Ex – HUDC house could be placed for group sale

Ex – HUDC house could be placed for group sale

One more privatised previous HUDC house could continue the market shortly following the landmark sale of Bishan’s Shunfu Patrie for $638 million in May.

Sources state owners with the 175-unit Raintree Gardens in Potong Pasir Avenue you have got the minimum permission level required for the site to become launched on the market.

The 201, 405 sq ft storyline, next to Kallang Water and close to Potong Pasir MRT place, has just more than 70 numerous lease kept. It is zoned for housing use which has a 2 . main plot relative amount.

Property analysts believe the owners could easily get over $315 million, or perhaps about $1. 8 , 000, 000 per product.

Including the value a builder would pay off the Government to generate a larger job and major up the hire, the price could possibly be some $430 million, or perhaps $760 every sq foot per piece ratio (psf ppr). The collective deal attempt is mostly a first to the est, which was privatised in Come early july 2014.

During your stay on island has been you substantial sobre bloc deal, Shunfu Cité, one deal doesn’t seriously make an industry, said a consultant. However, there are hardly any good and building plots in the market currently, and there is even now room to get more detailed projects in Potong Pasir. It is an most up-to-date area, and the majority of the fresh developments now there sell very well.

For instance, MCC Land’s regional mixed-use The Poiz Houses has purchased 74 percent of 731 units.

Heading by new bullish prices for bids at Administration Land Revenue (GLS) tenders such as the Matn Place web page, there is certainly with regard to plum non commercial sites, though the price should be right, this girl added.

While the Raintree Gardens internet site is within going for walks distance on the MRT stop, it has quick access to the city. One other plus point is definitely the nearby Bidadari estate – set to incorporate a 10ha recreation area with Alkaff Lake.

It is additionally near Saint Andrew’s Community, which includes major and supplementary schools in addition to a junior college on a single site.

Latest sale sites in the location include those of The Poiz Residences, which usually went for about $775 psf ppr in August 2014. A website in Lorong Lew Lian, now Forest Woods simply by City Innovations, went for about $710 psf ppr last November.

Industry experts get plenty of requests to assess potential group sale sites but it is known as a tough stability to value sites accurately, said Mr Lee Liat Yeang, a senior partner at Dentons Rodyk & Davidson.

“It will not be easy to sell an en masse site in case it is priced as well adventurously to get a developer. When owners have a tendency price more aggressively, they may not be able to get the 80 % minimum permission level designed for the sale. inch

Developers looking for en masse sale sites must also element in the much longer pre-construction period, he stated. After obtaining, a creator must apply at the Strata Titles Panel, seek direction from the Excessive Court in the event needed and permit residents to remain rent-free designed for six months prior to it can initiate redevelopment.

“All these consume into a developer’s schedule and must be factored in when he prices the terrain, ” Mr Lee stated.

Developers purchasing a GLS internet site can get a project ready to offer about a time from successful a tender.

A Raintree Backyards resident so, who gave call him by his name as Kah Hoe, twenty-five, said that even though the area was nice and coolers spacious, the retail price is good enough for his family to promote.

Lum Chang-LaSalle joint venture buys The Verge for S$190m

Lum Chang-LaSalle joint venture buys The Verge for S$190m

A joint venture between Singapore- listed Lum Chang Holdings and a closed-end fund of LaSalle Investment Management Asia on Thursday signed a conditional share sale agreement to go ahead with the acquisition of The Verge, a struggling mall in Little India.

The deal was closed at S$189.8 million. The Business Times understands the duo plans to tear down the mall and build in its place serviced residences with some retail and possibly office components. The deal is expected to be completed in November.

The fund, LaSalle Asia Opportunity V LP, is an opportunistic Pan-Asia fund. The seller is a company that is 90 per cent owned by the Bursa-listed Malaysian conglomerate DRB-Hicom. The mall is located between two MRT stations – Little India interchange and Rochor.

