Thomson View up for collective sale again with S$950m reserve price

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The Business Times – 

THOMSON View Condominium has been put up for collective sale again, with a reserve price of S$950 million.

The 99-year leasehold property will be the largest residential site by price quantum to be launched for collective sale this year, said exclusive marketing agent OrangeTee Advisory in a statement on Monday (Nov 8).

The reserve price translates to a land rate of S$1,293 per square foot per plot ratio (psf ppr), after factoring in an additional 7 per cent of bonus gross floor area for private outdoor spaces, an estimated differential premium of S$296 million for intensification, and an upgrading premium of S$324 million for a fresh 99-year lease.

Units at Thomson View sold since 2019 have transacted at between S$939 psf to S$1,142 psf, according to data from the Urban Redevelopment Authority (URA) as at Nov 8.

The 34-year-old development occupies a land area of 50,197 square metres (sq m) and comprises 200 apartments, 54 townhouses and a shop unit.

Under the URA’s Master Plan 2019, the site is zoned for residential use with a gross plot ratio of 2.1, giving it a gross floor area of 105,413 sq m, which could yield up to 1,240 new units, subject to approval from the authorities.

The tender will open on Tuesday (Nov 9) and close at 3 pm on Jan 13, 2022.

Henry Toi, chairman of the collective sale committee, is “optimistic about a good outcome” after he noted better-than-expected tender results for the government land sale sites at nearby Ang Mo Kio Avenue 1 and Lentor Central.

Thomson View is located in District 20 with nearby amenities such as Thomson Plaza, Upper Thomson MRT station and nature parks, including MacRitchie Reservoir Park and Lower Peirce Reservoir Park.

Nearby schools include Ai Tong School, Catholic High School and CHIJ St. Nicholas Girls School.

Marcus Oh, managing director at OrangeTee Advisory, expects sites in the rest of central region that are within close proximity to transport nodes and amenities to continue to attract developers and home buyers.

“This sizeable five-hectare Thomson View plot is ideal for developers or consortiums looking to create a signature landmark project in the ever-popular District 20 locale,” he said.

The condominium was put up for collective sale in 2013 for S$590 million, but the deal was voided after the High Court found that former marketing agent HSR International Realtors had offered incentive payments to 4 owners to get them to sign the sale agreement.

In 2018, owners also failed in 4 attempts to launch another collective sale despite raising the reserve price to S$938 million, as it did not meet the requisite 80 per cent approval rate to kickstart a sale.

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