$924m top bid for Telok Ayer site beats forecasts
A battle between four developers for a prime city centre commercial site yielded a top bid that easily trumped market forecasts.
FC Commercial Trustee, a unit of Frasers Centrepoint, offered $924 million, or $1,112 per sq ft (psf) per plot ratio (ppr) for the 99-year leasehold plot between Cecil and Telok Ayer streets.
This was 19 per cent above Far East Organization's bid of $777.8 million - or $936 psf ppr.
The other bids for the 7,603sqm plot came from Mapletree Investments and a joint tender from two private individuals.
Due to the limited supply of quality commercial sites or buildings within the Central Business District, it is not surprising that companies with commercial leasing as their core business will actively seek out new projects.
- CBRE Research associate director Desmond Sim