Freehold strata office floor at 15 Scotts for sale at $52.5 mil
Clemence Lee, corporate head of capital industry, Singapore, at CBRE, indicates that freehold strata office floors stay strongly sought after by both owner-occupiers and also clients, given that such assets are snugly held and also rarely offered. “As a result of their rarity, there have actually been no purchases in the last 4 years involving entire strata workplace flats in Orchard Road,” he says.
A strata workplace floor at 15 Scotts, a real estate business development in the Orchard Road district, is up for sale via an expression of interest exercise at an indicative cost of $52.5 million. CBRE is the privileged marketing agent for the estate.
Formerly known as Thong Teck Building, 15 Scotts is a nine-storey strata-titled profitable development with a 40m-wide front view along Scotts Road, off Orchard Streets. The property went through extensive investment enhancement functions, consisting of a brush up of the typical locations as well as improvement of the façade, which was concluded in 2015.
The last strata office level deal occurred in October 2017, when the whole 18th level at Tong Building was cost $23.3 million to Top Global. Prior to that, the full 13th floor at Tong Property was offered in May 2016 to the family office of high-end watch and also jewelry house Chopard for $25.5 million.
Lee expects the fad to linger, considered that Orchard Road is amongst the crucial locations where strata subdivision is no longer admitted existing developments as well as on redevelopment locations. “This restriction will certainly further restrict the supply of good-quality freehold strata offices available for sale as well as existing good-quality strata workplace developments such as 15 Scotts will certainly stand to profit,” Lee puts in.
The real property is within walking range of the primary Orchard Roadway retail belt as well as Orchard MRT Terminal on the North-South Line. The terminal can likewise end up being an interchange for the Thomson-East Coast Line by end-2022.
The strata office level extends 13,734 sq ft, standing for about 12.7% of the overall strata area, or 12.6% of the total share price of the advancement. Based upon the floor area, the indicative rate works out to $3,822 psf.
15 Scotts is in addition expected to take advantage of the ongoing renewal of the Orchard Road district, which Lee thinks will assist sustain solid service as well as capital appraisal for units at the development.
The expression of interest exercise for the strata office level at 15 Scotts will close on Oct 6 at 3pm.