Dickson Road’s Wanderlust Hotel which is a part of Little India Conservation Area is slated to change hands. This was stated by a company which is linked to Unlisted Collection, a hotel and restaurant group founded by Loh Lik Peng.
As a part of the deal the four-storey freehold conserved building would be sold for S$37 million. The hotel sits over a 4,634 sq ft site and has 15,000-16,000 sq ft built up floor area. It is being picked up by 8M Real Estate, a property investment company-based Singapore.
Wanderlust hotel which has 29 rooms along with a ground floor restaurant would continue to be operated by Unlisted Collection until the completion of the transaction
Ashish Manchharam, MD at 8M Real Estate said that the freehold property is well managed and well maintained with Loh and his team were doing a wonderful job at the hotel and it was one of the main reasons that they have picked up the property.
He also stressed on the fact that the location is attractive as it is close to Downtown Line’s Jalan Besar MRT Station in the Little India district.
There is lot of rejuvenation activity going on in the area with many redevelopments including the integrated project at the site of The Verge Mall being redeveloped into serviced residences and retail mall.
The project is expected to be completed by Q2, 2019.
This Dickson Road hotel is 8M’s first acquisition outside its preferred Districts 1 and District 2. It becomes a part it’s 42 other conservation properties that are estimated to be worth over S$500 million.
Mr Loh’s family had acquired the property through its company KMC Holdings for S$10.3 million back in 2008 from its previous owners the Singapore Buddhist Welfare Services.
Back then it housed a prayer hall, an educational facility as well as a kindergarten. KMC Holdings invested in major renovation work and the Art Deco style building which is of 1920s vintage was converted into a hotel.
Wanderlust Hotel even went on to win Urban Redevelopment Authority’s Architectural Heritage Award in 2011.
The award had lauded its efforts in restoring the painted ceramic titles in the front façade with a touch of finesse as the building’s upper storeys stained glasses.
The rejuvenated property has 29 rooms, a garden on the roof deck that also has a Jacuzzi as well as a popular restaurant in its ground floor.
Simon Monteiro, Associate Director Heritage Buildings at Savills Singapore brokered the deal for this property.
Mr Loh described the decision to sell Wanderlust Hotel as a part of revitalizing the portfolio and stressed that it is often done to derive maximum value out of the portfolio.
It had sold Keong Saik Road located Hotel 1929, an iconic property in 2013. He also denied any plans to part ways with his conservation property located in 31 to 37 Bukit Pasoh Road which is currently leased out to Straits Clan Club and once housed the New Majestic Hotel.
Mr Loh and his family have interest in several properties overseas that include boutique hotels in Sydney, Dublin, Shanghai and two properties in London.
In separate developments, 19 Hongkong Street located in Central Business District has been launched for sale at a probable price of S$18 million.
This would translate to S$2,310 psf when its 7,792 sq ft GFA is taken into account. Along with the 1,050 sq ft terrace area the price would work out to be S$2,036 psf.
It is part six and part four storeys. The site was comprehensively redeveloped in 2015 costing S$7 million that included lease upgrades and differential premium payments.
Prior to the redevelopment the site used to be a four-storey retail store with some vacant area in its rear part.
The 7.5 meter front façade of the building was mandated for conversation being part of the Upper Circular Road. The owners had built a six-storey extension maximizing the plot ratio of 4.2 in the area that has been zoned commercial.
Extensive renovation and structural had been executed along the faced and the owner also installed new AC and lighting along with a new mechanical-cum-electrical lift. The building’s lease was also increased with a 99-year term which started in October 2017.
JLL Singapore has been hired the marketing agent for the sale and have invited expression of interest exercise closing on August 8.
Clemence Lee, Associate Director Capital Markets at JLL said that Hongkong Street Area which is located between Boat Quay and Clarke Quay is a fast-growing Fashion & Beverage destination that enjoys popularity among locals as well as tourists.
It is also located in the close proximity of Raffles Place and Clarke Quay MRT stations.
Mr Lee also added that 19 Hongkong Street’s asking price is competitive considering recent transactions in the area in the last few months.
9 Hongkong Street which sold last month had received S$18.8 million which translates to S$2,513 psf with 7,481 sq ft GFA. CBRE had brokered the site.
Earlier 6 Hongkong Street was sold in May for S$13.75 million at a rate of S$2,700-2,800 psf.