The iconic Golden Mile Complex may be developed as an integrated project with a gross floor area (GFA) of 85,977.5 sq m if it finds a buyer, but its landmark main building will have to be retained, the Urban Redevelopment Authority (URA) said.
A collective sale of a largely conserved building like Golden Mile Complex is unprecedented here and one that may be challenging given the constraints that developers could face.
But the advice from the URA yesterday will likely make the site more attractive to potential buyers now, say analysts.
Golden Mile Complex was completed in 1973 and regarded as a landmark building because of its Brutalist architectural style. It is known for its distinctive step terrace.
The building, which has 49 years left on its lease, launched a collective sale in October last year at a reserve price of $800 million. The tender closes at 3pm on Jan 30.
Marketing agent Edmund Tie & Company said yesterday that the URA advice was in response to its outline application submitted in August last year to retain the existing Golden Mile Complex and to add a new block next to it.
"There is no plot ratio in the masterplan for Golden Mile Complex. As such, we filed an outline application to test planning parameters such as plot ratio and building height," Edmund Tie senior director of investment advisory Swee Shou Fern told The Straits Times yesterday.
Savills Singapore research head Alan Cheong noted that the URA's advice on planning parameters helps "improve the saleability of the site because developers now know what they are getting into, or how much they can build".
The 718-unit commercial building sits on a 1.3ha land area and may be developed as an integrated development with retail, office, residential, serviced apartments and hotels. The differential premium to intensify the land use and the premium to top up the lease to 99 years will depend on the developer's proposed land use mix.
"That's critical because the GFA determines how much the developer can sell or rent," he said.
The 718-unit commercial building sits on a 1.3ha land area and may be developed as an integrated development with retail, office, residential, serviced apartments and hotels.
The differential premium to intensify the land use and the premium to top up the lease to 99 years will depend on the developer's proposed land use mix.
DP Architects, the firm that designed Golden Mile Complex in the 1960s, was appointed consultant architect for the en bloc site.
The 68 residential unit owners stand to get a gross payout of between $1.27 million and $6 million each, while the 418 shop units could reap between $200,000 and $7 million each.
Owners of the 227 office units stand to get between $360,000 and $3 million each.
"The new Golden Mile Complex will be an essential part of the rejuvenation of the Beach Road corridor... Many exciting development concepts may be considered for the property," Ms Swee said.