Andy Lim of JL Family Office buys second Club Street shophouse for $4,635 psf

SINGAPORE (EDGEPROP) - Just 15 months after purchasing the conservation shophouse at 65 Club Street for $15.7 million ($2,784 psf) last August, Andy Lim, CEO of JL Family Office (JLFO) moved in on the purchase of the shophouse across the road for $26.038 million on Nov 26, according to an Inlis search. The purchase was made via a special purpose vehicle named Club Street Venture 2. Lim could not be reached for comment.

The double-storey conservation shophouse at 64 Club Street comes with a basement and mezzanine floor, with a lift servicing all floors. The 999-year leasehold shophouse sits on a land area of 2,249 sq ft, with a built-up area of 5,618 sq ft. The purchase price of $26.038 million translates to $4,635 psf, which has broken the record psf price for Club Street. The deal was brokered jointly by Yap Hui Yee, Savills Singapore, director of investment sales and capital markets and Sammi Lim, founder and executive director of Brilliance Capital.

Incidentally, the last record psf price at Club Street was set by the shophouse at No. 64 as well. It had changed hands just three years ago for $21.8 million, according to a caveat lodged in August 2018. The price worked out to $3,880 psf based on its floor area, which was a new high then. And now, it has been sold for 19.5% higher.

Lim had purchased 65 Club Street in the wake of the circuit-breaker last year, when investor sentiment was still cautious, notes Savills’ Yap, who had also brokered the sale of the shophouse. Given the elevated prices today, the purchase price of 64 Club Street at $4,635 psf is 66.5% higher than the $2,784 psf he paid for 65 Club Street over a year ago.

After purchasing the shophouse at 65 Club Street, Lim had renovated the interiors before moving in this Chinese New Year. The conservation shophouse at 65 Club Street is now the headquarters of JLFO and its various divisions, from real estate to financial trading, private equity/venture capital and philanthropic arm.

It’s unclear what Lim’s intentions are for the conservation shophouse at 64 Club Street at this point. The tenant at 64 Club Street was Caffe B, an Italian fine dining restaurant which closed on Oct 30. Hence, the shophouse is currently vacant.

Zoned for commercial use, all floors of the shophouse at 64 Club Street has approval for F&B use, says Savills’ Yap. In fact, it's the only shophouse on that stretch of Club Street that has approval for F&B use. However, the shophouse has the flexibility to be used as an office, health or fitness centre or medical practice, she adds. (Find Singapore commercial properties with our commercial directory)

Median monthly rental rates for commercial shophouses in the CBD today are in the $5 psf to $6 psf range for offices on the upper floors, while ground floor units command a higher rental rate of $10 psf to $15 psf, given the greater visibility from the street level, notes Savills’ Yap.