City Towers sold for S$401.9m in latest en bloc sale

SINGAPORE — City Towers became the latest development to be successfully sold on the red hot en bloc market, fetching about S$401.9 million — or more than 13 per cent higher than the owners’ asking price.

The sale price works out to about S$1,847 per square foot per plot ratio (psf ppr), after factoring in a development charge of S$3.5 million, said marketing agent Colliers International on Wednesday (Feb 7).

City Towers, a 17-storey freehold development along Bukit Timah Road, launched its collective sale tender on Jan 4. In total, seven bids were received. Colliers International did not disclose the name of the buyer.

Last November, the nearby Crystal Tower — which is located at Ewe Boon Road — was sold for about S$180.7 million, which was more than 30 per cent above its asking price and translated to S$1,840 psf ppr.

Colliers International managing director Tang Wei Leng said: “Despite several competing collective sale tenders in District 10, City Towers still attracted strong interest from developers.”

She added that the site will “provide a good opportunity for the successful bidder to take advantage of opportunities in a residential market that is on the cusp of a sustained recovery”.

City Towers has a land area of about 104,531 sq ft. Subject to relevant approvals from the authorities, the site can potentially be redeveloped to a 24-storey residential block offering about 190 new units – at an average size of 1,098 sq ft, Colliers International said.

City Towers comprises 77 units. Depending on the size of their property, each residential owner stands to receive between S$2.78 million and S$11.5 million from the en bloc sale.

Mr M Singh, who chairs the collective sale committee, said: “There are many collective sale projects on the market and competition is intense… The entire collective sale process was conducted professionally and speedily, which made a key difference in today’s crowded en bloc market.” This was City Towers’ fourth en bloc attempt, and the committee garnered more than the requisite 80 per cent approval from owners within three months.