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Thread: Tender for Laguna Park closes with no winner

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    Default Tender for Laguna Park closes with no winner

    http://www.channelnewsasia.com/stori...002346/1/.html

    Marine Parade's Laguna Park for sale at S$1.2b reserve price

    By Ng Baoying, Channel NewsAsia | Posted: 02 September 2009 1413 hrs


    SINGAPORE: The Laguna Park estate in the Marine Parade area is up for collective sale, with an asking price of S$1.2 billion, according to its marketing agent Credo Real Estate.

    The owners of the current property stand to get between S$2.1 and S$2.3 million each for their apartments. Penthouse owners could get between S$3.5 and S$4.1 million.

    This could potentially be Singapore's second billion-dollar en-bloc deal, after Farrer Court in 2007.

    Laguna Park, a former HUDC estate, is now home to 528 units spanning a land area of 670,000 square feet.

    If the en-bloc sale goes through, this parcel could eventually accommodate about 1,500 units with an average size of 1,200 square feet.

    Credo said that it has already received enquiries from major developers and funds. The competition for the 99-year leasehold land parcel is expected to be keen - with the reserve price at $1.2 billion dollars.

    "If we do not receive bids above the reserve price, there is still potential for us to sell the site through negotiations, by a private treaty. In the new law we have 10 weeks for that, but I seriously think we don't need that," said Tan Hong Boon, deputy managing director, Credo Real Estate.

    The price tag translates to a land rate of some S$844 per square foot per plot ratio.

    The successful bidder will also have to pay about S$400 million to top up the lease and a development charge.

    More than 80 per cent of Laguna Park's owners have given their consent for the collective sale, Credo said.

    According to analysts, the draw for Laguna Park is the size of the plot and its proximity to the sea, which will provide the future development with a good view.

    "If you look at the quality of land in Singapore, Laguna Park has got one of the longest stretches of sea, with coastal views. It's about 400 to 500m of seafront view and it's also unblocked on the other side. Very rarely you get a plot of land with such spectacular views," said Christina Sim, director, Investment, Cushman & Wakefield.

    Observers said the developers are likely to use the opportunity to replenish their land stocks.

    "Since March-April onwards, the absorption rate in the real estate market has been phenomenal. The take up is probably over 10,000 units already this year. It looks like developer stocks are really drying up. And because there's a huge draw down on stocks, the developers balance sheets are reflecting a really fantastic cash flow. They would be in the market to look at land banking again," she added.

    Analysts said that the break-even land cost is around S$1,250 per square foot, and the future units are likely to fetch prices higher than that.

    The units at The Silversea, another private development in the vicinity, recently transacted for as much as S$1,750 per square foot.

    As per the analysts, even if the sale for Laguna Park goes through by the year end - launches shouldn't be expected any time soon. That's because developers will be waiting till after the integrated resorts open in 2010, before launching units for what many analysts call - a jewel in their crown.

    - CNA/sc

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    View is one thing, ECP noise and pollution also there.

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    http://www.straitstimes.com/Breaking...ry_424531.html

    Sep 2, 2009

    Laguna Park en-bloc sale

    By Jessica Cheam


    EAST COAST condominium Laguna Park was put on en-bloc sale for $1.2 billion on Wednesday.

    The condo, which made headlines in the past year for its spate of vandalism cases due to disputes in its en bloc sale process, reached the 80 per cent consent level last December.

    Its marketing agent Credo Real Estate said the tender was put on hold until now 'as major developers have only recently returned to the land market with confidence.'

    If it succeeds in finding a buyer, Laguna Park wil be the second billion-dollar en bloc deal in Singapore, after the 618- unit Farrer Court which was sold to a CapitaLand-led consortium for $1.3388 billion.

    Like Farrer Court, Laguna Park is an ex-HUDC estate in Marine Parade and was privatised in 2007.

    At the current price tag, owners of the apartment units will receive sale proceeds ranging from S$2.1 million to S$2.3 million, while the penthouses will gain between S$3.5 million and S$4.1 million.

    It is also one of the few sites that come under the amended Land Titles (Strata) Act meant to tighten the en bloc sales process, which came into effect in October 2007.

    Laguna Park has a land area of about 677,493 sq ft and a gross plot ratio of 2.8 under the current 2008 Master Plan, with a building height of up to 36 storeys, subject to relevant approval.

