The freehold Versailles condominium (pictured) has been re-launched for collective sale through a public tender, revealed its marketing agent Jones Lang LaSalle.
The 55-unit development is zoned residential and has a land area of 53,073 sq ft and gross plot ratio of 2.1 under the 2008 Master Plan.
It could be redeveloped into a project of 16- to 18-storeys which is subject to the authorities’ approval.
The property’s Collective Sale Committee (CSC) reduced the reserve price after it received offers below the previous price tag during an unsuccessful tender exercise on 30 May.
The committee is now accepting offers above S$96 million, down 9.3 percent to 14.5 percent from the earlier asking price of between S$105 million and S$110 million.
“We believe developers would be motivated to bid competitively as they know the sellers are pragmatic and willing to re-align their expectations to market conditions,” said Yong Choon Fah, National Director of Investments at Jones Lang LaSalle.
At S$96 million, the developer’s effective land cost translates to approximately S$1,007 psf per plot (psf/pr), down from S$1,088 to S$1,133 psf/pr based on the allowable plot ratio of 2.1, including an estimated development charge of S$16.2 million, the consultancy added.
Located in the vicinity of Paya Lebar and close to two MRT stations, the site is not affected by the latest revision to development charge (DC) rates.
The tender exercise will close on 3 October.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories email firstname.lastname@example.org