Raffles Education Square building on sale of $200 mil
The first construct was built in 1996 as well as refurbished in 2013 to house the company workplaces along with university of Raffles Education. The property has been abandoned since the school and workplace were abandoned, leading the way for the divestment of the asset, adds Knight Frank.
She includes: “This is an unusual possibility to acquire a commercial building that is set to benefit from the major urban renewal procedure that will certainly improve the area right into a new and also vibrant lifestyle hub”.
” The real estate is purposefully located in an area with great potential for a boost in property value from the revitalisation of the Singapore River precinct,” says Chia Mein Mein, head of capital markets (land also cumulative sale), Knight Frank Singapore.
” This possibility might permit the consolidated area to delight in an uplift in gross floor area to capitalise on the rejuvenation efforts for the area under the Urban Redevelopment Authority’s (URA) Strategic Development Incentive (SDI) system, based on the authorities’ authorization,” states Chia.
The residential property is located at 51 Merchant Road in Area 1 in Clarke Quay. The entire property rests on a 27,669 sq ft plot with a gross flooring space of 71,111 sq ft along with 2 basement carpark levels. Knight Frank claims the estate has a leasehold period for an unexpired term of 69 years from May 15, 1993.
The tender for the sale of Raffles Education Square is going to finalize on Aug 1.
Raffles Education Square, a four-storey commercial establishment connected to two rows of conserved premises, has already been offered at an overview cost of $200 million. The land rate translates to approximately $2,660 psf per plot at a potential gross plot ratio of 2.8, including the land betterment cost. Knight Frank is the advertising agent.
According to Knight Frank, Raffles Education Square could possibly be redeveloped with the neighbouring The Riverside Piazza, a mixed-use strata commercial as well as residential property development at 11 Keng Cheow Street. The agency states that the owners of Riverside Piazza are obtaining the requisite 80% approval to introduce a cumulative sale.
” Quality business properties are tough ahead by as lots of are securely held by institutional users and unavailable for sale. Exclusive assets additionally seeks commercial assets as this asset course is uninfluenced by the latest imposition of government air-cooling procedures.”