Shunfu Ville up for sale, owners expect offers in excess of S$688m

SHUNFU Ville, a privatised former HUDC estate on Marymount Road, launched its collective sale by tender on Wednesday, confirming a report by The Business Times in July.

Owners of the 358-unit residential development in the popular Bishan/Thomson area are said to be expecting offers in excess of S$688 million minimum price, according to JLL, which has been appointed as the sole marketing agent.

The estate comprises three 16-storey apartment blocks and three low-rise blocks of six-storey maisonettes. Sitting on a prime plot of about 408,927 square feet and zoned "residential" with a gross plot ratio (GPR) of 2.8 under the Master Plan 2014, the site could potentially yield about 1,100 plus units with an average size of 1,000 sq ft.

Tan Hong Boon, regional director of JLL's capital markets, added that the new project could likely be the tallest residential development within its one-kilometre radius, as the Master Plan provides for a building height of up to 36 storeys.

Mr Tan said the minimum price translates to a land rate of about S$791 psf per plot ratio (psf/pr) on the potential GFA, after adding an estimated differential premium of S$218 million payable to the state to top up the lease to a fresh 99 years and for intensification of use, subject to approval from the relevant authorities.

"At this rate, the estimated breakeven cost for the successful purchaser should be around S$1,250 psf, with the new units expected to fetch between S$1,400 psf and S$1,450 psf. At the minimum price of S$688 million, owners can look forward to receiving gross sales proceeds of at least S$1.9 million per unit, or about 50 per cent more than what they could obtain by selling their units individually," he said.