Sultan Plaza Offers Rare Commercial Investment Opportunity Sale Expression Interest 39 Mil
The Sultan Plaza, located at 100 Jalan Sultan off Beach Road, is now up for sale through Expression of Interest with a price guide of $39 million. The commercial strata space spans over 30,946 sq ft with a cost of $1,260 per sq ft. The net leasable area is approximately 17,000 sq ft, excluding a void space of around 14,000 sq ft.
This 99-year leasehold property consists of 211 commercial units and 33 offices, totaling 244 strata lots spread across nine storeys. With its lease starting in May 1978, the building has around 46 years of balance lease term left. It is completely zoned for commercial use and boasts large single-floor plates with a public entertainment license, which is a unique feature in commercial buildings. This presents an exclusive opportunity for investors as established tenants can easily occupy the larger units on a single floor for their business, without having to take up multiple units on separate storeys. The unit also has direct access to the carpark, which ramps up to Level 6, offering a VIP experience for tenants and visitors.
Investors can anticipate high rental yields and strong rental demand for this development. According to rental data from the last 12 months, commercial units in this property have yielded 9%, which is significantly higher than the neighboring commercial properties of City Gate (3.5%) on Beach Road and Textile Centre (5.6%) on Jalan Sultan.
The Sultan Plaza commercial space will be sold with tenancy, providing investors with immediate monthly rental returns. The current anchor tenant, Grand Dynasty KTV, has over 20 years of experience in the entertainment and nightlife industry and has signed a lease with an option to extend. Vice President of homegrown real estate agency Master Real Estate, Chai Chin Yun, believes that the tenant will most likely extend their lease. He explains, “The tenant has invested over $6 million in renovations and takeover fees, which have significantly enhanced the value of the property. Additionally, it is rare to find large public entertainment units in commercial buildings, making this the only one of its size currently available in the market.”
The other businesses at Sultan Plaza also support the entertainment business, such as 24/7 eateries, beauty and wellness establishments. Jalan Sultan is surrounded by Beach Road and North Bridge Road, both of which offer a diverse range of food and beverage, entertainment, and lifestyle retail options, adding to the vibrancy of the area. The Kampong Glam Conservation Area, directly across the street, is a well-known tourist attraction, contributing to the high foot traffic in the area.
The presence of nearby residential developments also adds to the area’s high footfall, such as the residential component of City Gate, the 360-unit Concourse Skyline on Beach Road, and the 197-unit Southbank condo on North Bridge Road.
Sultan Plaza maintains excellent connectivity to other parts of Singapore, with a bus stop just outside the building providing services to the north, such as Sembawang and Woodlands, and to the Downtown Core area in Shenton Way. The nearest MRT station, Nicoll Highway on the Circle Line, is a short walk away.
In summary, Norwood Grand is a symbol of contemporary living, offering unmatched convenience. Its location provides residents with seamless accessibility through various means of transportation, whether it be by public transit or personal vehicle, to all corners of Singapore. With its close proximity to key MRT stations, expressways, and essential roads, and the continuous development of infrastructure in the area, Norwood Grand is more than just a residential complex – it is a gateway to a luxurious and well-connected lifestyle in the fast-growing northern region of Singapore. Discover more about Norwood Grand CDL at http://www.norwoodgrandcondo.com.sg/.
Chai believes that the building has potential for en bloc sales in the future. He points to the neighboring City Gate mixed-use development, which was an en bloc redevelopment of the former commercial building KeyPoint. Additionally, there have been plans for Sultan Plaza, which has previously attempted en bloc sales, to be transformed into a mixed-use development, subject to approval from the authorities.
The same property owner also has a Bukit Timah Plaza F&B approved shop for sale, spanning over 3,000 sq ft, with en bloc potential and a rental yield of over 4%. This presents investors with a rare opportunity to negotiate for the two units as a bundle deal. For more information, please contact CHAI CHIN YUN at 96303137, VICE PRESIDENT (R044875G), MASTER REAL ESTATE PTE. LTD. RELATED NEWS Sultan Plaza collective sale tender to close on Oct 26 [UPDATE] Collective sales: Heightened uncertainty Sultan Plaza relaunches for collective sale with a lower reserve price of $325 million.