Dunearn Gardens sold for $468 million

Dunearn Gardens located along Dunearn Road in prime District 11 was sold for $468 million to a fully-owned subsidiary of EL Development. The purchase price was $468 million, which translates to $1,914 psf per plot ratio (ppr).

The price includes a development charge of $43.6 million to redevelop the 95,442 sq ft site into a new residential project with a gross plot ratio of 2.8 and maximum gross floor area (GFA) of 267,239 sq ft. If a 10% bonus GFA for balcony space is included, the plot ratio will be 3.08, and the land price will then be $1,841 psf ppr, says Knight Frank, which brokered the sale.

This marked Dunearn Gardens’ third collective sale attempt. The sale price is also 4.26% below the reserve price of $488.8 million when the development was launched for tender on Jan 15. As the purchase price was below the reserve price, the collective sale committee had to get 80% of the owners to agree to the lower price. And they were able to get the consent before the end of the 10-week private treaty period which started from the date following the close of the tender on Feb 13.

The existing Dunearn Gardens contains 114 units with sizes ranging from 807 sq ft to 3,294 sq ft. Hence, based on the transacted price of $468 million, each owner will receive gross proceeds ranging from $2.69 million to $7.98 million.

Lim Yew Soon, managing director of EL Development intends to redevelop the site into a new 34-storey luxury condominium with 348 units of one- to four-bedroom apartments.