http://www.businesstimes.com.sg/sub/...91140,00.html?
Published June 28, 2011
River Valley Rd walk-up sold for $70.5m
This brings total value of the 32 enbloc deals sealed this year to $1.73b
By DICKSON LI
THE collective sales market has been picking up pace. Yesterday, a River Valley Road development added to the momentum. It also brought the total value of the 32 deals sealed so far this year, at $1.73 billion, close to equalling the value for the whole of last year.
Alliance Land Pte Ltd has clinched a River Valley Road walk-up apartment development for $70.5 million, or $1,139 per square foot per plot ratio.
The sale was brokered by Credo Real Estate,
The 40-unit development, situated at 402 to 414 River Valley Road, has a land area of 22,107 square feet.
The total gross floor area allowed is approximately 68,089 square feet, including 10 per cent gross floor area for balcony space.
With a tenure of 999,999 years with effect from 1962, the site is virtually freehold.
Under the 2008 Master Plan, the site is zoned for residential use with a plot ratio of 2.8.
A proposed new development built at a gross plot ratio of 3.08, balconies included, would be free of development charge as the development baseline is high.
In a news release yesterday, Credo said that the existing development, erected in the early 1960s, was one of the first generation of flats built in Singapore's post-colonial era.
With the successful collective sale, each of the owners will pocket gross sale proceeds of about $1.75 million to $1.77 million.
'The site is located within close proximity to Great World City and the Orchard Road shopping belt. It is suitable for a boutique development with small apartment units,' said Yong Choon Fah, executive director at Credo Real Estate.
The collective sales market is, however, nowhere near the high of 2007, when 87 sites worth $11.4 billion changed hands.
Karamjit Singh, managing director of Credo Real Estate, observed: 'The successful deals over the past 18 months . . . are relatively small with low absolute values and the buyers are mainly small to medium- sized developers who are unable to bid for the larger government residential sites.'
The sale is subject to the approval of the Strata Titles Board, if necessary.