[Question]

Guys, any idea on this rumor? I heard that Aspen Height in River Valley will have a potential of En Bloc?

Thanks

Anyone heard anyting about this EN BLOC possibility?

Anyone heard anyting about this EN BLOC possibility?

let me first say I am not an enbloc expert.

info from singaporeexpats site:

No. of Units: 606
Year of Completion: 1999
Unit sizes:
2 bedrooms: 82 – 105 sq m
3 bedrooms: 122 – 142 sq m
4 bedrooms: 146 – 149 sq m
Penthouse: 250 – 292 sq m

assuming if all 606 units are 100sq meter for simplicity.
total amount need to come up with is 606units x 100sq m x 10.7639sq ft x S$1000 = S$650 million.
Not many developers can cough up this money.
So unlikely big development like Mandarin Gardens, Waterside will be enbloc.

Unless plot ratio shoot up a lot because of new RV MRT station.

you can check out www.onemap.sg, URA for more info.

For a en bloc to go through, in addtion to the most important factor : Luck, it will take the following:
1. Willing seller, in this case, need around 490 owners who want to sell, it is going to be a tough task to collect these signatures
2. Selling price: the en bloc price in terms of psf must be higher than the market price, other wise no point to go en bloc, individual owners can sell any time without the enbloc hassles. for aspen heights, last transacted at about 1330, now asking between 1400 to 1500 psf. if add 25% of premium to the last transacted price, the enbloc price has to be around 1700psf or more. The price can be higher if there are un-used plot ratio but DC to be paid. The total quantum for Aspen Heights to enbloc will be around S$1.2B or even higher
3. Willing buyer: land at most can mortgage at 50% LTV, potential buyers must have at least S$600m cash to even submit a bid. just go check out all the listed developers' BS to find out who have the cash
My take: unlikely

doubt so. the GFA there is more or less build up.

For a en bloc to go through, in addtion to the most important factor : Luck, it will take the following:
1. Willing seller, in this case, need around 490 owners who want to sell, it is going to be a tough task to collect these signatures
2. Selling price: the en bloc price in terms of psf must be higher than the market price, other wise no point to go en bloc, individual owners can sell any time without the enbloc hassles. for aspen heights, last transacted at about 1330, now asking between 1400 to 1500 psf. if add 25% of premium to the last transacted price, the enbloc price has to be around 1700psf or more. The price can be higher if there are un-used plot ratio but DC to be paid. The total quantum for Aspen Heights to enbloc will be around S$1.2B or even higher
3. Willing buyer: land at most can mortgage at 50% LTV, potential buyers must have at least S$600m cash to even submit a bid. just go check out all the listed developers' BS to find out who have the cash
My take: unlikely

agreed. $1 bn for land only. Construction costs not counted yet. On top of the uncertainity of enbloc failure. Long approval process also add risk during uncertain mkt directions (unlike 06-07)

Look at South Bouna Vista site. $1bn total devt cost. Only 2 bidders.

I think SG developers rather bet the $1bn on PRC prop.

Thanks a lot for input guys