Thomson View en bloc: Double trouble?

Our de facto business paper has reported that the legal costs and disbursements incurred by the Thomson View Condominium homeowners who had consented to a proposed $590 million en bloc sale is in the six-figure range.

These costs, from the onset of applications to the Strata Titles Board and to the courts, increased considerably because of new issues that arose when the secret incentive payments made by HSR International Realtors to four owners became public midway through the legal action.

Since the order for the collective sale was refused because the High Court found these offers by HSR amounted to bad faith, the next issue is whether the Thomson View Sale Committee (CSC) will take action against the real estate agency and the four owners, and whether it can recover damages.

Lawyers said the owners of the 215 units had agreed to the en bloc sale. Under the collective sale agreement, the consenting owners are liable to contribute towards legal costs. At this stage, the owners have been asked by the CSC to make payments to account for costs and disbursements. And those who refuse to pay costs may be exposed to a claim by the CSC for such contributions.

Looks like the Thomson view en bloc saga is far from over...

Enbloc news: Yi Mei Garden

A freehold residential site at Tampines Road has been put up for collective sale by public tender.

The 14-storey development, Yi Mei Garden, is located near Kovan MRT and Heartland Mall.
ERA Realty Network, the marketing agent for the property, said the indicative price range for the plot is between $132 million and $135 million.

ERA said the development charge payable would work out to be between $750 and 758.00psf ppr.
The site occupies a land area of 78,030sqft and has a gross plot ratio of 2.1, according to the Master Plan 2008.

It can potentially yield an achievable proposed gross floor area (GFA) of 163,864sqft, which can potentially be re-developed into two towers.

Source: Channel News Asia

 

 

Enbloc news: Versailles

A 55-unit residential development at Guillemard Road has been put up for collective sale by tender.

Versailles has an indicative price tag of between $105 million and $110 million, which translates to some $1,088psf to $1,133psf.

The site has a land area of around 53,073sqft.

Exclusive agent for the deal Jones Lang LaSalle said the development has a potential gross floor area (GFA) of about 122,598sqft and could yield some 148 units of varying sizes.

The building is located near the Paya Lebar MRT station and the Dakota MRT station.

The global property consultant said the new project will attract owner-occupiers and investors due to the upcoming Paya Lebar Central, and the lack of supply of new residential projects in the vicinity.
It added that the site is near popular schools like Tanjong Katong Primary School and Chung Cheng High School.

National Director of Investments at Jones Lang LaSalle, Yong Choon Fah, said: "This is a rare freehold condominium redevelopment site that is located within walking distance to the up-and-coming Paya Lebar Central.

"According to the Urban Redevelopment Authority, 12 hectares of land around Sims Avenue have been set aside for this commercial hub at the city fringe. It will comprise a mix of offices, hotels, retail and public spaces, some with riverfront."
The tender will close at 2.30pm on 30 May 2013.

Source: Channel News Asia

En bloc wheels continue to slow in 2013?

Some property developers are turning to commercial and mixed development projects to make up for the weak en bloc market.

This comes as transacted deals for the first quarter of 2013 dropped by 20% to $360 million, compared to the same quarter in 2012.

Real estate services firm Jones Lang LaSalle says some 50 en bloc deals amounting to $3.2 billion were transacted in 2011, and 26 deals at $2 billion in 2012.

As of 2013, four deals have been transacted. They comprise of three residential and one commercial property site.

Jones Lang LaSalle's regional director of investments Tan Hong Boon attributes the weaker market to the measures introduced by the government towards residential properties. This includes the Additional Stamp Buyers Duty on residential properties.

Mr Tan said that he expects the amount of en bloc deals for this year to reach between $1.5 and $2.1 billion, with a majority of deals transacted from residential property sites.

