Tulip Garden priced at $650m

Freehold condominium project, Tulip Garden, is up for collective sale with a minimum price tag of about $1,250 psf ppr.

According to DBS, Tulip Garden is a freehold condominium project along Farrer Rd and it is zoned for residential use with a current plot ratio of 1.6425x. This is higher than the allowable plot ratio of 1.6. Inclusive of an additional 10 per cent balcony GFA, the new development with a GFA of 557,404sf can house 400 apartments with an average size of 1,325sf.

DBS said that the asking land price looks optimistic. Based on $1250psf of land cost, we estimate breakeven cost to be around $1850-1950psf of saleable area and selling price would likely have to be in the $2100-2200psf, assuming a 10-15% development margin. This is higher than the recently launched 99-year leasehold d'Leedon, which units were sold at an average of $1680psf.