    Credo's deputy managing director Tan Hong Boon estimates that the buyer would be able to build close to 1.9 million sq ft of gross floor area or some 1,500 apartments with an average size of about 1,200 sq ft.

    At $1.2 billion, the land price for the condo works out to about $844 per sq ft per plot ratio.

    This includes an estimated cost of about $400 million payable to the Government for maximising the plot ratio of 2.3 and the topping up of the current 67 year lease term to 99, said Mr Tan.

    'At $844 per sq ft per plot ratio, the successful purchaser may work towards breaking even at around $1,200 to $1,250 psf, with a view of pricing the new units at $1,400 to $1,600 psf,' he added.

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    doubt any developer will bite..

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    http://www.businesstimes.com.sg/sub/...48717,00.html?

    Published September 3, 2009

    Laguna Park up for collective sale

    More than 80% of owners consent to sale at a reserve price of $1.2b

    By UMA SHANKARI


    (SINGAPORE) Laguna Park, a 528-unit ex-HUDC estate in Marine Parade, has just been officially put up for collective sale. More than 80 per cent of the owners have inked their consent to the collective sale agreement at a reserve price of $1.2 billion.

    The price works out to $844 per square foot per plot ratio (psf ppr), including an estimated total cost of about $400 million payable to the state for the increase in intensity of the site to the plot ratio of 2.8 and the topping up of the lease term to fresh 99 years.

    Laguna Park has a land area of about 677,493 sq ft and a gross plot ratio of 2.8. The successful developer would be able to build close to 1.9 million sq ft of gross floor area or some 1,500 apartments with an average size of about 1,200 sq ft. Laguna Park is one of the few known sites that have successfully obtained majority owners' consent under the amended Land Titles (Strata) Act, which came into effect in October 2007.

    'Although the 80 per cent consent was obtained in December 2008, the tender exercise was put on hold till now, as major developers have only recently returned to the land market with confidence,' said Tan Hong Boon, deputy managing director at Credo Real Estate, which is marketing the project.

    Other analysts echoed this view. 'If you look at the past 12 months, right now is as good a time as any to launch the project,' said Ngee Ann Polytechnic real estate lecturer Nicholas Mak.

    The collective sale market first came to life again earlier this year with the launch of Dragon Mansion on Spottiswoode Park Road - the first development to be launched for sale en bloc this year. Owners asked for $120 million for the freehold project, or $1,020 psf ppr including a development charge of about $400,000

    But while the tender for that site closed last month, the property is yet to be sold, BT understands. If the reserve price for Laguna Park is met, most owners stand to receive sale proceeds ranging from $2.1 million to $2.3 million, while the penthouse owners will get between $3.5 million and $4.1 million each.

    Credo also pointed out that if the site is sold, it could potentially be Singapore's second billion-dollar en-bloc deal. The largest sale price quantum achieved for a collective sale project to date is the 618-unit Farrer Court, which was also sold by Credo for $1.3388 billion in June 2007.

    'At $844 psf ppr, the successful purchaser may work towards breaking even at around $1,200 to $1,250 psf, with a view of pricing the new units at $1,400 to $1,600 psf,' said Mr Tan.

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    http://www.straitstimes.com/Prime%2B...ry_424700.html

    Sep 3, 2009 Thursday

    Laguna Park goes on sale for $1.2b

    Consent level reached in Dec, but now's the right time for tender, it says

    By Jessica Cheam


    EAST Coast condominium Laguna Park was put up for collective sale yesterday with a hefty price tag of $1.2billion - potentially the second highest price ever here for such a deal.

    The sprawling 30-year-old condominium has been in the headlines over a spate of vandalism attacks on residents who were not keen on the sale.

    Despite its troubles, the estate attained the crucial 80per cent consent level from its owners last December.

    But the tender exercise was put on hold until now 'as major developers have only recently returned to the land market with confidence', said its marketing agent Credo Real Estate.

    If it succeeds in finding a buyer, Laguna Park will be the second billion-dollar en bloc deal here, after the 618-unit Farrer Court was sold to a CapitaLand-led consortium for $1.34billion in 2007.

    Laguna's entry on the market marks a milestone in the estate's troubled path towards a collective sale that was made highly public due to incidents of vandalism which hit the estate last year.

    Residents who spoke to The Straits Times yesterday said the estate's once-peaceful atmosphere has begun to return.

    One resident, Mr Robin Sng, who had his car damaged by a corrosive liquid, says he has still not signed up to the deal because he wants to stay on.

