En Bloc Fever Temperature in Singapore Went Up Again with Watten Estate Condo Site Latest Acquisition
Watten Estate Condominium, a district 11 collective site has successfully sold en bloc for S$550.8 million
UOL Group and Singapore Land Group (SingLand) won the tender bid and have acquired the site.
This might be the largest collective sale transaction in Singapore’s residential market this year 2021.
The sale price of S$550.8 million is a 10.2 percent premium over the property reserve price.
The tender was given to their 80:20 joint venture (JV) between United Venture Investments (UVI) and (SRD) Singland Residential Development, according to UOL and SingLand’s respective market filings on Thursday Oct 28.
UVI and SRD are UOL and SingLand’s completely owned subsidiaries, respectively. UOL owns a majority stake in SingLand, which was originally known as UIC (United Industrial Corporation).
UVI will pay 80% of the purchase price, or S$440.6 million, based on its share of the JV’s ownership, with SRD covering the remaining costs.
Both businesses stated in their releases that acquiring WEC is in the regular course of business and will help them to refill their land banks for residential construction in Singapore.
The JV parties want to rebuild the enbloc site into a luxury condominium, according to SingLand, pending the appropriate clearances from relevant authorities.
Both JV partners plan to formalize their agreements in connection with the acquisition and renovation of the property, and to share risks and gains in accordance to their subsidiaries’ equity shares in the JV.