Specialist engineering group BBR Holdings says it has entered into a sale & purchase agreement to acquire a plot of freehold land at 2A/B/C/D Simon Lane for $86 million.

The group aims to develop a low-rise condominium project on the 97,703 sq ft site which currently houses Goodrich Park Condominium.

Under the URA 2008 Master Plan, the site is zoned for residential development with an allowable height of up to five storeys and a gross plot ratio of 1.4. Based on a plot ratio of 1.4, the cost of the land works out to about $629 per sq ft per plot ratio.

By including an additional 10% of balcony Gross Floor Area, the cost will be about $572 per sq ft per plot ratio. Development charges are not payable for the redevelopment of this site.

The site, currently occupied by four blocks of four-storey walk-up apartments comprising 52 units, can potentially be developed into a five-storey condominium comprising about 120 units of around 1,200 sq ft each.

The development project is targeted to be launched sometime in end-2011. Purchase of this site will be funded by the group’s internal resources and bank borrowings.

Nestled in a quiet neighbourhood of landed properties and located in close proximity to the Kovan MRT Station which is about 360 m away, the site is also easily accessible from the Tampines Expressway. Food outlets and other amenities are conveniently available along Upper Serangoon Road, Heartland Mall at Kovan Town Centre and the upcoming Nex Mall at Serangoon Central.

The collective sale was handled by property consultant Credo Real Estate (Singapore).