Commercial site at Hoe Chiang Road and Lim Teck Kim Road up for collective sale at $216 mil
Tracy Goh, head of investment and collective sales at PropNex, recognizes that the two existing properties on the plot are only five-storeys high. “The fortunate customer can redevelop this place to construct a 35-storey tower to realise possible profits from the plot ratio of 5.6 following the URA Master Plan,” she clarifies.
Given the area’s location and redevelopment possibility, Goh assumes keen acquiring enthusiasm for the plot. She includes that due to the real estate cooling measures rolled out by the government in December 2021 and also September 2022, even more investor might turn their interest to commercial real property places, that are exempt to additional customer’s stamp responsibility.
The collective sale tender for the site will close on Mar 22 at 2pm.
She adds that the site offers an excellent possibility to develop a new hotel or serviced apartment to help visitors and organization travellers. “As foreign travel carries on post-pandemic and also the authorities having actually earmarked around $500 million to kick-start the tourism sector, we anticipate Singapore’s hospitality market to see a sustained improvement over the following couple of years.”
The reserve price manages out to an estimated land price of $2,602 psf per plot ratio (psf ppr) for an office project, inclusive of a land betterment fee of $54.1 million, according to PropNex. The specialist adds that the customer has the alternative to redevelop the area right into an accommodation development, in which case the reserve price would certainly translate to a property price of $2,662 psf ppr inclusive of an approximated land improvement cost of $60.4 million.
A 999-year leasehold business location bounded by Hoe Chiang Road as well as Lim Teck Kim Road are going to be introduced for combined sale on Jan 19, according to an announcement by marketing agent PropNex Real estate, The site, which consists of two rows of commercial buildings and a piece of remnant land amongst them, has a reservation cost of $216 million.
The spot is positioned close to the Greater Southern Waterfront district and also is within walking distance to the Tanjong Pagar MRT Terminal, in addition to the upcoming Cantonment and even Prince Edward Roadway MRT Terminals and that are due for finish in 2026. Goh also anticipates the spot to extra gain from the ongoing revitalization occurring in its vicinity. Redevelopment projects in the location include Keppel South Central, Newport Tower and the previous Real estate Centre, whilst upcoming mixed-use development One Bernam is even close.
The premises stand at 1 to 9 Hoe Chiang Road (odd numbers only) and 2 to 10 Lim Teck Kim Road (even numbers only). Together with the remainder land, the overall spot has a full projected acreage of around 18,540 sq ft. The rectangular-shaped plot is zoned for profitable use furthermore has a gross plot ratio of 5.6.
