StarBiz learnt that a major player in the high-end residential property market has proposed to build a new Pykett Methodist School at the site, including a car park for the school, together with condominiums and retail lots.
Another well-known developer on the island has proposed to build a new Pykett Methodist School at a different site owned by the developer.
“The developer will also build some properties for the Methodist Church so that it can generate long-term revenue. In return, the developer gets to develop certain portions of the land to offset the construction cost of the school and other properties for the land owner. The cost of the school and car park will be used to offset the selling price of the land,” the sources said.
Another developer, which has made a bid to purchase the land, said the price of RM300 per sq ft was on the high side.
“Land in the area is priced around RM200 to RM250 per sq ft. At present, the site is gazetted as institutional land and needs to be converted for other usage. The commercial enhancement value charge, for example, is about 50% of the incremental value of the land, based on the difference between the selling price when it was first valued and what it is worth today. The other factor that needs to be considered is that the developer can apply to build up to 30 units per acre on this site,” the developer said.
When contacted, an Eastern & Oriental Bhd spokesman said that the group had not bid for the land.
Due to the shortage of land on the island, the area around Pykett Methodist Boys’ School has become a popular site for new residential projects.
For example, Mah Sing Group Bhd will be launching Icon Residence early next year, which is located at the crossroads of Burmah Road and Anson Road – a stone’s throw from Pykett Methodist Boys’ School. The condominium project has an estimated gross sales value of over RM200mil.
By The Star (by David Tan)
