Another en bloc experience of mine happened at almost the same time as the 1st one. By coincidence, it was the 2nd property I acquired.
Don’t get me wrong. I am not interested to buy properties because of their en bloc potential. (Over the years, I had seen units in 10 to 20 developments which had gone en bloc successfully. But I didn’t buy!) When I first started, property purchases were limited by my humble budget, though good location and rental return were always priorities.
Anyway, my 2nd property is a smaller development with less than 300 units. With a land area stretching 370,000 sq. ft., you can imagine the spacious layout and open space everyone enjoy.
Many residents are original owners who bought their units first-hand from the developer 20+ years ago. Their kids have grown up and they’ve reached their retirement age.
Unlike my 1st property, members of the Collective Sale Committee were all friendly long-time neighbors. They held collective sale meetings with both English and Chinese sessions to explain the rationale behind a collective sale. Many were hoping to get a sum to support their kids’ education and retire earlier.
This time objections came from a group of new residents (especially the Caucasians) who just renovated their units and newly settled down.
Nonetheless, after a quick poll, the committee was confident of getting signatures from 60 to 70 percent of the residents.
The most active member in the Collective Sale Committee was an uncle in his 50s. I still remembered how he personally arranged a trip to my workplace for my signature in the collective sale agreement.
He told me that he worked as a salesman. It’s getting hard to run around Singapore because of his age. With the sum from the en bloc sale, he could retire earlier. He would use the money to support his kids’ overseas studies and used the leftover to buy a terrace house next to the development.
I signed the document and handed over to him — not just because it promised me a sum almost 3 times the price I paid for my small unit, but for his sincerity and a legitimate reason for many who support en bloc of the estate.
The collective sale didn’t go through the 1st time. It was reviewed again a 2nd time.
At the end, the Collective Sale Committee was called off.
The main reason was that unit prices of the development had soared when the economy recovered. Many residents were able to sell their units at prices not much lower than what an en bloc could offer.
I’m glad to learn that the sincere uncle has managed to sell his unit at a good price. Good for him! It’s also a relief for residents who wish to continue their stay in this lovely development.
It’s a story with a happy ending!
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