    Even with the payout, he feels it will be difficult to get a replacement unit with the same attributes in the area.

    'Very few people now talk about the en bloc sale openly, although we know it is going on,' he said.

    Another minority owner, who declined to be named, said he was adopting a wait-and-see approach to the sale, but confirmed that some owners - who themselves were victims of vandalism - had changed their minds and signed up after considering the attractive price tag.

    At the current price, most owners will receive $2.1million to $2.3million, while the penthouses will fetch between $3.5million and $4.1million, said Credo.

    This price, which works out to about $1,300 to 1,400 psf depending on the unit size, is double the price such units have been fetching in recent months - about $682 psf- even in the bullish market.

    Industry analysts are speculating that the overall price tag - at $1.6billion, including an estimated $400 million payable to the Government for development charges and a fresh top-up of the lease - might deter developers.

    Ngee Ann Polytechnic real estate lecturer Nicholas Mak notes that the steep sum may lead to interested developers forming joint ventures.

    On the timing of the sale, he said this time is 'as good as any to launch, as developers are triggering government land sales sites and 99-year leasehold condominiums seem to be selling out'.

    Like Farrer Court, Laguna Park is a former HUDC estate; it is located in Marine Parade and was privatised in 2007. The condominium has a land area of about 677,493 sq ft and a gross plot ratio of 2.8.

    Credo deputy managing director Tan Hong Boon estimates that the buyer could build about 1,500 new apartments with an average size of about 1,200 sq ft.

    The land price for the condominium, which has 67 years left on its lease, works out to about $844 per sq ft per plot ratio, including the $400million payable.

    At this price, the successful purchaser could break even at about $1,200 to $1,250 psf, with a view of pricing the new units at $1,400 to $1,600 psf, said Mr Tan.

    Chesterton Suntec International's research and consultancy director Colin Tan said the condominium sits on an attractive site that faces the sea, but 'it remains to be seen if it can achieve that kind of pricing'.

    The tender closes on Oct13 at 3pm.

    [email protected]

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    http://www.todayonline.com/Business/EDC090903-0000124/For-sale--Laguna-Park,-The-price--$1,2-billion

    For sale: Laguna Park. The price: $1.2 billion

    by Tan Hui Leng

    Updated 11:55 AM Sep 03, 2009


    IT WILL be a closely-watched collective sale, not least because of its jaw-dropping $1.2 billion reserve price tag.

    Despite the tough economic climate, Laguna Park residents, who stand to collect between $2.1 million and $4.1 million per unit, are hoping a developer or a consortium will snap up their massive 677,493 sq ft estate with its hot seafront location.

    And waiting to see whether they succeed are other estates that could be en bloc candidates too - especially Lagoon View next door, which last month managed to gather enough votes to privatise the HUDC estate.

    "Some of my neighbours have started to fantasise, and they agreed to privatisation because they have a dream figure, that each household could get $2 million," said retiree and Lagoon View resident John Tan.

    But getting a buyer to bite the bait dangled by Laguna Park, a former HUDC development, will be a challenge, said analysts.

    The obvious hurdle is the price, which is second only to another ex-HUDC estate, Farrer Court, which was sold for $1.3388 billion in June 2007 at the height of the en bloc frenzy.

    "Given the credit situation, the banks are still tight on financing so it really depends on the credibility of developers to get the loan," said Jones Lang LaSalle local director of investments, Stella Hoh.

    Any interested developers would have to undertake the sale through a consortium: The $1.2 billion asking price is higher than the market capitalisation of many individual developers, noted Ngee Ann Polytechnic real estate lecturer Nicholas Mak.

    The 838,488 sq ft Farrer Court, for example, was bought by CapitaLand with three other partners.

    According to marketing agent Credo Real Estate, Laguna Park's price tag reflects a land rate of around $844 psf per plot ratio, after including costs of around $400 million to up the plot ratio and to top up the lease to a fresh 99-year term.

    This means the total cost to developers could be a whopping $1.6 billion.

    "At $844 psf/pr, the successful purchaser may work toward breaking even at around $1,200 to 1,250 psf, with a view to pricing the new units at $1,400 to $1,600 psf," said Credo's deputy managing director Tan Hong Boon.

    How does that compare to current prices of apartments in the area? According to Urban Redevelopment Authority data, new development Parc Seabreeze (which features some sea view apartments) transacted at $1,193 to $1,520 psf in July. Units at Silversea, also at Marine Parade, were sold at $1,150 to $1,746 psf.

