Fragrance Group continues to stock up its assets by buying land yet again.
Fragrance said yesterday that its subsidiary, Fragrance Homes, has purchased a site worth $7.5 million. The plot is located in the Sembawang area, particularly at Kerong Lane.
The plot has a total area of 31,464 square feet thus its purchase price per square foot is roughly $238. The 99-year lease site is designated for landed housing and it can accommodate 15 three-storey terraced housing units with attics.
“The acquisition is subject to the seller obtaining the necessary approval from the Urban Redevelopment Authority,” a representative from Fragrance said yesterday.
An industry observer commented that the parcel of land might have been one that the URA sold some time in the past. It is situated in a spot where the URA has launched sub-divided landed-housing plots for auction.
In April 2008, the URA auctioned off 11 plots for $223 per square foot on average. At that particular auction, Fragrance took four plots that may be developed into 40 terrace houses and an additional eight semi-detached housing units.
Market analysts say Fragrance Group has purchased over $100 million worth of property over the past few months. Its acquisitions include the development land located at Telok Kurau, the Premier Centre office block situated in the Beach Road area, a site along Changi Road, and a row of shop houses in Pasir Panjang.
Fragrance Group’s year-on-year net profit for the second quarter of 2009 was posted at $17.7 million, indicating an 11.4% growth. Turnover rose by 33.1% to $79.5 million.