Why Shun Tak aborted the en bloc purchase of High Point

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The 59-unit High Point sits on a 47,606 sq ft, freehold site at Mount Elizabeth in prime District 9. The purchase price of $556.688 million had translated to a land rate of $2,626 psf per plot ratio (psf ppr).

The stakes are higher too. The two residential sites that Shun Tak purchased in 2018 had totalled $593.5 million. This time, High Point alone is $556.7 million. The site has the potential to be redeveloped into a new 36-storey tower with 98 luxury apartments averaging 200 sqm (2,148 sq ft) each. That is more units than Park Nova and Les Maisons Nassim combined.

The impact of the cooling measures was immediately felt at Hong Kong developer CK Asset Holdings' luxury condo project Perfect Ten. Launched on Dec 19, about 12 units or 5% of the 230-units were sold at an average price of $3,200 psf. The developer had even dangled a 5% discount for homebuyers on launch day, following the property cooling measures.

LES MAISONS NASSIM $75,000,000 12,077.21sqft $6,210psf 22 Oct 2021 14C NASSIM ROAD


Shun Tak had made a series of acquisitions in Singapore since 2016. It started with the purchase of a bungalow at Cuscaden Road which is being redeveloped into the upcoming luxury hotel, the 142-room Artyzen Singapore.

In 2017, Shun Tak had acquired a 70% stake in 111 Somerset, followed by the remaining 30% 30% from Perennial Holdings in April 2020.

This was followed by Shun Tak’s purchase of two residential sites in Singapore’s prime District 10: Park House in a collective sale for $375.5 million ($2,910 psf ppr)
54-unit Park Nova (former Park House) Park House saw 32 units sold at a median price of $4,844 psf as at mid-December. Its two biggest penthouses were sold at $34.4 million ($5,838 psf) and $26.026 million ($5,784 psf).

Bungalow site at 14 and 14A Nassim Road for $218 million ($2,725 psf ppr), according to Shun Tak’s announcement on June 13, 2018.
14-unit Les Maisons Nassim (redevelopment of the bungalow site). Like Park Nova, Les Maisons Nassim shattered records this year: Its 12,077 sq ft, super penthouse fetched $75 million ($6,210 psf) in October, making it a chart-topper in terms of top penthouse deals of the year.2021

This year, the luxury residential market was driven not just by well-heeled foreigners but Singaporeans and permanent residents too. They have not been spared from the higher ABSD either. For Singaporeans making a second property purchase, the ABSD is now 17%, and 25% for their third and subsequent property purchases. PRs will now have to pay 25% ABSD for a second property and 30% for third or more. The total debt servicing ratio has been further tightened to 55% from 60% earlier.

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