Shenton House launches $590 mil collective sale tender
Shenton House gets on a 36,350 sq ft, rectangular-shaped spot that brags triple road front views on Shenton Way, Park Street, and Shenton Land. The 99-year leasehold development currently contains 203 profitable units including a carpark.
MRT terminals close to the location are Shenton Way on the Thomson-East Coast Line, Marina Bay Interchange on the North-South and also Circle Lines, Downtown on the Downtown Line, and Tanjong Pagar on the East-West Line.
Shenton House, a business building on Shenton Way in the CBD, has released a collective sale tender with a reservation price of $590 million.
According to an announcement from JLL, the single marketing broker, the commercial property’s unit land fee is based upon the locations’ industrial area with a 40% residential gross floor area (GFA), plus this mirrors approximately $2,035 psf per plot ratio (ppr) at a gross plot ratio of 14.0.
Under the CBD Incentive Scheme revealed in 2019, the location is eligible for a 25% reward GFA and can possibly be redeveloped right into a mixed-use or lodging property development, at a gross plot ratio of 14.0.
This unit land price features the approximated $446 million costs of the land enhancement cost together with a lease top-up fee to a new 99-year land term. Moreover, in case an extra 7% bonus balcony GFA for the household factor is included, the unit land premium will be approximately $2,012 psf ppr.
“We’re certain in Singapore’s capability to place quality CBD properties in the middle of climbing need coming from both the clients and owner-occupiers who are looking at having a stake in the medium- to extensive opportunities of the country,” states Tan.
Neighbouring commercial buildings involve Asia Square Towers 1 & 2, UIC Building, OUE Downtown, and even SGX Centre. The upcoming IOI Central Blvd Towers, Marina One mixed-use development, Capital Tower, also incorporated property Guoco Tower are also in the vicinity.
” The area is essentially located in the top District 1, a well-established area for Grade-A business offices that attract big firms,” claims Tan Hong Boon, executive supervisor of investment markets at JLL. “Developers can certainly capitalise on the enhancing need for residences in mixed-use projects as well as offer high-end flats with ground-floor retail and F&B to enhance the business presence.”