Jul 14, 2007

STB appeal process

What to expect if you are an appealing minority owner.
It shall be a learning process and I will amend accordingly as we go along.
  • Newspaper advertisement in the Classifieds section under Notices. This Notice will list the names and addresses of all the majority and minority owners (old rules, the new rules have dropped this requirement) it will give the % of majority attained and where to view certain enbloc documents.
  • Appealling minority owners have 21 days from the Notice in the newwspapers to put in their appeal to the STB. If you have engaged a lawyer, he will do this for you obviously. if you are appealing on your own, then go to the STB website http://www.mnd.gov.sg/stb/and download FORM 4 (objection filed under S84A/D/E by an individual.
  • 7 days: time taken for STB to send a letter to minority owner.
  • 2 weeks: time taken to set date for STB mediation

Mediation: 2 days maximum which may not be consecutive.

All appealing minority owners will be summoned on the same day to appear before the STB panel. All minority owners, their lawyers, the enbloc lawyer, the representatives of the sale committee and the 5 STB mediators will begin a process of negotiation. How they go about this depends very much on the personalities of the STB members. There is no set way.

The mediation is closed to the public and is without prejudice.

If no settlement is reached between the appealing minority and the sale committee then either party can request to proceed to the next stage - the STB Hearing

The STB Hearing is the expensive part. You really should get a lawyer for this as it is a real court proceeding and any layman proceeding alone would be at a severe disadvantage. A typical hearing, I believe, lasts around 5 days (which may not be consecutive) and can run into thousands of dollars in lawyer fees, expert witness fees etc. If the appeal is deemed 'frivolous' by the STB, then the appealing minority could be saddled with the whole bill. If it is not frivolous the STB would probably award costs to all SPs; majority and minority including the appealing minority. The costs will be deducted from the sale price. I have attended one of these hearings, I suggest you do, too, if you intend to take it that far.

The hearing is open to the public.

Strata Titles Board

45 Maxwell Road,

#01-11The URA Centre East Wing

Singapore 069118

Tel : 6325 1585/6

Fax: 6325 1607

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Jul 6, 2007

Questions

For the sake of clarity and openness, the sale committee will need to address the concerns and questions of the residents of Tampines Court at the upcoming EOGM on 21 July. I have compiled a list which I hope the sale committee will be forthcoming enough to answer clearly at the upcoming EOGM. The list of questions following may not be exhaustive but they are pertinent, and many are as yet unanswered.

1. When was the first formal valuation done?

2. How do you justify the reserve price of $389,719,233.00?

3. Do you have a fresh top-up valuation to the Valuation Report that is the basis of $389,719,233.00? If so why has it not been disclosed? If not then why not?

4. Why didn’t the sale committee get a valuation report in the face of escalating property prices between expression of interest in 2005 and the conditional sale on March 25th 2007? Please explain.

5. Why was the Sale Committee not aware that the Market was rising? Did not the property agent advise the sales committee?

6. Why was no mass meeting held with the subsidiary proprietors after the 80% had been reached and before the property was sold? Would it not have been expedient?

7. How was the committee acting in the best interest of the owners by NOT seeking a higher reserve price or providing for a Top Up Valuation?

9. You had a year to market the property from January 2007, explain why you rushed to sell in March 2007 just when it was obvious that the Market was rising in leaps and bounds?

10. Can minority owners appeal to the STB under section 84A (7) (a) to obtain the Alpha sum?

11. Can minority owners, who will incur a cash outlay to cover their costs and expenses of the enbloc sale and/or the outstanding privatization costs appeal to the STB under section 84A (7) (b) to have those costs covered?

12. Will the CPF agree to allow 5% of sale price not to return to the Member’s Account as it will be withheld from the gross sale price until the unit is vacated?

13. If the STB does not approve of the sale, how will the sale committee pay the professional fees of the enbloc solicitor and the property agent?

