Four-storey Freehold commercial building along Hindoo Road asking for S$23.5m

North Gaia site plan

It is announced in a press release on 25 Oct that a four-story freehold commercial building located at 7 Hindoo Road is open for sale. The indicative guide price is S$23.5 million. With the area of 3,519 sq ft and total floor area of approximately 13,970 sq ft, the unit price is about S$1,682 per square foot (psf).

It is expected that North Gaia Gallery and site plan will be provided by Sing Holdings soon.

PropNex is the exclusive marketing agenty. The sale, held via an expression of interest exercise, will be led by the real estate agency's senior associate division director. It is expected the sale will close at 3pm on Dec 21, 2021.

It is attractive that the building is efficient for space planning because of its column-free layout. It is also equiped with lift and glass facade outside. Another selling point is its above-normal ceiling height on every floor. That also makes the building the tallest in the area. Higher floor will have unblocked view of CBD.

Tenants will have the rights to name and signage. The building will allow the option of change-of-use, meaning it can be converted to other commercial usage such as supermarkets, departmental stores, etc.

The demand for such kind of commercial assets is always very strong. It is rare to find a freehold commercial building in land-scarce Singapore and in an area with high foot traffic. If buyers are looking for opportunities of immediate income-yielding asset or an opportunity to explore change-of-use options, this sale is very compelling and not to be missed.

Potential buyer group is wider because foreigners and companies are eligible to purchase with no additional buyer's stamp duty and seller's stamp duty payable. That may increase the demand.

Not to mention the potential capital appreciation is substential for its prime location. For properties in the same area, the recent property transactions shows the trend of potential capital appriciation. E.g., Verdun House at Farrer Park was enbloced at S$55 million. The four-storey freehold building works out S$1,790 psf per plot ratio. Freehold condo 1953 by Oxley was sold around $1,800 psf.