-- CBRE, as the exclusive marketing agent, is presenting an opportunity to acquire Summer Green and Kingsley Mansion, an adjoining pair of freehold residential redevelopment sites located at 11 and 27 Boon Teck Road.
Summer Green is a 13-storey residential development with 24 apartment units and has a land area of approximately 14,646 square feet, while Kingsley Mansion is a 10-storey residential development with 18 apartment units and has a land area of approximately 14,350 square feet. Together, they form a regular rectangular-shaped plot with a prominent frontage spanning approximately 60 metres along Boon Teck Road and has a depth of approximately 45 metres.
Under the URA Master Plan 2019, both sites are zoned for “Residential” use, with an allowable gross plot ratio of 2.8 and a building height control of up to 36 storeys. If redeveloped together, the combined site will be able to accommodate up to 75 units, assuming an average unit size of 100 square metres.
The guide prices for Summer Green and Kingsley Mansion are S$53 million and S$52 million respectively. As a combined redevelopment site, this works out to a land rate of approximately S$1,260 per square foot per plot ratio (psf ppr), inclusive of 7% bonus gross floor area for balconies and a total LBC payable of approximately S$4.45 million.
Mr Michael Tay (郑兆能), Head of Capital Markets, Singapore at CBRE says, “Whilst we had offered Kingsley Mansion in previous tenders and there was interest from developers, the option to purchase both Summer Green and Kingsley Mansion together presents greater flexibility in terms of redevelopment options. This should attract buying interest from a wider group of potential buyers. The combined larger site presents greater economies of scale and opportunity to design a brand new high-rise residential development with better efficiency and more facilities.”
Summer Green and Kingsley Mansion are located within District 12 in Balestier – an established and multifaceted precinct that is home to several private residential apartments, retail malls, hotels, and industrial buildings. The precinct’s main thoroughfare, Balestier Road, is lined with heritage shophouses well-known for diverse commercial offerings including famous eateries, specialised retail trades, lifestyle amenities, and entertainment venues.
Tucked just off the main thoroughfare, these sites offer serenity while benefitting from direct accessibility to a multitude of daily necessities. With low-rise buildings on both the front and rear of the site, the units in the new development could potentially offer city views and a sense of spaciousness. Notable landmarks including Zhongshan Mall, Balestier Market and the recently revamped Shaw Plaza are all located within minutes’ walk from the subject sites.
The subject properties’ location is further enhanced by its proximity to Toa Payoh and Novena, two established commercial nodes that offer an expansive range of amenities and retail facilities. Another appeal of this location is its accessibility to a host of public and private medical facilities. Health City Novena, located only a short drive away, is Singapore’s largest integrated healthcare complex that offers a full range of holistic care experiences. Slated to be fully completed in 2030, it will add over six million square feet of healthcare facilities and services, on top of the existing Mount Elizabeth Novena Hospital, Tan Tock Seng Hospital, and Lee Kong Chian School of Medicine. Also nearby is the established Thomson Medical Centre.
In addition, there are many reputable educational institutions nearby. Primary schools within one-kilometre include CHIJ Primary (Toa Payoh) and Hong Wen School. Other popular schools nearby include Pei Chun Public School, St. Andrew’s Junior School, St. Joseph’s Institution Junior, Anglo-Chinese School (Primary), and Catholic Junior College.
Mr Tay concludes, “Despite the introduction of several additional cooling measures over the past couple of years, resilient demand has underpinned the strength of Singapore’s residential sector. Especially in the Rest of Central Region (RCR) segment where Summer Green and Kingsley Mansion are located, take-up at recent new launches including Grand Dunman, Pinetree Hill, The Reserve Residences and Tembusu Grand remains robust, demonstrating the attractiveness of well-located and realistically priced city-fringe projects. Furthermore, unsold inventory of private residential units is the tightest in the RCR and units in new RCR projects that could potentially be launched over the rest of 2023 accounts for less than 10% of the total projected pipeline. This outlook bodes well for developers looking to undertake a new freehold residential project in the appealing city-fringe precinct of Balestier, where there are no new residential projects in the pipeline.”
The sale of both Summer Green and Kingsley Mansion will be conducted through a public tender exercise that closes on Wednesday, 22 November 2023, at 3pm. Interested parties are invited to submit separate bids for either or both sites.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2022 revenue). The company has approximately 115,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
