SINGAPORE – The owners of Cascadale condominium in Changi are making a second attempt at a collective sale at the same reserve price of $270 million, market agent JLL said on Tuesday (Oct 1).
The 25-year-old freehold property in District 16 was first launched for collective sale in May this year.
Each owner stands to receive between $1.4 million and $4 million.
The reserve price translates to a land rate of about $1,065 per sq ft per plot ratio (psf ppr), after factoring an estimated development charge of about $15.5 million and before any bonus gross floor area, JLL said.
The real estate services firm previously estimated the development charge to be $17 million when it announced the property’s first collective sale attempt in May. That translated to a higher land rate of $1,071 psf ppr.
The condominium sits on a 167,528 sq ft freehold site zoned “residential” under the 2014 Master Plan.
With a gross plot ratio of 1.6, the site has an allowable building height of up to 12 storeys, or 45m above mean sea level, subject to approval from the authorities.
The 134-unit Cascadale may be redeveloped into a condominium project with up to 292 units with an average size of 85 sq m per apartment, subject to approval and the payment of development charges.
JLL senior consultant Karamjit Singh said: “Relatively strong sales achieved by new suburban projects in the second and third quarters of this year point to a resilient market for affordable homes.
“Some projects have been consistently selling between 50 and 100 units every month, well past their initial launch. The new project on Cascadale’s site fits such a profile nicely, where demand is expected to remain strong.”
The property’s proximity to the airport and a business park also makes the property attractive for redevelopment into serviced residences, subject to approval from the authorities, according to JLL.
It is positioned within Changi City, Singapore’s upcoming aviation development hub. According to the draft 2019 Master Plan, there are plans to transform the Changi East area into an innovative lifestyle and economic cluster, centred on aviation-related business and industries.
“From a private housing supply perspective, there is no new yet-to-be-launched condominium project in District 16 in the pipeline. With the estimated 30,000 professionals working in Changi Business Park and as the plans for Changi City take form, the demand and values for homes there are expected to rise by 10 per cent to 20 per cent over the next three to five years,” Mr Singh said.
Situated along Upper Changi Road East, Cascadale is about 350m from Upper Changi MRT station, two stations from Changi Airport and the Jewel.
It is also a few minutes’ walk to the Singapore University of Technology & Design, Changi City Point, Changi Business Park, and Singapore Expo.
Last month, the Land Transport Authority announced plans to improve connectivity in the Changi region to complement the new Cross Island MRT Line and serve the airport’s Terminal 5. To be completed by 2029, the massive undertaking includes widening and realigning existing roads and expressways, and a new 3.5km cycling path along Xilin Avenue and Tanah Merah Coast Road.
The tender for Cascadale closes on Nov 6 at 2.30pm.
This version of articles first appeared at The Straits Time, Business.