Faber Garden located in Angklong Lane has re-launched its public tender on Wednesday for en bloc sale.
This is incidentally its second attempt at en bloc after the first one failed in the early part of the year. The reserve price has remained unchanged at S$1.18 billion in what is one of the few en blocs eying billion plus sale proceeds.
The 544,738 sq ft freehold site is located along Upper Thomson Road.
Taking into account the development charge which has been estimated at S$52.8 million for intensification of land use, the land rate comes to S$1,414 psf ppr.
If the 10% bonus balcony area is accounted for the price comes to S$1,342 psf ppr but developers would have to bear S$106.7 million development charges in this case.
This was informed by CBRE marketing agents for the sale. According to them, upon redevelopment the site could yield 900 units upon a traffic impact assessment study.
CBRE Singapore in its statement highlighted the advantages of this 236-unit condo and said that its close proximity to Central Nature Reserve serves as an advantage along with the fact that Bright Hill MRT Station which is scheduled to operationalize in 2021 located at the site’s doorstep.
Executive Director for Capital Markets at CBRE, Galven Tan said that while developers have become choosy about acquiring land following the new cooling measures but Faber Garden’s central location makes it attractive as such sites are rare to find and an easy sell for the developers.
He cited the example of nearby JadeScape where 300 units were taken up in the first weekend of launch and added that the demand for property in Thompson Area is still very strong.
Mr Galven informed the media that Faber Garden would have time until March next year to find an interested buyer and submit an application with the Strata Titles Board for obtaining a sale order.
The public tender for Faber Garden shall close on 31st October at 3:00 PM.
Interestingly this re-launch comes at a time where there is uncertainty in the en bloc sale market after the new cooling measures were announced and in the last few weeks, only one en bloc site Phoenix Heights was able to find a buyer for S$33.1 million.
Though the reserve price remained unchanged at S$806.2 million yet the owners have started a re-signing campaign to bring it down to S$750 million.
Cairnhill Rise’s Cairnhill Astoria whose tender was re-launched closes on 17th of October. The reserve price is the same at S$196 million when it was first launched in the month of May.
The number of en bloc sale sites has been steadily growing in the last few weeks and apart from Faber Garden, there are more than 10 sites whose tenders shall close in the next few weeks.
The En Bloc list has Laguna Park with S$1.48 billion reserve price and its tender closes on 1st of November. Le Arc Apartment, a 12-unit freehold development located along Lorong 26 Geylang launched for en bloc on Monday and the owners expect to pocket S$20-22 million according to ERA the marketing agent for this site.
This would translate to S$915.59 psf ppr or $832.35 psf ppr considering 10% balcony area and estimated development charges of S$150,000