Robinson Road office tower up for sale

The freehold 12-storey block has been put on the market with an indicative price of $45 million, which works out to $3,161 psf.
The freehold 12-storey block has been put on the market with an indicative price of $45 million, which works out to $3,161 psf. PHOTO: CUSHMAN & WAKEFIELD

Another office building in the Central Business District has been offered for sale, the latest in a run of blockbuster deals in a fast-reviving commercial property market.

A freehold 12-storey block at 110 Robinson Road was put on the market yesterday with an indicative price of $45 million.

This works out to about $3,161 per square foot (psf), based on a net lettable area of 14,233 square feet, its sole marketing agent Cushman & Wakefield said.

Built in the 1980s, the building comprises 11 office floors with a retail unit on the ground floor that is being leased by a dental clinic.

The property is fully owned by OCBC Bank, according to the bank's 2015 annual report.

Mr Shaun Poh, executive director of capital markets at Cushman & Wakefield, said: "Even before the owner decided to put the property on the market, it has proven to be highly sought after as various unsolicited offers have been made."

He said the building could be redeveloped for strata sale.The site is zoned for commercial use and can be built up to 35 storeys. Cushman & Wakefield told The Straits Times that its occupancy rate hovers at around 75 per cent with units leased mostly to small and medium-sized enterprises, including shipping companies and auditing firms.

The building is the latest office property to be placed on the market, following the sale of Asia Square Tower 1 by BlackRock to the Qatar Investment Authority for $3.4 billion and Indonesian tycoon Tahir's offer buy the Straits Trading Building for $560 million earlier this month.

Last week, the former SIA Building at 77 Robinson Road - a stone's throw away from the OCBC-owned block - was offered for sale at a guide price of $575 million or $1,960 psf.

Cushman & Wakefield said the tender exercise for 110 Robinson Road will close at 3pm on July 26.

A version of this article appeared in the print edition of The Straits Times on June 28, 2016, with the headline 'Robinson Road office tower up for sale'. Print Edition | Subscribe