14. Was the tender exercise open to scrutiny by the owners?

15. Wasn’t this a ‘lack of transparency’ on the part of the sale committee?

16. Why wasn’t a new open tender called?

17. How do you know you got the highest purchase price when there was no new open tender and no one to bid against the purchaser (2)?

18. Why were the names of the Party A and Party B in the tender exercise and the amount tendered kept secret?

19. Explain why owners were not informed of the tender offers as is the norm in other en bloc sales?

20. If Purchaser (1) organization put in a written offer for $390 million + $10 million for the whole site, why did the sale committee enter into a conditional sale with Purchaser (2) , which is not Purchaser (1).

21. Was the possibility of a Beta sum ever mentioned and recorded in the Minutes in any of your meetings with subsidiary proprietors prior to the sale?

22. Was the Beta sum ever discussed at any of the sale committee meetings prior to the sale? Which set of Minutes?

23. Why wasn’t the Beta sum in the CSA along with the Alpha sum?

24. Why didn’t the sale committee commence collection of the Beta sum after the 40% signatures had been reached, as stated in the minutes of the 4th Sale Committee meeting held 10th April 2006 at the MCST office?

25. By not mentioning the Beta sum directly in the CSA, but adding a catch-all clause that sanctioned the sale committee to do anything they wanted (except lower the reserve price), were the signers unwittingly signing for the Beta sum as well?

Jul 5, 2007

EOGM to 'consider the sale'

The EOGM is confirmed for 21 July 2007 and the Notices have been sent out to all owners. The requisition forms will be inspected for irregularities by minority owners on Friday.
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Added as an addendum to the official notice are the questions* tabled by minority owners.
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*The questions are in error and the MCST and SC Chairman have been sent a copy of the amended questions to be included at the EOGM. A copy of these amended questions has been sent to all homes and they will also be handed out to the SP's at the EOGM.
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Having questions tabled at the meeting is a 2 edged sword. It gives the Sale Committee time to think of a suitable response but it also guarantees that the questions will be asked as it is uncertain how much time will be given over to Q & A.
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This is the first and ONLY minuted and recorded meeting of the entire en bloc process and it is imperative that minority owners raise their objections at this meeting.
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Owners should stand up, say their names and

ask that their questions and answers

BE REFLECTED IN THE MINUTES.

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EOGM's come in all shapes and sizes. A recent EOGM at an ex-HUDC estate lasted all of 10 minutes (or so I was told). Since questions have been tabled by minority owners at our EOGm, the SC cannot make a run for it so fast.

ALL MINORITY OWNERS ARE ENCOURAGED TO ATTEND

Jul 1, 2007

The Valuation

The valuation issue is perhaps the most contentious issue in the whole en bloc process of Tampines Court

The facts as subsidiary proprietors know them:

The reserve price was not based on a formal valuation.
This was revealed at an un-minuted dialogue session in April 2007. But a figure like $389,719,233.00 could not have been plucked from the air, so who did the initial, estimated valuation?
At the EOGM held in July 2007: their rationalisation was that the STB regulations only stipulate a valuation not more than 3 months old at the time of application to the Board. Owner's expectations and normal practice do not seem to figure at all in their decision making.

The reserve price was not revised upwards in the 15 months prior to the sale.
Where was the option to revise the price upwards in the escalating property market? Other en bloc estates were keeping pace with the bullish market, why not ours? The Property agent obviously treated the RP as a maximum price, rather than the minimum it should have been.

Let’s look at how the reserve price was adjusted in another ex-HUDC estate Farrer Court:
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Farrer Court (ex-HUDC):
DECEMBER 2006 ----------$700 MILLION
JANUARY 2007 -------------$840 MILLION
MARCH 2007 ---------------
$1.2 BILLION ---------SOLD!
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TAMPINES COURT (ex-HUDC)
DECEMBER 2005-----------$389,719,233
JANUARY 2007 ------------$389,719,233
MARCH 2007 --------------$389,719,233 ------
SOLD for $395 million!
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Note: it is not the actual figure that is important, but the fact the the RP was ADJUSTED UPWARDS reflecting market conditions at the time
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Media Corps Press, Today online.com
"Jones Lang La Salles national director of investments Lim Song Hai said " For the first quarter of 2007, we've seen a rise in reserve prices in the region of about 30% on average"."
Channel News Asia

Jun 29, 2007

5% Conundrum

A sale is usually completed about three months after the STB order. 

