Lodge 77 sold for S$29m to KTC

The price works out to S$978 psf ppr, assuming buyer KTC builds a new project with 2.5 plot ratio

Tue, Nov 28, 2017

Kalpana Rashiwala

LODGE 77, a freehold residential-commercial mixed development at 77 Upper East Coast Road, is being sold for S$29 million.

The buyer, homegrown KTC Group, is expected to redevelop the property, which has a land area of 13,123 sq ft.

Currently on site is a three-storey mixed development comprising two food and beverage outlets and a clinic on Level 1 and eight apartments on the second and third floors.

Under the Urban Redevelopment Authority's Master Plan 2014, the site is zoned "residential with commercial at first storey" with a 3.0 plot ratio (ratio of maximum gross floor area or GFA to land area).

The price KTC has paid works out to S$902 per square foot per plot ratio (psf ppr) inclusive of an estimated development charge of S$6.52 million, assuming the developer maximises the 3.0 plot ratio, with a 20:80 commercial:residential split.

However, given the four-storey height control stipulated for this site, it may not be possible to tap the maximum plot ratio. Assuming a new project on site is built to a lower plot ratio of 2.5, the S$29 million price works out to S$978 psf ppr (inclusive of S$3.08 million DC).

The existing GFA of Lodge 77 reflects about 1.6 plot ratio.

Located at the corner of Upper East Coast Road and Hacienda Grove, the property is being sold by Assoland Pte Ltd, which was also one of the shareholders in another company that sold the former Gallery Hotel in the Robertson Quay area in 2013.

Knight Frank brokered the sale of Lodge 77 through a private-treaty deal.

KTC, whose chairman is Chua Lai Seng, is involved in civil engineering and construction, as well as coal mining and coal trading, according to information on the group's website.