Commercial site at Hoe Chiang Road and Lim Teck Kim Road up for collective sale at $216 mil
Tracy Goh, top head of investment and collective sales at PropNex, observes that the two standing buildings on the plot are only five-storeys high. “The fortunate buyer can redevelop this site to build a 35-storey high rise to realise potential returns from the plot ratio of 5.6 following the URA Master Plan,” she clarifies.
The reserve cost works out to an approximated land fee 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 includes that the buyer has the alternative to redevelop the location right into an accommodation change, in that situation the reserve rate would equate to a property charge of $2,662 psf ppr inclusive of an estimated land betterment fee of $60.4 million.
The buildings are located at 1 to 9 Hoe Chiang Roadway (odd numbers only) and 2 to 10 Lim Teck Kim Roadway (even numbers only). Together with the remainder land, the whole location has a complete estimated land area of around 18,540 sq ft. The rectangular-shaped plot is zoned for commercial use furthermore has a gross plot ratio of 5.6.
The location is situated close to the Greater Southern Waterfront precinct and also is inside strolling range to the Tanjong Pagar MRT Terminal, along with the upcoming Cantonment and even Prince Edward Roadway MRT Terminals and that are due for finalization in 2026. Goh even prepares for the spot to further take advantage of the continuous rejuvenation happening in its location. Redevelopment ventures in the area include Keppel South Central, Newport Tower as well as the past Realty Centre, whilst upcoming mixed-use property One Bernam is even close by.
The collective sale tender for the place will finalize on Mar 22 at 2pm.
A 999-year leasehold business location 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 a press release by marketing representative PropNex Real estate, The site, which consists of 2 rows of business structures along with a portion of remnant land around them, has a reserve price of $216 million.
Offered the site’s location and redevelopment capability, Goh expects avid buying enthusiasm for the plot. She adds that in light of the building cooling measures rolled out by the state in December 2021 and also September 2022, more real estate investors might turn their focus to business property sites, which are not subjected to added buyer’s stamp duty.
She includes that the location offers a great chance to develop a new resort or serviced flat to serve travelers and organization travellers. “As foreign tour resumes post-pandemic and also the authorities having actually allowed around $500 million to kick-start the travel sector, we expect Singapore’s warmth market to observe a maintained improvement over the upcoming few years.”