reporter2
04-05-12, 22:03
http://www.businesstimes.com.sg/archive/friday/premium/companies/others/roxy-pac-acquires-jade-towers-1063m
Published April 27, 2012
Roxy-Pac acquires Jade Towers for $106.3m
It could redevelop site into a project with up to 171 units
ROXY-Pacific Holdings has inked a deal to buy the freehold Jade Towers site at Lew Lian Vale off Upper Serangoon Road through a collective sale for $106.3 million.
The price for the 92,412 square foot site works out to about $807 per square foot of potential gross floor area assuming a new development is built up to the existing project's gross floor area (GFA) of 131,702 square feet. This works out to a gross plot ratio of about 1.425, exceeding the 1.4 indicated for the site under Master Plan 2008.
Savills Singapore, which brokered Jade Towers' sale through a private treaty deal, said that if Roxy builds an extra 10 per cent GFA as allowed for balcony space (which would then take the total GFA to about 144,872 sq ft), the unit land price would be lowered to $734 per square foot per plot ratio. No development charge is payable as the site has a high development baseline equivalent to a plot ratio of 2.35.
Roxy could redevelop the site into a new project with as many as 171 units based on an average unit size of 70 square metres or 753 sq ft GFA (excluding bonus GFA) as stipulated for sites zoned for residential use with a 1.4 plot ratio in the Master Plan. Roxy has yet to finalise the mix of units, which could include a range of apartment sizes as well as possibly a cluster housing component, said its executive chairman, Teo Hong Lim.
Savills estimates the breakeven cost for a new project at about $1,200-1,250 psf.
"Jade Towers is the first pure residential collective sale deal with a price tag exceeding $100 million since the introduction of the 10 per cent additional buyer's stamp duty in December 2011," notes Savills senior director of investment sales Suzie Mok.
The collective sale is subject to Strata Titles Board approval.
Jade Towers, a more than 30-year-old development, comprises two 10-storey blocks with 72 apartments of 1,453 sq ft each. Based on the sale price of $106.3 million, each owner can potentially receive gross sales proceeds of about $1.5 million or $1,016 psf on strata area, reflecting a 35-45 per cent premium over the $700-750 psf which the apartments could fetch if sold on an individual basis in the secondary market, according to Savills.
Published April 27, 2012
Roxy-Pac acquires Jade Towers for $106.3m
It could redevelop site into a project with up to 171 units
ROXY-Pacific Holdings has inked a deal to buy the freehold Jade Towers site at Lew Lian Vale off Upper Serangoon Road through a collective sale for $106.3 million.
The price for the 92,412 square foot site works out to about $807 per square foot of potential gross floor area assuming a new development is built up to the existing project's gross floor area (GFA) of 131,702 square feet. This works out to a gross plot ratio of about 1.425, exceeding the 1.4 indicated for the site under Master Plan 2008.
Savills Singapore, which brokered Jade Towers' sale through a private treaty deal, said that if Roxy builds an extra 10 per cent GFA as allowed for balcony space (which would then take the total GFA to about 144,872 sq ft), the unit land price would be lowered to $734 per square foot per plot ratio. No development charge is payable as the site has a high development baseline equivalent to a plot ratio of 2.35.
Roxy could redevelop the site into a new project with as many as 171 units based on an average unit size of 70 square metres or 753 sq ft GFA (excluding bonus GFA) as stipulated for sites zoned for residential use with a 1.4 plot ratio in the Master Plan. Roxy has yet to finalise the mix of units, which could include a range of apartment sizes as well as possibly a cluster housing component, said its executive chairman, Teo Hong Lim.
Savills estimates the breakeven cost for a new project at about $1,200-1,250 psf.
"Jade Towers is the first pure residential collective sale deal with a price tag exceeding $100 million since the introduction of the 10 per cent additional buyer's stamp duty in December 2011," notes Savills senior director of investment sales Suzie Mok.
The collective sale is subject to Strata Titles Board approval.
Jade Towers, a more than 30-year-old development, comprises two 10-storey blocks with 72 apartments of 1,453 sq ft each. Based on the sale price of $106.3 million, each owner can potentially receive gross sales proceeds of about $1.5 million or $1,016 psf on strata area, reflecting a 35-45 per cent premium over the $700-750 psf which the apartments could fetch if sold on an individual basis in the secondary market, according to Savills.