Savills Singapore, as the exclusive marketing agent, is proud to offer for sale two freehold ground floor adjoining commercial units located at EastGate.
Prominently located in the heart of the affluent East Coast precinct, the property enjoys excellent visibility with dual frontages along the main East Coast Road and Brooke Road. The property has a total strata area of 6,358 sq ft and it represents 11 per cent of the total share values in EastGate. It is currently fully leased to reputable medical / healthcare and supermarket tenants and comes with permanent “Restaurant” approval. The property also features excellent specifications such as regular, highly efficient layout and generous ceiling height.
Located within the East Coast / Katong enclave, the locale has reinvented itself over the years to become a posh neighbourhood peppered with distinctive, well-preserved shophouses housing quaint shops, eating places and lifestyle establishments. It has become one of Singapore’s trendiest lifestyle and F&B destinations amongst local and expats. Popular developments such as i12 Katong, which opened in December 2021 after it underwent a two-year asset enhancement works, and Parkway Parade are a mere three minutes’ walk. Connectivity will also be further enhanced with the upcoming Marine Parade MRT station on the Thomson – East Coast Line.
Ms. Yap Hui Yee, Senior Director, Investment Sales & Capital Markets at Savills Singapore, said: “The strata retail market has seen the highest sales transaction volume since 2017. There was a total of 280 strata retail units with total transaction volume of S$496.5m changed hands in 2021. Due to changes in consumer demand and work-from-home arrangements, the strata retail performance in established residential enclave have been resilient through the pandemic and many investors have shifted their focus to retail shops situated within matured neighbourhood.”
Given the property’s rarity and excellent attributes, coupled with the close proximity to the upcoming Marine Parade MRT Station, it presents an exceptional opportunity to acquire freehold main road facing commercial units with repositioning potential. The guide price for the two adjoining freehold ground floor units at East Gate is $23.8 million, which translates to approximately $3,685 per square foot on the strata area.
“For contiguous units, it gives the purchaser the flexibility to explore the change of use potential and such assets are sought after as purchasers can be creative in restoring the space and repositioning the retail uses. Sizeable retail assets are also very limited in supply, and it is often more appealing to anchor tenants who are looking to operate different concepts in the same unit. Some examples are like gourmet grocer shop which offers grocery and culinary experiences, cafes with coffee brewing workshops, gym with sports healthcare centre etc. According to the Urban Redevelopment Authority (URA), the average rental per square foot for ground floor retail shops of 1,000 sq ft and above in District 15 is approximately 20 per cent higher than retail shops of 1,000 sq ft and below for year 2021. We have also seen a year-on-year rental growth of 40 per cent for District 15 ground floor sizeable retail shops in 4Q 2021”, Ms. Yap added.
As the Property is approved for ‘Commercial’ use, foreigners and companies are eligible to purchase the properties. There is no Additional Buyer’s Stamp Duty (ABSD) or Seller’s Stamp Duty (SSD) imposed on the purchase of the property.
The sale will be conducted through an Expression of Interest exercise which closes on Monday, 28 March 2022, at 3pm.