Source: Channel News Asia

 

The wife and I must have missed one we counted two residential sites transacted in 2013 so far:

• Kismis Lodge - $84 million
• Ultra Mansion - $149 million

 

Enbloc news: Kismis Lodge sold for $84.8 million

Kismis Lodge, a freehold residential development located at Lorong Kismis in Upper Bukit Timah, was successfully sold to Newfort Alliance (Cairnhill) Pte Ltd for $84.8 million.

The sale price translates to $1,198psf, or a gross sale price of about $1.3 million each unit.

Brokered by property consultants Jones Lang LaSalle, this is the third en bloc sale deal completed this year.

"The ample living space within a landed property appeals to multi-generational families," said Yong Choon Fah, National Director of Investments at Jones Lang LaSalle.

"Despite the few rounds of property cooling measures, the demand for landed developments are expected to be fairly strong because the target market for landed developments are mainly Singaporean families," Ms. Yong added.

Built in the 1970s, Kismis Lodge comprises 64 units of walk-up apartments housed in two 4-storey blocks.

Source: Channel News Asia

Well, owners of Kismis Lodge did not get the $90 million that they expected but given the recent developments, the wife and I reckoned that they have not done too badly.

Click on link below to read our previous post on the Kismis Lodge collective sale:
http://sgproptalk.blogspot.com/2013/01/enbloc-news-kimis-lodge-take-two.html

Enbloc news: Villa Des Flores...yet again!

Villa Des Flores, a freehold development on Whitley Roadhas been up for collective sale again, after two previous unsuccessful attempts last year.

The indicative price range remains unchanged at $160 million to $165 million or $1,533 to $1,581psf, said DTZ.

The 41-unit condominium sits on a 104,370sqft land parcel and comprises 13 townhouses and 28 apartments.

Shaun Poh, DTZ's senior director for investment advisory services and auction, said previous bids for the site did not meet the indicative asking price.

He revealed that a handful of inquiries for the site were received after the closing period in October, prompting this third attempt at a collective sale.

According to Master Plan 2008, the site can be developed into two-storey mixed landed housing.

The developer has the option to build detached, semi-detached, terrace housing or a combination of such, either based on conventional housing types or as a cluster housing development.

The tender closes on Jan 30 at 3pm.

Click on link below to read our previous posts on the Villa Des Flores collective sale:
http://www.sgproptalk.blogspot.sg/2012/10/enbloc-news-second-try-for-villa-des.html

Enbloc News: Kimis Lodge - take two!

Kismis Lodge, a freehold site located off Toh Tuck Road, is up for collective sale.

 

This is the second time the site is being put up for sale.

According to its marketing agent Jones Lang LaSalle, the 70,283sqft site is zoned for a "3-storey mixed landed" development.

The site can be redeveloped to yield up to 43 strata terraces or a combination of conventional and strata landed homes, subject to design and planning approval.

"Given its location, we believe that the new development at Kismis Lodge could easily achieve between $3.5 million to $4.0 million for its strata terraces." said Ms Yong Choon Fah, National Director, Jones Lang LaSalle.

Ms Yong added that keen interest from developers is expected.

The owners of Kismis Lodge are expecting offers in the region of $90 million from the collective sale, or approximately $1,281psf. 

That is at the lower end of its asking price of $1,281 to $1,352psf when it was first put up for sale by Credo Real Estate last July.

There is no development charge payable for the site.

If successful, each owner of the 64-unit apartment will fetch approximately $1.4 million.

More than 80% of the owners by floor area and share value have consented to the collective sale.

The tender for Kismis Lodge closes at 2.30pm on January 24.

Source: Channel News Asia

So the first en bloc attempt has kicked off for 2013. Given the substantial number of land parcels that the Government will release under the Government Land Sales (GLS) scheme this year, it will be interesting to see if second time's really a charm for Krimis Lodge. And with $1.4 million these days, we reckon there aren't that many options when comes to replacement apartment for the owners, unless they are prepared to downgrade.

Enbloc news: Katong Park Towers

Katong Park Towers, a 30-year-old condominium in Mountbatten, has been put up for collective sale.

