Property insiders claim that the 23,020 sq ft freehold condo Fortredale at Tanjong Rhu has been sold for approximately S$65 million, or about S$1,342 psf ppr.
The alleged purchaser is a low-profile Chinese developer, which is also building a project in the Balestier area.
The collective sale of Fortredale was brokered through a tender by CB Richard Ellis (CBRE), which closed on 29 March.
Analysts expect the deal to provide a price benchmark and pave the way for the en bloc sale of its 30,540 sq ft neighbour, the Austral View.
By doing so, the same party who purchased the Fortredale will be able to combine the two sites into a collective freehold land area of approximately 53,560 sq ft.
The combined plot can be redeveloped into a new freehold project with a total gross floor area (GFA) of around 112,476 sq ft, which can potentially yield around 108 units averaging 1,000 sq ft.
Having been on the en bloc market a second time, Fortredale was previously sold in 1996 to T3 Investments Ltd, which redeveloped the site to the existing 18-storey, 32-unit project.
Upon completion, it was sold to a unit of Poh Lian Holdings in August 1999 for S$38.5 million (S$825 psf) on the project’s net saleable area of 46,673 sq ft.
Poh Lian subsequently sold the units separately. Its current majority owners decided to put the development up for another en bloc sale.
En bloc sales have excelled in the Singapore property investment sales market in the first quarter, recording at least four such deals worth S$100 million each, compared with only three from 2008 to 2010.