Golden Mile Complex enbloc to consortium for $700m

About Golden Mile Collective Sales

The Golden Mile Complex was sold for S$700 million to joint venture that comprises of Perennial Holdings, and Far East Organization and Sino Land said Edmund Tie, the complex’s sole marketing agent.

This is because the agent got “overwhelming support” for the sale. In a letter to owners in April, it said that more than 80% of owners agreed to the sale in terms of both the strata area and the share value.

The Strata Titles Board has to agree that the landmark can be sold before it can happen.

 

Golden Mile sold as a Conserved Building

The head of investment advisory at Edmund Tie, Ms. Swee Shou Fern, said that this is the first time a large strata-titled development has been sold as a conserved building in Singapore.

The 16-story building was built in 1973. In October of last year, it was declared a conserved building because of its historical and architectural importance.

Ms. Swee also said that the sale “could only be done with the strong support” of the 718-unit development’s owners.

Irene Loi, who is in charge of the development’s collective sale committee, said that the process of closing the deal was “long and hard.”

But she thanked the government for helping with conservation incentives “as an incentive to make development options more appealing to developers so that they will take on the conservation”.

Some of these are not having to pay certain development fees and being able to get a new 99-year lease if certain things are approved.

She also said, “The building is close to 50 years old and has a lot of wear and tear. The cost of keeping and fixing the old building has been going up.”

“The committee for the collective sale would like to thank Golden Mile Complex for their decisive decision, which made it possible for this collective sale to go through.”

 

Development to be Sensitively Restored

Perennial Holdings owns 50% of the joint venture, while Far East Organization and Sino Land each own 25%.

In a statement, the three said that the existing building will be “carefully restored,” with a focus on keeping its key features and distinctive terraced shape.

 

Potential of the Site

Developers will be turning the Golden Mile Complex into a mixed-use building with office, retail, and living space.

The CEO of Perennial, Mr. Pua Seck Guan, said that the building will be a “distinctive” addition to the company’s portfolio, which already includes a number of national monuments or buildings that have been preserved. CHIJMES and the Capitol Singapore are two of these.

He said that the company’s “strong track record” in similar projects and the expertise of its partners make it “well-positioned to give one of Singapore’s most iconic facade a new lease of life.”

Mr. Marc Boey, who is in charge of Far East Organization’s property services division, said that the goal of this partership is to turn this “important heritage development into a new center of attention for the area.”

The builders will also “keep adding to the rich history and memories of the landmark,” he said.