On completion, the sale proceeds are deposited into the owners' accounts. The S&P should have a clause whereby the owners can stay in their apartments for up to 6 months before they have to vacate. This is the norm. The buyer will usually withhold 5% of the sale proceeds until vacant possession is given.

This is all well and good if, after the bank mortgage and CPF charge have been fully redeemed, there is sufficient cash left over to cover the 5%. Owners run into trouble when the remainder in cash is insufficient or zero* and they then have to scrabble to find extra cash to cover the 5%. Not an easy task if you are also house-hunting and need cash for the down payment / cash-over-valuation for your new home 

This letter was copied from the government's Reach Discussion Corner
Posted : 07/05/2007 4:42 PM (the thread closed July1)

“I am one of the co-owners of Waterfront View. I have just been informed by the lawyers today that CPF does not allow deductions for the various expenses related to the en-bloc sale of the property. We have already incurred CPF losses of close to $90,000.00. On top of that we now have to pay $19,000.00 in cash for the various legal, marketing expenses, compensation fund etc. Under the terms of the sale, $50,000.00 has to be withheld from the sale price until vacant possession is given. In our case, since there is a shortfall where the sale proceeds are fully utilised to pay the loan and CPF refund, we are told to pay the $50,000.00 in cash upon completion date if we cannot vacate the flat. We still have to incur significant cash losses, on top of our CPF losses. We were not aware that CPF will not allow deductions of the various expenses/required payments from the balance sale proceeds before the refund to CPF accounts. I am sure that there are other owners out there who suffer the same fate”

The solution here is to make sure your SC negotiate with the prospective buyer to waive the 5% if an owner suffers such a shortfall.

Of course, if owners find themselves in this situation to begin with then the sale price is definitely too low! No owner should ever walk away from an enforced sale of their homes in a collective sale with no cash to move forward.

Farrer Court Sold


Jun 28, 2007

Minority meeting

The en bloc solicitor will be holding a dialogue session this coming Saturday at the CC to ‘try and understand each parties’ concerns and views in the hope of arriving at an amicable resolution to the matter”.

Their invitation is extended not just to the 38 minority owners who have engaged legal represeantation at the upcoming STB appeal, but to all minority owners in the estate. It will be the first time that minority owners will meet apart from the majority group. In such a large estate as ours, it is easy to feel isolated and acting as a lone voice. Minority owners may wish to take the opportunity to see that they are not alone in this matter of opposing the collective sale of Tampines Court.

Update on meeting 01 July
Only 20 out of a possible 100 owners attended the meeting. The meeting itself was very quiet and owners did not share many of their ‘concerns and views’. I suspect they were there, like myself, just to observe and listen.
The sale committee may not have gotten anyone to sign their CSA, but the appealing minority added 2 new members to their group!

Farrer Court Tender


Jun 16, 2007

Don't want to move out, don't like the payout

IN APRIL this year, the Gan family made headlines in a big way. Unhappy with the collective sale of their Lincolnsvale condominium in the Newton area, they called up the press to complain that the transaction had gone through 'without their knowledge'.

And subsequently, they said they were the only family left in a building with no lights in the corridor and had demolition workers for new neighbours.

The rest of Singapore watched, some in amusement, as the Gans - who have two teenage sons - declared they were staying put in the 23-year-old development that Sim Lian Land had bought in late 2005 and was now ready to demolish.

Would the Gans have to be physically thrown out with their belongings, kicking and screaming? Would they stand in front of the wrecking ball, daring it to strike?

It never came to that as the Gans were ordered by the court to move out last month.

