TE2 Development, a company owned by Tong Eng Group’s MD, Mr. Teo Tong Lim, has entered into a joint venture with RP Ventures which is part of the Roxy-Pacific Group, to acquire The Wilshire at S$98.8 million.
Just this month the two acquired Kismis View Condo at S$102.75 million.
This is the 3rd Collective Sale Sold in 2018 and the 6 en bloc properties sold in District 10. The News of New Futura great sale is quite encouraging.
However, in this fourth partnership between the two, they have welcomed Kim Seng Holdings, which has taken up a 15% stake. TE2 Development and RP Ventures have taken up 45% and 40% stake respectively, and just as in the recent purchase, the price at which they have bought the property is very close to the property owners’ reserve price.
No Bullish Bid – The reserve price for The Wilshire condo was S$98.07 million, while that of Kismis View was S$102. TE2 and RP paid S$102.75 for the latter.
It’s Peak Season for Boutique Site Owners
The Wilshire is a boutique site with 20 housing units, and it is within the Holland area which is upmarket. It is actually within the Core Central Region (CCR), specifically in District 10.
Owners of the condo have reason to celebrate after their successful collective sale, as they are now entitled to millions ranging from S$3.76 to S$7.46 each.
Suzie Mok, senior director of investment sales at Savills Singapore, says such quality boutique properties are bound to continue attracting developers, as they are optimistic about the rising demand for housing units in such residential areas.
The Wilshire Condo sits on 39,130 sq ft site that is freehold, and based on its sales price, its land rate amounts to S$1,536 per square foot per plot ratio (psf ppr).
This anticipated lower land rate is based on the assumption that the developers will increase the gross floor area to 64,310 sq ft, the maximum allowed as per the 2014 Master Plan which sets the plot ratio as 1.6 and allows for construction of 12 storeys.