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AT $400 million, Lucky Tower will be the largest amount ever paid for a collective sale site.

 

This is the asking price that owners of the 91-unit condominium want for their 25-year-old building.

 

Located on Grange Road, the large 169,188 sq ft site has a potential gross floor area of 355,295 sq ft. At the asking price of $400 million, which includes a $20 million development charge, it will cost $1,126 per sq ft per plot ratio (psf ppr). This makes Lucky Tower cheaper than the record-breaking $1,218 psf ppr for Eng Lok Mansion (on Napier Road) which was sold in March. Being a smaller site, however, Eng Lok Mansion only cost $138 million.

 

Indeed, Lucky Tower will likely top the previous record of $315 million paid by Li Ka-shing's Glenfield Investments for Cairnhill Court in 2000.

 

Jeffrey Goh, head of investment sales of Newman and Goh, which is marketing agent for Lucky Tower, said that owners stand to make 65-80 per cent more than if they sold their units individually.

 

Mr Goh said that 165 'super luxurious' units of about 2,000 sq ft each can be built. At an estimated price of about $2,000 psf for each unit, a new development could be worth $660 million. Yet, he believes that Lucky Tower has been 'priced competitively' compared to other recent collective sale sites.

Also for sale is the 33-unit Furama Tower on Leonie Hill Road. At 33,821 sq ft, it is a significantly smaller site and is expected to fetch $82 million or $952 psf ppr, including a $6.6 million development charge.

 

Ho Eng Joo, director for investment sales at marketing agent Colliers International, said owners will make 60-80 per cent more than the current market price of individual units.