Disclaimer






"I am a BLOGGER NOT an expert. This is a BLOG not a 'go-to' website for official information. I represent no one's view save my own. I have neither legal nor financial training, nor do I have anything to do with the real estate industry. My understanding of the Collective Sale Process is from a layman's position only. My calculations, computations and tables are homespun and may contain errors. Please note that nothing in this blog constitutes any legal or financial advice to anyone reading it. You should refer to your lawyer, CSC or financial adviser for expert advice before making any decision. This disclaimer is applicable to every post and comment on the blog. Read at your own risk."
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There is one thing worse than an Enbloc ----- and that is an Enbloc done badly. Since the majority have the necessary mandate to sell, then they owe it to all SPs to make a success of it. Minority SPs can only watch and wait, if they sell then lets pray it's at a price we can move on with, if they don't sell, then we are happy to stay for a few more years.

THE MINTON//Minton rise

 SOLD: $236 psf ppr

NEW DEVELOPMENT: $839 psf average
(as of Dec 2010)

See Developers Windfall


MINTON RISE AND FALL and RISE AGAIN
The 'wise' Sale committee and majority sold ex-HUDC Minton for a song in 2007; the lowest en bloc price ever.....
See sad blog here
.

Kheng Leong bags Minton Rise

KHENG Leong, a privately owned property group controlled by the family of banker Wee Cho Yaw, has bought a privatised HUDC estate in Hougang for $209 million. The company inked a deal over the weekend to buy Minton Rise in a collective sale, according to sources.
BT understands that Kheng Leong may team up with listed construction and property group Low Keng Huat in some way. But sources could not say for sure whether this would involve Low Keng Huat merely handling the construction of the project or taking an equity stake in the redevelopment as well.
Minton Rise has 342 apartments in total. Owners will receive about $611,000 on average. The deal will be subject to approval from the Strata Titles Board.
The $209 million that Kheng Leong has agreed to pay is the reserve price. NRA Real Estate brokered the sale. The unit land price works out to about $236 psf of potential gross floor area, inclusive of an estimated $84 million development charge and a $19.5 million sum (estimated last year but not confirmed by the authorities) for upgrading the site’s lease from a then remaining term of 79 years to a fresh 99-year term.
The 472,378.5 sq ft site is zoned for residential use with a 2.8 plot ratio (ratio of potential gross floor area land area), which could mean a new condo with about 1,100 units averaging 1,200 sq ft.
Separately, on West Coast Road, the owners of the freehold Regent Garden are putting their homes up for collective sale. The indicative price is about $34 million or $375 psf of potential gross floor area, including development charges estimated at about $5.8 million. Colliers International is marketing the property through an expression of interest that closes on Feb 13.
Source : Business Times – 16 Jan 2007


And out of the ashes of that diabolical en bloc rises -

The Minton @ Hougang

Location : Hougang Street 11, Lorong Ah Soo (District 19)
Tenure : 99 years leasehold
Expected Completion : 2014
Site Area : 472,378 sqft
Total Units : 1144
Unit Types :
1 bedroom ~ 550 sqft (121 units)
2 bedroom ~ 980 sqft (337 units)
2 bedroom + study~ 1100 sqft (158 units)
Dual Key (2 bed+1 bed)~  1400sqft (44 units)
3 bedroom ~ 1200sqft (204 units)
3 bedroom (premium) ~ 1300 sqft (119 units)
3 bedroom + study ~ 1500 sqft (56 units)
4 bedroom ~ 1700sqft (84 units)
Penthouse ~ 2000-3500 sqft (24 units)

I'm looking for prices psf  and total strata area for sale to do a comparison; (the indicative pricing for this condo is 880 to 1000psf. The range for 1, 2 Br units would be closer to 950 - 1100psf).......... but a quick estimation says they paid $209m for the site and are now making something like $1 billion.

The original owners are probably back in HDB.
Talk about not knowing the true value of your estate! 
Talk about unleashing the value for the developer!

Buyers snap up condo units despite stock market jitters


In absolute terms, the prices ranged from $480,000 to $690,000 for the one-bedroom units, $750,000 to $990,000 for the two-bedroom units, $950,000 to $1.32 million for the three-bedroom units, and $1.3 million to $1.65 million for the four-bedroom units.

