Bukit Batok’s TEE Building Available For S$20m
SINGAPORE – The TEE Building along 25 Bukit Batok Street 22 has been launched for sale via an expression of interest (EOI) exercise with an indicative price of S$20 million, which works out to S$715 psf based on its 27,977 sq ft land area, reported The Edge on Friday morning (17 September).
At present, the industrial property is being used as the HQ of mainboard-listed engineering firm TEE International, which is also its owner. It comprises a 6-level detached factory building with an attached ancillary office space. The site and building premises can be utilised as office, warehouse, or production area. The property has an overall gross floor area (GFA) of 55,564 sq ft.
TEE Building stands on a plot zoned Business 1. Under the 2019 Master Plan, it has a gross plot ratio of 2.5. Also, the land’s 30-year leasehold tenure commenced in May 1992, meaning the property has under a year remaining on its lease.
According to sole marketing agent Knight Frank, the owner has the option to renew its lease term for another 30 years, subject to approval by JTC.
“We understand from the existing owner that the option for a further of 30 years will be granted so long as there are no breaches and/or non-observances of the binding conditions between the existing owner and JTC. We further understand from the existing owner that the investment requirements have been fulfilled,” said Tricia Tan, an Associate Director in Knight Frank’s auction team.
The marketing agent disclosed that the development, which is being sold on an “as is” basis, will be divested with existing or partial tenancy.
Tan revealed that the property presents an opportunity for investors to acquire a development that is near manufacturing and industrial areas. It also offers efficient office space to support business needs. In addition, the sale is expected to pique the interest of owner-occupiers as well as investors seeking to leverage on the robust take-up of B1 industrial space.
“Demand for industrial space has been consistent throughout 2021 and industrialists are still keen on acquiring new properties. The ongoing pandemic has increased demand for new technologies such as 5G, artificial intelligence and the Internet of things. Under URA allowable use guidelines, these businesses can only operate in B1 industrial properties or business park buildings, which are classified as light industrial use,” she added.
The EOI exercise for TEE Building will close on 29 October 2021.