A minority owner in an enbloc sale for Holland Hill Mansions wanted the distribution of the sale proceeds to be based solely on floor area. The dispute was brought before the Strata Titles Board in July this year. The Board ruled that the distribution formula by 50:50, which is 50% based on share value and 50% based on floor area of the unit was acceptable.

Not satisfied, Dynamic Investments, the minority owner and who owned a unit of a larger floor area filed an appeal. The High Court yesterday dismissed their appeal and upheld that the sale was conducted in good faith and the sale distribution method of 50:50 be adopted.

By adopting the distribution method of 50:50, owners of larger units would receive a lower payouts as compared with a distribution method that is based solely on floor area.

Industry experts advised that the distribution method of 50:50 is in accordance to Valuation Guidelines for Collective Sales issued by the Singapore Institute of Valuers and Surveyors.

It is not known whether the dissenting owner would file a further appeal on this.