Built in the 1980s, Goh & Goh Building is likely to attract offers in excess of $120 million. (Photo: JLL)
Goh & Goh Building, a mixed-use development located along Upper Bukit Timah Road has been put up for collective sale, with the owners expecting offers in excess of $120 million.
This translates to a land rate of around “$1,460 psf per plot ratio (ppr) on the potential gross floor area, before factoring in the 10 percent bonus balcony gross floor area for the residential component”, said Tan Hong Boon, Regional Director at JLL, the building’s marketing agent.
“The land rate includes a development charge payable to the state upon redevelopment, currently estimated to be in the region of $15 million.”
Built in the late 1980’s, the four-storey development comprises seven apartments and seven shops.
JLL revealed that more than 80 percent of its owners have consented to the collective sale, a first for the property.
Zoned residential with commercial on the first storey, the 30,874 sq ft site is located within the Beauty World area and enjoys a 60m frontage onto the main road, which is ideal for F&B outlets and shops.
“Depending on the proposed design and configuration, a developer is expected to be able to accommodate close to 100 residential units with an average size of 70 sq m on the site, in addition to the shops on the ground level,” said Tan.
With this, he expects the property to “appeal to developers looking to replenish their land bank in a strong growth area such as this – an established residential and commercial centre, yet with new amenities and future infrastructure being planned around it”.
Tan noted that some of the neighbouring land parcels have been earmarked for hospitals, hotels, residential and mixed-use developments.
“Unlike other locations island-wide where there have been concerns of a potential oversupply of new apartments, the Beauty World area is one location where very few land parcels have been made available for sale and redevelopment.”
The last site sold for private apartment development within the area was at Jalan Jurong Kechil back in November 2012. It was sold on a 60-year lease under the Government Land Sales programme.
The tender exercise for Goh & Goh Building will close on 28 March.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email romesh@propertyguru.com.sg
