Cairnhill Nine penthouse sold to a trust for $7.5 mil
The mixed-use venture by CapitaLand Development is a redevelopment of the previous serviced apartments Somerset Grand Cairnhill, additionally managed following CapitaLand’s rental accommodations business unit, The Ascott Ltd. Cairnhill 9 was finalized in late 2016, whilst Ascott Orchard Singapore opened up in 2017.
Positioned on Cairnhill Roadway, just off the prime shopping strip of Orchard Road, Cairnhill Nine has a prime District 9 address. It is directly linked to Paragon mall on the 2nd level by means of an air-conditioned overhead bridge across Bideford Roadway, simply off the prime Orchard Road.
The entire amount has to be paid just before an ABSD remission request can be secured to the Inland Revenue Authority of Singapore (IRAS).
As the penthouse is purchased taking a trust, the purchase has to be created entirely in cash in advance, including the 65% additional buyer’s stamp duty (ABSD). The 65% ABSD totals up to $4.875 million as well as shows up top of the 6% in buyer’s stamp duty, which amounts to $450,000, bringing the total cash payable ahead of time to $12.825 million.
“The trust structure is truly for the cash-rich because you can not acquire financing for these acquisitions, and also you need to be prepared to spend 65% ABSD ahead of time on top of the real estate’s acquisition cost,” according to Lee.
Cairnhill 9 belongs to a 99-year leasehold, mixed-use development that features Ascott Orchard Singapore, the 220-suite, luxury serviced apartments. Ascott Orchard Singapore has a blend of studios to two-bedroom suites.
At Cairnhill Nine, typical units are a blend of one- to four-bedroom flats, with measurements varying from 592 to 2,013 sq ft. There are just 8 4-bedroom penthouses at Cairnhill Nine: 4 are duplexes, and the other 4 are simplexes with measurements from 2,400 sq ft to 3,864 sq ft.
A real estate title investigation shows that the 3,186 sq ft penthouse at Cairnhill Nine is supported by Zico Trust (S) Ltd, an independent trustee and also fiduciary support services business managed by the Monetary Authority of Singapore.
The IRAS will assess whether the reimbursement conditions are fulfilled, and also the process takes concerning a couple of months, claims Lee Liat Yeang, senior partner in Dentons Rodyk’s real estate practice group. If the beneficiary is a Singapore citizen with no other home, the complete 65% can possibly be refunded, he includes.
The most recent purchase at Cairnhill Nine is for a 3,186 sq ft, four-bedroom penthouse on the 30th floor of the 268-unit, high-end condominium on Cairnhill Road. The total rate of $7.5 million invested in the penthouse is the highest possible as the project was introduced in 2016, according to a caveat lodged on July 5.
Previously called Zico Allshores Trust (S) Ltd, the firm was incorporated in 2012 with a trust company licence in 2014. Zico Trust is a member of Zico Holdings, an ASEAN-focused integrated service provider of multi-disciplinary professional services and is listed on the Catalist board of the Singapore Exchange.