Several strata commercial strata units were up for sale, according to Colliers International. The units had 999-year leasehold tenures and were up by expression of interest.
A significant $13.89 million worth of 7 strata commercial units located at Peninsula Plaza is on the list. This translates to a $2,788 psf for a total of 4,983 square feet in strata area.
The commercial spaces include 6 retail units ranging between 463 square feet and 862 square feet. It also includes an office unit with 1,485 square feet in the floor area occupied by the owner. One retail unit is vacant while the other five are still occupied.
Buyers have the advantage of obtaining units with present tenancies on an as-is basis, according to Colliers.
Located close to the City Hall MRT interchange, Peninsula Plaza is comprised of a 5-storey retail podium, 24 storeys of office space and a car parking space which is enclosed in a 30-storey mixed-use structure. It has 999-year leasehold tenure and has excellent connectivity throughout the rest of the country via major roads including the Central Expressway (CTE).
A strata retail unit at The Adelphi with a 657 square feet area is being offered for about $2,740 per square foot or $1.8 million in price. It will be sold along with its existing tenancy. The unit is approved for night club use presently.
With its close distance to the City Hall MRT, Adelphi sits directly across the Peninsula Plaza.
The most recent deal made at The Adelphi includes a $1.1 million deal made in January this year. The deal was made for a 312 square feet strata retail unit located on the second floor. The price converts to about $3,524 per square foot.
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According to Steve Tan, Senior Director of Capital Markets and Investment Services at Colliers International, it is very much ideal for long-term investments as the units are just within close distance of City Hall. Property-investors who are seeking more secure income-generating resources with excellent growth potential. The area has good potential for en bloc and redevelopment to enhance and reconstruct it for a more vibrant spot for socializing.
An indicative price of $2,999 per square foot or $2 million is set for a strata retail unit with a 667 square feet floor area with an existing tenancy located at the Far East Shopping Centre.
The Far East Shopping Centre has an advantageous location address at the heart of Orchard Road. It has excellent visibility which is on point in attracting both local and foreign customers.
The most recent recorded deal for the Far East Shopping Centre was made in January for its 182 square foot third-storey strata unit. The deal is closed at a price of $4,700 per square foot or $860,000 in total.
Tan said the shopping centre will have better connectivity once the Thomson-East Coastline is completed in 2021. Driving to the Central Business District (CBD) will only take about 10 minutes, which makes it more accessible.
Location choice will also remain a key factor in choosing the ideal property investment despite the fact that some industries are dwindling down. An advantageous location with excellent footfall, great accessibility and steady revenue will surely attract investor interests mentioned Tan.
In total, the 9 strata retail units are worth a significant price of $17.69 million or translate to a $2,805 per square foot of strata area.
On September 3, the EOI for these strata units is scheduled to close.