A PAIR of adjoining three-storey conservation commercial shophouses at 44 and 46 Club Street have been put on sale, said Cushman & Wakefield on Tuesday. The properties will be sold with existing tenancy at a price of S$25 million for both shophouses, the real estate company told The Business Times.
The 999-year shophouses have a combined land area of 221.8 square metres (about 2,387 square feet) and their total floor area is estimated to be about 6,208 sq ft. Under the Urban Redevelopment Authority's Master Plan 2014, the shophouses are sited on "commercial" land within the historic district of Chinatown-Telok Ayer in the Central Business District (CBD).
Foreigners are eligible to purchase the properties and additional buyer's stamp duty is not required. The sale will be conducted through an expression of interest exercise which closes on March 19, 2019, at 3pm.
Shaun Poh, Cushman & Wakefield executive director of capital markets, calling the the properties "an exceptional investment opportunity", said: "More than 1,000 new hotel rooms are expected to be added in the locale, injecting vibrancy and increasing tourism footfall, with the ongoing construction of new hotels in the vicinity, namely The Clan and Capri by Fraser, coupled with the recent sale of the government land sale hotel site at Club Street."
He added that prospective buyers will enjoy the complementary benefits of potential rental and capital growth upon the completion of the new hotels.
The marketing agent said that conservation commercial properties in prime central locations "remain highly sought after by investors" such as boutique funds, family offices and high net worth individuals looking to enhance the value of their investment portfolio, riding on the limited supply of this asset class".
"We expect keen interest from end-users who are looking to locate their business in a building with naming rights within the CBD."