Braddell View to try for collective sale at $2.08 billion, Latest Business News - The New Paper

Braddell View to try for collective sale at $2.08 billion

This article is more than 12 months old

Braddell View is trying its luck for a collective sale via public tender of its sprawling hilltop site for $2.08 billion on March 27.

The tender for the largest of Singapore's 18 former Housing and Urban Development Company estates will close at 3pm on May 28.

This is the second megasite in a month to jump on the collective sale bandwagon even as prospects are dimming, with developers expected to give such sites a miss due to higher land acquisition costs after last year's cooling measures. A number of big projects have closed tenders without a bid recently.

But this has not deterred Pine Grove from launching its 660-unit site in Ulu Pandan Road in late February, after finally getting the 80 per cent mandate when it raised its asking price to $1.86 billion.

Mandarin Gardens and Dairy Farm have raised reserve prices to $2.927 billion and $1.84 billion respectively to try to get the requisite 80 per cent before their collective sale agreements expire on March 24 and April 6.

Given Braddell View's size, marketing agent Colliers International said it will seek "more clarity on the traffic impact study, the feasibility of a phased redevelopment and even explore the possibility of selling the site as two separate plots".

Braddell View was privatised in 2017 and sits on a 1.14 million sq ft site, which comprises two land lots: a 618,221 sq ft lot and a 524,055 sq ft lot. The 102-year lease development has 61 years left on its lease.

The 918-unit development can potentially yield up to 2,620 new units with an average size of 85 sq m or 915 sq ft, subject to approval.

Braddell View's reserve price translates to a land rate of $1,199 per square foot per plot ratio, inclusive of the differential premium to intensify land use and to top up the lease to a fresh 99 years. - THE STRAITS TIMES