Commercial site at Hoe Chiang Road and Lim Teck Kim Road up for collective sale at $216 mil
The structures are located at 1 to 9 Hoe Chiang Road (odd numbers solely) and 2 to 10 Lim Teck Kim Road (even numbers only). Together with the portion land, the whole spot has a complete approximated land area of around 18,540 sq ft. The rectangular-shaped plot is zoned for commercial use and has a gross plot ratio of 5.6.
A 999-year leasehold business site bounded by Hoe Chiang Road and Lim Teck Kim Road are going to be released for combined sale on Jan 19, according to a press release by marketing representative PropNex Realty, The site, which makes up 2 rows of commercial buildings and a portion of portion land around them, has a reserve rate of $216 million.
The reservation price works out to a projected land rate of $2,602 psf per plot ratio (psf ppr) for a business development, inclusive of a land betterment charge of $54.1 million, according to PropNex. The professional includes that the buyer has the alternative to redevelop the area into a hotel property, in that case the reservation cost would certainly translate to a property price of $2,662 psf ppr inclusive of a projected land betterment fee of $60.4 million.
She puts that the location provides an excellent chance to construct a new resort or serviced apartment to offer tourists plus business tourists. “As international tour comes back post-pandemic and the government having reserved around $500 million to kick-start the travel sector, we project Singapore’s hospitality field to view a sustained recovery over the next couple of years.”
Tracy Goh, top head of investment and also collective sales at PropNex, observes that the two standing properties on the plot are only five-storeys high. “The successful purchaser can redevelop this site to build a 35-storey high rise to find out potential returns from the plot ratio of 5.6 following the URA Master Plan,” she clarifies.
Provided the site’s site and redevelopment potential, Goh anticipates keen acquiring interest for the plot. She includes that due to the property cooling down solutions rolled out by the government in December 2021 and also September 2022, more investor might transform their attention to commercial real property places, that are not subjected to added purchaser’s stamp responsibility.
The spot is situated near to the Greater Southern Waterfront district and is just within strolling distance to the Tanjong Pagar MRT Terminal, along with the upcoming Cantonment and Prince Edward Roadway MRT Terminals which schedule for completion in 2026. Goh also anticipates the site to even more gain from the continuous restoration happening in its area. Redevelopment projects in the area involve Keppel South Central, Newport Tower and also the former Realty Centre, while upcoming mixed-use property One Bernam is additionally close.
The collective sale tender for the site is going to finalize on Mar 22 at 2pm.