You are here
Faber Garden on the market for S$1.18b
WITH a reserve price of S$1.18 billion, the freehold Faber Garden at Upper Thomson could be Singapore's largest collective sale deal so far this year and the second largest ever, if it succeeds.
The site at Angklong Lane is being launched for sale by public tender on April 17.
At the reserve price, the 233 residential apartment owners will receive a gross payout between S$4.38 million and S$6.75 million, while the three commercial shop units will receive a gross payout of approximately S$1.99 million and S$4.83 million, according to Galven Tan, executive director of capital markets at CBRE, the marketing agent.
The development, which is about 34 years old, is next to the Central Nature Reserve amid Good Class Bungalows, landed housing and private condominiums.
Windsor Nature Park and Lower Pierce Reservoir are within walking distance, and Faber Garden is also at the doorstep of the upcoming Bright Hill MRT Station slated to open in 2021.
Its land price, including the estimated development charges (DC) payable, works out to S$1,414 psf ppr or S$1,342 psf ppr if including 10 per cent bonus balconies.
With a site area of 544,738 sq ft, Faber Garden has a plot ratio of 1.6 and a height control of 12 storeys. Its maximum allowable gross floor area (GFA) is approximately 871,581 sq ft and 958,739 sq ft including the 10 per cent balconies.
It could yield more than 1,150 units based on the "70 sq m" guideline.
"The site is the perfect opportunity for a developer to capitalise on its proximity to nature and develop a new luxurious residential development for families, away from the hustle and bustle of the city," said CBRE in a statement.
Its total development charge (DC) payable is approximately S$106.7 million, which comprises charges payable for intensifying the GFA of about S$52.8 million, as well as further charges for the 10 per cent bonus balconies .
In its first collective sale attempt in 2011, Faber Garden was launched for sale for S$830 million, but did not find a buyer.
"Various factors have moved since - including the fact that there is an MRT station soon to be operational and at its doorstep," Mr Tan of CBRE said. "At the current market, prices have moved to a point where this asking price is not unreasonable." He added that the large size of the freehold plot is also a draw.
Should the sale of Faber Garden go through at the reserve price, it will beat out this year's largest en bloc sale thus far - the freehold Pacific Mansion in River Valley, also brokered by CBRE.
It was acquired by GuocoLand, Intrepid Investments and Hong Realty for S$980 million in March. The record for the largest collective sale ever, at S$1.34 billion, is held by the former Farrer Court, which was acquired by a CapitaLand-led group in 2007 and rebuilt into the 1,715-unit d'Leedon.
Across the country, other developments that are eyeing en blocs could smash the Farrer Court record if successful.
The Dairy Farm is said to be asking for more than S$1.68 billion, while owners at Pine Grove are seeking at least S$1.65 billion. Former HUDC estate Braddell View is said to be asking for S$2.08 billion, while Mandarin Gardens has an asking price of S$2.48 billion.
Such billion-dollar potential sites, if they were to go through, could "soak up the developers' cash more quickly," warned International Property Advisor's chief executive Ku Swee Yong. This could be an issue for other en bloc sites that are later to the game.
At Faber Garden, a developer would likely have to launch at upwards of S$2,000 psf, he said.
The tender for Faber Garden will close at 3pm on May 23, 2018.