999-year leasehold shophouse on North Bridge Road starting from $10 mil
SINGAPORE (EDGEPROP) - The owner of a shophouse at 534 North Bridge Road and the owner of a building at 60 South Bridge Road have seperately put up their properties for sale by public tender. The properties are priced from $10 million and from $7 million, respectively. Based on the built-up area, the price translates to $3,333 psf for the shophouse and $1,077 psf for the other building.
The corner shophouse at 534 North Bridge Road is at the junction of North Bridge Road and Tan Quee Lan Street, and is close to Bugis Junction shopping mall and Bugis MRT interchange station.
The three-storey property is zoned for commercial use under the 2019 Master Plan, and all the floors are approved for restaurant usage with office use for the attic. The building has a 999-year tenure that started in 1827 and a total floor area of about 3,000 sq ft.
The shophouse is currently fully tenanted to Korean-owned dessert chain Nunsongyee and the rental lease is due to be renewed in 3Q2021, says Loyalle Chin, associate branch director at PropNex Realty and the agent marketing the sale. He adds that the property is fetching rental yields of about 2.5%.
“It is extremely rare to collect a corner commercial asset that is less than a minute walk to Bugis MRT interchange, making this one of the most compelling [shophouse offers] in the current market,” says Chin.
Beside the shophouse is the upcoming Midtown Modern, one of the residential components’ developer GuocoLand is planning for its Guoco Midtown integrated development. Nearby is The M by developer Wing Tai Asia, which launched the residential project in February this year.
Given its central location and proximity to the residential areas around Bugis, Chin expects some buyers may consider this location as a future central kitchen to facilitate food deliveries to residents living in the surrounding areas.
Seperately, the owner of the building at 60 South Bridge Road has decided to sell the building. The property at 60 South Bridge Road has a total floor area of about 6,500 sq ft and is zoned for commercial use under the latest Master Plan. The six-storey building has a 99-year tenure that started in 1951.
Last year, the owner put up the property for sale for $10 million. However, the property will now be sold with vacant possession at the new guide price that starts from $7 million, or about $1,077 psf on the built-up area, says Chin. “With the current sale price after a tremendous reduction, this presents a rare opportunity to buy a building in the Central Business District that is priced at a palatable quantum,” he says.
The tender exercise for both properties will close on June 3.
Source: EdgeProp, 29 April 2020