Chinatown Plaza became the most current acquisition of Royal Golden Eagle’s Singapore unit.
The corporation covers businesses ranging from paper to palm oil to pulp. The collective sales deal closed at S$260 million.
Sukanto Tanoto, an Indonesian businessman, is the founder of the conglomerate. Royal Golden Eagle cashed out S$1,915 per sq ft per plot ratio, based on a statement by Edmund Tie & Co.
The business brokerage firm took charge of the en bloc commercial sale.
The strategic location of the site is on Craig Road, covering a total of 33,953 sq ft area, which was for commercial and residential purposes, according to the 2014 Master Plan.
The maximum permissible gross floor area of the property is 135,742 sq ft, which is open for redevelopment.
RGE already received the permission from the Urban Redevelopment Authority for the enhancement of the site in order to cater to serviced apartments for commercial use.
The deal stated that all unit owners could earn up from $3.44 million to S$4.79 million in sales proceeds.
On the other hand, retail shop owners could potentially make between S$1.64 million and S$10.62 million, based on their unit sizes.
Swee Shou Fern, the Director for Investments of ET&C, believe that RGE made a good purchase since there are not too many areas offering freehold sites, specifically premises for mixed or multiple purposes.
The ideal location of Chinatown Plaza and its easy MRT station access along with the growing community, makes the site an ideal place for developers, offering perfect opportunities for serviced apartments.
Royal Golden Eagle can make the freehold site the conglomerate’s long-term investment as well. The assets of RGE are more than US$18 billion and the corporate giant is enjoying an international influence especially in the manufacturing business.
The marketing agent, Edmund Tie & Company is also in charge of Casa Meyfort, another freehold site, which is located in District 15. Its tender closed on May 21.
In 2018, the business brokerage was able to make en bloc sales particularly for Toho Mansion, Asia Gardens, Makeway View, and Peak Court in District 11.
They also sealed the deal for Chinatown Plaza, making more than $1 billion collective sales.