Parkway Hospitals pays $31.33 mil or a record $4,562 psf for sixth floor office at Tong Building
According to a real property title quest, Parkway Hospitals Singapore was the purchaser of the office level at Tong Property. Parkway Hospitals Singapore belongs to Bursa Malaysia-listed private healthcare provider IHH Healthcare. The medical provider is an occurring occupant in the building, covering half of the sixth level. The other fifty percent of the ground is taken up by 2 various other health care firms.
It makes sense for Parkway Hospitals to buy the whole sixth floor of Tong Building, given its distance to Mount Elizabeth Hospital and Medical Centre, which is just a quick walk up the road.
The $4,562 psf for the 6th floor of Tong Building is “a record-breaking price in psf terms, setting a brand-new benchmark in Singapore’s strata office market,” states Savills’ Yap. She considers the agreement “a landmark transactions in Singapore’s realty history”.
According to Yap, there was significant interest from a diverse pool of bidders, including end-users and home offices.
Yap expects the strata office marketplace to continue its upward trajectory. “With companies increasingly seeking adaptable office options and adapting to crossbreed job models, strata offices are coming to be a lot more appealing than ever before,” she says. “The resilience of the market and its ability to meet evolving need indicate a promising outlook for the future.”
Furthermore, she dealered the previous high at Solitaire on Cecil in the CBD. It was for 3 entire strata levels extending 37,857 sq ft at the 20-storey, freehold Solitaire on Cecil in the CBD. The 3 levels were brought an aggregate of $162.8 million, or $4,300 psf, in April 2023.
The whole sixth level of Tong Property on Orchard Street was offered for $31.33 million, based upon a caveat on September 3. The whole strata office ground utilizes a space of 6,867 sq ft. The acquisition cost reflects a unit rate of $4,562 psf, which is the highest psf fee for a workplace in the prime districts to day. Yap Hui Yee, executive manager of investment sales and capital markets at Savills Singapore, brokered the deal.
Tong Building is a 19-storey, freehold strata-titled office building at the corner of prime Orchard Roadway and Mount Elizabeth. It was built in 1978 by TG Development. Next door is Paragon mall, and Mount Elizabeth Hospital and Medical Centre are causing it.
