3 Mixed-use Developments Sold En BLoc In 2021
SINGAPORE – Data from property consultancy Jones Lang LaSalle (JLL) shows that 3 mixed-use (based on proposed use) projects collectively worth S$980.7 million sold via collective sale for the whole of 2021, reported The Business Times on Tuesday evening (4 January, SGT).
The most expensive one is Peace Centre / Peace Mansion, which sold for S$650 million. This is followed by the S$276.8 million en bloc sale of Maxwell house.
Meanwhile, JLL expects hybrid working to keep overall office demand below pre-COVID levels.
But in Singapore “the impact is somewhat mitigated by the tight supply of new offices, withdrawal of stock of office space for redevelopment and relatively shorter commute times compared to many markets,” commented Karamjit Singh, Chief Executive of real estate consultancy Delasa.
He highlighted that foreign or institutional investors, in particular, favour office properties as such assets come with lower stamp duties and have higher rental returns.
Likewise, Edmund Tie’s CEO Desmond Sim believes that office sites would remain as the preferred choice for institutional real estate buyers, as long as their balance sheets are able to include these commercial properties.
Specifically, office developments in Singapore’s central business district (CBD) should still be attractive due to the limited office stock in the area, added Sim.