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Far East buying GCB in King Albert Park for S$43.8m

23 May, 2017

Property heavyweight Far East Organization is buying a Good Class Bungalow (GCB) on a freehold site of over 39,000 square feet at 16 King Albert Park.

The plan is to amalgamate the site with four adjoining plots the group already owns before redeveloping the enlarged site of over 100,000 sq ft into several bungalows which the group will hold as an investment property for rental income.

Far East is paying S$43.8 million for 16 King Albert Park, translating to S$1,117 per square foot (psf) based on the freehold land area of 39,228 sq ft. The group's existing four plots add up to 69,803 sq ft.

Based on the total land area of 109,031 sq ft, up to seven bungalows may be developed based on the minimum plot size of 15,070 sq ft per bungalow in Good Class Bungalow Areas.

Far East is buying the GCB from the estate of Irene Ong, who died last year.

Most of the monies from the GCB's sale will go to universities and healthcare institutes, and will also be used to attract scholars to spur medical research in areas such as dementia, diabetes and cancer, according to an article in The Straits Times last December.

Another big recent residential transaction is Keppel Land's sale of a penthouse at the Corals at Keppel Bay condo for S$18.88 million. The price works out to S$2,400 psf based on the total strata area of 7,868 sq ft, although the point to note is that the strata area includes 1,550 sq ft of roof terrace. The duplex unit, located in a five-storey block, has five bedrooms and a jacuzzi. It is the largest penthouse in the 366-unit project.

The development, which received Temporary Occupation Permit in August, comprises 11 blocks ranging from five to 10 storeys. Corals at Keppel Bay is on a site with 89 years' balance lease. The buyer is understood to be a foreigner.

Over in the CBD, the 20th floor of the 999-year-leasehold Samsung Hub office tower is changing hands at S$43.07 million or S$3,280 psf based on the strata area of 13,132 sq ft. Standard Commodity Trade Centre Pte Ltd is selling the space on a vacant possession basis to Lei Shing Hong Properties (Singapore), which plans to occupy the space for its own use.

The company is part of Hong Kong-based Lei Shing Hong group, which is involved in businesses ranging from retailing premium cars, trading and securities brokerage, to property development and investment. The S$3,280 psf fetched for the 20th floor is identical to that for the 21st level back in 2014.

Adapted from: The Business Times, 4 March 2017