Andy October 21 2021

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Lakepoint launches for collective sale with a reserve price of $640 million

The failed attempt to enbloc sale in 2019 did not deter the owners of Lakepoint condominium from seeking another collective sale this year.

Lakepoint is a 99 years leasehold condominium with a total of 304 units and 5 commercial shop units.

It was developed by Jurong Town Corporation in 1983 so the remaining lease is approximately 61 years now.

Lakepoint sits on a massive land size of 562,286 sq ft and a plot ratio of 1.4.

It is a five minute-walk from Lakeside MRT station and within five minutes drive to Jurong Point.

The development of Jurong Lake District is an appeal to potential enbloc buyers.

The reserve price of $640 million will require a joint venture (JV) of two or more property developers to manage the risk appetite. Moreover, the prolonged COVID-19 pandemic has complicated matters in terms of construction delays and high cost of materials. 

The estimated land rate of S$959 per square foot per plot ratio (psf ppr) took into consideration the development charges (DC) and lease top-up premium from JTC.

Propnex is the exclusive marketing agency for Lakepoint enbloc sale. The tender exercise will close on 22 December 2021, Wednesday at 2pm.

Lakepoint $psf
Land cost $959
Construction cost $350
Expenses and profit margin $390
Estimated launch price $1,699

Would you pay $1,700 PSF for a new launch at Lakepoint?