The development has 118 units and sits on 99-year leasehold land with a site area of about 13,077sqm. It could soon be sold for between $330 million and $340 million, or $1,145to $1,178psf ppr, including 10% of balcony space, said sole marketing agent DTZ.

The firm said the site can be redeveloped into a 24-storey condo with a maximum gross floor area of about 27,462sqm. And assuming an average apartment size of about 735sqft, the developer will be able to build about 392 units.

The property is "nestled within a serene and tranquil neighbourhood along Arthur Road", DTZ said, adding it was a "well sought-after private residential enclave".

The property is near to amenities such as Parkway Parade, 112 Katong, East Coast Park and the upcoming Sports Hub in Kallang. Eton International Pre-School, Dunman High School, Canadian International Schooland Chatsworth International Schoolare also nearby.

As such, the new development should appeal to both locals and foreigners.

The tender closes on Nov 6.

Source: One of our local "non-free" newspaper

The wife and I have actually contemplated about buying a unit at Katong Park Towersabout 5 years ago. We had arranged for a viewing one evening but when we arrived at the gate and told the guard on duty that we were there to view a unit, the guard actually advised against buying into the development. Apparently, water seepage within the apartments was a major issue then. We weren't sure if he was just a disgruntled employee or really telling the truth. But even if it's the later, maybe the problem had long been resolved since then...

 

 

Breaking News: Thomson View sold for $590 million!

Thomson View Condominium, a 99-year leasehold residential development located along Upper Thomson Road, has been sold en bloc for $590 million.

Its marketing agent HSR International Realtors said in a statement that this is the largest collective sale deal outside the prime districts of 9, 10 and 11.

It added that the deal reflects the return of confidence among major developers for collective sales sites.

Depending on the size of each unit, the current owners could pocket between $1.62 million and $3.59 million from the sale.

HSR said this represents an en bloc premium of 30% to 40% above the current resale prices of individual units.

Thomson View Condominium comprises 200 units of residential apartments, 54 townhouses and a shop unit.

Under the Master Plan 2008, the site is zoned for residential use with a gross plot ratio of 2.1 and maximum height of up to 24 storeys.

HSR said the unit land price of Thomson View Condominium works out to be about $712psf ppr.

And the developer will have to make payments to the state for enhancing the intensity of the site's use and for topping up the site's current lease term of 62 years back to 99 years.

All in, HSR said the total investment costs including construction, fees, interests, taxes and acquisition costs for a new residential project is estimated to be around $1.1 billion.

The deal is subject to approvals by the Strata Title Board (STB) and relevant authorities.

Source: Channel News Asia

Looks like there IS (en bloc) hope yet for estates like Lakeview Estates...

Click on link below to read our previous post on the Thomson View en bloc:
http://sgproptalk.blogspot.sg/2012/04/enbloc-news-thomson-view.html

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Enbloc News: 1H2012 transaction value down 80%..!

Statistics from the Urban Redevelopment Authority (URA) show that the total transaction value of residential en-bloc properties for the first half of this year has plunged by 80% compared to the same period last year.

And there were fewer en-bloc property transactions.

Real estate analysts believe that this is due to the global economic slowdown, and the government cooling measures introduced late 2011.

In the first half of last year, 28 en-bloc residential properties were successfully transacted.

But this fell to just eight in the same period this year.

Among them was Nam Peng Centre in Upper Serangoon Road.

Between January and June this year, the total transaction value of residential en-bloc properties fell to about $250 million, from almost $1.6 billion in the same period last year.

Analysts said the additional buyer's stamp duty introduced by the government in December last year has curbed speculative demand for properties.

In addition, developers who buy en-bloc projects are now required to build and sell all units on the residential site within five years of acquiring the land.

Otherwise, they have to pay an additional 10% in stamp duty.

So developers have been extra cautious before they enter the market.

Director of Ascendant Assets Pte Ltd, Getty Goh, said: "In the past, developers can buy certain pieces of land and sit on it almost indefinitely. These days with all these additional constraints, it would definitely make a developer think twice before proceeding with an en-bloc transaction."

