Amidst speculations that the sale of Tulip Garden has hit a speed bump, the marketing agent for the property, Colliers International, has come out to clear the air.
It’s now official that the sale of Tulip Garden will continue as planned at an estimated cost of S$906.9 million.
The bid from Asia Radiant carried the day and despite the hitches from the buyer’s side, the marketing agent maintains that the sale will proceed as agreed.
The speculations that the collective sale had hit a snag came in when the relevant authorities had not approved the number of residential units that were planned by Asia Radiant, the buyer. (See En Bloc Process Singapore “PAFS”)
However, the talks to finalize the en bloc sale will continue.
Tulip Garden is situated along Farrer Road on an area of 316,708 sq ft and with a plot ratio of 1.6.
Currently, the development has two shop units and 162 apartments and maisonettes. Yanlord, the Chinese developer on the site projected that the redevelopment project would be completed by 2023.
Asia Radiant’s bid of S$906.9 million won the tender and was awarded the freehold site where Tulip Garden stands in April 2018. This is one of the most sizeable deals sealed this year.
This deal marks official entry of Yanlord in Singapore’s property market. MCL Land together with Yanlord Land Group jointly hold Asia Radiant. MCL Land is also a subsidiary company of HongKong Land.
The approximate one-billion-dollar cost of Tulip Garden which is approximately 20% premium of its reserve price was higher than all the above projects. Base on the bid price, the land rate is around S$1,790 psf ppr.
If this deal sails well, the owners of individual residential units will pocket sums ranging from S$4.3 million to S$7.6 million.
This is the fourth attempt by the owners to sell Tulip garden. The three previous attempts didn’t bear fruits, and their first attempt in 2007 saw Bravo Building Construction calling off the deal due to cash crunch.
Initially, Bravo Building Construction had paid a 5% deposit amounting to S$25.8 million, but it later backed out of the deal. Consequently, the owners had to keep that deposit fee.
This year, different projects have been collectively sold in District 10 where Tulip Garden is located.