
Roxy Square Relaunch En Bloc Sale with Adjusted Asking Price
Roxy Square Owners Cut Asking Price to $1.12 Billion in Renewed En Bloc Sale Attempt
Roxy Square, a mixed-use development in Katong, has re-entered the en bloc market with a revised asking price of $1.12 billion, an 10.8% reduction from its previous $1.25 billion target.
This marks the owners’ renewed effort to secure a buyer in Singapore’s competitive real estate market, showcasing their adaptability to evolving market conditions.
Located in the vibrant Katong district, Roxy Square is a freehold property featuring retail and commercial units.
Known for its strategic location near Parkway Parade and the Marine Parade MRT station, the prime property has been a notable landmark in the area.
Its proximity to amenities, including schools, eateries, and transport links, makes it an attractive site for redevelopment.
Revised Asking Price and Key Details
The owners of Roxy Square are working to secure an 80% mandate to reduce the reserve price from $1.25 billion to $1.12 billion.
Currently, over 70% of owners have expressed support for the change.
With the revised reserve price of $1.12 billion, the unit land rate will decrease to $1,852 per square foot per plot ratio (psf ppr), down from $2,094 psf ppr, including a land betterment charge based on the base gross plot ratio of 3.86.
If the additional 10% bonus gross floor area (GFA) for the residential component is factored in, and the land betterment charge is paid, the land rate would be further reduced to $1,804 psf ppr, compared to the previous $2,034 psf ppr.
The price reduction aims to attract developers and investors amid softer market conditions.
The en bloc tender process is managed by JLL Singapore, with a deadline set for February 18, 2025.
The decision to lower the price reflects current market dynamics, including increased construction costs, and stricter government cooling measures.
Owners hope the revised pricing will align with developer expectations and increase the likelihood of a successful transaction.
Potential Redevelopment Opportunities
Built in three phases between the early 1980s and 2000, Roxy Square comprises the Roxy Square Shopping Centre and the 576-room Grand Mercure Singapore Roxy hotel.
According to the developer’s website, Roxy-Pacific owns 56 of the 296 retail units in this Katong development.
The prime commercial property currently features a gross floor area (GFA) of 668,000 square feet.
Subject to approval from the Urban Redevelopment Authority (URA), a developer could reconfigure the allowable GFA into a mixed-use development featuring over 350 residential units and approximately 80,000 square feet of retail and food and beverage space.
The remaining GFA of around 172,000 square feet could accommodate office, hotel, or other compatible commercial uses.
JLL’s capital markets executive director, Tan Hong Boon, highlighted the robust demand in Katong’s private residential market, citing strong sales performance in recent launches like Meyer Blue and Emerald of Katong.
He emphasized that Roxy Square’s accessibility, freehold status, and redevelopment potential make it an attractive opportunity for developers.
“The proposed reduction in the reserve price, if supported by the majority of owners, will further enhance the site’s appeal, especially given the consistent demand for quality residences in the area.”
Tan noted. Developers have the unique opportunity to create a significant project that blends Katong’s rich heritage with contemporary urban living.
Next Steps for Potential Buyers
Developers and investors interested in Roxy Square have until February 18, 2025, to submit their bids.
The property’s strategic location, freehold status, and redevelopment potential make it an attractive option for those looking to capitalize on Singapore’s long-term real estate growth.
Roxy Square’s renewed en bloc attempt at $1.12 billion highlights its potential as a prime redevelopment opportunity in Katong.
With its strategic location, flexible zoning, and competitive pricing, the property offers a compelling proposition for developers and investors alike.
Interested parties are encouraged to explore this unique opportunity before the tender closes.
This strategic price adjustment reflects the evolving landscape of Singapore’s real estate market, positioning Roxy Square as a potential landmark project in one of the city’s most dynamic districts.