    There could also be competitive pressure from other older seafront developments nearby, such as Bayshore Park, Mandarin Gardens and Lagoon View, which have the potential to go en bloc.

    But perhaps Credo has no real option but to put out Laguna Park on the market now when sentiments are positive, said Mr Mak. With en bloc consent obtained last December, Credo has to get a buyer within a year of the mandate under the current collective sale rules.

    Credo's Mr Tan said the company is "quite positive" about Laguna Park's sale as it has been receiving enquiries from developers.

    The market, meanwhile, is waiting with bated breath. This year has not yet seen a successful en bloc sale. Dragon Mansion, with an asking price of $120 million, was put up for tender in July but there has been no news since the exercise closed on Aug 11.

    "If Laguna Park succeeds in getting the reserve price of $1.2 billion, it will lift sentiments in the entire market," said PropNex's investment sale and commercial head Charles Chua.

    Meanwhile, Laguna Park residents seem prepared that an en bloc sale will take place, though not all are happy about it. The lead-up to the vote had involved acrimony and even incidents of vandalism.

    "We did vote to go en bloc ... because the market was going down," said one resident in her 60s who declined to be named.

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    I see enbloc news always refers to xxxx per sq ft per plot ratio. To get that number do you get the psf and divide by the condo plot ratio ?

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    Default "Laguna Park too expensive"


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    Default Too expensive-Liew Mun Leong

    Of course it's true. They shd know best. Now they have to bite the bullet after paying so much for Farrer Court. They also had to hang onto Gilman Ht( wh is considered cheap if compared to FC) to make up for the phenomenal sum paid for FC.

    Which brings me to the question: why would any developer , in these times, want to pay so much for a leasehold estate(still have to cough up big sum to top up to 99 yrs) when there are other freehold properties in good areas that are considering enbloc? Heard Pandan Valley is drumming support and one other nearby also itching to jump on the enbloc ship. PV is freehold and also has abt 600 units and the land is BIG. Does the seaview of LP really command so much premium?

    I really dont get it. Can some expert enlighten me?

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    Quote Originally Posted by Lee Mei
    Of course it's true. They shd know best. Now they have to bite the bullet after paying so much for Farrer Court. They also had to hang onto Gilman Ht( wh is considered cheap if compared to FC) to make up for the phenomenal sum paid for FC.

    Which brings me to the question: why would any developer , in these times, want to pay so much for a leasehold estate(still have to cough up big sum to top up to 99 yrs) when there are other freehold properties in good areas that are considering enbloc? Heard Pandan Valley is drumming support and one other nearby also itching to jump on the enbloc ship. PV is freehold and also has abt 600 units and the land is BIG. Does the seaview of LP really command so much premium?

    I really dont get it. Can some expert enlighten me?
    LP too late liao, missed the enbloc boat..

    but then again we never know..

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    Quote Originally Posted by Lee Mei
    Of course it's true. They shd know best. Now they have to bite the bullet after paying so much for Farrer Court. They also had to hang onto Gilman Ht( wh is considered cheap if compared to FC) to make up for the phenomenal sum paid for FC.

    Which brings me to the question: why would any developer , in these times, want to pay so much for a leasehold estate(still have to cough up big sum to top up to 99 yrs) when there are other freehold properties in good areas that are considering enbloc? Heard Pandan Valley is drumming support and one other nearby also itching to jump on the enbloc ship. PV is freehold and also has abt 600 units and the land is BIG. Does the seaview of LP really command so much premium?

    I really dont get it. Can some expert enlighten me?
    apart from the big unit size and pretty squarish layout .. i am not sure whats goo with LP ... car part to units so far away

    i visited a friend and heard low soft roaring and he said was the planes from airport ..

    can u imagine? he said USED to it leow

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    Quote Originally Posted by august
    LP too late liao, missed the enbloc boat..

    but then again we never know..
    They will have to gauge the sales of Silverseas as a guide to estimate demand.

    But I too think they have missed the enbloc boat.

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    FE SS only sold close to 60 units

    is that good ??

    can market digest 1500 units at LP for price of 1500psf to 1600psf
    when SS which is close to shopping mall PP and future mrt stn - unable
    to achieve "sold-out" until today ????

    think......

