Collective sale fever hots up as privatised HUDC estate Serangoon Ville sells for $499m

Serangoon Ville, a former HUDC development, comprises 244 units of apartments and maisonettes across seven blocks. It has been sold to a consortium, Oxley Serangoon, for $499 million.
Serangoon Ville, a former HUDC development, comprises 244 units of apartments and maisonettes across seven blocks. It has been sold to a consortium, Oxley Serangoon, for $499 million.ST PHOTO: DON WONG

SINGAPORE - Privatised HUDC estate Serangoon Ville in Serangoon North Avenue 1 has been sold to a consortium, Oxley Serangoon, for $499 million, raising the temperature of the collective sale fever here.

The price is well above the $400 million to $430 million the owner had been expecting when the property was put on the market last month.

The sale marks the sixth successful collective-sale deal so far this year - already doubling the number of transactions for all of 2016.

Oxley Serangoon is a joint venture company comprising Unique Invesco (UIPL), Oxley Holdings, Lian Beng (Serangoon), and Apricot Capital.

UIPL is a 37.5 per cent-owned associated company of Kim Seng Heng Realty, a wholly owned subsidiary company of KSH Holdings.

The buyer will have to pay an additional $195 million in estimated charges for intensifying the use of land and to top up the lease to a fresh 99 years, KSH Holdings said in a stock exchange filing on Wednesday (Jul 26).

Serangoon Ville comprises 244 units of apartments and maisonettes across seven blocks.

The development, which sits on a 296,913 sq ft plot, was privatised in 2014 and has 69 years of its lease left.

The latest transaction takes the combined collective sale value from the six deals to about $2.1 billion.

The five other collective sale transactions this year were: One Tree Hill Gardens, mixed development Goh & Goh Building, the former HUDC estates Rio Casa and Eunosville, as well as The Albracca in Meyer Road.

They trumped the three that were sold en bloc last year - Shunfu Ville, Harbour View Gardens and Raintree Gardens - which had a total value of $1 billion.