Real News‎ > ‎2012‎ > ‎September 2012‎ > ‎

21 September 2012

21st September, Friday




Surge in optimism reflected in Prince Charles Crescent tender

Source: Business Times

The quality of the bids received at the close of the tender for a 99-year leasehold residential site at Prince Charles Crescent reflects general optimism in the market. The site received a top bid of $516.3 million, or $960.28 per sq ft per plot ratio (psf ppr).

The top bid was submitted by a tie-up between Wing Tai's Wingstar Investment, Metro Australia Holdings, and UE E&C's unit Maxdin. It trumped consultants' expectations in July, when the site was triggered, that it could fetch between $760-$850 psf ppr.

This represents a 13 per cent premium over the top end of market expectations, and beat the top bid put up for the Jervois Road parcel in February ($881 psf ppr).

The second highest bid for the plot, which has a site area of about 2.38 hectares, came in at $946.55 psf ppr, in a joint effort by Hong Leong Group's Intrepid Investments, City Developments's unit Verwood Holdings, and Hong Realty.

The site also attracted bids from Keppel Land's Sherwood Development ($980 psf ppr), Wheelock Properties's Pinehill Investments ($890.27 psf ppr), and Bay Front Land ($871.65 psf ppr), whose shareholders comprise World Class Land and Fragrance Group.

The lowest bid was submitted by Plan Achieve, at $805.69 psf ppr.

The strong bids could be attributed to uptick in interest in projects like V on Shenton and Leedon Residences, said Lee Sze Teck, senior manager, training, research and consultancy, at DWG. In addition, Ascentia Sky is almost fully sold as of August, he noted.

"The estimated breakeven cost is between $1,400-$1,450 psf, while the selling price could be in the range of $1,600-$1,650 psf, which is similar to subsale prices of Ascentia Sky," said Mr Lee.


Links to the story:$516,3m-top-bid



eCO sees bustling sales at launch

Source: Business Times

More than 220 of the 262 units released for sale at the 99-year-leasehold eCO in Bedok South Avenue 3 were snapped up on Wednesday, the first day of its preview, following pre-marketing efforts which kicked off just more than a month ago.

Marketing agents Business Times spoke with said units in the 748-unit project were selling at an average of $1,250 per sq ft (psf). Buyers who committed to purchase on the first day enjoyed discounts of up to 18 per cent, based on a mix of early-bird, vicinity and loyalty discounts. The discounts have since been scaled back by about 4 per cent, pushing average selling prices up to about $1,300 psf.

The project, jointly developed by Far East Organization, Frasers Centrepoint and Sekisui House, comprises 246 suites, 220 Soho (small-office-home-office) apartments, 34 townhouses and 248 condominium units.

The developers said Singaporeans and Singapore permanent residents made up 95 per cent of the buyers.

Of the five towers launched, three are almost fully sold. While a good mix of one, two and three-bedroom units have been sold, the two-bedroom ones sold the fastest, said agents. Such units range from 581 sq ft to 1,098 sq ft, depending on the unit type.

"eCO's average selling price psf is very competitive relative to the nearby Optima @ Tanah Merah, which, based on caveats lodged with the Urban Redevelopment Authority (URA), is averaging $1,200 to $1,250 psf. Smaller units at Optima go for as high as $1,500 psf," noted Lee Sze Teck, DWG's senior manager, training, research and consultancy.

eCO is estimated to get its TOP in 2017.


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