Two residential sites for sale by tender

Cavenagh Road site priced at $55-60m; Simon Lane $80-85m

TWO residential sites - one in Cavenagh Road and the other in Simon Lane - are for sale by tender.

The freehold Cavenagh Road site is being marketed by Knight Frank. It is fully owned by Teck Jin Pte Ltd and has a price tag of between $55 million and $60 million. This translates to a land price of between $1,258 and $1,367 per sq ft on the potential gross floor area of about 45,768 sq ft, including an additional 10 per cent space for balconies. An estimated development charge (DC) of $2.567 million is payable.

The District 9 site, which now houses 21 apartments called Cavenagh Mansions, covers 1,840.7 sq m (19,813 sq ft) and has a regular shape.

Under the 2008 Master Plan, the site is zoned for residential use with a plot ratio of 2.1. Knight Frank reckons the site can be redeveloped into a project with 57 apartments of 800 sq ft on average, with a breakeven price of $1,750 to $1,850 psf. The tender for the site closes at 3pm on July 8.

The Simon Lane site, called Goodrich Park, is an en bloc sale being marketed by Credo Real Estate.

Credo said yesterday that more than 80 per cent of the existing owners have signed a collective sale agreement to put the site up for sale by tender.

The District 19 site covers 97,703 sq ft. Under the 2008 Master Plan, it is zoned for residential development with a gross plot ratio of 1.4 and an allowable height of up to five storeys.

The total gross floor area allowed is 136,784 sq ft. The site can accommodate about 120 apartments with an average size of 1,100 sq ft.

The price tag for the site is estimated at between $80 million and $85 million. This works out to a land price of $585 to $620 psf per plot ratio, excluding DC.

Credo managing director Karamjit Singh said that the owners submitted a development base-line enquiry in mid-May and expect to hear from the Urban Redevelopment Authority soon on DC charges payable, if any.

The tender for Goodrich Park closes at 2.30pm on July 8.

Source: Business Times, 9 Jun 2010