City Plaza owners eye another mega en bloc attempt with S$970 million reserve price

[SINGAPORE] Owners at City Plaza, a freehold mixed development in Geylang, are edging closer to the 80 per cent mandate required to launch a third collective sale attempt with the reserve price set at S$970 million, The Business Times has learnt.

The development’s collective sale committee (CSC) said that it has secured 78.37 per cent support from owners by strata area, and 76.57 per cent by share value – putting it within reach of the threshold needed to formally launch the en bloc process.

Huttons has been appointed as marketing agent for the development.

Terence Lian, Huttons Asia’s head of investment sales, said: “City Plaza remains a rare large-scale freehold, city-fringe commercial site.”

He added: “Subject to the requisite consent threshold being met, Huttons will submit an outline application as part of its advisory role to enhance planning clarity and assist potential bidders in assessing the site’s redevelopment parameters.”

City Plaza is zoned for commercial use with a gross plot ratio of three. The complex sits on a site spanning about 13,146 square metres (sq m), with gross floor area of 33,781 sq m.

The 18-storey freehold property was built in 1980 by City Developments Ltd (CDL) and is the company’s first mixed-development project. It has a total of 450 units, including 384 strata retail units and 66 residences, and is known for wholesale retail clothing shops.

Apart from individual investors who hold most of the units, City Plaza owners include UOB, which owns space that formerly housed a bank branch in the building amounting to about 1.51 per cent of the development’s share value. Developer CDL still owns some retail units, which BT understands amount to a holding of under 10 per cent.

The CSC has until Feb 14 to secure the required 80 per cent mandate under the current collective sale agreement, the committee added.

This is City Plaza’s third attempt at an en bloc sale. The first attempt in 2018, with a reserve price of S$1.05 billion, secured 53 per cent support and fell short of the threshold needed to launch the sale.

A second attempt in 2021, with a lower reserve price of S$970 million, garnered 79.3 per cent support but still did not cross the threshold.

The latest push comes amid mounting challenges faced by owners of the ageing strata mall. According to the CSC, many owners have held their units for a long time, and a majority are already in retirement and looking to cash out. Many owners also face difficulties selling their units in the resale market, and escalating maintenance and repair costs.

“Rental will worsen after the refurbished Tanjong Katong Complex reopens; many City Plaza tenants have indicated that they will move over,” said the committee.

Tanjong Katong Complex, now being redeveloped by The Elegant Group, is across the road from City Plaza. In June 2025, the group’s Jun Jie Development placed the top bid of S$90 million for the property in the Geylang Serai cultural belt at a state tender. Completion is expected in 2027.

City Plaza also faces the Kinex shopping mall – which The Elegant Group acquired from UOL in September 2025 for S$375 million – and is near Paya Lebar Quarter and SingPost Centre.

The Elegant Group, linked to Chinese businessman Zhao Zhichao, also acquired Clementi Mall from Cuscaden Peak for S$809 million in December 2025. In addition, it owns Grantral Mall @ Clementi, Grantral Mall @ Macpherson and Changi City Point.