UOL acquires Nanak Mansions for $201m

It could hold around 204 units.

UOL grabs its third piece of land after it acquired Nanak Mansions, Meyer Road for $201m, or $1,429 psf, through an en bloc purchase.

According to DBS Equity Research, the price is only $1m more than the asking price.

The freehold land site could hold around 204 units.

DBS said the breakeven price could reach $2,000 psf, which is above the average transacted prices at Meyer Road of $1,600-1,700 psf.

The acquisition is expected to be complete in three months. There is also an option to acquire a private road at Jalan Nuri within four months.

DBS added, "Once again, this implies and further reaffirms UOL’s positive view on the Singapore property market while being selective with the type of land (so far), i.e. freehold and not-too-large a plot."

Here's more from DBS:

Including this, UOL has approximately 1k units for sale from its three land acquisitions, and some 200 units of unsold stocks from Principal Garden and The Clement Canopy.

We understand that Botanique at Bartley and Riverbank@Fernvale are now fully sold.

UOL is one of the key beneficiaries of a potential upturn in the Singapore property market being the earliest and most aggressive in landbanking among the larger cap property developers.