Ravi Chandran
The Nassim Road conservation GCB has a massive land plot of 58,784 square feet and it offers flexibility to be redeveloped into three Good Class Bungalows
CBRE is putting up for sale by public tender a two-storey conservation Good Class Bungalow (GCB) at 40 Nassim Road. Located within the Good Class Bungalow Area (GCBA) of Nassim Road, the subject property has a wide road frontage of approximately 70 meters and an average depth of 95 meters.
The total land of approximately 58,784 square feet is a composite of three adjoining plots with areas of 14,867 square feet, 15,779 square feet and 28,138 square feet – which gives the buyer the flexibility to redevelop the land to accommodate three GCBs.
With a total floor area of approximately 13,839 square feet, the two-storey Nassim Road conservation GCB features an entrance hall, a spacious living room, a dining room, four en-suite bedrooms, an internal landscaped courtyard with a pond and a helper’s room.
The Nassim Road conservation GCB also boasts of a lush and manicured garden, as well as a large car porch and garage that can comfortably accommodate seven cars.
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40 Nassim Road is located in the most prestigious GCB enclaves, out of the 39 gazetted GCBAs in Singapore, where many mansions are occupied by Embassies, High Commissions, business tycoons and ultra-high net worth families.
Ms Angela Lim, Senior Manager of Capital Markets, CBRE said, “Given its ultra-prime location and superior physical attributes, we are expecting this trophy asset to attract offers in excess of S$175 million. Investors are well cognizant of the premium that Nassim Road commands in the GCB market in Singapore. In fact, the GCBs at Nassim Road continue to set new benchmarks, evidenced by the two recent GCB transactions in the immediate vicinity.”
33 Nassim Road was sold for S$230 million or S$2,721 per square foot over the 84,543- square foot land, while 50 Cluny Road was sold for S$45 million or S$2,980 per square foot based on the land area of 15,099 square feet.
Ms Lim continued, “This is an exceptional opportunity to acquire a massive GCB land plot within the esteemed Nassim Road area, as such ownerships are typically tightly held. Due to its scarcity and exclusivity, GCBs in Singapore have always been a unique asset class that is consistently well sought after by ultra-high net worth individuals and prominent families who are always on the lookout for wealth preservation. This asset class has also proven to be resilient through market cycles and hence, we anticipate keen interest from both owner occupiers and investors.”
The Nassim Road conservation GCB is a short five-minute walk from the Botanic Gardens, a UNESCO world heritage site. It is also conveniently located just off the main shopping strip of Orchard Road, where F&B options, amenities, malls and entertainment activities are plentiful, while the CBD is a 10 minutes’ drive away.
The public tender for the Nassim Road conservation GCB will close on 14 November 2019 at 3.00pm.
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GCBs have been in the spotlight since news broke recently that Sir Dyson had forked out $41 million for a hilltop GCB located along Cluny Road with views of the Botanic Gardens, Singapore’s first and only UNESCO Heritage Site.
List Sotheby’s International Realty (List SIR) which reported on the purchase of Sir Dyson, noted that what makes this GCB deal an even greater surprise is that landed properties in Singapore, including the 2,800 plots located in the 39 GCB areas gazetted by the Urban Redevelopment Authority (URA), are classified as restricted properties and are limited for purchase and ownership by Singapore Citizens only. Besides their rarity, GCBs also come with strict planning conditions stipulated by the URA to preserve their exclusivity and low-rise character.
Even ultra high net worth investors, such as the Dysons, need to get special approval from the government to purchase and own GCBs because they are permanent residents. Criteria include making exceptional economic contributions in Singapore and the buyer can only use the GCB for owner occupation.
According to the Singapore Residential Property Act, foreigners are not allowed to own landed properties, which include bungalows. However, foreigners are allowed to own the bungalows at Sentosa Cove, a planned resort island to attract high-net-worth (HNW) foreign investors. Foreigners are allowed to own apartments in Singapore.
More recently, a GCB plot in the prestigious Nassim Road area was bought by SG Casa Pte Ltd for a record $230 million. The price for the sprawling land of 84,543 sq ft land works out to be S$2,721 psf. The plot of lands comes with a two-storey bungalow, a tennis court and swimming pool. The site has a road frontage that is nearly 100m, and can be redeveloped into four or five bungalows.
List SIR in referring to media report suggested that the party behind SG Casa could be Eduardo Saverin. Mr Saverin became a Singapore citizen in 2012.
Sir Dyson, who is chief executive of Dyson Ltd, had earlier bought the most expensive 99-year-leasehold penthouse situated on a 62nd to 64th floor in Wallich Residence. The three-storey penthouse comes complete with a private infinity pool, jacuzzi, barbecue pit, and private lift lobby.
Besides Dyson and Saverin, another famous name that has been making rounds in Singapore’s media landscape was Jack Ma, who is said to have purchased a 30,000 sq ft site at Victoria Park Close. The Alibaba co-founder is supposedly building a two-storey bungalow with a basement and swimming pool.
The report by List SIR said, ” in light of the geopolitical tensions in Hong Kong and United Kingdom, there could be increased interest from more foreign ultra high net worth investors, the likes of Sir Dyson. Singapore’s solid economic fundamentals, sound financial framework, ease of doing business, quality education and racial harmony continue to make it one of the choice locations for potential foreign investors.”
Mr Paul Ho, chief mortgage consultant at iCompareLoan, said, “with political stability, it is understandable why Singapore looks attractive to ultra high net worth investors. Due to its limited supply and the prestige associated with these large bungalow plots, GCBs are often sought after by well-heeled individuals.”
He added, “Singapore’s business-friendly environment also attracts many ultra high net worth investors to park their assets here. Prices of GCBs have been on a steady increase since 2016 and so it is viewed as a good investment.”
