reporter2
19-11-15, 14:58
http://www.businesstimes.com.sg/real-estate/over-s70m-asking-price-for-school-premises
Over S$70m asking price for school premises
Also on the market are a light industrial building in Ubi area and an Upper East Coast Road redevelopment site
By Kalpana Rashiwala
[email protected]
@KalpanaBT
Nov 12, 2015
A MIXED bag of investment sales properties have been put on the market.
These include school premises at Hillside Drive, off Upper Serangoon Road, with a price tag in excess of S$70 million; a light industrial building at 51 Ubi Avenue 3 with a S$32 million-S$33 million guide price; and a freehold mixed-use redevelopment site along Upper East Coast Road, the owners of which are expecting offers of above S$34.2 million.
Knight Frank, which is marketing Lodge 77 at the corner of Upper East Coast Road and Hacienda Grove through a tender exercise, said currently on site is a three-storey residential development with two food and beverage establishments and a clinic at the first storey.
The property has a land area of 13,123 square feet. Under the Urban Redevelopment Authority's Master Plan 2014, the site is zoned "residential with commercial at first storey" with a 3.0 plot ratio, which is the ratio of maximum gross floor area (GFA) to land area. The existing development has tapped a GFA of 19,964 sq ft - reflecting about 1.52 plot ratio.
Knight Frank said an estimated S$9 million development charge (DC) is payable to the state to tap the maximum 3.0 plot ratio. Inclusive of DC, a price of S$34.2 million translates to a unit land price of around S$1,100 per square foot per plot ratio.
The site can be redeveloped into a four-storey residential project with retail shops at the first storey, Knight Frank said in a release. The tender for Lodge 77 closes on Dec 16.
The property is understood to be owned by a company the shareholders of which are from the Ngo family, some members of which used to own the former Gallery Hotel in the Robertson Quay area.
CBRE is marketing a two-storey purpose-built light industrial building at the corner of Ubi Road 2 and Ubi Avenue 3 for sale via an expression of interest exercise (EOI) that closes on Jan 14, 2016.
The property is owned by ModusLink Pte Ltd, an American supply chain and logistics services company which is open to a partial leaseback arrangement with the buyer.
Alternatively, if the buyer wants the property with vacant possession, ModusLink is prepared to relocate its operations.
"The building is fully air-conditioned, has good specifications on ceiling height and floor loading, and may appeal to industries in the data storage and automobile businesses, which will find synergies to being close to the car belt," CBRE said.
The building's existing GFA of 167,692 sq ft reflects a 1.3 plot ratio - shy of the 2.0 plot ratio stated for the site in Master Plan 2014. The site is zoned for Business 1 use and leased from the Housing & Development Board (HDB) on a tenure of 30 years starting Jan 1, 1990, with an option to renew for a further 30-year term.
A ground rent is payable to HDB, currently fixed at S$50,126 per month for 2015. The rent is subject to yearly revision to market rate but the increase shall not exceed 5.5 per cent of the yearly rent for the preceding year.
JLL and Cushman & Wakefield (C&W) are marketing 11 Hillside Drive - which is approved for education use and held under a 103-year leasehold tenure from 2012. The property is being put up for sale by Lucrum Capital, which bought it three years ago for S$34.4 million from The Lady Superior of the Convent of the Holy Infant Jesus in Penang, which holds the 999-year leasehold title on the site starting December 1878, according to an earlier BT article.
Sitting on about 81,457 sq ft of land, 11 Hillside Drive has GFA of 46,753 sq ft. On site are four blocks - of either one or two storeys. Lucrum did some renovations to the property and has leased it to Hillside World Academy.
"The tenancy has a balance of eight years, with a renewal mechanism built into it," said Shaun Poh, executive director of capital markets at C&W.
Based on a price of S$70 million, and the current rental, the net yield works out to "below 4 per cent", he added.
The property is zoned for residential use with a 1.4 plot ratio under Master Plan 2014 but has permanent approval for use as a school, said Mr Poh.
C&W and JLL highlighted the rarity of sites approved for education use being put on the market - and that too one with a relatively long tenure of 103 years.
Rohit Hemnani, head of corporate capital markets at JLL, said: "While the asset could generate stable income, the potential buyer will also have a variety of options to fully prepare for future growth plans. We expect very strong interest from educational operators and investors who are looking to enter the Singapore market, or established groups looking to expand their presence and offering in Singapore."
