The SIN Capital Group has purchased the Thong Sia Building to for SGD380 million, JLL announced in a press release. The building is currently made up of seven levels of commercial space and a 19-level residential tower with 37 apartment units.
The building is located on the popular Orchard Road shopping-belt and is across from The Paragon Shopping Centre and Mount Elizabeth Hospital. The 26-storey tower is situated along Bideford Road.
The deal works out to SGD2,430 per sq. ft. over the existing gross floor area for the freehold building. The building has a land area of about 21,602 sq ft and was completed in 1981. It was put up for sale in December of last year with offers estimated to come in of between SGD400 million and SGD420 million.
The owners eventually lowered their minimum price to SNG380 million and the deal with Sin Capital was executed during the 10-week private treaty period following the close of the second tender exercise.
“The planning authority has advised that they are prepared to support the redevelopment of the site into a mixed residential and commercial development with at least 60 percent of the space set aside for residential or serviced apartments.” JLL’s international director, Karamjit Singh, said.
He added that this is the first collective sale for 2015, and the largest ever mixed use collective sale in Singapore. The completion of the sale is subject to the approval by the Strata Titles Board, JLL noted.
According to JLL, the sale of the freehold Thong Sia Building is the second largest collective sale over the last seven years, after Serangoon Plaza which was sold for SGD400 million in 2013.
“Singapore’s Orchard Road is world renowned, and in the top league alongside London’s Bond Street, Paris’ Champ Elysees and Tokyo’s Ginza. Property ownership in this district, especially freehold, is a matter of great prestige, privilege and value,” Singh said
