The rare plot could be redeveloped into a hotel or high-rise condo. (Photo: JLL)
Hong Kong-based Shun Tak Holdings, a company founded by casino mogul Stanley Ho, has purchased a bungalow at 9 Cuscaden Road for $145 million. This is the group’s first foray into Singapore.
The property was put up for sale last month by the descendants of pioneer philanthropist Tan Tock Seng, who had expected higher offers of between $160 million and $170 million. Marketed by JLL, the public tender closed on 12 May.
The freehold site has a land area of 25,741 sq ft and is zoned ‘Hotel’ in the 2014 Master Plan, with an allowable gross plot ratio of 4.2.
The location is within walking distance to the Orchard Road MRT station and shopping malls. The upcoming Orchard Boulevard MRT station along the Thomson-East Coast Line is also nearby.
The sale price of $145 million reflects a land rate of approximately $2,145 psf per plot ratio on the potential gross floor area, after including the additional $87 million the purchaser would need to pay for development charges for a hotel, said JLL.
“Opportunities to acquire land for hotel development in and around Orchard Road are few and far between. Based on our records, this is the first sale of a redevelopment site for hotels to take place in this location in more than 10 years,” said Karamjit Singh, International Director at JLL.
He noted that the tender for the site received strong interest from local and foreign companies.
Pansy Ho, Shun Tak’s Managing Director and Ho’s daughter, said: “Capitalising upon our strength in hospitality and real estate development, we shall apply our experience in serving the demands arising from the burgeoning China and Asian markets.”
Potentially, the site can also be redeveloped into a residential development, subject to approval by the Urban Redevelopment Authority.
The group is now at a preliminary stage of planning, and will announce further details at a later date.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, wrote this story. To contact him about this or other stories, email romesh@propertyguru.com.sg
