attempt of the iconic horseshoe-shaped building at Outram.
For a property to be put on the market, owners of 80 per cent of the property – by both share value and strata area – must sign the collective sale agreement.
Colliers International, the sole agent for the collective sale of Pearlbank Apartments, said on Monday (Oct 30) that that the signing has crossed the 80 per cent mark and preparations for the launch of tender exercise are underway.
The appointed solicitors, Lee & Lee, are currently conducting the necessary legal verification and the launch date will be announced after the expiry of the five-day cooling-off period, said Colliers.
The tallest building in Singapore when it was completed in 1976, the 37-storey tower houses 280 apartments and eight commercial units.
The owners’ reserve price of S$728 million translates to a land cost of approximately S$1,505 psf per plot ratio for the 82,376 sq ft site, after factoring in an upgrading premium of approximately S$195 million to top up the 99-year lease which has 52 years remaining. There is no development charge payable.
The apartment owners, whose unit sizes range from 1,323 sq ft to 3,993 sq ft, stand to receive minimum gross prices of between S$1.8 million and S$4.9 million. The commercial owners, whose units range from 700 sq ft to 5,630 sq ft, can potentially receive S$1.2 million to S$6.9 million.
The site can be turned into a residential development with a total gross floor area of 613,530 sq ft, yielding 730 new residential units of an average size of 800 sq ft, subject to approval from the relevant authorities.
Said Mr Alex Poh, chairman of the residents’ collective sale committee: “We started the signing process on July 8 and have achieved the necessary signatures in under four months which is significantly faster than our previous rounds. The owners understand that it is time to sell given the age of the property and hence have shown great commitment to ensuring a smooth and quick process.”
The tender for Pearlbank Apartments is expected to launch in two weeks’ time and to close before the end of the year.