Sixth Avenue Centre in Bukit Timah relaunched for collective sale at $85 mil

SINGAPORE (EDGEPROP) - Sixth Avenue Centre, a freehold mixed-use site at 805 Bukit Timah Road, will be relaunched for collective sale via tender on April 19 at a reserve price of $85 million. The site had previously been launched for tender last November at the same reserve price, which had closed on Jan 6 without a buyer.

See also: Lakepoint Condominium relaunched for collective sale at $640 mil

Prior to this, Sixth Avenue Centre had also been put up for collective sale in 2018. An initial tender launch in January 2018 saw the site placed on the market at a guide price of $90.5 million, before subsequently being relaunched for tender a second time in July 2018 with a lower guide price of $86 million.

Completed in the mid-1980s, Sixth Avenue Centre consists of seven shops and 18 apartments. It occupies a prominent corner plot of 15,009 sq ft at the junction of Bukit Timah Road and Sixth Avenue. It is a three-minute walk away from the Sixth Avenue MRT Station on the Downtown Line.

Under the URA Master Plan 2019, Sixth Avenue Centre is zoned for commercial and residential use. Based on the site’s gross plot ratio of 3.0, it has a maximum allowable gross floor area of 45,028 sq ft, with up to 40% of the total GFA allowed for commercial use and the remaining 60% for residential use. (Find Singapore commercial properties with our commercial directory)

The guide price of $85 million translates to a land rate of $1,861 psf per plot ratio (ppr), inclusive of the development charge payable to build up to a plot ratio of 3.0 as well as the bonus balcony space.

In 2018, the URA had given approval for the site’s residential portion to be retained as serviced residences. The future developer of the site will also be required to amalgamate a small portion of remnant land at the splayed corner junction at Sixth Avenue. This extra state land, spanning an estimated 915 sq ft, is expected to reduce the average land cost to $1,788 psf ppr on the overall site, says Cushman & Wakefield, which is marketing the property.

“In addition to its prime location within the affluent suburbia precincts of District 10, and coupled with a young population and high purchasing power, Sixth Avenue Centre presents a compelling opportunity for developers and investors to build and own an exclusive suburban boutique project,” says Christina Sim, director of capital markets at Cushman & Wakefield.

The collective sale tender will close on May 26 at 3pm.