From refusing to move out to rejecting millions in sales proceeds, the anti-collective sale brigade is becoming increasingly vocal, and they are making sure they are heard in more ways than one.

Apart from challenging the keen sellers at residents' meetings, they also write to the media, the Government, their MPs and neighbours, and even post it on their blogs.

Property consultants have noticed that they are an increasingly knowledgeable bunch and getting more aggressive.

Some of these objectors take on the fight alone, others in a group. Some are open about their objections, some prefer to say no without giving away their identities.

On the whole, collective-sale dissenters tend to be older home owners who have worked for - and established - a comfortable lifestyle. Many are in the so-called upper middle class segment.

Beyond the practical issue of how much a replacement home will cost, these home owners are unhappy for a whole host of more intangible reasons.

Some talk about the loss of community when they are split up from neighbours they have known for years.

Others bemoan the loss of architectural heritage and environmental wastage when relatively young buildings are torn down and rebuilt.

These are the reasons why, somewhere in Ulu Pandan, a group that calls itself Save The Pine Grove is still hard at work even though a first attempt at a collective sale fell through earlier this year.

A new collective-sale initiative has since been launched and the activist group has already written to voice objections about the way it is done, lest it gets in the way of estate maintenance.

For their efforts, they have had one of their letters posted at one of the condominium's lift lobbies, and on it a vaguely threatening scrawl: 'A few ladies from the Save Pine Grove group - Please get out of Pine Grove.'

Another dissenter, 58-year old retiree Ms Brown (not her real name), puts the resistance down to 'attachments' that people have formed with each other and the area in which they live.

Ms Brown, who had bought her unit at The Claymore back in 1989 with the view of spending her retirement in Singapore, has written to the media to voice her unhappiness at the collective- sale bid at her estate.

'It's almost like the 'villages' of London where local communities have their own dry cleaners, restaurants, grocer and so on,' she said.

'Even though we are close to Orchard Road and its many shopping centres, we also patronise small local businesses nearby and have come to know the people who run and work in them. And they, us.'

Dr D, a 39-year-old academic who has lived half his life in Britain, agreed. His Singapore property was also recently sold en bloc.

'It'll mean re-establishing everything again. But my worry will be that in 10 years, we'll need to move again.'

In a twist of irony, some home owners have bonded as they work towards warding off a collective sale, further deepening the feeling of community in their estates.

Madam Lee Woei Shiuan has held a few collective-sale discussions at her Hong Leong Garden Condominium apartment in the West Coast area.

Attendance, she said, is generally good. She serves her guests tea, but some bring fruits, cookies and even bottled mineral water for all the attendees.

'We need to 'unite' the owners so that we can collectively resist the sale application at the Strata Titles Board when the time comes,' said the accountant.

The Hong Leong Garden sale is pending the convening of an extraordinary general meeting before the sale application can be made to the Strata Titles Board. It was sold in March for $131.5 million, a sum some home owners there - who are upset with the entire sale process - now think is too low in today's market.

Madam Lee then decided to talk to her MP about the issue and was surprised when six of her neighbours went along to lend her support.

In other estates, blogging has proved to be a secure yet possibly far-reaching option.

A group of residents at Botanic Gardens View recently created a blog to gather views from dissenters.

'Are you happy with the RP (reserve price)?' asked one of the postings on the blog.

'I urge you to think carefully before the agents do the song and dance and try to persuade you to sign the CSA...!'

But getting the strength in numbers to resist a collective sale is only the beginning.

The collective sale is a multi-step process with plenty of legal twists and turns along the way.

Dissenters may need expert help and lawyers do not come cheap. Over at Hong Leong Garden, unwilling sellers are pooling their own resources to pay for $60,000 in legal fees.

The initial fee for each unit comes out to $5,000, but should go down to $3,000 when more come on board.

'We should fight for our rights to keep the roof over our heads,' said Madam Lee.

But the potential cost of fobbing off a collective sale goes beyond simple dollars and cents.

