Commercial Units, Residential Site Up For Sale

Source : The Business Times, March 18, 2008

SEVEN adjoining commercial units in Singapore Shopping Centre and a residential development in District 11 were put up for sale yesterday.

Colliers International will auction the commercial units on the third storey of the shopping centre in Clemenceau Avenue.

The seven units will be offered together and the asking price is in the region of $1,300-$1,500 per square foot (psf) - which works out to some $5.1-$5.9 million in all.

The units are offered with vacant possession and 99-year leasehold tenure with effect from May 1, 1948. The total floor area is 3,916 sq ft, with individual sizes ranging from 409 sq ft to 828 sq ft.

‘The successful bidder could choose to lease the units, which are suited for commercial schools or backroom office operations,’ said Grace Ng, Colliers International’s auctioneer. ‘We foresee these units commanding a potential yield of about $7.50-$8 psf.’

Alternatively, the buyer could sell the units individually at a later stage as they have separate titles, Ms Ng said.

‘Given the tight supply situation in the office sector, this is a rare opportunity for investors and owner- occupiers to acquire a sizeable commercial space in a well-located development,’ she added.

The auction is scheduled for March 26 at The Amara Hotel

Separately, Newman & Goh said yesterday that Pastoral View, a freehold residential site in District 11, is up for collective sale with an indicative price of $95 million - which works out to $996 psf per plot ratio (ppr), including an estimated development charge of about $400,000.

Located at the junction of Bassein Road and Akyab Road, the site covers 34,193 sq ft and has a 2.8 plot ratio, giving it a maximum gross floor area of 95,739 sq ft.

The site can be redeveloped up to 36 storeys from its current 10 storeys.

‘This ideal site is at the heart of the Novena lifestyle hub, yet nestled in an exclusive private enclave,’ said Jeffrey Goh, head of investment sales at Newman & Goh. ‘It will reap extraordinary benefits from the future growth cluster around Novena MRT station, making it a vibrant and desirable location for local and foreign home buyers - especially surgeons and medical executives working in the vicinity.’

The collective sale tender is expected to close at 3pm on April 16.