Horizon Towers, sitting on a 1.9 hectare site with a 99-year lease in prime district 9, is on the market again at a reserve price of S$1.1 billion.

Inclusive of an estimated S$277 million lease top-up premium, the unit land rate for the collective sale works out to about S$2,049 per square foot per plot ratio (psf ppr) for the 204,742 sq ft site, according to sole marketing agent JLL. Factoring in the 10 per cent bonus gross floor area due to a high development baseline, the unit land rate is S$1,862 psf ppr. There is no land betterment charge - or development charge - payable for the intensification of the site.

The 211-unit development, which sits on 1.9 ha of land, has double road access, with frontages within Leonie Hill and Leonie Hill Road. The site is zoned residential in the 2019 Master Plan with an allowable height of up to 36 stories, and has an “as-built” gross plot ratio (GPR) of around 3.28.

Horizon Towers is within walking distance to shopping belt Orchard Road, while to the south, Great World MRT Station on the upcoming Thomson-East Coast Line is 150 metres by foot.

“In the past few quarters, we have seen private residential prices breaching new highs in both the Outside Central Region (OCR) and the Rest of Central Region (RCR), rising significantly faster than the relatively flattish price trend of the Core Centre Region (CCR),” noted Tan Hong Boon, executive director (capital markets) at JLL Singapore. Tan reckons that price movements in the CCR, which have been lagging the OCR and RCR, will get a lift from the other 2 segments, pushing prime residential prices towards new levels. JLL sees demand from both locals and foreigners, amid geopolitical certainties and given Singapore’s reputation as a safe haven.

Tan added: “With the decreasing unsold stock of new residential units in the CCR, and the projected incoming high demand for quality and bespoke apartments, we expect the Horizon Towers site to attract a good number of discerning developers capable of delivering an exceptional quality development comprising approximately 560 luxurious units at an average size of 1,200 sq ft.”

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The tender closes Oct 20 at 3 pm.

This is not the first time Horizon Towers has been put up for sale - its most recent attempt was in 2019.

Horizon Towers went on the market in July 2018 at a reserve price of S$1.1 billion, just before the Jul 6 cooling measures kicked in that year. The tender closed without any bids in September 2018. It then went on to relaunch for sale in early 2019 at the same price, but was unsuccessful.

And in 2009, a S$500 million collective sale of Horizon Towers fell through after a dispute among the owners. The Court of Appeal eventually found that the sales process was improperly handled.

Earlier this week, the tender for Orchard Bel Air at Orchard Boulevard in prime district 10 closed without a buyer. Owners of the 71-unit, 99-year leasehold development, who were looking to sell at S$587.5 million, are now entering into talks with potential buyers.

Other projects in the vicinity which also saw their tenders close without a sale include 5 Oxley Rise and Oxley Garden. The owners of freehold 5 Oxley Rise were expecting offers in excess of S$300 million. The Business Times understands that its sellers are talking to a few parties in private.

Meanwhile, Oxley Garden, which is adjacent to 5 Oxley Rise, was seeking a minimum price of S$200 million. The Business Times understands its owners are planning a relaunch of their en-bloc sale.