Adjoining sites in Serangoon Rd up for en bloc sale

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On April 12, 2012
Last modified:April 12, 2012

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Business Times: Thu, Apr 12
  TWO adjoining freehold residential sites – Serangoon Mansion and 23 Race Course Lane – have been put up for sale by tender.Serangoon Mansion, which comprises nine walk-up apartments, and from which 100 per cent consensus from owners has been achiev…

TWO adjoining freehold residential sites – Serangoon Mansion and 23 Race Course Lane – have been put up for sale by tender.

Serangoon Mansion, which comprises nine walk-up apartments, and from which 100 per cent consensus from owners has been achieved, has a land area of 6,327 sq ft, with unit sizes ranging from 1,141 sq ft to 1,195 sq ft.

Based on a guide price of $23 million, this translates to a land price of approximately $1,039 per square foot per plot ratio (psf ppr), assuming that no development charge is payable. Existing owners can expect sale proceeds ranging from $2.52 million to $2.58 million.

The adjoining site, a two-storey shophouse at 23 Race Course Lane, has a land area of 1,314 sq ft. The guide price for this site is $4.78 million, which also translates to a land price of approximately $1,039 psf ppr, assuming no development charge is payable.

Under the 2008 Master Plan, both sites are designated “residential with commercial at first storey”, with a gross plot ratio of 3.5. When combined, the two sites will have a total land area of 7,641 sq ft.

Buyers can opt to tender for both sites, or either one.

Marketing agent Knight Frank said the sites could potentially be redeveloped into shops with residential apartments, a hotel or serviced apartments.

Assuming the project is redeveloped into a mixed development comprising shops on the ground floor and some 30 residential units averaging 700 sq ft each, the break-even price would be around $1,500 psf, said Ian Loh, director and head of investment.

He added: “The whole area is set to be rejuvenated by the upcoming Connexion, an integrated healthcare and hospitality complex and hotel sites under the Government Land Sales programme. Coupled with the demand for mixed-use developments, quick turnaround time and affordable quantum, interest from developers is expected to be strong.”

The tender for the sites closes on May 10.

Source: Business Times © Singapore Press Holdings Ltd

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