{"id":55849,"date":"2022-07-07T18:08:35","date_gmt":"2022-07-07T10:08:35","guid":{"rendered":"https:\/\/www.99.co\/singapore\/insider\/?p=55849"},"modified":"2022-07-12T21:13:22","modified_gmt":"2022-07-12T13:13:22","slug":"peoples-park-centre-second-en-bloc","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/insider\/peoples-park-centre-second-en-bloc\/","title":{"rendered":"People\u2019s Park Centre up for second en bloc with at S$1.8 billion"},"content":{"rendered":"
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It looks like en bloc sales are heating up again, as People’s Park Centre<\/a> goes on the market for a guide price of S$1.8 billion. <\/p>\n\n\n\n

This is its second attempt at a collective sale, with a 33.3% increase in the asking price. Its first attempt in 2019 was lodged at S$1.35 billion. <\/p>\n\n\n\n

Other big-ticket en blocs<\/strong><\/h2>\n\n\n\n

International Plaza made big waves when it attempted its second en bloc<\/a> in October 2021 at a reserve price of S$2.7 billion. The outcome of the sale remains unknown, but if successful, it would be the biggest sale Singapore has ever seen.  <\/p>\n\n\n\n

So far, Farrer Court holds the highest amount paid for a collective sale when it was sold to CapitaLand for S$1.34 billion back in 2007.<\/p>\n\n\n\n

People’s Park Centre<\/strong><\/h2>\n\n\n\n

Located along history-rich District 1 of Chinatown, People’s Park Centre sits on a 95,467 sqft plot of land with a gross floor area (GFA) of 821,017 sqft and a gross plot ratio (GPR) of 8.6. <\/p>\n\n\n

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Source: URA<\/figcaption><\/figure><\/div>\n\n\n

At a S$1.8 billion reserve price, this translates into S$2,260 per sqft per plot ratio, including the differential premium and the premium to refresh its 99-year lease land tenure. <\/p>\n\n\n\n

Zoned commercial under the Urban Redevelopment Authority (URA) Master Plan 2019, it is classified as a mixed-use development consisting of 120 residential units, 324 retail shops and 256 offices. <\/p>\n\n\n\n

Commercial zoning also means property developers can build a mixed-use development without constraints from Additional Buyer\u2019s Stamp Duty<\/a> (ABSD). <\/p>\n\n\n\n

According to ERA, the collective sale has garnered 84% of the owner’s signatures by strata area and 80% by share value. <\/p>\n\n\n\n

Iconic status <\/strong><\/h2>\n\n\n\n

When the Singapore government first launched the Government Land Sales (GLS) programme in 1967, three plots of 99-year leasehold land were put up for public tender. <\/p>\n\n\n\n

One of the plots became People’s Park Centre, making it an iconic feature in Singapore’s post-independent architectural landscape. <\/p>\n\n\n\n

The development was completed in 1973, making it more than five decades old. <\/p>\n\n\n\n

Golden Mile Complex<\/a>, completed in the same year, holds a similar landmark reputation, leading URA to gazette it for conservation in 2021. <\/p>\n\n\n\n

The strata-titled building was recently sold in May<\/a> this year to a consortium of Perennial Holdings, Sino Land and Far East Organization for S$700 million. <\/p>\n\n\n\n

Price appreciation in People’s Park Centre<\/strong><\/h2>\n\n\n\n

Over the last two decades, there’s been a price appreciation of 140.89%, from S$311 average price psf in 2002 to S$749 in 2022, with a lull in sales between 2017 to 2020. <\/p>\n\n\n

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Two buyers in 2021 and 2022 purchased units for S$1.35 million and S$1.75 million, respectively. <\/p>\n\n\n\n

If the collective sale goes through, they would have to pay Seller’s Stamp Duty (SSD)<\/a> of 12% since the properties were bought within three years. <\/p>\n\n\n\n

That shakes out to an SSD of S$162,000 and S$210,000 for each buyer. Hopefully, the increase in the guide price can help to cushion that blow. <\/p>\n\n\n\n

As of 7 July 2022, there are 7 listings for sale priced between S$917 to S$978 psf.<\/p>\n\n\n

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People's Park Centre<\/h4><\/div>\n
See all listings<\/a><\/span><\/div>\n <\/div>\n
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\n \"People's\n <\/div>\n
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People's Park Centre<\/div>\n
101 Upp Cross St \u00b7 D1<\/div>\n
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\n \"bedroom\"\n 5<\/span>\n <\/div>\n
\n \"bathroom\"\n 5<\/span>\n <\/div>\n
\n 4,090 sqft<\/span>\n <\/div>\n <\/div>\n
S$ 3,550,000<\/div>\n <\/div>\n
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