Often, dissenters have to bear with threats and unpleasant surprises. There have been stories of cars being scratched and verbal abuse being hurled publicly at dissenters. This is why most dissenters prefer to speak only on condition of anonymity.

In the end, the dissenters say the sacrifice is worth it.

'You cannot find such designs like Habitat One anymore,' said home owner Vicky, referring to well-known architect Moshe Safdie's classic project in Ardmore Park that was sold en bloc last year.

'Cairnhill Heights is also unusual. It's painted in metallic silver and has a retro science fiction feel to it,' she said.

'We won't have an architectural heritage if we don't have such interesting buildings around.'
Asked another home owner: 'What signal is being sent to developers if buildings can be torn down after 10 years?'

'Developers know that they need not build a condominium to be sustainable over 30 years if most are going to be demolished in 10.'



They've lived for decades in the same home. It's where they've brought up their families or shared memories with deceased spouses. Money is not an issue - they simply refuse to move out. One widow was afraid her husband's spirit would not be able to find her if she moved; others say they had no idea their home was being sold. One thing they have in common: really annoyed neighbours who want a quick sale.

Who's who on the homefront
Sell! Sell! say some. No! No! scream others. Hmmm, if the price is right... In every en bloc soap opera, weird and wonderful characters emerge. Here are seven.

1. The Stayers
They've lived for decades in the same home. It's where they've brought up their families or shared memories with deceased spouses. Money is not an issue - they simply refuse to move out. One widow was afraid her husband's spirit would not be able to find her if she moved; others say they had no idea their home was being sold. One thing they have in common: really annoyed neighbours who want a quick sale.

2. The Sharks
They sniff out estates with 'en bloc potential', hoping to make a quick killing. Passive investors tend to 'flip' a unit even before the sale, but more active ones may insinuate themselves onto the sales committees to push through a deal. They've been called troublemakers and agitators by those resisting a sale, but other residents welcome their experience in en bloc sales.

3. The Bochap Investors
They are landlords, not residents. They're bochap (couldn't care less) for good reason. When their unit goes en bloc, they're more than happy to cash out. If it doesn't, they can still collect rent. The real losers: their tenants, who have to find a new place to stay in a quickly rising market.

4. The Activists
They are articulate, passionate, and well-informed. They distribute fliers, write letters to their MPs, and read up on property laws. They are the en bloc rebels of today with only one cause: to stop a sale from going through.

5. The Fence Sitters
They are the ones who sit on the fence, not knowing which side to gun for. Some are not keen to sell but they don't want to hold up the sale either. Some just aren't sure if selling is a good idea while others want to be the last one to sign.


6. The Troublemakers
They are hoping to get more than the rest either because they think their units are superior or because their circumstances are more pathetic. Their actions vary from dragging their feet on the signing of the agreement to bringing their cases to the Strata Titles Board. But do not be fooled: they are definitely pro-sale.

7. The Happy Sellers
Some have toiled their whole life to buy that one apartment which will net them an en bloc sale. Some are investors. An en bloc sale would bring them more quick money than they could have dreamed of. Needless to say, they are the first to say yes.

Joyce Teo, Property Correspondent
Sat, Jun 16, 2007
The Straits Times

May 13, 2007

Pine Grove 2nd Attempt at Enbloc Sale

$550k extra lure for second en-bloc attempt

Barely two months after owners at Pine Grove estate rejected a collective sale, a fresh attempt has been made to lure them, with an extra $550,000 per unit.

In February, only about 50 per cent of the 660 owners in the sprawling ex-HUDC estate in Ulu Pandan voted for the sale, which would have earned them up to $1.2 million each.

This was well short of the 80 per cent requirement.

Now, according to a letter circulated to Pine Grove residents by one home owner, property experts have estimated that the largest unit should not be priced lower than $1.75 million.

And unlike the previous attempt, the new initiative promises to secure 80 per cent support from home owners first before even proceeding to form a sales committee.

Usually, a group of residents will form a sales committee on their own, appoint a property consultant and then try to secure support from at least 80 per cent of owners.

