Elias Green Aim to Launch Their Collective Sale in 2025
In an ambitious move, the owners of Elias Green condominium in Pasir Ris are gearing up for a fresh attempt at a collective sale, targeting an impressive guide price of S$928 million.
This marks a significant increase of 19% from their previous S$780 million asking price in 2018.
As of late June, 80 percent of unit owners have consented to proceed with the collective sale, according to Alan Loh, chairman of the collective sale committee, who informed the media.
Assuming the plot ratio is successfully increased from 1.4 to 2.0, the land rate for Elias Green would translate to S$1,132 per square foot per plot ratio (psf ppr).
This adjustment could potentially enhance the maximum allowable gross floor area, significantly boosting the redevelopment potential of the site.
Current projections estimate that owners could receive between S$2 million and S$2.3 million for their units, which range from 1,367 to 1,668 square feet.
Strategic Location and Development Plans
Elias Green condo, a 99-year leasehold development, sits on a sprawling 516,877 square feet of land in District 18.
Completed in 1994, the condominium has about 66 years left on its lease.
Its prime location, enhanced by the upcoming MRT station in Tampines North, approximately 500 meters away, adds to its appeal.
The surrounding area has seen vibrant development, with neighboring projects boasting a plot ratio of 2.1, significantly outshining Elias Green’s current 1.4 plot ratio.
The collective sale committee, led by Chairman Alan Loh, plans to submit an Outline Application to the Urban Redevelopment Authority (URA) to increase the plot ratio and lift the height control for the en bloc site.
Owners have raised approximately S$100,000 to support this application. The committee has also engaged an architect and a traffic consultant to conduct a pre-application feasibility study.
The tender for Elias Green’s collective sale is expected to launch in January 2025, pending necessary permissions from the authorities.
ERA has been appointed as the exclusive marketing agent for the sale.
According to Alan Loh, “The locality has developed vibrantly with an upcoming MRT in Tampines North, which is about 500 meters away.
The neighboring projects with a plot ratio of 2.1 are also now towering above us.”
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Finding the Right Timing to Launch is Important
As Elias Green prepares for its collective sale in 2025, understanding the current market landscape is crucial for maximizing success.
The collective sale market in Singapore has been relatively subdued, with developers adopting a cautious approach in light of various economic and regulatory factors.
So far, 2024 has seen limited activity in the collective sale market, with only one major site successfully sold, Delfi Orchard.
This transaction highlights the challenges and hesitations faced by both sellers and developers.
The cautious sentiment is further underscored by recent developments such as Far East Shopping Centre, which failed to meet the 80% mandate required for its S$850 million offer.
New launch sales have also hit record low this year.
The increased Additional Buyer’s Stamp Duty (ABSD) has dampened demand from investors and foreign buyers, leading to a slower uptake of new residential projects.
This environment poses a challenge for collective sales, where developers weigh the risks of acquiring and redeveloping large sites against the uncertain demand for new units.
Strategic Monitoring
For the owners of Elias Green, monitoring the market conditions between now and March 2025 will be essential.
The collective sale committee, alongside their appointed marketing agent ERA, will need to stay attuned to shifts in buyer sentiment, regulatory changes, and economic trends.
This strategic vigilance will allow them to time their launch optimally, aligning with potential recoveries in the market.
The owners need to understand the importance of patience and strategic planning in the collective sale process.
The dynamic nature of the real estate market means that timing can significantly impact the success of a sale.
With careful observation and readiness to adapt, Elias Green can position itself favorably to attract the right developers and secure a successful collective sale.
While the current market presents challenges, it also offers opportunities for those who are prepared.
By understanding the landscape and timing their launch strategically, the owners of Elias Green stand a good chance of achieving their collective sale goals.