Hi ichew,ichew wrote: Hi All
can anyone explain the diff betw psf ppr and just psf?
let's say if a company pays $9.48m for a 22,023 sq ft land with a plot ratio of 1.4
so the cost of the land is $430 psf and $307 psf ppr.
when the company advertise they selling the devlpt for $800 psf, do they mean $800 psf ppr?
Or we will not know?
Thanks.
as you can see from your examples above.
psf is simply calculated by the dividing the purchase price of the Land by the land area.
It did not consider the plot ratio of the land. eg. you can have a land with plot ratio of 1.4 and another piece of land with plot ratio of 2.8. Oviously, the 2nd piece of land can be built-up to double the units compared to the first and thus, the land should be worth more.
Above we are talking about land.
When a developer sells a completed property be it condo or landed property, the psf is calculated by the price divided by the built-in area. This will only equate to the psf ppr if the condo/landed property is FULLY built-up to its permissable plot ratio.
There are many properties that have NOT been built up to their permissable plot ratio, and that is the reason for the possibility of "en-bloc" sale for the developer to build up the acquired land further.
Hope the above clarifies.