A sales committee has not been formed yet and the letter writer declined to be interviewed.

Mr Karamjit Singh, managing director of Credo Real Estate, said he was not surprised by the 40 per cent spike in the expected minimum price. ‘It’s not impossible. In the past six months, property prices have jumped quite substantially,’ he said.

The February attempt to sell en bloc had met with resistance because many owners feared the hot property market would force them to downgrade to less spacious flats.

At around 1,750 sq ft, most units at the 99-year leasehold development are big by today’s standards.
Project manager K.K. Pang, 54, voted against the last attempted collective sale.

‘With the previous offer of $1.2 million, there was no way we could have bought a similarly spacious apartment in this area,’ he said.

The Sunday Times interviewed 12 home owners in Pine Grove and almost all said they would agree to the sale if offered $550,000 more. Many believe their units deserve the additional sum because of the size and the estate’s close proximity to the Dover MRT station and various other amenities.

However, property consultancy Knight Frank’s head of research, Mr Nicholas Mak, is sceptical that the second attempt will go through.

Said Mr Mak: ‘The weak response in the first round might have put off property consultants from getting involved in Pine Grove. Why put in so much effort and resources into a lame duck?’

He also warned that some collective sale initiatives are not genuine, but rather a ploy by some home owners to drive up the value of their unit.

DTZ Debenham Tie Leung, the firm engaged to handle the first collective sale, said it is not involved in the fresh initiative, but did not rule out the possibility of getting involved again if invited.

‘I’d say the second time is always easier. Sometimes during the first round, owners are not ready to give up their units. By the second round, they’d have had sufficient time to reconsider,’ said Ms Tang Wei Leng, DTZ’s director for investment advisory services.

Some owners, however, insist on staying put despite the prospect of making a huge profit.

Financial assistant Louissa Ang, 24, moved into her Pine Grove flat two years ago and spent $60,000 on renovations.

Said Ms Ang: ‘This is my matrimonial home and I just moved in. I don’t want to start searching for another house so soon.’
Source : Sunday Times – 13 May 2007

Apr 18, 2007

Pine Grove owners reject big en bloc offer

Owners at Pine Grove estate have turned their backs on a big payout by rejecting a collective sale that could have given each of them up to $1.2 million.Despite prospects of making a large profit, many owners feared the hot property market would force them to downgrade from spacious flats to over-priced shoeboxes.

This sentiment is increasingly shared by owners of other estates considering en-bloc sales. And this has apparently slowed the process at Farrer Court and led to the upward revision of its reserve price.

At Pine Grove, only about 50 per cent of 660 owners in the sprawling ex-HUDC estate in Ulu Pandan voted for the sale in February – well short of the 80 per cent requirement.

The sales committee gave up on an option to extend the acceptance deadline by another month, effectively ending the process for now.

Retired university lecturer B.T. Liaw, who bought his 1,750 sq ft three-bedroom unit about 22 years ago for less than $300,000, would have pocketed a handsome profit.

But he told The Straits Times: ‘I don’t want to sell now. If you sell, you have to downgrade. Otherwise, you can’t get the same space in this area.’

Another owner, Ms Chan Chiu Ngor, agreed: ‘The risk is just too high.’

Most units at the 99-year leasehold Pine Grove are big by modern standards – 1,750 sq ft.

‘Very often, owners will compare their old units with new ones and then find that they cannot replace their units,’ said Ms Tang Wei Leng, the director for investment advisory services at DTZ Debenham Tie Leung, the firm engaged to handle the en-bloc sale.

The sale process sparked a lively and colourful inter-estate campaign.

An action group of about 10 owners led a campaign to defeat the proposal and sent several letters to owners on yellow paper outlining their objections.

For its part, the sales committee sent out almost two dozen letters – on green paper.

‘At one point, we received letters from different parties almost every day,’ said one owner who declined to be named.

If the Pine Grove sale had gone ahead, it would have been among the largest residential collective sales here.