And with more land sites released through the Government Land Sales programme (GLS), this gives developers more choice, which in turn, pushed down the transaction price of en-bloc projects.

Goh said: "About 14 land parcels have been awarded via the GLS programme. However, the highest that has been transacted at was about $400 million. Naturally, this puts a price pressure on the en-bloc market."

The value of en-bloc deals for the first half of this year is merely 9% of the total transaction value for the whole of last year.

Analysts feel that while the market may pick up in the second half of this year, it is unlikely to top last year's numbers.

But, if the price for en-bloc projects in mature estates is not too high, developers would still be keen on them.

Source: Channel News Asia

Looks like our "enbloc dream" will have to be put on hold for awhile yet...

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Enbloc News: Kemaman View sold for $45.5 million!

Kemaman View, a freehold residential development located off Balestier Road, was sold en bloc for $45.5 million on Monday.

The sale translated to $935psf ppr for the 17,388sqft site.

The buyer is privately-owned developer Aylesbury Private Limited, who outbid two other entities to clinch the deal.

The development's marketing agent HSR Investment Sales said the owners of each apartment unit could potentially receive approximately $1.5 million as part of the deal.

This represents a premium of about 30% over the resale price if each unit was sold individually.

Kemaman View, which was completed in 1995, comprises a total of 30 apartment units, each about 1,300sqft in size.

The site is zoned for residential use with a gross plot ratio of 2.8 and a maximum height of up to 36 storeys, subject to approval.

No development charge is expected to be payable.

Source: Channel News Asia

Click on the link below to read our previous post on this collective sale:
http://www.sgproptalk.blogspot.sg/2012/04/enbloc-news-kemaman-view.html

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Next en-bloc wave: Mixed-use developments?

En-bloc property sales have lost its shine so far this year.

A total of nine en-bloc properties have been successfully transacted this year to date.

This compares to 29 transactions in the same period last year.

Although developers have turned cautious as cooling measures and requirements to build and sell out all the new units in five years start to bite, experts said interest in mixed-use en-bloc developments - especially those in the outer regions - is fast picking up.

The fad in property collective sales has turned towards mixed-use properties.

These are developments that have both residential units as well as space for commercial use.

Analysts said such mixed developments like Novena Ville are gaining traction among developers.

En-bloc sale specialists Credo Real Estate said mixed-use en-bloc property sales have seen a 10 to 15% rise over the past year.

Karamjit Singh, managing director of Credo Real Estate, said: "There is also another hybrid segment of the market, involving mixed use where the developer can explore options including having some retail component, commercial component.

"That is beginning to get some traction nowadays because it opens up opportunities for developers to create new products, to capitalise on changing investment patterns and also changing lifestyles."

The declining interest in en bloc transactions is partly due to the high asking prices from sellers.

Norman Ho, partner at Rodyk & Davidson, said: "It is quite different talking about en bloc 15 years ago and today, because en bloc today...the value of the property has gone up and replacement cost has become a lot higher, so increasingly owners do not want to participate anymore.

"Because today you see the incremental value in en bloc is only 50% as compared to the early days where it was 300%. There were other issues (also) such as if it is a residential en bloc, developers buying it have to pay additional stamp duty. So it is quite difficult to get through an en bloc these days.

"Also, the laws have changed that states that lawyers must witness signatures, so increasingly it is more difficult to do en bloc. However, en bloc is one of the very few avenues to have freehold land, as compared to government tender. So there will always be interest in en bloc."

Demand for mixed developments in suburban areas has risen in recent years, with more than 600 shop units sold last year, more than double the 300 units sold in 2009.

Some analysts said the yields for commercial markets ranged from 4% to 6% while residential properties, depending on the location and market conditions, can be as low as 2% and as high as 3.5% to 4%.

