Thomson View Sold for Record-Breaking $810 Million

In a stunning turn of events, the long-anticipated sale of Thomson View has finally materialized, selling for an astonishing S$810 million—making it the largest collective sale of 2024. This landmark deal culminates nearly two decades of failed attempts, marking a significant milestone in Singapore's real estate landscape.

Facilitated by the esteemed real estate consultancy, Edmund Tie, this transaction brought together a powerhouse consortium of local developers, including UOL, Singapore Land Group, and CapitaLand Development. The sale, officially announced by Dai Yuxiang Property on November 25, reveals a competitive plot ratio of S$1,178 per square foot. Impressively, the price also incorporates added land value fees and the costs associated with extending the lease to a full 99 years.

Under this successful agreement, owners of the 255-unit leasehold estate are expected to reap financial rewards ranging from S$2.22 million to S$4.94 million per household. Additionally, the commercial store owner will receive a payout of S$3.87 million.

Thomson View, sprawling over approximately five hectares, began its leasehold in 1975 and is currently left with just 50 years remaining. After five attempts at collective sales since 2007, earlier bids this year—particularly in February and July—failed to capture buyers' interest. However, a revised October bid gained momentum after more than 80% of property owners consented to lower the asking price, leading to this successful transaction.

The site is zoned for residential development according to the 2019 Master Plan, boasting a plot ratio of 2.1. The consortium is enthusiastic about transforming Thomson View into an architectural marvel, envisioning around 1,240 residential units alongside unique facilities that will take advantage of its proximity to lush parks and nature reserves.

This transaction not only sets a new record for collective sale prices—surpassing the previous high of S$890 million for Chuan Park in 2022—but also signals a revitalization in interest for collective sales despite market apprehensions. Industry experts believe this successful deal could pave the way for more ambitious projects and greater dynamism in the property sector.

As market dynamics continue to shift, all eyes are on the burgeoning potential of Singapore’s real estate. What could this mean for the future of urban housing? Only time will tell, but one thing's for sure: Thomson View is the new pearl in Singapore's real estate crown. Stay tuned!