The reserve price was revised twice, from $600 million to $650 million early this year. At $650 million, the owners would have reaped between $811,000 and $1.06 million each, depending on the size of their units.

But there were not enough takers at that price, and some owners upped the ante by demanding $1.2 million.

Units were selling for about $700,000 a year ago.

With the Feb 18 signing deadline looming, the sales committee decided to test the response based on the $1.2 million price level.

Ms Tang said her firm was prepared to market the estate at a higher price if it got the 80 per cent acceptance.

‘We thought the magic number was $1 million,’ said an owner keen to sell.

‘But when we asked if people would agree to sell if they got $1.2 million, the response was pathetic…There were less than 10 replies.’

Residents like the spacious estate for its convenient location near an MRT station, shops, churches and schools.

‘It’s not just a flat, it’s a home. It holds a lot of memories,’ said owner Tong Yoke Tho, a public relations consultant.

Ms Tang said: ‘The owners are not ready. Many of them are sitting on the fence.

‘It’s a timing issue. The market is moving so fast that units in their area have risen a lot.’
Straits Times – 18 Apr 2007

Jan 16, 2007

Minton Rise Sold for a Song

Kheng Leong bags Minton Rise

KHENG Leong, a privately owned property group controlled by the family of banker Wee Cho Yaw, has bought a privatised HUDC estate in Hougang for $209 million. The company inked a deal over the weekend to buy Minton Rise in a collective sale, according to sources.

BT understands that Kheng Leong may team up with listed construction and property group Low Keng Huat in some way. But sources could not say for sure whether this would involve Low Keng Huat merely handling the construction of the project or taking an equity stake in the redevelopment as well.

Minton Rise has 342 apartments in total. Owners will receive about $611,000 on average. The deal will be subject to approval from the Strata Titles Board.

The $209 million that Kheng Leong has agreed to pay is the reserve price. NRA Real Estate brokered the sale. The unit land price works out to about $236 psf of potential gross floor area, inclusive of an estimated $84 million development charge and a $19.5 million sum (estimated last year but not confirmed by the authorities) for upgrading the site’s lease from a then remaining term of 79 years to a fresh 99-year term.

The 472,378.5 sq ft site is zoned for residential use with a 2.8 plot ratio (ratio of potential gross floor area land area), which could mean a new condo with about 1,100 units averaging 1,200 sq ft.

Separately, on West Coast Road, the owners of the freehold Regent Garden are putting their homes up for collective sale. The indicative price is about $34 million or $375 psf of potential gross floor area, including development charges estimated at about $5.8 million. Colliers International is marketing the property through an expression of interest that closes on Feb 13.

Source : Business Times – 16 Jan 2007

Jul 19, 2006

STB Approves Sale of Amberville



Green light for Amberville sale

July 20, 2007 THE Strata Titles Board (STB) yesterday gave the order for sale of Amberville in the Katong area.

This marks the first collective sale of a privatised HUDC estate to be approved by STB, which has to give its nod for all en bloc sales that do not have owners’ unanimous consent. Rodyk & 

Davidson represented the majority owners/sellers of Amberville. The estate comprises 168 units, and owners of eight units had objected to the collective sale to Far East Organization for $183 million.

The deal, announced in January, works out to a higher-than-expected unit land price of $396 per square foot per plot ratio, inclusive of two payments Far East will have to make to the state – an estimated development charge of $35.2 million and a further payment of $23.8 million to top up the site’s lease from the remaining 71 years to the original 99 years.

Since Amberville, the only other privatised HUDC estate to be sold is Waterfront View facing the Bedok Reservoir. It has been sold to a joint venture between Far East and Frasers Centrepoint, although this will be subject to STB’s approval.

The collective sale of Gillman Heights in the Depot/Alexandra roads location is being launched today.

Other privatised HUDC estates where collective sales are being worked on at various stages include Minton Rise, Farrer Court, Pine Grove, Laguna Park, Lakeview and Tampines Court, say property agents.
Source : Business Times – 19 Jul 2006