Source: Channel News Asia

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Enbloc News: Novena Ville

Novena Ville, a 43-unit mixed-use development along Thomson Road, has been put up for en-bloc sale.

Its marketing agent Credo Real Estate says it is expected to be hotly contested as it has the potential to accommodate shops on the ground floor.

Credo adds that the sellers are expecting offers in the region of $125 million to $135 million.

The freehold site has an area of 51,092sqft  and with a Gross Plot Ratio (GPR) of 1.4 and an allowable height of up to four storeys.

Depending on the quantum of commercial and residential GFA proposed, Credo says the prices translate to land rates of about $1,748 to $1,887psf ppr for redevelopment up to a GPR of 1.4.

If the extra 10% allowance for the balcony space of the residential component is included, the land rates will be reduced to the range of $1,626 to $1,756psf ppr, as no development charge is payable for redevelopment of the site.

Tan Hong Boon, deputy managing director at Credo Real Estate said: "This rare mixed-use site may be developed into a residential and retail project that has been gaining popularity of late. In recent months, shops at the first level of newly launched projects located in the suburbs such as East Village were reported to have breached the $5,000 psf mark."

The tender for Novena Ville closes at 2.30pm on 24 May.

Source: Channel News Asia

The wife and I can certainly appreciate why owners of Novena Ville will want to cash out. But the site may not be as "hotly contested" as some have assumed.  Click on the link below to see why:

http://www.sgproptalk.blogspot.com/2011/11/north-south-divide-singaporean-style.html

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Enbloc News: Kemaman View

Freehold residential development Kemaman View was put up for sale by public tender on Monday.

Located at Jalan Kemaman off Balestier Road, the development sits on a land size of approximately 17,400sqft.

The site is zoned for residential use, with a gross plot ratio of 2.8 and a maximum building height of up to 36 storeys.

The indicative price for the development is between $46 million to $48 million, marketing agent HSR Investment Sales said in a statement.

The figure translates to $945 to $986psf ppr.

No development charge is expected to be payable for the site.

Head of HSR Investment Sales Jeffrey Goh said, "The Balestier vicinity has been singled out as the key city fringe area to be enhanced, rejuvenated and revitalised.

"The upcoming Zhongshan Park and hotel developments will add vibrancy and add to the charm of the area."

Kemaman View currently comprises 30 units, each with an average size of about 1,300sqft.

HSR said a brand new high-rise development could yield about 98 new apartment units with unit sizes averaging 600sqft each.

It added that the units would have a target selling price of between $1,400 to $1,600psf, with an expected break-even price of about $1,300psf.

New nearby developments, such as The Interweave and Prestige Heights, are transacting between $1,400psf and $1,600psf for individual units.

The tender will close on May 23 at 3pm.

Source: Channel News Asia

One major issue that the wife and I have with this site is that access to the new development may be somewhat challenging especially during major Buddhist festivities and "Ching Ming" period.
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Enbloc News: Third time lucky for Green Lodge?

Green Lodge, a freehold property at Toh Tuck Road, has been put up for collective sale with an indicative price of $195 million.

Property consulting firm DTZ Debenham Tie Leung (SEA) is conducting the tender exercise for the sale, which will close on May 15 at 3pm.

Green Lodge can be developed into a five-storey condominium development at a gross plot ratio of 1.4. It sits on a land area of about 14,035.3 sq m (151,075sqft).

Based on the indicative price, DTZ said the land price translates to $846psf ppr, inclusive of about 8.9% balcony space for which Development Charge is not payable.

"The property would draw keen interest from developers looking to build a condominium development with full communal facilities in an established residential enclave," said Shaun Poh, DTZ's senior director for Investment Advisory Services and Auction.

DTZ said the property is located near the upcoming Beauty World MRT Station on the Downtown Line which will be operational in 2015.

Source: Channel News Asia

This is at least the third time that Green Lodge has put itself in the market. The last asking price was also around $195 million.