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    Quote Originally Posted by ppty
    FE SS only sold close to 60 units

    is that good ??

    can market digest 1500 units at LP for price of 1500psf to 1600psf
    when SS which is close to shopping mall PP and future mrt stn - unable
    to achieve "sold-out" until today ????

    think......
    I think many people think already that is why capital land and not biting.

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    Quote Originally Posted by ppty
    FE SS only sold close to 60 units

    is that good ??

    can market digest 1500 units at LP for price of 1500psf to 1600psf
    when SS which is close to shopping mall PP and future mrt stn - unable
    to achieve "sold-out" until today ????

    think......
    Kepland & Capital Land have just raised rights issues this year all to the tune of around 1+ bn, and this enbloc is already more than 1bn!!!.

    Capital Land still have Farrer Court, Gilman Heights, Char Yong Garden and Urban Resort......., likewise, Keppel Land have their own land bank that was bought at the high too.

    In addition, govt is also poised to release land via the Confirmed List, so why be bothered to pump in one huge sum for this project?

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    Default C-Land

    There are a couples of points to share
    Mentioned price up 5-15% by this year(?)
    they left with 3,000 units in the landbank, after FC and GH, and CharYan, left only 300 units.
    just wondering, what is the strategy used by C-Land, to talk down the market?

    Also, for the SS, visited yesterday, only two towers launched, sales not as bad, as there are too many big units, thus made sales slow

    Should LP, go for smaller units with sea facing, it would definitely much better, 5R in MP for more than 30 years were done >$700,000, and 3BR $360,000

    Most likely, MRT will be near to LP with link to Siglap and ECP

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    Quote Originally Posted by ppty
    lol, of course it is too expensive. What other reasons can he gives.
    The uptrend cannot sustain? He still have few projects lining up.
    They run out of $ ?
    They want to buy cheap, sell high? Of course, have to talk down the price first.

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    Quote Originally Posted by Douk
    lol, of course it is too expensive. What other reasons can he gives.
    The uptrend cannot sustain? He still have few projects lining up.
    They run out of $ ?
    They want to buy cheap, sell high? Of course, have to talk down the price first.
    Well, it is a fact that he has paid too high a price for Farrer ... mayb he is speaking from his (bad) experience ... but those Farrer enbloc rich fellas really got him to thank lah (history created for the most lucrative enbloc deal, some more for ex-HUDC) .... kekeekeee ...

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    Quote Originally Posted by Laguna
    There are a couples of points to share
    Mentioned price up 5-15% by this year(?)
    they left with 3,000 units in the landbank, after FC and GH, and CharYan, left only 300 units.
    just wondering, what is the strategy used by C-Land, to talk down the market?

    Also, for the SS, visited yesterday, only two towers launched, sales not as bad, as there are too many big units, thus made sales slow

    Should LP, go for smaller units with sea facing, it would definitely much better, 5R in MP for more than 30 years were done >$700,000, and 3BR $360,000

    Most likely, MRT will be near to LP with link to Siglap and ECP
    SS is much better located than LP, LP is in the middle of nowhere, so SS can definitely command higher price.

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    Quote Originally Posted by xebay11
    SS is much better located than LP, LP is in the middle of nowhere, so SS can definitely command higher price.
    Unfortunately, SS does not have the smaller units with sea facing and it is only 23 storey height, whereas LP is 36 storey. Let's wait and see

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    Conditions have changed a great deal. FC enbloc will be hard to repeat, maybe even impossible.. But sometimes i hear owners say things like "hey so-&-so project happened, so mine can happen too" etc. This kind of mindset presumes real estate will always rise. Optimism is gd, but also need to be realistic ~

    more interesting is how GH and FC are eventually priced & sell. GH has 1,000 units, FC has 1,500 units. It just spells mass mkt. Developers not likely to bite LP until they see the outcome of GH and FC.

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    Quote Originally Posted by xebay11
    SS is much better located than LP, LP is in the middle of nowhere, so SS can definitely command higher price.
    Not many ppl like home at the round about.

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    Default Interlace

    Now fully understood why C-Land is to manage below $1,000 as the plan was all for BIG units..

    2 BR 98 sq m
    3 BR ranges from 117 to 197 Sq me
    and 4 BR >200 sqm

    cold sweat now for Interlace....did not response to the latest market...haha

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    Quote Originally Posted by Laguna
    Now fully understood why C-Land is to manage below $1,000 as the plan was all for BIG units..

