Morgan Stanley fund mulls bulk sale of luxe units
It appoints two agents to explore demand for a bulk transaction for its 23 units in Draycott Eight; Blackstone has inked deal for 21 Anderson Royal Oak Residence
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Kalpana Rashiwala
THE momentum for bulk transactions of high-end residential units looks set to continue this year.
A German core fund managed by Morgan Stanley is said to be exploring a bulk sale for its 23 units in the Draycott Eight condo. It has appointed two agents to help it find a buyer in a transaction which will be effected through the sale of shares in a company that owns the 22 four-bedders and a penthouse with a total strata area of 68,419 square feet.
Based on market talk, the asking price is S$2,300 per square foot, which would amount to S$157.4 million. Some agents estimate the units could be worth around S$150 million assuming an average price of S$2,194 psf - derived from a 20 per cent discount to an average price of S$2,742 psf achieved last year for the nearby Ardmore Park, which has freehold tenure. Draycott Eight is on a site with a balance lease term of about 82 years.
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