Singapore Real Estate and Property

Wednesday, April 9, 2008

Tulip Garden owners call off collective sale

April 9, 2008

$516M DEAL

Tulip Garden owners call off collective sale

OWNERS at Tulip Garden have called off the $516 million collective sale of their 164-unit Holland Road condo, but they will keep the $25.8 million deposit.

Mr Ow Yong Thian Soo of Lee & Lee, who is representing the owners, told The Straits Times yesterday that a notice rescinding the sale was given to the intended buyer - a consortium led by Bravo Building Construction.

The owners also told Bravo that they would retain the 5 per cent deposit, a right allowed under the sale and purchase agreement.

They decided to cancel the sale after Bravo missed Monday's deadline - which had already been extended from last month - to pay a further 5 per cent of the purchase price. The developer wanted even more time to pay and complete the sale.

The deposit will now be distributed proportionally. Owners who were due to receive $2.5 million to $4.2 million from the sale will now get 5 per cent of these sums once the estate pays expenses of possibly $1 million or more. These include half the conveyancing fees, half the fees of consultants Savills Singapore, plus litigation and administration costs.

Bravo bought Tulip Garden last July and was due to complete the sale late next month. It also has unfinished business at Pender Court, where it missed the $80 million collective sale completion date but has an extension until later this month.

JOYCE TEO


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