Tanoto family’s Pacific Eagle Real Estate seeks S$118 million for Bukit Timah mixed-use property
The company had earlier acquired the site in a 2021 collective sale for S$53.9 million
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[SINGAPORE] A freehold mixed-use development in Bukit Timah has been put up for sale via an expression of interest by Pacific Eagle Real Estate, with an indicative price of S$118 million.
The asking price translates to about S$2,193 per square foot (psf) per plot ratio, assuming the new development is built up to the maximum plot ratio of three, said exclusive marketing agent Cushman & Wakefield on Friday (Mar 27).
Located at 551 to 553 Bukit Timah Road and 6 to 8B Duke’s Road, the development is fully occupied, with tenants including Atlas Coffeehouse, Hello Arigato cafe and co-living operator The Assembly Place.
The bloc of properties was acquired in a collective sale in 2021 for S$53.9 million by Hillcrest Investments. This is an affiliate of Pacific Eagle Real Estate, the private real estate investment and development arm of Indonesian businessman Sukanto Tanoto and his family.
Pacific Eagle Real Estate recently acquired a piece of remnant state land next to the bloc of properties, enlarging the site to about 18,512 square feet (sq ft). The site is zoned for commercial and residential use.
Hillcrest Investments had applied to the Urban Redevelopment Authority for planning permission to build a five-storey mixed-use redevelopment. This comprises two storeys with a mezzanine for commercial use and three storeys with an attic for residential units above. Planning permission was granted in November 2023, and extended until 2027.
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The proposal included plans for six strata commercial units, all approved for food and beverage (F&B) and residential units on the upper floors.
“From time to time, we rebalance our portfolio to optimise capital allocation. With key value-enhancing milestones achieved since 2021, we believe this is an opportune time to evaluate options for the asset,” a Pacific Eagle Real Estate spokesperson told The Business Times.
Shaun Poh, executive director of capital markets at Cushman & Wakefield, said: “There is a dearth of new retail/F&B developments in the area. Transactions in older freehold strata developments, such as Coronation Shopping Plaza and Holland Road Shopping Centre, have consistently traded at S$4,000 to S$5,000 psf.”
He added that the new freehold strata retail and F&B units in the freehold development will offer potential buyers a “unique opportunity to establish a presence in this highly sought-after area”.
Investors may also “retain the property as an income-generating asset while land-banking for future development potential”.
Located in District 10, the property is surrounded by Good Class Bungalow Areas, landed housing and condominiums. It is also close to popular schools such as Raffles Girls’ Primary School, Nanyang Girls’ High School and Hwa Chong Institution.
Nearby Serene Centre was sold for S$105 million, or S$2,212 psf, in 2024 to the Teo family behind three-in-one coffee empire Super Group. The Assembly Place was appointed to manage the property. The mall underwent a substantial revamp, including the conversion of apartments into co-living spaces and a refresh of the retail areas.
BT earlier reported that Altallo Asset Management is paying nearly S$32.4 million, or S$3,177 psf on strata area of 10,193 sq ft, for the ground-floor unit occupied by FairPrice Finest supermarket at Coronation Shopping Plaza.
The expression of interest exercise for the mixed-use development closes on May 5.
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