4-storey building near Beauty World Centre up for sale

Several properties, including shophouses and a freehold development, were put on the market yesterday amid a gradually improving sentiment in the real estate arena.

One is a mixed-use project – Goh & Goh Building – in Upper Bukit Timah Road, which has been put up for collective sale with an asking price of at least $120 million.

The freehold four-storey development, built in the late 1980s, has seven apartments and seven shops.

More than 80 per cent of the building’s owners have consented to what is a first attempt at a collective sale, marketing agent JLL revealed yesterday.

The site is next to Beauty World MRT station and near Beauty World Centre and Bukit Timah Shopping Centre.

“We expect Goh & Goh Building to appeal to developers looking to replenish their land bank in a strong growth area such as this – an established residential and commercial centre, yet with new amenities and future infrastructure being planned around it,” said Mr Tan Hong Boon, regional director at JLL.

He noted that some of the neighbouring land parcels have been earmarked for hotels, hospitals as well as residential and mixed-use developments.

If the collective sale goes through, each apartment owner will stand to pocket more than $6 million, while shop owners could reap in excess of $10 million each. “The sum they will receive is more than double the current market value for their units,” Mr Tan told The Straits Times.

The developer which outbids others will also have to pay a state development charge estimated at $15 million.

Taken together, JLL said it translates into a land rate of about $1,460 per sq ft per plot ratio on the potential gross floor area, before factoring in the 10 per cent bonus balcony gross floor area for the residential component.

Under the 2014 Master Plan, the 30,874 sq ft site is zoned “residential with commercial on the first storey” and with an allowable gross plot ratio of 3.0.

The site has a 60m main-road frontage, ideal for shops and food and beverage outlets.

“Depending on the proposed design and configuration, a developer is expected to be able to accommodate close to 100 residential units with an average size of 70 sq m, in addition to the shops on the ground level,” Mr Tan added.

Separately, CBRE announced the sale of a portfolio of three commercial shophouses in Holland Village, Chinatown and Kampong Glam.

The property at 22/22A, Lorong Mambong, is priced at $20 million; 54 and 56, Pagoda Street, at $28 million; and 780, North Bridge Road, at $6 million.

“Buyers are given the flexibility to bundle up all three shophouses into a single purchase or (go for) individual properties,” it added.