This week in property: Highlights from April 23 to April 27

By EdgeProp Singapore / EdgeProp | April 27, 2018 4:50 PM SGT
Property highlights of the week from April 23 to April 27
Dairy Farm Singapore has put up for sale its “7-Eleven Portfolio”, which comprises 13 HDB shophouses and a 999-year leasehold retail shop at Peninsula Plaza. The asking price is a grand total of $48.79 million, for a total combined strata area of 21,289 sq ft.
The properties are located in prime areas such as City Hall (Peninsula Plaza) and in mature residential estates like Ang Mo Kio, Bedok and Clementi. They come with prominent frontage, and most of them are in close proximity to road junctions, coffee shops, post offices and supermarkets. According to the marketing agent JLL, the assets can be sold either individually or collectively.
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This is the first time that a series of prime 7-Eleven convenience stores situated in long-standing and proven mature residential hubs is being put onto the market for sale, says Clemence Lee, associate director of capital markets at JLL.
Such properties are highly sought-after by investors due to their defensive and counter-cyclical nature, Lee adds. He expects strong interest from investors such as boutique real estate funds, local companies, family offices and high-net-worth individuals (HNWIs) who are looking to own a turnkey property with strong tenant covenant and a long term tenancy in place.
The tender for Silat Avenue government land site closed on April 26 with just one bid. The sole bid of $1.035 billion or $1,138 psf per plot ratio (ppr) came from Singapore-listed UOL Group in a joint venture with sister companies, United Industrial Corp and Kheng Leong Company.
The 245,975 sq ft government land site at Silat Avenue, is located just off Kampong Bahru Road, and has the potential to yield an estimated 1,125 residential units. “Developers tend to be cautious when it comes to bidding for sites with more than 1,000 residential units,” notes Desmond Sim, CBRE head of research for Singapore and Southeast Asia.
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The absence of other major developers in the Silat Avenue tender is also indicative that their attention had been diverted elsewhere, namely to the Holland Road GLS site, says Sim.
At the close of the Holland Road GLS residential-and-commercial site a month ago, 15 bids were received, with many major developers submitting multiple bids.
New York-based co-working operator WeWork announced on April 24 that it will be entering the Indonesian market with the opening of two co-working offices by 3Q2018. WeWork will occupy three floors in Sinarmas MSIG Tower which will accommodate 800 members, and five floors in Revenue Tower which will host 1,400 members.
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Both properties are located along Jakarta’s Wall Street equivalent, Jalan Jenderal Sudirman, in the Sudirman Central Business District (CBD). The area is close to major office buildings, hotels, embassies, shopping and entertainment complexes, and upmarket residential apartments. The new locations will have a full suite of amenities including common areas, phone booths, community bars, and breakout areas housed in beautiful, collaborative spaces featuring Indonesian-inspired art and graphics.