CDB freehold shophouses Continue to Attract Investors
A pair of shophouses has been put up for sale in Kampong Bahru Road. The shophouses 69 and 71 are two-storey structures and enjoy conservation status.
Covering a land area of 2,343 sq ft, the two shophouses have an estimated 5,947 sq ft floor area including their attics.
As per the 2014 Master Plan of the Urban Redevelopment Authority, the site falls in a commercial zone. This makes foreign nationals eligible to acquire this property.
Since it is zoned commercial, Seller’s Stamp Duty and Additional Buyer’s Stamp Duty aren’t applicable on the transaction.
The shophouses were granted conservation status in October 1991 and are part of the Blair Plain Conservation Area.
As per information on the ground floor of the shophouse has a “Cheers” convenience stall and pub as its lease holder while the upper levels house several offices.
According to JLL the marketing agents for this property, the pub has KTV approvals which includes liquor licences and public entertainment.
Senior Director for Capital Markets at JLL, Clemence Lee stated that the prices for shophouses that fall within the Central Business District are transacting around the S$3,500 to S$4,000 psf at the moment.
Whereas the guide price between S$13 million and S$13.65 million for the sale property translates prices in the range of S$2,200 to S$2,300 psf. This is an excellent opportunity for a potential investor to pick up and earn healthy returns in the future.
He also added that the area is going through fast transformation and the incoming owner who picks up this property would be looking at rental upside and increase in valuation in the mid and long term.
He further added that the offices on the upper levels are currently leased on a year-to-year basis and this would offer the owner to move their offices in one of the most sought-after locations.
The EOI exercise for these shophouses close on the 4th of April at 3:00 PM