Cuscaden Reserve’s ABSD deadline is extended, and the relaunch price starts at S$2,900 sq.ft.
According to JLL’s estimates, the ABSD penalty if they don’t sell all of their units within the required sales period would be about 15 percent (or S$61,5 million) of the acquisition cost. It is not clear if the ABSD fine has been postponed. SC Global Developments (which co-developed the condo along with Hong Kong-listed New World Development, and Far East Consortium) declined to comment. ST has requested comments from the Inland Revenue Authority of Singapore, and Urban Redevelopment Authority.
It is becoming more difficult to sell the entire project in a set time frame, especially for projects located within prime districts. This is due to ABSD being increased from 50% to 60% for international buyers. A (ABSD) extension will allow the developer some time to focus on relaunching the project.
The remaining 180 unsold units consist mainly of one- and two bedders. Booking units begins on 16th March. Units may be sold privately due to exclusivity.
This means that interested buyers can indicate their desired unit during sales booking. If the same unit is not contested after a set time, the interested party will be given the option. If there are more than one interested party, balloting is conducted.
As well as the previous launch, we do not know the complete list of prices. We cannot, therefore, comment on whether the prices were reduced by 20 per cent.
Cuscaden Reserve, which is already facing a decline in demand for its prime district property due to the 60 per cent ABSD imposed on foreign buyers who purchase properties on the adjacent Government Land Sales plot on Orchard Boulevard, will be pushed by a potential project that could take place on the adjacent Government Land Sales parcel on Orchard Boulevard.
Makerting agents at the luxury leasehold apartment Cuscaden Reserve located in District 10 are offering discounted rates starting from S$2,900 (per square foot) following an extension of a sales deadline that was originally set for 2023 to sell all unsold units. Since the Orchard condominium launched in September 2019, 12 units have sold at an average price of S$3,600/sqft. This is a 20 per cent reduction.
180 of the project’s 192 units, which received a temporary occupancy permit in August 20,23, remain unsold.
Cuscaden Reserve had a crucial additional buyer’s stamp duty deadline. They were required to sell all of their units by the end of 2023.
A marketing agent, who did not wish to be identified, told ST that Cuscaden Reserve has been granted an ABSD deadline extension of 2024.
Developers had purchased the Cuscaden Rd site in May 2018 before the round of cooling measures that took place in July 2018.
In February 2024, a residential-cum-commercial site in Orchard Boulevard was awarded to UOL Group and Singapore Land Group, which jointly submitted the top bid of S$428.3 million or S$1,617 psf per plot ratio (ppr).
The Orchard Boulevard bid, which is expected to yield about 280 residential units and 500 sq. m. of commercial space was 32 percent below the record price set in May 2018, which was S$2,377/sq. ft. ppr for the site where Cuscaden Reserve currently sits.
Cuscaden Reserve was part of SC Global’s Petit Collectibles. The smaller units are for people who don’t like to deal with the hassle of maintaining a home, SC Global founder Simon Cheong said to ST back in 2019 at the time private viewings were started.
The project design, by local firm SCDA Architects, is inspired by German Bauhaus art of the early twentieth century. This movement advocates a philosophy where less is more.
As foreigners are not as active in the prime district, we think the developer will lower prices to appeal to the locals, who tend to be more price-sensitive. They also face higher ABSD rates for second and subsequent properties.
Cuscaden reserves may have around one year to sell their property before the Orchard Boulevard Project is scheduled to be launched.
