Three Jalan Besar shophouses back on the market at S$44 million, after earlier deal stalls
Located at the junction of Jalan Besar and Sam Leong Road, the three shophouses sit on a single freehold land lot of 6,378 square feet with a gross floor area of about 13,000 square feet
THREE adjoining conservation shophouses in Jalan Besar have been relaunched for sale at a guide price of S$44 million via a public tender exercise. This comes after a deal for the three shophouses in September 2023 fell through.
According to a previous report by The Business Times, the deal involved Crescendas Group chairman Lawrence Leow and his family for a purchase price S$38.5 million. Although that sale was unsuccessful, Knight Frank executive director of capital markets Mary Sai highlighted that demand for shophouses remains resilient, thanks to their scarcity and investment potential.
Just last month, a four-storey shophouse at North Bridge Road was reportedly sold for around S$42 million or S$5,833 per square foot (psf). A deal was said to be brewing for another three adjoining shophouses facing North Bridge Road, next to Bugis Cube. The price was said to be between S$75 million and S$85 million.
“Such shophouses are popular among both investors and owner occupiers, as they feature good frontages to main roads, naming and signage rights, and the opportunity to lease the spaces to multiple tenants and/or partial own use,” Sai said.
Marketing agent Knight Frank declined to comment on why the previous deal fell through.
BT understands that there was an amicable termination of the previous deal, after the option to purchase the properties was exercised on Sep 27, 2023. The caveat lodged has since been removed.
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Rectification works are currently in progress to meet the Building and Construction Authority’s requirements. All tenants have vacated the premises, and the shophouses will be sold with vacant possession.
Located at the junction of Jalan Besar and Sam Leong Road, the three shophouses sit on a single freehold land lot of 6,378 square feet with a gross floor area of about 13,000 square feet.
It is zoned commercial under the Urban Redevelopment Authority 2019 Master Plan and within the Jalan Besar Secondary Settlement conservation area, with a 3.0 plot ratio.
The rear of the property can be extended up to six storeys to increase the total gross floor area, subject to approval from authorities.
In a press statement on Monday (Oct 14), Knight Frank said there is also potential for leasing to food and beverage outlets on the ground floor, which was formerly tenanted by an eating house. The upper floors are suitable for co-working spaces or service apartments, subject to approval, it added.
“Savvy investors would recognise this rare opportunity for acquisition, which brings opportunities to increase the floor area to maximise the property’s best use,” said the consultancy. “The scarcity of three or more adjoining conserved shophouses in District 8 (Little India, Jalan Besar) for sale, declining interest rates and shophouse transactions picking up adds to its appeal.”
The public tender exercise for the three shophouses closes on Nov 15 at 3 pm.
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