Owners of Thomson View want to reduce the reserve price to S$808 million, a 12% decre

Owners of Thomson View want to reduce the reserve price to S$808 million, a 12% decrease

This follows the September closing of the condo's collective selling tender without any offers.

October 10, 2024

CONDOsingapore.com

The condominium's owners are seeking to reduce the reserve price from S$918 million to S$808 million as they enter into private treaty discussions, despite Thomson View's collective sale tender closing without any offers on September 6.

According to marketing agent Edmund Tie, around 60% of owners have agreed to the reserve price, which is 12% less.

After accounting for the land improvement fee and the lease upgrading premium to extend the lease to a new 99-year tenure, the land rent at S$808 million would be about S$1,176 per square foot per plot ratio (psf ppr).

The land rate, with an 8% bonus floor space, would be S$1,141 per square foot.

Edmund Tie said on Wednesday, October 9, that the revised reserve price of S$808 million would only be implemented if over 80% of owners by stratum area and share value have signed the supplementary agreement. Based on a reserve price of S$918 million, the current land cost is still S$1,275 psf ppr.

The Thomson View site, which has a plot ratio of 2.1 and a land area of 50,197 square metres (sq m), is classified for "residential" use. This may result in a total gross floor space of 112,792 sq m, or over 1.2 million sq ft.

The development's current lease began in 1975. It has a store unit, 200 flats, and 54 townhouses.

Up to 1,240 more residential units may be included in the planned reconstruction, assuming an average apartment size of 85 square metres. Refer to the *Amendment note.

Swee Shou Fern, head of investment advice at Edmund Tie, said that no pre-application feasibility assessment is necessary.