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Hong Kong-listed Logan Property bags Florence Regency for S$629m
FLORENCE Regency, a privatised HUDC estate in Hougang, has finally found a buyer who is willing to match the independent valuation of S$629 million - and that buyer is Logan Property.
Florence Regency's sole marketing agent JLL said that the Singapore-incorporated subsidiary of the Hong Kong-listed Chinese developer has picked up the 336-unit development at Hougang Avenue 2 for S$629 million through a collective sale.
This marks the second land parcel in Singapore snapped up by Logan Property, which had in May tabled the top bid with Nanshan Group for a 21,109 square metre site in Stirling Road under the Government Land Sales programme at a whopping S$1.003 billion or S$1,050.7 per square foot per plot ratio (psf ppr).
The public tender for the collective sale of Florence Regency had closed on Sept 27 with three bidders refusing to raise their bid prices to match the valuation. The collective sale agreement drafted by law firm Lee & Lee required that the sale price be no lower than the valuation.
This prompted JLL to court other developers in the hope of closing a deal under private treaty within 10 weeks of the close of the public tender.
JLL said that this is the first collective sale attempt by the owners of the development with 80 per cent of the consent level attained in under three weeks.
Under the 2014 Master Plan, Florence Regency's 389,236 square feet site is zoned "residential" with a gross plot ratio of 2.8.
After factoring in the current estimated differential premiums of S$288.6 million payable to the state to top up the lease to a fresh 99 years, and to develop the site to a gross plot ratio (GPR) of 2.8, the land price works out to about S$842 psf ppr.
The site is located near the Hougang MRT station and the bus interchange of Hougang Mall. It is also within walking distance to the Kovan MRT Station along Upper Serangoon Road.