The 160-unit residential development is located right next to the scenic Jurong Lake Gardens. (Photo: Huttons Asia)
Park View Mansions is set to relaunch its en bloc sale tender on Wednesday (12 Dec) at a reserve price of $250 million, down 22 percent from the $320 million price in March, reported the Business Times.
This comes after more than 80 percent of the owners agreed to lower their expectations given the quieter collective sales market, said Huttons Asia.
More: Developers’ En Bloc Appetite Diminishing: RHB
The new price works out to a land rate of about $969 psf per plot ratio, after taking into account the estimated differential premium as well as lease upgrading premium of about $140.8 million.
In the event of a successful sale, owners of the 191,974 sq ft development could receive $1.44 million to $1.6 million in sales proceeds.
Located right next to the Jurong Lake Gardens, the 160-unit development has an allowable gross plot ratio of 2.1, which means it could generate up to 440 new housing units with an average unit size of 915 sq ft.
“The site presents an excellent redevelopment opportunity for developers as it is located right next to Jurong Lake Gardens. This is a rare piece of land which offers a seamless connection to the gardens and provides a natural environment, hence enhancing the well-being of residents,” said Huttons Asia investment sales head Terence Lian.
He also pointed to the Jurong Lake District, which is set to become Singapore’s second CBD.
Given the lack of new Government Land Sales sites within the area, Park View Mansions offers “an opportune choice for developers to replenish their land bank to match the growing and pent up demand in the Jurong area”, said Angela Lim, deputy head of investment sales.
The tender for Park View Mansions closes on 18 January.
More: Understanding The En Bloc Process (August 2018)
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email email@example.com