3 Strata Office Units In Thong Teck Building Sold For S$10.06mil
SINGAPORE – Three strata-titled office units on the 6th level of the Thong Teck Building at 15 Scotts Road have changed hands for nearly S$10.06 million in all on Tuesday, reported The Edge on Friday morning (11 November, SGT).
Given that the freehold office units have a combined strata area of 2,497 sq ft, the selling price works out to S$4,028 psf.
“It’s a new record for the building as well as for strata-titled office space in the Orchard area,” commented Shaun Poh, Executive Director of capital markets at Cushman & Wakefield, which brokered the office transaction.
The buyer of the commercial properties is said to be an investor, who originated from mainland China but had become a Singapore citizen, while the seller is local real estate firm Top Global.
At present, the three office units within the prime area of Scotts Road and Orchard Road are occupied by a Pilates studio, with its lease expiring in 2025.
In early-October, local luxury watch distributor Cortina Holdings acquired the entire 4th floor of the Thong Teck Building for S$49 million (S$3,568 psf). The 13,735 sq ft office space was occupied by the buyer for its own use. The seller was the Singapore Institute of Management, while CBRE negotiated the office sale.
During the same month, a Thai national reportedly forked out S$39.7 million to acquire a penthouse office floor at Suntec City, which translates to a new record price of S$3,850 psf in the commercial development. The office transaction was brokered by Sakal Real Estate Partners.
“Penthouse floors are rarely available,” commented Steven Ming, Managing Partner at Sakal Real Estate Partners.
“Suntec City has an unrivalled ecosystem; it’s like a city within a city, with office towers, a shopping mall and a convention centre under one roof. It is next to several international branded hotels, with subterranean connectivity to MRT stations and other malls. It also has ease of access to major expressways,” he added.
Looking ahead, Cushman & Wakefield’s Poh expects more similarly-priced strata office sales to happen. He also shared that buyers of strata office units priced between S$10 million and S$40 million price tend to pay in cold cash or require minimal financing.