Grange Heights relaunched for collective sale at $820 million reserve price
Grange Heights on St Thomas Walk will be relaunched for collective sale via tender on Wednesday (23 January) at a reserve price of $820 million.
The tender price for the freehold site is unchanged from when it was previously put on the market last September, said Colliers International in a statement on Tuesday.
This works out to a land rate of S$1,948 per square foot per plot ratio after factoring the 10 per cent bonus balcony gross floor area. No development charge is payable for site the owing to its high development baseline.
Grange Heights comprises 114 apartments and maisonettes as well as six penthouses
ranging in size from 1,884 sq ft (175 sq m) to 4,575 sq ft. The redevelopment site of 12,697.7 sq m is zoned as “residential” and has a gross plot ratio of 2.8 under the Master Plan 2014.
The redevelopment site is not subject to an average unit size of 85 sq m as it is situated in the central area. This means the the site can be redeveloped to offer up to 508 apartments of varying sizes.
“We believe it presents an opportunity for the developer to position itself for future market uplift when new supply completion shrinks substantially beyond 2023,” said Colliers International managing director Tang Wei Leng.
Colliers Research expects the bulk of upcoming residential projects, from sites acquired via collective sale and public tender in 2017/2018, will likely be completed in 2022. It estimates that annual supply of new completed projects would trend below the 10-year historical average supply of 12,900 units from 2023, possibly resulting in limited competition for rents and capital appreciation.
The tender will close at 3pm on 11 March.
