After failure of its earlier collective sale attempt which ended on Jan 30, Golden Mile Complex, the Singapore iconic property is back in the market.
It launched its second tender recently and hasn’t altered with the S$800 million reserve price.
Edmund Tie & Company, the marketing agents for the sale are tight lipped about the fresh tender for collective sale and refused to reveal any further details about the first tender.
Located along Beach Road the 718-unit property encompass land area of nearly 1.3 hectares and as per the 2014 master Plan of the Urban Redevelopment Authority it has been classified for commercial use.
It must be remembered that Urban Redevelopment Authority in one of its ruling had mandated the preservation of the main building at Golden Mile Complex that enjoys iconic status for its unique step terrace architecture.
Market experts say that this was one of the reasons that turned away several developers from this property and conserving such a large building poses a big challenge for the developer.
Edmund Tie & Company’s Executive Director of Investment Advisory, Ms Swee Shou Fern while announcing the fresh launch of tender said that there have been several creative ideas, they have come across from developers to conserve the Golden Mile Complex in recent months which is the reason behind the re-launch of this property.
Edmund Tie & Company while seeking URA’s advice towards its outline application submitted in August 2018 had received planning advice of an integrated project of GFA 86,000 sq m.
It must also be mentioned that there is 49 years lease tenure remaining on Golden Mile Complex which was completed back in 1973.
The project was a brainchild of DP Architects who had designed 1960s.
They are interestingly the consultant architect for this en bloc sale. Ms Chan Hui Min, Director at DP Architects said that integrating a new development yet retaining the heritage of the old structure sensitively was in the realms of possibilities.
She added that doing so the beauty of the building would be enhanced and also the overall value of the property.
Owners of the 68 residential properties at this building are likely to pocket between $1.27 and $6 million each depending on the sizes of their holdings.
227 owners who have office units at this complex are likely to get $360,000 to $3 million.
As for the 418 shop unit owners they are likely to receive between $200,000 and $7 million going by the $800 million guide price.
As far as the differential premium, the lease top-up and the lease upgrading premium for intensification of land use are concerned the costs would be determined by the kind of land use the developer is planning for.
The tender exercise for Golden Mile Complex shall close on the 25th of 3pm on April 2019