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Hoi Hup Sunway snaps up Brookvale Park for S$530m
BROOKVALE Park, a 160-unit development at Sunset Way, has been sold to Hoi Hup Sunway, a joint venture between Hoi Hup Realty and Sunway Developments, for S$530 million.
This marks the fourth collective sale in a row this week sealed under private treaty after their public tenders closed without a sale.
The latest deal also represents the largest investment by Hoi Hup and Sunway Developments in their 11 years of partnership, said Hoi Hup Realty chairman Wong Swee Chun.
"The sprawling 999-year leasehold land is in a centralised but yet lush and green location and setting. We believe this provides a great opportunity to create a unique residential product," Mr Wong said.
The purchase price of S$530 million - which matches the reserve price - reflects a land rate of about S$932 per square foot per plot ratio (psf ppr), after factoring in an estimated development charge of about S$26 million. At this sale price, the owners would expect to receive gross sales proceeds of between S$2.5 and S$4.4 million per unit, said the sole marketing agent JLL.
Over 80 per cent of the owners have consented to the sale, which is subject to several conditions being met, including an order of sale by the Strata Titles Board and the court, where applicable.
The sale of Brookvale Park brings the tally of such collective sales year-to-date to S$3.14 billion, arising from eight deals. Last year, 30 such collective sales worth S$8.7 billion were concluded.
"Our view is that the market is on track for last year's tally to be surpassed by middle of 2018, as the strong momentum driven by the positive outlook of the residential market sustains," said JLL senior consultant Karamjit Singh.
JLL regional director Tan Hong Boon noted that new units of the proposed development at Sunset Way could potentially enjoy unblocked views over the landed housing estate and greenery.
Under the 2014 Master Plan, the 373,008 sq ft residential site has a gross plot ratio of 1.6, which means the site may be redeveloped into a condominium development with a total gross floor area of about 656,494 sq ft, including a 10 per cent bonus balcony area.
It is located within the Sunset Way enclave designated for two-storey bungalows and private residential developments.
The site is also a short drive away from Holland Village, Bukit Timah Nature Reserve and near to tertiary and international education institutions, such as Ngee Ann Polytechnic, Singapore Polytechnic, National University of Singapore, Singapore University of Social Sciences and the Canadian International School.