Freehold hotel development site at Killiney Road for sale

SINGAPORE (EDGEPROP) - A freehold hotel development site in the Orchard Road precinct is up for sale, for above $155 million. JLL’s Hotels & Hospitality Group and Cushman & Wakefield are joint exclusive advisers to Lucrum Capital for the sale of the site.

Located along Killiney Road, the site occupies a land area of 13,148 sq ft with a gross plot ratio of 2.8. Provisional permission has been obtained to rezone the site for hotel use. This would mean foreigners are also eligible to purchase with no additional buyer’s stamp duty or seller’s stamp duty imposed.

Subject to final approvals, the proposed hotel would be a six-storey, 115-room development with a street-frontage restaurant on the ground floor. The development would yield a total gross floor area of about 40,000 sq ft.

The site is within a short three-minute walk from both Somerset MRT Station and Orchard Road. It is also well-connected to the rest of the island via the Pan Island Expressway (PIE), Central Expressway (CTE), and East Coast Parkway (ECP).

Key developments within the site’s vicinity include Orchard Central, orchardgateway, Design Orchard, and TripleOne Somerset. It will further benefit from government plans, announced earlier this year, to strengthen Orchard Road’s positioning as a lifestyle destination.

“Freehold hotel sites in or around Orchard Road are incredibly rare, with no such sites having been transacted since Grand Park Orchard in 2013,” says Adam Bury, senior vice president of JLL Hotels & Hospitality Group. “As the Singapore hotel market continues to boom, seeing record occupancy levels on the back of sustained visitor arrival growth, we see this as an excellent opportunity to access the Singapore market.”

He adds: “Future hotel supply will increase at less than 1% per annum and thus we foresee that trading performance in the market will only increase from its already strong levels.”

The site is marketed through an expression of interest exercise, with the deadline of Oct 16, 3pm.