Commercial site at Hoe Chiang Road and Lim Teck Kim Road up for collective sale at $216 mil

and Cantonment MRT Station, on EdgeProp.sg
Activated by the upcoming completion of two MRT stations in 2026, a collective sale of a 999-year leasehold commercial site is set to launch on Jan 19, according to PropNex Realty.

The entire premises–comprised of two rows of commercial buildings – 1-9 Hoe Chiang Road and 2-10 Lim Teck Kim Road–as well as a piece of remnant land at the centre–has a total estimated area of 18,540 sq ft and a reserve price of $216 million. The land is zoned for commercial use and has a gross plot ratio of 5.6.

According to PropNex, the reserve price works out to an estimated land rate of $2,602 psf ppr for an office development, inclusive of a land betterment charge of $54.1 million. Alternatively, if the new owner wishes to redevelop the site into a hotel, the reserve price Tengah Plantation EC would be $2,662 psf ppr inclusive of an estimated land betterment of $60.4 million.

The two existing buildings on the plot are only five-storeys, but Tracy Goh, head of investment and collective sales at PropNex, notes that the buyer will have the potential to realise great gains from the plot ratio of 5.6 under the URA Master Plan by redeveloping the site into a 35-storey tower.

Goh notes that the site could be used to develop a hotel or serviced apartment to serve tourists and business travellers. “As international travel resumes post-pandemic and the government having earmarked about $500 million to kick-start the tourism industry, we expect Singapore’s hospitality sector to see a sustained recovery over the next few years,” she says.

The property is located close to the Greater Southern Waterfront precinct, with Tanjong Pagar MRT station a stone’s throw away. In the vicinity, Goh notes nearby redevelopment projects include Keppel South Central, Newport Tower, the former Realty Centre, and the upcoming One Bernam.

Given its location and potential, Goh expects high buying interest for the commercial site. She adds that in light of the property cooling measures rolled out in December 2021 and September 2022, more investors may be attracted to Singapore’s commercial property sites, which are not subjected to additional buyer’s stamp duty.

The collective sale tender for the site is closing on Mar 22 at 2pm. Those interested can check out the latest listings near Hoe Chiang Road, Lim Teck Kim Road, Tanjong Pagar MRT Station, Prince Edward Road and Cantonment MRT Station on EdgeProp.sg.