Donald Goh, Director of Investment at Savills Singapore, says the "trophy asset" has become available for sale by public tender on Smith Street in Chinatown.
Savills Singapore has announced the launch of three adjoining conservation shophouses located along Smith Street, in the heart of Singapore's vibrant and historic Chinatown.
The freehold cluster of shophouses is available for sale by public tender.
Donald Goh, Director of Investment Sales at Savills Singapore told WILLIAMS MEDIA, "Owning a shophouse is akin to collecting a piece of history. The subject property is a trophy asset, reflective of Singapore's culture and heritage and staged for positive long-term capital appreciation."
The shophouses are located on the popular street block bordered by New Bridge Road, Temple Street, Trengganu Street and Smith Street, and the corner plot is conveniently located within a two- to five-minute walk from the upcoming Maxwell MRT station.
Zoned as fully commercial, the three contiguous shophouses (three storeys with an attic) offer a total gross floor area of 9,500 sq ft, occupying a combined land area of approximately 2,784 sq ft.
Built in the pre-war era, the shophouses currently enjoy 100% occupancy with approved restaurant use of the first and second floors, backpackers' hostel on the third floor and a TCM clinic in the attic.
The subject property is situated in a popular hotspot known for its bustling mix of traditional eateries and cafes, souvenir stores, interesting artefacts and tourist attractions like the iconic Sri Mariamman Temple and Buddha Tooth Relic Temple & Museum. It enjoys high footfall with its prominent frontage along Smith Street opposite the Chinatown Complex and where the popular Chinatown Food Street is. The pedestrian mall stretching from Sago Street and Smith Street through Trengganu Street to Pagoda Street provides an endless flow of shopper traffic.
"Recent shophouse transactions in District 1 continue to shore up prices and lend proof to shophouses being an extremely attractive asset class. These 3 shophouses' excellent location along the Chinatown Food Street, smack in the heart of a tourist hotspot, puts it right up there amongst the creme de la creme of shophouses. It presents an unparalleled opportunity for the astute investor to own a rare freehold collectable in a bustling F&B and tourist destination." said Goh.
"We have received good enquiries for the shophouses even before the official tender launch and we expect more to come in the weeks leading to the close of tender. We are confident that the uniqueness and attractiveness of such a prominent cluster will set a new price benchmark in this much sought-after heritage conservation neighbourhood," added Suzie Mok, Senior Director of Investment Sales at Savills Singapore.
The guide price for the subject property is about $3,500 per sq ft or $33.25 million on a built-up area of about 9,500 sq ft which reflects a gross yield of close to 2%. This bodes well with recent notable shophouse transactions such as 64 Club Street which was sold for about $3,880 per sq ft, 77 Amoy Street for about $3,500 per sq ft and 75 Amoy Street for about $3,900 per sq ft.
The tender closes on Tuesday 25 September 2018 at 3pm.
For more information about the heritage shophouses phone or email Donald Goh, Director of Investment Sales at Savills Singapore, via the contact details listed below.
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