Results 1 to 3 of 3

Thread: Thong Sia Building up for collective sale

  1. #1
    Join Date
    Oct 2011
    Posts
    10,829

    Default Thong Sia Building up for collective sale

    http://www.straitstimes.com/archive/...-sale-20141211

    Thong Sia Building up for collective sale

    Published on Dec 11, 2014 12:57 AM

    By Rachael Boon


    A FREEHOLD commercial and residential building in the Orchard Road area is up for collective sale with offers expected to reach $420 million.

    The 26-storey Thong Sia Building, which is on Bideford Road and opposite Paragon mall, has a land area of more than 21,000 sq ft. There are seven levels of commercial space and a 19-level residential tower of 37 apartments.

    The building used to be occupied by watchmaker Seiko but most of the retailers have left.

    The expected price of between $400 million and $420 million translates to about $2,559 to $2,687 per sq ft (psf) over the gross floor area of about 156,300 sq ft.

    Sole marketing agent Jones Lang LaSalle Property Consultants (JLL) noted yesterday that if the Government allows the sale of an adjoining road that serves only Thong Sia Building, the price could go down to $2,414 to $2,532 psf.

    Mr Karamjit Singh, international director at JLL, said owning a property in the Orchard Road district, "especially freehold, is a matter of great prestige, privilege and value".

    He cited a JLL study showing there are only 50 non-residential buildings directly on or off Orchard Road; 31 are freehold or 999-year leasehold while the rest have 99-year leases or less.

    He added that effectively, there are "only nine or so potentially tradable freehold assets in and around Orchard Road".

    "From this perspective, it is clear that an opportunity to own the freehold Thong Sia Building is truly valuable," said Mr Singh.

    The tender closes at 2.30pm on Jan 28.

    [email protected]

  2. #2
    Join Date
    Oct 2011
    Posts
    10,829

    Default For sale: Thong Sia Building at S$400-420m

    http://www.businesstimes.com.sg/real...g-at-s400-420m

    For sale: Thong Sia Building at S$400-420m

    By Claire Huang

    [email protected]@ClaireHuangBT

    11 Dec


    FREEHOLD commercial and residential property Thong Sia Building, near the Paragon shopping mall, has been put up for sale for the first time since it was built in 1981 and the vendors are expecting offers of between S$400 million and S$420 million. This translates to S$2,559 to S$2,687 per square foot (psf) over the existing gross floor area (GFA) of about 156,300 square feet.

    If the government allows the sale of an adjoining road that just serves Thong Sia Building, the purchaser's costs could go down to S$2,414-2,532 psf, said sole marketing agent Jones Lang LaSalle Property Consultants (JLL).

    More than 80 per cent of the owners, measured both by share value as well as strata floor area, have consented to the collective sale of the 26-storey building along Bideford Road. The building has a land area of about 21,600 sq ft, and comprises seven levels of commercial space and a 19-level residential tower of 37 apartments.

    Karamjit Singh, JLL international director, noted that Orchard Road was a relatively short stretch that spans about 2.4 kilometres, starting from the junction of Delfi Orchard, right up to Dhoby Ghaut.

    "Based on a study carried out by JLL, there are only 50 non-residential buildings (hotels, commercial and mixed-use developments) located directly on or off Orchard Road. Of these 50 buildings, 31 are freehold or 999-year leasehold; while the rest have 99-year leasehold tenures or less."

    Of the 31 freehold assets, 22 are large-scaled strata-titled developments such as Lucky Plaza and Orchard Towers, or buildings owned by real estate investment trusts (Reits) and long-term investors such as The Paragon and Shaw Centre.

    "We take the view that the chances of these assets being offered for sale in the medium-term are low. This effectively leaves only nine or so potentially tradable freehold assets in and around Orchard Road," said Mr Singh.

    He added that over the last 10 years, only three freehold, non-residential Orchard Road assets have changed hands. The Grand Park Orchard building, formerly known as Crown Prince Hotel, changed hands twice in 2013 and 2005, while the other two complete-building transactions include Pacific Plaza and 268 Orchard Road.

    Given that the building is near Mount Elizabeth Hospital, Gleneagles and Paragon Medical, Mr Singh said, there is potential for the purchaser to incorporate a portion of medical suites within the commercial space.

    "There are very few opportunities to acquire medical suites at the freehold Gleneagles Medical Centre and Mount Elizabeth Medical Centre (which has a balance lease of 61 years), which explains the latest deals at record levels of S$8,525 and S$9,002 psf, respectively," he added.

    The tender exercise for Thong Sia Building closes on Jan 28 at 2.30 pm.

  3. #3
    Join Date
    Oct 2011
    Posts
    10,829

    Default

    http://www.todayonline.com/business/...hard-road-sale

    Thong Sia Building off Orchard Road up for sale

    Owners expect offers of up to S$420m for the 26-storey freehold residential and commercial property

    Published: 4:03 AM, December 11, 2014


    SINGAPORE — Thong Sia Building, a 26-storey residential and commercial building off Orchard Road, was put up for sale yesterday, with the owners expecting offers of between S$400 million and S$420 million.

    The building, located along Bideford Road near The Paragon shopping mall, sits on a freehold site with a land area of around 21,602 sq ft. It comprises seven levels of commercial space and a 19-storey residential tower of 37 apartments, said Jones Lang LaSalle (JLL), which is marketing the property.

    JLL said the asking price works out to S$2,559 to S$2,687 per square foot (psf). If the Government allows the sale of an adjoining road that only serves Thong Sia Building, the price falls to S$2,414 to S$2,532 psf. More than 80 per cent of the owners of Thong Sia Building — measured both by share value as well as strata floor area — have approved the collective sale, JLL added.

    The building has a gross floor area of around 156,300 sq ft, which translates to a gross plot ratio (GPR) of about 7.236. This is above the designated GPR of 4.9 plus under the Urban Redevelopment Authority’s 2014 Master Plan.

    Mr Karamjit Singh, international director at JLL, said there are not many freehold, non-residential properties in Orchard Road that are potentially available for sale in the market.

    He added that in the past 10 years, only three such properties have changed hands — The Grand Park Orchard building, formerly known as Crown Prince Hotel, Pacific Plaza and 268 Orchard Road.

    Buyers of Thong Sia Building could convert part of the commercial space to medical suites to capitalise on the site’s proximity to Mount Elizabeth Hospital, Mr Singh said. They could also consider converting the residences to serviced apartments, he added.

    “With 100 per cent control over the asset, the purchaser is also free to change the name of the building, which is great for branding purposes,” he said.

    The tender exercise closes on Jan 28.

Similar Threads

  1. Mixed-use newbuild on former Thong Sia Building site on the market for S$600m
    By reporter2 in forum HDB, EC, commercial and industrial property discussion
    Replies: 0
    -: 24-12-21, 09:39
  2. Thong Sia Building sold for S$380m
    By reporter2 in forum En Bloc Achieved
    Replies: 1
    -: 05-08-15, 13:45
  3. Lam Soon Industrial Building relaunched for collective sale
    By reporter2 in forum En Bloc Discussion and News
    Replies: 9
    -: 04-09-13, 16:16
  4. UIC buys UIC Building under collective sale
    By ahlahdin in forum En Bloc Achieved
    Replies: 1
    -: 14-04-07, 04:17
  5. UIC Building up for collective sale
    By mr funny in forum En Bloc Discussion and News
    Replies: 0
    -: 21-12-06, 09:49

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •