Billion Dollar En Bloc Sales That Made Their Owners Instant Millionaires
Mandarin Gardens condominium made headlines recently when residents raised the already astronomical en bloc asking price of S$2.48 billion to S$2.79 billion.
The new price sets the record for the highest ever residential en bloc asking price. The previous record was held by Pandan Valley valued at S$2.6 billion.
We have a look at 10 residential properties with en bloc asking prices of over a billion dollars and whether they have been successfully sold.
1. Mandarin Gardens
Asking price:Â S$2.79 billion
Each resident will receive: S$2.8 million
Status: 62% approval from residents. An 80% approval is required before the en bloc sale can proceed.
The 1,006-unit condominium along Siglap Road sprawls nearly 1 million square-feet — that’s roughly 16 football fields combined!
CEO at International Property Advisor Ku Swee Yong however expressed doubts about the en bloc’s success. He told Today Online that even if the committee gets a 80% approval for the en bloc sale, it is unlikely that developers would want to pick it up given its enormous price tag and a slowing market.
2. Pandan Valley
Asking price: S$2.6 billion
Each resident receives:Â S$4.2 million
Status: Awaiting a general meeting at the end of the year to decide how profits will be distributed, after which signatures for the required 80% approval will be sought.
Built in 1970s, the 623-unit Pandan Valley is one of the first condominiums to be built in Singapore. The broad-shouldered veteran of Clementi features large open spaces and unique cascading terrace.
Unfortunately, like Mandarin Gardens, analysts say that such “megasites” will be difficult to sell because of the risks involved when purchasing such a large estate, as well as the higher stamp duties that were put in place in July this year.
3. Braddell View
Asking price: $2.08 billion
Each resident receives: S$2 million
Status: 75% approval from residents.
Braddell View is the largest of the 18 Housing and Urban Development Company (HUDC) estates in Singapore. HUDC was set up in 1974 and constructed residential buildings for those who could not afford a private property but wanted something better than a public-housing flat. Like the earlier 2 estates, the sheer size of Braddell View scares developers and makes a successful en bloc sale difficult to achieve.
4. Pine Grove
Asking price: S$1.86 billion
Each resident receives: S$2 – 2.6 million
Status: 78% approval from residents, as last reported on 14 Oct.
The initial en bloc sale price was set at S$1.72 billion. However, certain residents felt that the price was too low and refused to give their signatures. Because the deadline for putting the estate up for sale was fast approaching, the committee decided to raise the price to the current S$1.86 billion to appease the residents and hopefully get enough signatures.
5. The Dairy Farm
Asking price: S$1.68 billion
Each resident receives: S$4 million (estimated)
Status: Waiting for a buyer, as last reported on 5 Sep.
Given the age of the estate — it was constructed in 1985 — many residents approved of the en bloc sale, saying it is good to sell it before repair and maintenance costs start to rise to unreasonable amounts.
6. Laguna Park
Asking price: S$1.48 billion
Each resident receives: S$2.6-5 million
Status: Tender ended 1 Nov, but unclear if there was a buyer.
This is the estate’s third attempt at an en bloc sale. The first 2 attempts were made in 2007 and 2010, but because of poor economic conditions failed to find a buyer. Perhaps this time with Jewel@Changi coming up and just a few minutes drive away from the estate, residents will have something to celebrate rather than lament.
7. Farrer Court (now d’Leedon)
Farrer Court Estate
Source
Asking price: S$1.3 billion
Each resident receives: S$2.2 million
Status: Bought by a consortium including CapitaLand and a US-based development company in 2007. Has since been redeveloped into d’Leedon condominium.
d’Leedon condominium
Source
8. Faber Garden
Asking price: S$1.18 billion
Each resident receives: S$4.38 – 6.75 million
Status: Tender ended 30 Oct, but unclear if there was a buyer.
The estate’s first sale attempt had failed in May this year. At the beginning of October, the estate decided to relaunch the sale, finding confidence in the fact that there are no “competing land supply around the vicinity”. The estate will have till March next year to launch another en bloc sale if the last tender was unsuccessful.
Featured image from Google Maps and View Port Studio.
