$3b Farrer condo boasts sensuous, curvy towers

July 18, 2008
$3b Farrer condo boasts sensuous, curvy towers
Renowned architect Zaha Hadid behind their design; project to be
launched in 2009
By Joyce Teo, Property Correspondent

PROPERTY giant CapitaLand has unveiled the 'branded' upmarket designs
for a $3 billion residential project in Farrer Road that it aims to
launch next year.

The as-yet-unnamed condominium boasts a series of sensuous lines that
are not commonly seen in residential projects in Singapore, while the
curving towers give an ultra-modern feel without the harsh edges
present on many blocks.

It is all very much in the recognised style of architect Zaha Hadid,
the first female recipient of the coveted Pritzker Architecture
Prize.

This is her first condo project in Singapore but she has designed two
bungalows for niche developer Elevation Developments.

Past Pritzker Architecture Prize winners include Mr Frank Gehry, Sir
Norman Foster and Mr Rem Koolhaas.

The seven 36-storey blocks on the sprawling 838,488 sq ft site will
hold about 1,500 homes. There will also be six pairs of unique semi-
detached houses.

CapitaLand is developing the 99-year leasehold plot with three
partners. Hotel Properties and a Morgan Stanley Real Estate fund will
each hold 22.5 per cent, while Wachovia Development will take 20 per
cent.

These parties, which borrowed a whopping $1.996 billion for the
ambitious project, yesterday held a signing ceremony for the loan
with their bankers at the Four Seasons Hotel.

It is the largest syndicated residential property development loan
ever arranged in Singapore and comes amid a slow housing scene and
tight credit markets.

CapitaLand said the deal comprises a $1.362 billion term loan, $500
million of revolving credit and $133.9 million in bank guarantees.

The collective sale deal for the former Farrer Court condo site was
inked in June last year at $1.338 billion, or up to $783 per sq ft
(psf) of potential gross floor area.

Ms Patricia Chia, chief executive of CapitaLand Residential
Singapore, said the project's break- even cost is around $1,350 psf
to $1,450 psf.

The condo will be launched in the first half of next year.

Developers generally see no need to hurry given the slow property
sector, falling share markets and continuing bad news from the United
States.

CapitaLand chief executive Liew Mun Leong said at the signing
ceremony that the past few months have been challenging, but the
business world must go on, notwithstanding the current economic
turbulence in the US.

He said bankers, developers, businesses and potential partners could
come together to exploit opportunities that increase during bad
times.

Mr Liew added later: 'Sentiment has been affected in the US, but I
think the fundamentals in Asia - in terms of economic growth, the
demand, urbanisation - are still very strong.'