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- The win is the second by the 35:65 joint venture of Sunway and Sing Holdings in Chuan Grove, coming on the heels of its acquisition of an adjacent parcel measuring 3.91 acres in July for S$703.6 million. This brings the total purchase price of both plots to about S$1.328 billion.
KUALA LUMPUR (Sept 10): Sunway Bhd (KL:SUNWAY) and its local partner have secured another residential site in Chuan Grove, Singapore after submitting the best bid at S$623.91 million (RM2.05 billion).
The price, equivalent to S$1,331 per square foot per plot ratio, edged out the next highest bid by 2.9% at the Sept 4 tender close. The land, measuring over 156,000 square feet or 3.59 acres, could accommodate about 505 homes.
The Urban Redevelopment Authority of Singapore on Wednesday awarded the land, with a 99-year lease term, to Sunway and its Singapore-listed partner Sing Holdings Ltd.
Their joint venture company “will be appointed as the approved developer to undertake the development of the land, subject to regulatory approvals”, Sunway said in a bourse filing.
The win is the second by the 35:65 joint venture of Sunway and Sing Holdings in Chuan Grove, coming on the heels of its acquisition of an adjacent parcel measuring 3.91 acres in July for S$703.6 million. This brings the total purchase price of both plots to about S$1.328 billion.
The two sites are slated for amalgamation into a single integrated development of 1,055 units across five blocks of up to 27 storeys.
The Chuan Grove acquisitions expand Sunway’s footprint in Singapore, bringing its pipeline to six projects, including The Continuum, Terra Hills and Novo Place, which have been launched, and the upcoming Tampines Street.
The proposed project is expected to contribute to Sunway’s earnings only from 2027 onwards, the company said in the Wednesday filing.
The project’s combined gross development value is estimated at S$1.31 billion, according to Hong Leong Investment Bank. Based on a 10% net margin, Sunway’s share of profit could translate into about RM37.9 million annually from 2027 to 2030.
As Penang girds itself towards the last lap of its Penang2030 vision, check out how the residential segment is keeping pace in EdgeProp’s special report: PENANG Investing Towards 2030.