Lum Chang and LaSalle are old partners. Lum Chang had previously teamed up with LaSalle Investment Management to develop Twenty Anson in Tanjong Pagar; Lum Chang took a 5 per cent equity stake and did the construction of the office development. The remaining stake was held by a unit of LaSalle Asia Opportunity Fund III. This was before CapitaLand Commercial Trust acquired the office building in 2012.

Lum Chang and LaSalle were also previously involved in what is now called the Crowne Plaza Changi Airport, before it was sold to the Riady-owned OUE Ltd, which subsequently injected it into its hospitality trust in 2014.

But before all this, the hotel was held by LC Development, and LaSalle Asia Opportunity II SARL. LC Development, which was at one point an affiliate of Lum Chang, has since been sold to Aspial Corp and Fragrance Group last year.

In its statement, Lum Chang said of the partnership: “The board is of the view that the respective expertise and skills of each of the joint venture parties is complementary, and further constitutes a welcome renewal of the parties’ business ties.”

Adapted from: The Business Times, 23 September 2016

Zhou family from Shanghai buys 60% of 139 Cecil Street

The Zhou family from Shanghai who picked up an office block at 137 Cecil Street last year has bought a 60 per cent stake in the company that owns the next-door property at 139 Cecil Street.

The latest deal is said to value the 11-storey property at S$140 million. It is on a site with 99-year leasehold tenure starting Aug 20, 1981, which means the balance lease is around 64 years.

Written permission was granted last year by Urban Redevelopment Authority (URA) for a major refurbishment exercise to build additional floors, extending the block to 16 storeys.

BT understands that these works could cost about S$20 million. Prior to the latest transaction, the plan was to sell small strata office units although a sale of the entire refurbished asset on a turnkey basis is also possible.

The building is currently vacant.

The Zhou family has paid S$75 million for a 60 per cent stake in Ececil Pte Ltd, which owns 139 Cecil Street, to a joint venture between Vibrant Group and DB2 Group.

Vibrant, which is listed on the main board of the Singapore Exchange, announced the completion of the sale in a regulatory filing last week – though it did not identify the buyer as the Zhou family.

The Vibrant-DB2 joint venture continues to hold the remaining 40 per cent in Ececil. It acquired 100 per cent of Ececil in 2014 from Cheong Sim Lam in a deal that valued the office block at S$110 million.

BT understands that the major refurbishment, or “addition and alteration” works, will see the gross floor area (GFA) of the property increase from 68,809 sq ft currently to 88,886 sq ft; the latter figure is estimated to yield about 75,300 sq ft strata area.

Formerly named Cecil House and now known as DB2Land Building, the property has an estimated land area of 7,936 sq ft. The approved GFA for the addition and alteration works reflects an 11.2 plot ratio (ratio of maximum GFA to land area) – the same plot ratio stipulated under URA’s Master Plan 2014 for the commercial-zoned site.

Under the proposed refurbishment granted written permission by URA last year, there will be food and beverage use on the first storey, offices from the second to 14th floors and a mechanised car park from basement to the fifth storey. The 16th storey will have a communal roof terrace and F&B space.

The next-door property at 137 Cecil Street, which was once known as Aviva Building, is now named Hengda Building after the Zhou family’s Shanghai Hengda Group, which is involved in real estate and other businesses.

Late last year, the Zhou family acquired 137 Cecil Street by purchasing all the shares in the company that owns the 13-storey office block. That deal valued the freehold property at S$210 million and involved a leaseback arrangement with the seller, Mr Cheong. He had already spruced up the asset prior to the sale and went on to sign up tenants.

The building, which has around 67,550 sq ft net lettable area, is said to be substantially leased.

Mr Cheong, a member of the family that developed International Plaza in the 1970s, gained control of the two adjacent buildings from Yi Kai Group and Fission Group shortly after the duo teamed up to acquire the two properties in July 2009 for S$100.80 million.

It is not known how much Mr Cheong paid Yi Kai and Fission; the transaction was also through a sale of shares.

Mr Cheong secured URA’s provisional permission in 2010 to redevelop the two office blocks into a new residential project with 227 apartments but never proceeded with the redevelopment project.