Singapore’s residential en bloc market is picking up steam, with this year’s deals already exceeding the combined value of last year’s en bloc transactions. But analysts say developers are still cautious.
SINGAPORE: The residential en bloc market is picking up steam, according to experts – with four successful deals conducted so far this year to the tune of around S$1.5 billion.
This exceeds the combined value of en bloc deals reached in 2016, which saw three en bloc deals valued at more than S$1 billion.
Residential properties that have gone on the en bloc market recently include Pearl Bank Apartments on Jul 8 and former Housing and Urban Development Company (HUDC) estate Serangoon Ville on Jun 21.
Projects that have clinched en bloc deals include other former HUDC estates Rio Casa in Hougang, which was sold in May for S$575 million, as well as Eunosville in Sims Avenue, which was sold for S$765 million – the second-highest price for a privatised HUDC project, after Farrer Court sold for around $1.34 billion in 2007. Both projects were sold above the owners’ asking prices. Continue reading
Two deals with a combined value of $676.5 million were announced yesterday in yet another sign of the continued resurgence in the collective sale market.
One involved the sale of Rio Casa, a privatised HUDC estate in Hougang, while mixed-use development Goh & Goh Building, near Beauty World MRT station, was also snapped up. These follow the sale of One Tree Hill Gardens for $65 million to Lum Chang Group this month. The number of deals has now matched the three done in all of last year: Shunfu Ville, Raintree Gardens and Harbour View Gardens.
Brisk new-home sales and the recovering sentiment in the residential property market have fuelled demand for sites among developers. Continue reading
The collective sale market, which saw a resurgence last year, is still firing with the sale of One Tree Hill Gardens for $65 million – the first such deal this year.
Marketing agent Knight Frank said yesterday that a unit of Lum Chang Group bought the freehold landed residential redevelopment site near Orchard Road.
The price works out to a land rate of about $1,664 per sq ft, it added. Continue reading
RIO Casa, a former HUDC (Housing and Urban Development Company) estate, was on Monday put up for collective sale by its marketing agent, Knight Frank Singapore.
The owners of the river-fronting estate along Hougang Avenue 7 are expecting offers of more than S$450.8 million for the property. This translates to a land rate of about S$586 per square foot per plot ratio, inclusive of a differential premium of about S$141.5 million for intensification of the site, as well as a lease top-up premium of about S$57.5 million for a fresh 99-year lease.
Knight Frank expects to see interest from developers for redevelopment opportunities, given the site’s more than 200 metres of riverfront and greenery views.
The residential redevelopment site is a privatised HUDC estate comprising seven residential blocks of 286 apartment and maisonette units. It has a site area of 36,811.1 square metres.
Under the Master Plan 2014, the site is zoned for “residential” with a gross plot ratio of 2.8. This translates to a maximum permissible gross floor area of about 1.1 million square feet.
The immediate vicinity is predominantly residential in nature, comprising landed housing, condominium and public housing estates.
The tender for Rio Casa will close on May 23, 2017, at 3pm.