Verdun House is a 1982 development in Singapore and majority of its owners recently agreed for a collective sale during an extraordinary general meeting.
The asking price for the freehold property near Mustafa Centre is at S$60 million with a public tender that closed on April 18, 2018.
A mixed-use property, Verdun House has four shops and twelve apartments, however, its current zone is for commercial purposes.
Owners of the 7,316 square feet site looked for clarification about the area development baseline, waiting for a response from the authorities in charge.
The land rate according to the property reserved price is S$2,100.
For the construction of a 550-sq ft average unit size, the new developer could build 50 commercial units with 30,728 sq ft total gross floor area (GFA), which is still subject to approvals.
Singapore Realtors Inc. (SRI) investment sales head, Andy Gan stated that it is not common for owners of Verdun House, a mixed-use property, to reach consensus in a fast manner.
However, the owners of the property reached the 80% consent mark for just a single meeting.
According to Gan, there is a huge challenge for property owners to essentially agree in an en bloc sale especially in cases when the individual properties are under different purposes or categories.
The apportioning of the sales proceeds is a method that is commonly the source of debate and conflict.
However, in the case of the Verdun House, the owners reached an amicable agreement, signing consent for the majority.
Gan reiterated that the Verdun House owners have unity and eagerness in the en bloc sale of their property.
The location of the Verdun House is quite accessible especially with close proximity to the Farrer Park MRT Station.
Commercial development is ideal for the freehold site, which is great because of the area’s high human traffic.