Frasers Centrepoint JV tops bids, plans 800-900 units on plum seafacing site

Frasers Centrepoint JV tops bids, plans 800-900 units on plum seafacing site

A consortium led by Frasers Centrepoint that placed the top bid of S$624. 18 million, on the high end of market objectives, for a 99-year site in close proximity to East Sea-coast Park can be planning to build an 800-to-900-unit condo meant to maximise seaview-facing units.

The consortium options to establish the venture within a season. “The advancement, which will be targeted primarily for owner occupiers in the the middle of to high segment, will probably overlook the East Coast Park/beach, a popular wedding venue for… routines and coastal sports, micron the bloc said with Thursday morning.

Moreover, the positioning is a stone’s throw from future Siglap MRT Rail station (on the Thomson-East Sea-coast Line); the station can be slated pertaining to completion on 2023.

Frasers Centrepoint system FCL Topaz will hold a 40 per cent stake in the consortium, while Sekisui House will also hold 40 per cent and KH Capital (a unit of Keong Hong Holdings) the remaining 20 per cent. Keong Hong is expected to provide construction services for the project.

In all, eight bids were received for the 1 . 9-hectare land parcel along Siglap Road near the junction with East Coast Parkway and in close proximity to the beach.

The highest bid, which translates into S$858 per square foot per plot ratio (psf ppr), was 4 per cent above the second highest offer of S$825 psf ppr from a tie-up involving units of Hong Leong Holdings, City Developments and TID Residential. GuocoLand was in third place, with a S$801 psf ppr offer; followed by a partnership among UOL, Singapore Land and Kheng Leong, which priced the site at S$800 psf ppr.

Allgreen Properties placed the lowest bid of S$477 , 000, 000 or regarding S$656 psf ppr.

The biggest bid of S$858 psf ppr i visited the top end of expectations and suggests a good bullish belief in demand pertaining to units sometime soon project on the webpage.

Besides the major bidder, it would appear that other buyers also distributed similar aspiration, as the highest four rates for bids were preceding S$800 psf ppr – all falling within a 7 per cent margin.

The East Coast address, promising sea views, the amenities at East Coast Park and Katong are strong pull factors for buyers which the successful tenderer can leverage on. There are few new projects in the vicinity and certainly none having such a wide sea-view frontage, an analyst said.

Another, too, said the project will boast unblocked sea views in addition to enjoying quick access to East Coast eateries. Being located in a mature estate, the site is supported by a comprehensive suite of amenities and a range of educational institutions.

Market watchers believe the top bid would translate into a breakeven cost of around S$1, 320 to S$1, 350 psf and the consortium could be eyeing an average selling price of around S$1, 500 to S$1, 600 psf.

Among existing projects, some analysts pointed to Costa del Sol as the most comparable to the latest site in terms of location. Last year, 28 units were transacted in that condo, based on data of caveats lodged, at a median price of S$1, 210 psf. However , Costa del Sol was completed in 2004 and is on a site with 81 years’ balance lease.

While the Frasers Centrepoint consortium would require favourable market conditions for a successful launch of their project and will also be hoping for some easing of the property cooling measures by the time the project can be released, a great already existing strong plus-point in their give preference to is that thus far, there is no source fatigue during the area — unlike different locations the spot that the government released a cord of online websites in the past five years.

Seeing that there is little new individual condo advancement in the logement, the assignment on the site just simply tendered won’t have to face confident competition.

A good consultant detailed the nine bids for Thursday’s put forward as a decent showing for the big ticket scale the development. However are many possibilities collective sale sites during the East Sea-coast, most coders would come across the acquire process very long and unclear. Buying a web page at circumstances tender is way more time-efficient. Coders remain keen for area, he reported.

The put forward for the Siglap Roads site was conducted by means of Urban Redevelopment Authority.