The EOI for 11 Hillside Drive closes on Dec 16.
Over S$70m asking price for school premises
Also on the market are a light industrial building in Ubi area and an Upper East Coast Road redevelopment site
By Kalpana Rashiwala
[email protected]
@KalpanaBT
Nov 12, 2015
A MIXED bag of investment sales properties have been put on the market.
These include school premises at Hillside Drive, off Upper Serangoon Road, with a price tag in excess of S$70 million; a light industrial building at 51 Ubi Avenue 3 with a S$32 million-S$33 million guide price; and a freehold mixed-use redevelopment site along Upper East Coast Road, the owners of which are expecting offers of above S$34.2 million.
Knight Frank, which is marketing Lodge 77 at the corner of Upper East Coast Road and Hacienda Grove through a tender exercise, said currently on site is a three-storey residential development with two food and beverage establishments and a clinic at the first storey.
The property has a land area of 13,123 square feet. Under the Urban Redevelopment Authority's Master Plan 2014, the site is zoned "residential with commercial at first storey" with a 3.0 plot ratio, which is the ratio of maximum gross floor area (GFA) to land area. The existing development has tapped a GFA of 19,964 sq ft - reflecting about 1.52 plot ratio.
Knight Frank said an estimated S$9 million development charge (DC) is payable to the state to tap the maximum 3.0 plot ratio. Inclusive of DC, a price of S$34.2 million translates to a unit land price of around S$1,100 per square foot per plot ratio.
The site can be redeveloped into a four-storey residential project with retail shops at the first storey, Knight Frank said in a release. The tender for Lodge 77 closes on Dec 16.
The property is understood to be owned by a company the shareholders of which are from the Ngo family, some members of which used to own the former Gallery Hotel in the Robertson Quay area.
CBRE is marketing a two-storey purpose-built light industrial building at the corner of Ubi Road 2 and Ubi Avenue 3 for sale via an expression of interest exercise (EOI) that closes on Jan 14, 2016.
The property is owned by ModusLink Pte Ltd, an American supply chain and logistics services company which is open to a partial leaseback arrangement with the buyer.
Alternatively, if the buyer wants the property with vacant possession, ModusLink is prepared to relocate its operations.
"The building is fully air-conditioned, has good specifications on ceiling height and floor loading, and may appeal to industries in the data storage and automobile businesses, which will find synergies to being close to the car belt," CBRE said.
The building's existing GFA of 167,692 sq ft reflects a 1.3 plot ratio - shy of the 2.0 plot ratio stated for the site in Master Plan 2014. The site is zoned for Business 1 use and leased from the Housing & Development Board (HDB) on a tenure of 30 years starting Jan 1, 1990, with an option to renew for a further 30-year term.
A ground rent is payable to HDB, currently fixed at S$50,126 per month for 2015. The rent is subject to yearly revision to market rate but the increase shall not exceed 5.5 per cent of the yearly rent for the preceding year.
JLL and Cushman & Wakefield (C&W) are marketing 11 Hillside Drive - which is approved for education use and held under a 103-year leasehold tenure from 2012. The property is being put up for sale by Lucrum Capital, which bought it three years ago for S$34.4 million from The Lady Superior of the Convent of the Holy Infant Jesus in Penang, which holds the 999-year leasehold title on the site starting December 1878, according to an earlier BT article.
Sitting on about 81,457 sq ft of land, 11 Hillside Drive has GFA of 46,753 sq ft. On site are four blocks - of either one or two storeys. Lucrum did some renovations to the property and has leased it to Hillside World Academy.
"The tenancy has a balance of eight years, with a renewal mechanism built into it," said Shaun Poh, executive director of capital markets at C&W.
Based on a price of S$70 million, and the current rental, the net yield works out to "below 4 per cent", he added.
The property is zoned for residential use with a 1.4 plot ratio under Master Plan 2014 but has permanent approval for use as a school, said Mr Poh.
C&W and JLL highlighted the rarity of sites approved for education use being put on the market - and that too one with a relatively long tenure of 103 years.
Rohit Hemnani, head of corporate capital markets at JLL, said: "While the asset could generate stable income, the potential buyer will also have a variety of options to fully prepare for future growth plans. We expect very strong interest from educational operators and investors who are looking to enter the Singapore market, or established groups looking to expand their presence and offering in Singapore."
The EOI for 11 Hillside Drive closes on Dec 16.