Click on links below to read our previous posts about the Green Lodge en bloc:
http://www.sgproptalk.blogspot.com/2011/11/enbloc-news-green-lodge.html
http://www.sgproptalk.blogspot.com/2009/12/another-one-on-en-bloc-wagon-green_8820.html

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Enbloc News: Harbour View Gardens

Harbour View Gardens, a freehold residential site in Pasir Panjang, has been put up for collective sale.

Its marketing agent Colliers International said indicative price for the site is between $36 million and $38 million, which works out to be between $836 and $883psf ppr.

Harbour View Gardens comprises a total of 14 units and is located on a site measuring about 30,745sqft.

Colliers said there are seven maisonettes with an average floor area of 2,411sqft each and seven walk-up apartments with an average floor area of 1,195sqft each.

Upon success of the collective sale, each owner could receive between $1.6 million and $3.6 million, according to Colliers.

Under the 2008 Master Plan, the subject site is zoned for "Residential" use, with a gross plot ratio of 1.4, with an allowable building height of up to five storeys.

Colliers added that subject to approval from relevant authorities, the successful buyer could re-develop the site to accommodate a five-storey residential development comprising some 50 units of 775sqft each.

The tender will close on May 16, 2012, at 12.00 pm.

Source: Channel News Asia

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Enbloc News: Cavenagh Gardens

Below is an article in The Business Times today.


Reference: "Cavenagh Gardens up for en bloc sale" - The Business Times, 10th Apr 2012

This is probably the fourth en bloc attempt by the development. The current asking price is some $160 million lower than when it was first put out in the market in October 2007...

(* The wife and I know our info is somewhat different from what is reported in The Straits Times today, but we have based ours on a previous report by The Straits Times back in September 2011 *)

Click on link below to read our previous post about the Cavenagh Gardens en bloc:

http://sgproptalk.blogspot.com/2011/09/and-yet-more-enbloc-news-cavenagh.html

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Enbloc News: Westvale Condominium

Westvale Condominium at Pasir Panjang Road has been put up for collective sale with an indicative price tag of $85.5 million.

The 62,710-square-foot freehold site has a potential gross floor area of 96,574sqft, inclusive of 10% balcony space, and an allowable building height of up to five storeys.

The indicative price works out to be about $892psf ppr. There is also a development charge on the property of $625,000.

Currently, the condo has a total of 32 strata walk-up apartments and over 80% of the owners have consented to the sale.

Westvale Condominum's marketing agent Jones Lang LaSalle said 115 residential units, with an average size of 800sqft each, could potentially be built on the site.

The site is adjacent to the National University of Singapore Campus, the National University Hospital and the Singapore Science Parks.

Mr Nicholas Ng, Associate Director of Investments at Jones Lang LaSalle said, "The site is strategically located along Singapore's 'Technology Corridor' and NUS. It is also a stone's throw away from the newly completed Haw Par Villa MRT Station.

"Given the limited freehold land supply in this mature residential estate, we are expecting a healthy response from developers."

The tender will close at 3pm on April 19.

Source: Channel News Asia

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Enbloc News: Seletar Garden sold!

This one is a tad "old" but for those who might have missed it...


Reference: "Seletar Garden sold en bloc for $96.2m"- The Straits Times

 

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Enbloc News: Bartley Grove Apartments

A 25-unit residential development, Bartley Grove Apartments, along with three adjoining terrace houses located along Bartley Road have been put up for en bloc sale.

Marketing agent Credo Real Estate said the 65,305-square-foot site could fetch between $73 million and $75 million, with no development charge payable.

The prices reflect land rates of about $798 to $820psf ppr, with a gross plot ratio of 1.4.

Including an extra 10% Gross Floor Area (GFA) for balconies, the land rates could come up to $726 to $746psf ppr.

Credo said the combined site would allow a new development of about 100,570sqft of GFA to be built, with 115 apartment units at an average size of 800sqft, depending on layout and configuration.

The tender closes at 2.30pm on March 21.

Source: Channel News Asia

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