Competitively priced freehold site within 5-minutes’ walk to world-class retail malls and premier healthcare facilities; near Orchard and Somerset MRT stations and international schools
Singapore, 16 May 2018 – Colliers International (NASDAQ and TSX: CIGI), a global leader in commercial real estate services, is pleased to announce that freehold development Cairnhill Astoria in Cairnhill Rise will be launched for collective sale for SGD196 million via public tender on 17 May 2018.
The owners’ reserve price reflects a land rate of SGD1,964 per square foot per plot ratio (psf ppr), inclusive of an estimated development charge of SGD16.34 million. This is comparable to the land rate of SGD1,914 psf ppr at Cairnhill Heights which was sold in April 2018, and more attractive than the SGD2,311 psf ppr at Cairnhill Mansions which was transacted in February this year.
Sitting on a 3,587.5-square metre (approximately 38,615 sq ft) site in prime District 09, Cairnhill Astoria – built in 1983 - comprises 36 apartments across a high-rise residential tower and a low-rise block. Under the Master Plan 2014, the land parcel is zoned ‘Residential’ and has a Gross Plot Ratio of 2.8.
Ms. Tang Wei Leng (邓慧玲), Managing Director at Colliers International, said, “It is clear that collective sale interest among developers have shifted from the suburban to prime sites. From January 01 to May 15, 2018, there were 13 successful collective sale deals valued at over SGD3.85 billion in Districts 09 and 10, up from five transactions worth SGD870 million for the whole of 2017. We believe centrally located freehold sites such as Cairnhill Astoria will be sought-after, as it has the potential to be redeveloped into a chic and luxurious offering that will appeal to discerning home buyers today.”
The future development on the site will offer the best of both worlds – a coveted address in the heart of the city with convenient access to malls dealing in all manner of goods and services along swanky Orchard Road, as well as the exclusivity of being in a high-end private residential enclave. Amenities such as Paragon mall and Mount Elizabeth Hospital and Medical Centre are mere 5-minutes’ stroll away.
The Cairnhill Astoria site is well-served by the Somerset and Orchard Road MRT stations and enjoys good connectivity to the rest of Singapore via the Central Expressway. It is also located near several popular schools, including Anglo Chinese School (Junior), St. Margaret’s Primary School, ISS International School, Chatsworth International School (Orchard Campus), and Lasalle College of Arts (Winstedt Campus).
Ms. Tang added, “We think the high-end homes segment has turned a corner following a price slump since June 2013. Prices of luxury homes in the Core Central Region continued to climb in Q1 2018, rising by 5.5% over Q4 2017 according to latest figures released by the Urban Redevelopment Authority. Cairnhill Astoria will be a prized plot in a developer’s land bank, providing an opportunity to ride the wave of growth.”
Depending of the size of the property – ranging from 700 sq ft to 6,060 sq ft – each owner could potentially receive between SGD2.275 million and SGD14.261 million upon successful completion of the transaction.
Mr. Paul Kwek (郭鹏飞), Vice-Chairman of the Cairnhill Astoria Collective Sale Committee, said, “With the collective sale cycle in full swing and brighter outlook for the upscale residential sector, the owners feel that it is an opportune time to put the development on the market. We believe the market conditions have improved and are hopeful of achieving a positive outcome with the advice and expertise of Colliers International.”
Subject to relevant approvals from the authorities, the site can be redeveloped to offer about 200 apartments, based on an average unit size of 540 sq ft.
The collective sale tender for Cairnhill Astoria will close at 3pm on 27 June 2018.