    2 BR 98 sq m
    3 BR ranges from 117 to 197 Sq me
    and 4 BR >200 sqm

    cold sweat now for Interlace....did not response to the latest market...haha
    No wonder CL CEO so pessimistic, looks like they will lose on the GH and FC developments.

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    Quote Originally Posted by Laguna
    Now fully understood why C-Land is to manage below $1,000 as the plan was all for BIG units..

    2 BR 98 sq m
    3 BR ranges from 117 to 197 Sq me
    and 4 BR >200 sqm

    cold sweat now for Interlace....did not response to the latest market...haha
    No lah, the news say 2 BR starts from 75 sqm, about 807 sft

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    http://www.todayonline.com/Business/...-too-expensive

    Laguna Park 'too expensive'

    Not a good investment at $1.2 billion

    by Yasmine Yahya, 938LIVE

    05:55 AM Sep 05, 2009


    Singapore property giant CapitaLand has ruled itself out of bidding for the Laguna Park estate, which was put up for collective sale earlier this week.

    CapitaLand's chief executive Liew Mun Leong said yesterday that the reserve price tag of some $1.2 billion for the estate is "too high to yield affordable homes".

    He was speaking on the sidelines of an event to unveil the design of The Interlace, an upcoming CapitaLand project at the site of the former Gillman Heights estate.

    Laguna Park, a former HUDC estate at Marine Parade, was launched for tender two years after the idea of an enbloc sale was first mooted.

    Its marketing agent, Credo Real Estate, said it expects keen competition for the plot, but developer CapitaLand said the asking price is simply too high.

    "I'm not very sure that at the end of the day, after paying over $800 per plot ratio, plus construction costs, plus your cost of financing, your break-even cost would be something like $1,500 or $1,600 (per square foot). "Are buyers prepared to pay for it at that location and that price? I am less sanguine than them," said Mr Liew.

    Two years ago, CapitaLand bought Farrer Court in a collective sale for over $1.3 billion.

    However, CapitaLand said on a per-square-foot basis, Laguna Park is more expensive.

    Farrer Court was sold at between $762 and $783 per square foot per plot ratio (ppr). Laguna Park's reserve price works out to about $844 ppr. Mr Liew said "that is simply too high a price for it to be a good investment".

    Mr Liew said CapitaLand has enough land in its portfolio and is not looking to buy more. He added that CapitaLand now has enough land to build some 3,000 homes, a third of which will be launched next month for The Interlace project.

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    Any updates on outcome of enbloc exercise?

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    Answer to my own question and for those interested, tender unsuccessful as expected.....

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    So capital land thinks that 1500-1600psf is not sellable at east coast. Is that the price resistance level os this area now?



    Quote Originally Posted by mr funny
    http://www.todayonline.com/Business/...-too-expensive

    Laguna Park 'too expensive'

    Not a good investment at $1.2 billion

    by Yasmine Yahya, 938LIVE

    05:55 AM Sep 05, 2009


    Singapore property giant CapitaLand has ruled itself out of bidding for the Laguna Park estate, which was put up for collective sale earlier this week.

    CapitaLand's chief executive Liew Mun Leong said yesterday that the reserve price tag of some $1.2 billion for the estate is "too high to yield affordable homes".

    He was speaking on the sidelines of an event to unveil the design of The Interlace, an upcoming CapitaLand project at the site of the former Gillman Heights estate.

    Laguna Park, a former HUDC estate at Marine Parade, was launched for tender two years after the idea of an enbloc sale was first mooted.

    Its marketing agent, Credo Real Estate, said it expects keen competition for the plot, but developer CapitaLand said the asking price is simply too high.

    "I'm not very sure that at the end of the day, after paying over $800 per plot ratio, plus construction costs, plus your cost of financing, your break-even cost would be something like $1,500 or $1,600 (per square foot). "Are buyers prepared to pay for it at that location and that price? I am less sanguine than them," said Mr Liew.

    Two years ago, CapitaLand bought Farrer Court in a collective sale for over $1.3 billion.

    However, CapitaLand said on a per-square-foot basis, Laguna Park is more expensive.

    Farrer Court was sold at between $762 and $783 per square foot per plot ratio (ppr). Laguna Park's reserve price works out to about $844 ppr. Mr Liew said "that is simply too high a price for it to be a good investment".

    Mr Liew said CapitaLand has enough land in its portfolio and is not looking to buy more. He added that CapitaLand now has enough land to build some 3,000 homes, a third of which will be launched next month for The Interlace project.

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