SuperBowl Holdings yesterday said it will sell two properties in Balestier Road for $39.8 million.

SuperBowl Holdings yesterday said it will sell two properties in Balestier Road for $39.8 million.

They are slated to be developed into a 168-room hotel consisting of a 11-storey tower block on a two-storey podium with a basement car park and swimming pool.

The price was arrived at on a willing-buyer-willing-seller basis, SuperBowl said in a filing to the Singapore Exchange.

The company acquired the two properties last year for $17.8 million and their unaudited book value as at June 30 this year stood at $18.3 million.

‘Given the current property boom, the sale of these two properties is commercially beneficial and would result in a substantial gain for the group,’ said Teo Ho Beng, SuperBowl’s managing director.

‘The sale proceeds can be used for future working capital, investment purposes as well as for the acquisition of alternative sites. Bearing in mind our interest in developing our hospitality business, the resources would enable us to bid for other alternative sites that are suitable for hotel development.’

The transaction is expected to have a positive material impact on SuperBowl’s financial performance for the financial year ending Dec 31, 2007, the company said.

Assuming the sale had been completed at the beginning of the 2006 financial year, the group’s earnings per share would have increased to 11.45 cents, from 2.05 cents.

SuperBowl’s shares closed 2.5 cents up at 49.5 cents yesterday.

Separately, Landmark Tower, a 99-year leasehold residential site on Chin Swee Road, has been put up for collective sale with an indicative asking price of about $300 million.

The price works out to about $1,471 per square foot per plot ratio, including a $31 million charge to top up the site’s remaining tenure to 99 years - from 72 years at present.

No development charge is payable.

The 60,821 sq ft site has a 3.7 plot ratio giving the successful developer a total gross floor area of 225,038 sq ft to work with.

The site is ideal for redeveloping into a high-rise condominium with 150 apartment units of about 1,500 sq ft each, said Ho Eng Joo, executive director of investment sales at property firm Colliers International, which is conducting the public tender for the project.

‘The location of the site, which commands an unobstructed city panorama, a tranquil view of the Singapore River, as well as lush greenery of Pearl’s Hill City Park, will be a very popular site with developers,’ said Mr Ho.

Landmark Tower consists of 139 apartment and penthouse units.

If the price of $300 million is met, owners will be walking away with between $1.5-2 million for each unit, which will represent an en-bloc premium of over 100 per cent each, said Mr Ho.

The tender for the site will close on Aug 14 at 3pm.

Source: The Business Times, 14 July 2007