Pine Grove, I’ve been reminded by irate Laguna Park residents is the most expensive en bloc propery up for sale, costing about S$1.7 bn. They were upset by my comments that they were greedy.
Despite the absence of a sea view, and its odd shape, Pine Grove will cost developers S$2.17bn or S$1,152 per sq ft per plot ratio in total, inclusive of the S$460mn development charge.
Funnily, Laguna Park’s larger plot ratio allows the winning developer to build up to 36 storeys. Although it is a smaller plot compared to Pine Grove, the intensity to build is there. The buildable areas for both sites are about the same.
For instance, with a land area of 677,493 sq ft and plot ratio of 2.8, the redeveloped Laguna Park is able to yield about 1,600 units at 1,200 sq ft each.
With a plot ratio of 2.8 Pine Grove is able to yield about 1,500 units at the same size per unit.
Analysts have said that a reserve price with a discount of 20 to 25% is more “realistic” for Pine Grove.
This translates to about S$1.3 bn to S$1.4 billion, or about S$924 to S$970 per sq ft per plot ratio.
Laguna Park residents say their reserve price of S$1.33bn is reasonable.
I say that the residents of both estates are greedy, Pine Grove being worse. Pine Grove should be worth about S$1bn.