180 units sold at The Minton

Property developer Kheng Leong has sold 180 units in The Minton condo project in Hougang over the weekend.
The units sold were part of the 300 units released in the 1,145-unit project at Lorong Ah Soo/Hougang Street 11. It has an average selling price of about $850 psf.
Property agents marketing The Minton project said that the sales result was below the expected output, which was patterned in the property market peak in March and April. The peak was prior to the growing eurozone debt crisis and the Singapore government’s announcement early this month that it will release a bumper land sale programme for the second half of 2010 to meet the demand in the residential property market.
A new project release such as The Minton would have already sold about 300 units in its first weekend, and with prices at about five percent to eight percent higher, said Joseph Tan, executive director of CB Richard Ellis.
Peter Ow, managing director (residential services) for Knight Frank, also noted that the 99-year leasehold project could have sold 300 units in its initial weekend if it had been released in the market two months ago.
“The government land sales announcement has definitely had an impact. When we talk to (potential) buyers, they’re now taking a bit longer to decide. They’re worried that with the new supply coming up, prices might fall.”
The most popular units at The Minton’s holiday-extended weekend preview were the one- and two-room units.
Luk Kwok Wing, general manager (property) of Kheng Leong, reckoned that prices of one-room units sold are ranging from $480,000 per unit to about $590,000 per unit. The two-room units, on the other hand, were priced at around $750,000 to $870,000 per unit. The project also comprises three- to four-room units, penthouses and dual-key units.
Buyers who snapped up the project were mostly young Singaporeans, including families. Overall, buyers had HDB addresses, in areas like Serangoon, Tampines and Hougang.
Mr. Luk added that buyers were generally attracted to the project’s lush landscaping and generous facilities situated in a large site area of nearly half a million sq ft.
The Minton condo will have a 20-metre heated pool, a 50-metre lap pool, a tennis court, an air-conditioned badminton hall, which doubles as a function room and a treehouse playground. It will also feature a sky-terrace, a big library and spas/gyms. Its grand clubhouse will accommodate activities such as billiards, table soccer, karaoke and yoga.
The Minton condo project is being developed by Kheng Leong, a privately owned property developer controlled by the Wee Cho Yaw family. It is situated on the former Minton Rise site, which the company purchased through a collective sale in 2007.
Source : PropertyGuru – 31 May 2010

9 comments:

  1. Anonymous21 May, 2010

    they would have got their money late 2007. Let's hope some of them waited and benefited from the market downturn after the lehman brothers fiasco. It's all about timing.

    ReplyDelete
  2. It this case, after costs & expenses of the sale they would have had only $560-$580k. That's not much money even in a downturn! HDB only.

    It's not just a question of timing - it is a question of having an informed group of residents and intelligent sale committee members working in concert.

    ReplyDelete
  3. Anonymous21 May, 2010

    do you know the reserve price when government sell their land? It is usually set very low and it is left to the bidders to outbid each other...

    I am not recommending to set a low reserve price but rather to point out that there are factors other than the competency of the sc.

    Resident need to do their own homework before they sign on the dotted line.

    ReplyDelete
  4. That's what I said .. 'informed' owners; meaning clued-in not clueless, knowledgeable and rational.

    Setting the RP low is like digging your own grave and jumping in. Remember the tender is a mere formality, a charade - it's the sneaky private treaty with a company in the wings that's the real deal and since the RP is an open secret, that's all you are going to get!
    Didn't you learn anything in the TC debacle?

    ReplyDelete
  5. Anonymous21 May, 2010

    who sign on the dotted line of ech csa? the owner.

    One has to take responsibility for their decision.

    selling ones home is no small matter. sign only when you are comfortable with the price.

    ReplyDelete
  6. Anonymous22 May, 2010

    Let me share ny 2cts here.

    I am familiar with Mintonrise when it went enbloc. Their SC and MC worked very close together unlike TC here.At that time the market condition was not favourable, they struggled to find a buyer, the deal was done sometime before the market started to move up and the rest is history.

    Before SPs of Mintonrise inked the deal, I recalled the lowest individual unit's price was $330k for a walk-up. The mans. was doing abt 370k. When the deal was done there was celebrations.....Now I know many of them are staying in 5rm HDB and no cash left.

    My comment is,- No, the Mintonrise did not undersell at that time. It was unlucky that the tide went against them bcos of the long gestation period. What if the market continued to be depressed? Many would then used their 610k to buy nearby 1300-1400sf Kovan Melody, Chiltern etc.

    BLK131

    ReplyDelete
  7. Anonymous26 May, 2010

    right, TIMING is very important.

    ReplyDelete
  8. If this is your second or third residential property investment, timing the market makes cents. But it may be other people's only home. Bear this in mind every time you pray to your god (and if you don't pray, then just keep it at the back of your mind), eh?

    But if this is the roof over your family, you wanna be part of this nation of flippers, trying to time the market???

    Makes uncommon common cents, Daddy and Mummy?

    ReplyDelete
  9. I viewed the Minton condo and believe the maintenance cost will rise!
    Some jokingly said you mean you want to invest in the Bad-Minton? perhaps no, as it kinda isolated too.

    ReplyDelete