What is En-Bloc Sale?
ENBLOC SALE allows Owners to sell their properties for a lot more than they could fetch by selling individually in the open market. Normally, this applies to old buildings or buildings which can be developed to their full potential.
How is it so ?It basically allow DEVELOPERS to convert the unused land or development potential in their property development into cash, subject to constraints like flying limit etc.
Enbloc Sale basically means ...All the owners of separate units in an apartment, condominium or even an office building, coming together to collectively sell out their properties to a developer for comprehensive redevelopment.
Why would Owners go for Enbloc Sale ?
Well..
1. En-Bloc Sale allows Owners to sell their properties for a lot more than they could fetch by selling individually in the open market.
2. En-Bloc Sale allows Owners to convert the unused land or development potential in their property development into cash.
3. En-Bloc Sale also allows Owners to cash out of their property investment for other newer and larger properties or re-invest in other forms of higher yield investments.
When is Enbloc then Feasible ?
En-Bloc Sale is normally feasible when one or a combination of the followings is evident in the development:
1. An Increase in Plot Ratio of the land
2. Re-zoning of the land to a higher use
3. The land is not fully built up or utilised to its allowable development potential
What is the Procedures involved ?
The 7 Stages involved in the En-bloc Sale Process
1. Checking Land Value
2. Checking Owners' interest
3. Sale Preparation
4. Marketing of Land sale
5. Private Treaty/ Public Tender and Evaluation
6. Legal Completion of Enbloc Sale
7. Delivery of Vacant Possession
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