Commercial site in CBD relaunched for collective sale at $216 mil
The site, which makes up two rows of commercial buildings and a piece of remnant land between them, has a reservation price of $216 million. The rate is unchanged from the previous tender kicked off on Jan 19 for the place. The tender had sealed on March 22 with no proposals.
Goh includes that the area is not influenced by constraints limiting the strata community of business estate in the CBD, which will use more adaptability to the buyer to redevelop the plot right into a strata-titled office complex. “The constraints on strata class is assumed to scrunch the supply of strata-titled office space units in the urban area center, and also it will certainly aid to prop up the demand for and rates of such workplace.”
The buildings are at 1 to 9 Hoe Chiang Road (odd numbers only) and also 2 to 10 Lim Teck Kim Roadway (even numbers only). Alongside the portion place, the overall location has a total projected land area of around 18,540 sq ft. The plot is zoned for commercial usage and has a complete plot ratio of 5.6.
The tender for the location is going to close on May 31 at 2pm.
The reserve rate translates to an estimated land premium of $2,610 psf per plot ratio (ppr) for a workplace enhancement, consisting of a land betterment charge (LBC) of $55 million. The purchaser likewise has the option to redevelop the location as a resort project, which would put the real estate rate at $2,671 psf ppr, inclusive of the estimated LBC of $61.3 million, says PropNex.
A 999-year leasehold commercial site bounded by Hoe Chiang Road and also Lim Teck Kim Roadway in the Downtown Core are going to be relaunched for collective sale by means of tender on May 17, according to an announcement by marketing agent PropNex Realty.
Therefore, she prepares for the location at Hoe Chiang Road as well as Lim Teck Kim Roadway to attract interest from customers, particularly given its location and also term. “Currently, there are no other 999-year tenure industrial locations available for sale in the CBD,” she includes. The website is inside strolling range of Tanjong Pagar MRT Terminal (East-West Line) as well as 2 upcoming stations – Cantonment also Prince Edward Road terminals on the Circle Line – which are register to be prepared in 2026.
Tracy Goh, PropNex’s head of investment and cumulative sales, feature the industrial zoning of the place means that it is not subjected to additional buyer’s stamp duty (ABSD). Furthermore, the top office market continues to be resilient, with rental fees rising 5.1% q-o-q in 1Q2023. Goh expects the healthier office industry and also the ABSD increases publicized as part of the latest round of cooling down actions to result in revived investment attention in the retail property segment.