Normanton Park Condo set for collective (en-bloc) sale of S$840 million
According to reports, Normanton Park, a leasehold condominium located near to Kent Ridge Park is set to be put up for collective sale (or rather known as en-bloc sale), looking at a reserve price of around S$840 million.
If this goes through, it will be the largest collective sale exercise since 2007.
Completed since 1977, the estate is situated on a vast land size of approximately 667,368-sqft with only 488 residential units (size ranging from estimated 1,270-sqft to 1,550-sqft) spread across 5 towers of 23-storey tall and 8 low-rise blocks. It was noted that the development was designed for personnel of the Singapore Armed Forces (SAF) and their families.
Under the Urban Redevelopment Authority’s (URA) Master Plan for 2014, this plot of land has a plot ratio of 2.1. Based on the calculation of the gross floor area, the future development can yield up to 1,388 residential units (with an average floor area of 1,001-sqft for each unit).
Apparently, there aren’t much residential projects in the vicinity of Normanton Park except for newer developments such as Commonwealth Towers and Interlace.
As mentioned by marketing agency Mount Everest Properties, It’s being made known to the public that many property developers have already expressed interest in this site. And due to its close proximity to both Alexandra Hospital and the National University Hospital (NUH), the healthcare sector have also shown interest in this plot.
However, the collective sale may experience a setback due to a weak and sluggish private residential property market, being hit by rounds of cooling measures. On top of that, the huge land size could be a big concern as developers will have to bear a relatively high redevelopment cost for the future new launch.
Singapore’s private property market price index fell by 3.2% from April-June 2015
Mount Everest Properties said that other than reaching out to property developers in Singapore, it will also attempt to reach out to overseas developers for the collective sale of Normanton Park condo. The tender exercise will close on 19 January 2016.