Commercial freehold site on Jalan Besar Road for $13.5 mil

/ EdgeProp
April 23, 2018 12:57 PM SGT
A 3,230 sq ft vacant site located between 251 and 255 Jalan Besar Road has been put up for sale by expression of interest (EOI). The freehold site zoned for commercial use has a price tag of $13.5 million, says sole marketing agent JLL. Under the 2014 Master Plan, the site has a gross plot ratio of 3.0, and this translates to a land rate of $1,392 psf per plot ratio (ppr). No development charge is payable for the intensification of the site.
The site has a 10m frontage along the main road, and can potentially be used for F&B, retail, office and co-working concepts, subject to approval by the relevant authorities. The existing owner has already received written permission to develop the site into two 4-storey blocks with F&B on the ground floor and offices on the upper floors with an approved gross floor area of 9,694 sq ft.
Foreigners are eligible to purchase the 3,230 sq ft site along Jalan Besar, which is zoned for commercial use. (Picture: JLL)
The site was the former entrance to the New World Amusement Park, which had been a famous amusement park in Singapore from the 1920s to the 1060s. The site of the amusement park has since been redeveloped into the 910-unit, freehold City Square Residences and the eight-storey City Square Mall by giant developer City Developments Ltd (CDL). The original gate was restored and relocated to an urban park next to City Square Mall.
There's an underground link from City Square Mall to Farrer Park MRT station on the Northeast Line. The site is also near Lavender MRT station on the East-West Line and Bendemeer Station on the Downtown Line. Other major commercial developments in the vicinity include Aperia, CT Hub as well as Connexion medical hub. The Jalan Besar neighbourhood has also been transformed with new F&B concepts such as Antoinette, The Broers Cafe, Chye Seng Huat Hardware turned Cafe, as well as an arts enclave with The Artists' Village and At Ease Gallery.
After factoring in the development cost, the breakeven point for the new development is around $1,925 psf, says Clemence Lee, JLL associate director of capital markets. "This compares favourably to the average price of $5,000 - $5,500 psf achieved for the strata retail units and $2,400 - $2,500 psf for the strata office units at the nearby Arc 380 and Centrum Square”, he adds. The EOI exercise will close on May 30.