Verdun House En Bloc Sold To James Koh of Fragrance Group
This Marks the 6th En Bloc Site Sold in 2022 and Golden Mile Complex follows Up…
Fragrance Group’s chief executive James Koh won the tender bids for the Verdun House collective site as he emerged as the top bidder.
The amount he acquired for the 6 Verdun Road freehold site is around S$55.1 million, according to Delasa, a property consultant and investment sales.
Apartment owners would earn between S$2.1 million and S$2.8 million at this sale price, while retail owners will receive between S$5.7 million and S$7.5 million.
The owners of 15 of the 16 strata-titled units have agreed to the sale acquisition, which is subject to Strata Titles Board approval.
Delasa earlier stated that they were looking for S$55 million for the en bloc sale which was relaunched on March 23 this year.
It was previously put up for sale in March 2018, with a target price of S$60 million.
On the prospective commercial gross floor space of 30,727 square feet, the ultimate transaction price of S$55.1 million equates to S$1,793 per square foot (sq ft).
The commercial building, which was built in the 1980s, now has four stores and cafes on the ground level and 12 flats on the higher levels.
With a plot ratio of 4.2, the freehold property has a land size of 7,300 sq ft and has been marked for commercial use under the URA 2019 Master Plan.
According to Delasa, there will be no development fee if the property is redeveloped to its potential gross plot ratio.
The marketing campaign for Verdun House, according to Delasa CEO Karamjit Singh, requires a “differentiated strategy” from most usual en bloc sales, which are often sold to property developers for their immediate redevelopment possibilities.
“While Verdun House freehold site could be redeveloped, it offered better prospects as a value-add proposition, with the investor sprucing up the building before refreshing the tenancies and income.”
He added that the majority of interest came from long-term local property investors who are familiar with the area.
Golden Mile Complex Might Be Sold for S$700 million
Excitements has now gathered around at the Golden Mile Complex with more than 80% of the owners have agreed to sell the historic Beach Road complex for $700 million.
This was after last month, a consortium led by Perennial Holdings and Far East Organizaton made an offer to the owners.
Edmund Tie & Company, the appointed marketing agent, claimed in a letter to owners last week that the collective sale had received “overwhelming support,” with more than 80% of owners providing their approval in both strata area and share value within “a record time of 15 days.”
The collective sale committee (CSC) has until May 9 to execute the option under the conditional agreement.
It stated that after the conditional agreement is executed, an owners’ meeting would be conducted as soon as possible to discuss the indicative sale timeline and next actions.
The signatures will be verified by lawyers, who will take roughly a week to finish, according to the letter.
Golden Mile Complex launched their collective sale at S$800 million this year and tender closed on February 28.
Verdun House En Bloc All Details
