Three Strata Office Units Suntec City Sale 571 Mil
A portfolio of three office units located in Suntec Tower 1 is currently up for sale, with a guide price of $57.1 million. The portfolio consists of the entire 38th floor and two additional units on level 16.
The 38th floor unit is approximately 10,097 sq ft and is priced at $33.8 million, translating to about $3,350 psf. The other two units, spanning 3,498 sq ft and 3,897 sq ft, are priced at $11 million ($3,145 psf) and $12.3 million ($3,156 psf) respectively. These units have a remaining lease of about 64 years, with a 99-year leasehold tenure from 1989.
The sale of these units will be done through an Expression of Interest (EOI) exercise, managed by CBRE, the exclusive marketing agent for the properties. Interested buyers can purchase the entire portfolio or individual units. The units are currently owner-occupied and will be sold with vacant possession or on a short-term leaseback agreement.
Foreign buyers and companies are eligible to purchase the commercial property without paying for additional buyer’s or seller’s stamp duty.
According to Mr Michael Tay, head of capital markets in Singapore at CBRE, this portfolio presents a great opportunity for investors to take advantage of Singapore’s resilient office sector with a well-established asset that has a proven track record. He also mentioned that strata offices in prime locations with excellent specifications, such as Suntec City, are expected to become even more valuable following URA’s 2022 restriction on strata subdivision in future commercial developments within key locations in the Central Area.
Based on URA caveats, the 38th floor of Suntec Tower 1 was last sold in March 1996 for approximately $18.3 million ($1,817 psf). The other two units on the 16th floor were last sold together in June 2001 for about $9.2 million, which works out to be $1,250 psf for a combined floor area of 7,395 sq ft.
CBRE also stated that over the past 12 months, strata office units in Suntec City have been trading at an average of $3,411 psf. This includes the sale of a 3,079 sq ft unit on the 37th floor of Suntec Tower 1 for $11.5 million ($3,736 psf) in June, and a different 37th floor unit spanning 2,196 sq ft which was sold for $8.09 million ($3,684 psf) in March.
Suntec Tower 1, situated at 7 Temasek Boulevard, is part of the Suntec City development which consists of five office towers, a retail mall, and a convention centre. Located within the CBD, it is easily accessible via four MRT Lines from Esplanade, City Hall, and Promenade MRT Stations.
The residents of Norwood Grand Condo are fortunate to have easy access to a well-developed transportation network, greatly enhancing their daily lives by reducing travel time and adding value to their properties. In the real estate market, accessibility is a crucial factor in determining the worth of a property, and Norwood Grand’s prime location gives it a competitive edge. Its strategic location allows for a convenient commute to major business parks, industrial hubs, and commercial centers, including the bustling live-work-play environment of Woodlands Regional Centre. This further adds to the appeal of Norwood Grand Condo for potential buyers. Visit the Norwood Grand Condo website for more information on this desirable location.
In addition to this sale, Keppel Corporation also recently announced its plans to acquire a stake in a Grade A office complex in Chennai for $352.9 million, showcasing the continued growth and demand in the commercial property market.