MRT Station, and Cantonment MRT Station on EdgeProp.sg
A piece of commercial property located in the highly sought-after Tanjong Pagar area of Singapore with a 999-year leasehold is set to be launched on the collective sale market on the 19th of January. According to PropNex Realty, the press release marketing agent, the space consists of two rows of commercial buildings and a remnant land sitting between them and has a reserve price of $216 million.
The two commercial buildings are located at 1 to 9 Hoe Chiang Road (odd numbers only) and 2 to 10 Lim Teck Kim Road (even numbers only) and the entirety of the site has a total estimated land area of 18,540 sq ft. The plot is rectangularly shaped and zoned for commercial use with a gross plot ratio of 5.6.
The reserve price equates to an estimated land rate of $2,602 psf per plot ratio (psf ppr) for an office development, inclusive of the land betterment charge of $54.1 Bukit Batok EC million. Alternatively, the buyer may opt to redevelop the site into a hotel, then the reserve rate translates to a land rate of $2,662 psf ppr including an estimated land betterment charge of $60.4 million.
Tracy Goh, head of investment and collective sales at PropNex, points out that the existing buildings are only five-storeys high, so the buyer has the potential to construct a 35-storey tower, taking advantage of the available plot ratio.
Goh notes that the site is well-located, being close to the Greater Southern Waterfront precinct and within walking distance of the Tanjong Pagar MRT Station, as well as the upcoming Cantonment and Prince Edward Road MRT Stations, which are due for completion in 2026. Further, the area is being rejuvenated, with Keppel South Central, Newport Tower and the former Realty Centre all undergoing redevelopment. One Bernam, a mixed-use development, is also nearby.
Taking into account the various factors, Goh expects that the property will receive keen buying interest. She further highlights the implications of the recent property cooling measures and suggests that more investors may start to turn towards commercial property which are not subjected to additional buyer’s stamp duty.
The collective sale tender for the site at 1 to 9 Hoe Chiang Road and 2 to 10 Lim Teck Kim Road will close on 22nd March 2021, 2 PM.
For those looking for a commercial property nearby, EdgeProp provides a directory of commercial listings in the surrounding area, including those near Hoe Chiang Road, Lim Teck Kim Road, Tanjong Pagar MRT Station, Prince Edward Road MRT Station, and Cantonment MRT Station.