Commercial site at Hoe Chiang Road and Lim Teck Kim Road up for collective sale at $216 mil
Tracy Goh, head of financial investment also collective sales at PropNex, recognizes that the two standing properties on the plot are exclusively five-storeys high. “The victorious customer can redevelop this place to develop a 35-storey tower to find out prospective profits from the plot ratio of 5.6 following the URA Master Plan,” she explains.
Offered the site’s site and redevelopment potential, Goh assumes keen buying enthusiasm for the plot. She includes that due to the real estate cooling strategies rolled out by the state in December 2021 and September 2022, even more investor may switch their interest to commercial real estate sites, that are not subjected to additional purchaser’s stamp responsibility.
The cumulative sale tender for the site will finalize on Mar 22 at 2pm.
The location is positioned near the Greater Southern Waterfront precinct and also is inside strolling proximity to the Tanjong Pagar MRT Station, along with the upcoming Cantonment and Prince Edward Road MRT Stations which schedule for finalization in 2026. Goh also expects the location to extra take advantage of the continuous revitalization happening in its location. Redevelopment ventures in the area include Keppel South Central, Newport Tower and the former Realty Centre, while upcoming mixed-use property One Bernam is additionally close by.
The structures rise at 1 to 9 Hoe Chiang Roadway (odd numbers only) together with 2 to 10 Lim Teck Kim Road (even numbers only). Together with the remnant land, the entire spot has a total projected acreage of around 18,540 sq ft. The rectangular-shaped plot is zoned for retail use furthermore has a gross plot ratio of 5.6.
The reserve cost works out to a projected land rate of $2,602 psf per plot ratio (psf ppr) for a business development, inclusive of a land improvement charge of $54.1 million, according to PropNex. The expert adds that the purchaser has the option to redevelop the area into an accommodation change, in which situation the reserve price will translate to a land price of $2,662 psf ppr inclusive of a projected land betterment cost of $60.4 million.
She includes that the location presents an excellent possibility to build a new hotel or serviced residence to offer visitors and organization travellers. “As overseas tour comes back post-pandemic and also the authorities having allowed about $500 million to kick-start the travel industry, we anticipate Singapore’s hospitality sector to view a continual recovery over the upcoming few years.”
A 999-year leasehold commercial site bounded by Hoe Chiang Road as well as Lim Teck Kim Roadway are going to be introduced for combined sale on Jan 19, according to an announcement by marketing agent PropNex Real estate, The area, which consists of 2 rows of business establishments along with a piece of remnant land amongst them, has a reservation rate of $216 million.