Katong Shopping Centre makes third bid for collective sale at $638 million
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Katong Shopping Centre was Singapore’s first air-conditioned mall when it opened in 1973.
PHOTO: SHIN MIN DAILY NEWS
Corinne Kerk
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SINGAPORE – Katong Shopping Centre, Singapore’s first air-conditioned mall when it opened in 1973, is being offered for collective sale at $638 million.
In confirming market talk that the freehold development is for sale, sole marketing agent Edmund Tie said the site can be redeveloped into an integrated development at its existing plot ratio of 3.223, with an option of converting the residential component into serviced apartments, subject to the authorities’ approval.
Under Master Plan 2019, Katong Shopping Centre is zoned for commercial and residential use at a gross plot ratio (GPR) of 3.0.
This is the third attempt to go en bloc, with the previous marketing efforts handled by Cushman & Wakefield in 2017 and 2016 at the same reserve price of $630 million.
The landmark in District 15 occupies a corner plot of 86,924 sq ft, with dual frontage along East Coast and Haig roads.
The existing building comprises a seven-storey podium block and a five-storey annex block, with 425 strata shop and office units, and a privately held carpark. The total gross floor area of the development is about 280,000 sq ft, reflecting a GPR of 3.223.
The guide price of $638 million translates into a rate of $2,277 per sq ft per plot ratio over its existing GFA.
Ms Swee Shou Fern, Edmund Tie’s head of investment advisory, said the site presents a rarely available freehold mixed-use redevelopment opportunity in the amenity-rich East Coast precinct, which is also one of Singapore’s most desirable residential enclaves.
“The new integrated development will benefit from its prominent 210m dual-street frontage, with its commercial component serving a wide catchment of more than 6,000 private housing units within a 500m radius of Katong Shopping Centre,” she added. Nearby residential developments include The Shore Residences, Amber 45, Silversea, The Esta, One Amber and the upcoming Tembusu Grand.
“For the residential component in the new development, the developer also has the option to develop serviced apartments, subject to planning approval,” she said, adding that there is no restriction on foreign ownership of the site.
The upcoming Marine Parade MRT station on the Thomson-East Coast Line is about 500m away, while educational institutions in the vicinity include Tao Nan School, CHIJ (Katong) Primary, Chung Cheng High School and Canadian International School.
The collective sale tender closes at 3pm on May 19.
