En bloc sale of Katong Park Towers launched

The reserve price is $288m.

Katong Park Towers at 114A Arthur Road will be sold en bloc with a reserve price of $288m, Cushman & Wakefield (C&W) said.

According to a press release, C&W earned the 80% consensus by share value and strata area for the tender launch.

The towers are located 200 metres from the future Katong Park MRT Station, which is slated for completion in 2023. The property is a prime 99-year leasehold residential site comprising a land area of 13,076.9 sqm.

According to Singapore’s 2014 Master Plan, the site is zoned residential with a plot ratio of 2.1 and a maximum building height of up to 24 storeys. Subject to approval from the relevant authorities, the site can potentially yield about 388 apartment units based on an average size of 70 sqm per unit.

C&W director of capital markets Christina Sim said the reserve price of $288m comprises a minimal development charge of about $5.6m for the additional 10% bonus balcony and a lease upgrading premium of $51m, resulting in a land rate of $1,165 psf ppr.

The tender will close on 15 March 2018 at 3 p.m.