Sustained Land-led consortium which has Ho Lee Group among other partners has picked up District 2 estate Asia Gardens in an en bloc sale for a price of S$343 million, more than the owners’ asking price of S$338 million.
The 23-storey tall property that currently has 4 penthouses and 80 apartments will see the present owners pocket S$3.476 million to S$7.73 million for their respective units.
The overall price of the sale would translate into S$1,722 psf ppr (per square foot per plot ratio). Given the relatively higher development baseline with no development charges being payable the final sale price comes down to S$1,565 psf ppr taking into account 10% additional balcony area.
Asia Gardens is spread over a plot measuring 72,059 sq ft with a 2.8 gross plot ratio. Located on Everton Road near Spottiswoode Enclave the property is of late 1980s vintage.
Edmund Tie & Company the marketing agent for the sale said on April 17 that the site is attractively located in close proximity of Central Business District. It is also in the vicinity of Harbourfront, Orchard Road, Marina Bay and Clarke Quay.
The site has the potential to be redeveloped into a 36-storey residential condo that would be able to accommodate 264 apartments after receiving necessary approval from the authorities.
Swee Shou Fern, Director of Investments Advisory at Edmund Tie & Company sounded very optimistic about the redevelopment project.
He said that this property is the last freehold residential site in the area and its north-south orientation makes it ideal for a new development.
Residents of the newly developed property will have unrestricted panoramic view of beautiful city skyline and also the waterfront beyond Tanjong Pagar Port Area.
Sustained Land has been on a buying spree off late and this is their third major acquisition. Earlier in December 2017, they led a consortium to acquire Amber Road located Parkway Mansion for S$146.99 million in a collective sale.
This was after they had acquired The Albracca in July last year for S$69.1 million.
Marketing Agent: Edmund Tie & Co.
Asia Gardens, a 33-yr old condominium in District 2, is up for collective sale. Owners of the 84-unit property have decided to sell it en bloc to cash in on the prevailing good market climate, and they are asking for a minimum S$338 million.
The property is only one among three that have been recently put up for en bloc sale, the others being Parkview mansions and Katong Omega Apartments. Asia Gardens’ 84 units – 80 apartments and four penthouses – are within a site 72,059 sq ft in size, and its gross plot ratio is 2.8.
Parkview, which is close to Jurong Lake, is asking for S$320 million while Katong Omega Apartments, the indicative price is S$41 million.
The land rate for the Asia Gardens site, based on the reserve price, is currently S$1,675 per sq ft per plot ratio (psf ppr), but as the property marketing agent, Edmund Tie & Co. (ET & Co) confirms, it can potentially drop to about S$1,523 once the 10% bonus balcony area is factored in. This will, of course, be a result of the GFA increasing to 221,941.7 from 201,765.
ET & Co. forecasts great potential for future redevelopments in the area. In addition, Asia Gardens is also not attracting any development charge because the location has a high development baseline. As such, the developer will be able to utilize the 10% bonus balcony area to increase the property GFA without increasing the overall cost of the property.
The agent says there is room to increase the storeys to 36 up from the current 23, while increasing the number of housing units to 267, more than three times the current number. Of course, the agent presupposes necessary approvals will be granted by the relevant authorities, and that the housing units will be on average 753.5 sq ft.
When developers go out looking for potential sites to redevelop, they take into account factors that are likely to attract customers seeking to acquire residential houses.
Location is one of the most important factors. Asia Gardens is situated in prime location where all great amenities and attractions are found within.
The freehold site is being located very close to the Central Business District (CBD). Such proximity is alluring to potential buyers of residential as well as commercial units.
Not only that, the best attractions in Singapore are mins drive away namely Orchard Road, Sentosa, Marina Bay and Clarke Quay etc…
According to Swee Shou Fern, director at ET & Co, Asia Gardens is among the few freehold sites still remaining and available for redevelopment in District 2.
It is always exciting to reside in a place where getting in and leaving is convenient, whether one is driving or riding on public transport. For the current and future residents of Asia Gardens, accessibility to the location is easy and convenient as the area is served by good roads and the rail network. Communication serving Asia Gardens include:
- Three MRT stations, all less than a kilometre away – EW 16 Outram Park, EW15 Tanjong Pagar and upcoming Maxwell MRT Station.
- Everton Road is just outside
- Orchard Road is a couple of minutes’ drive away
- Harbour front is within sight
Also getting to the business hub takes less than 5 minutes using the North-Bridge Road.
Schools in the Vicinity
- Cantonment Primary the nearest which is walking distance
- K12 International Academy Singapore, AusEd-UniEd Singapore Pte. Ltd and Inspiration Design School, all less than a kilometre away.
Social Amenities and Other Attractions Close-by
- Marina Bay Sands
- Clarke Quay
- Tanjong Pagar Market
- Spottiswoode Park
- Singapore General Hospital