Kingsley Mansion in Balestier, Roselane Court in Tanjong Katong up for en bloc sale

Kingsley Mansion in Balestier, Roselane Court in Tanjong Katong up for en bloc sale

Mar 07, 2023

TWO freehold sites, Kingsley Mansion and Roselane Court, are up for sale by public tender.

Both are zoned for residential use under the Urban Redevelopment Authority Master Plan 2019, and are expected by their respective marketing agents to draw interest from developers.

Located in District 12, Kingsley Mansion is going at a guide price of S$52 million, which works out to a land rate of S$1,294 per square foot per plot ratio (psf ppr).

The 10-storey residential development has 18 apartment units and sits on a rectangular plot of about 14,350 square feet (sq ft). Its road frontage spans about 30 metres (m) along Boon Teck Road, and it has a depth of about 45 m. The site has an allowable gross plot ratio of 2.8, with a building height control of up to 36 storeys.

Exclusive marketing agent CBRE on Tuesday (Mar 7) said that no land betterment charge (LBC) is payable to redevelop the site given its high development baseline.

This lowers the land rate to about S$1,251 psf after accounting for a 7 per cent bonus gross floor area for balconies, as well as an estimated payable LBC of S$1.8 million.

Michael Tay, head of capital markets in Singapore at CBRE, said he expects the property to garner strong interest from developers looking to replenish their land banks. The Kingsley Mansion site offers potential developers an “exceptional opportunity” to build a high-rise freehold residential development with up to 37 units, he added.

Tay also anticipates strong buyer interest for projects in Balestier considering how Verticus, which was the last new launch in the area, was fully sold last year.

“Given the limited supply of freehold housing stock in the Balestier area, the launch of Kingsley Mansion is extremely timely for developers to leverage this tight supply situation and present to the market an enticing product that will appeal to both homeowners and investors,” he said.

“With low-rise buildings on both the front and rear of the site, the units in the new development could potentially offer respectable city views and (a) decent sense of spaciousness.”

Kingsley Mansion’s homeowners launched a collective sale of the property in 2018 at the reserve price of S$45.5 million. The tender closed without a buyer.

Separately, exclusive marketing agent Knight Frank Singapore announced the launch of Roselane Court for sale at a guide price of S$23 million, which translates to S$1,375 psf ppr after factoring in a “nominal” LBC.

The boutique District 15 residential development has a land area of 12,054 sq ft with a gross plot ratio of 1.4.

Completed in 2002, Roselane Court comprises seven residential units ranging from 58 to 172 square metres (sq m). Knight Frank estimates some 18 new residential units with an average size of 85 sq m could be developed, depending on their layout and configuration.

According to the agency, Roselane Court’s owners stand to receive minimum sale proceeds ranging from S$1.9 million to S$4 million in the event the development is successfully sold.

Knight Frank’s head of capital markets (land and collective sale), Chia Mein Mein, believes Roselane Court’s location “is presently attracting developers’ attention” given recent successful transactions at the east side of Singapore, namely the collective sales of Bagnall Court and Meyer Park.

Noting how other freehold residential sites near Roselane Court have transacted at land rates of S$1,305 psf ppr and above, as well as the “healthy” take-up rates of new project launches in the area, Chia felt there is “strong market demand” for properties in the eastern part of Singapore.

“With the building momentum in the east, coupled with Roselane Court’s desirable attributes such as its boutique scale and palatable price quantum, we anticipate keen interest from developers and investors for this tender,” she said.

The tender exercises for Kingsley Mansion and Roselane Court will close at 3 pm on Apr 12 and Apr 5, respectively.

https://www.businesstimes.com.sg/pro...g-en-bloc-sale