International Plaza Makes Another En Bloc Sale Attempt
SINGAPORE – Sole marketing agent Edmund Tie has relaunched International Plaza, a commercial property along 10 Anson Road in Tanjong Pagar for collective sale via public tender with an unchanged reserve price of S$2.7 billion, reported The Business Times Tuesday morning (5 April, SGT).
The tender shall close at 3 pm on 29 April 2022. The prior tender closed on 30 November 2021 after the mixed-use development failed to obtain approval from the Urban Redevelopment Authority’s (URA) to apply for the Central Business District (CBD) Incentive Scheme.
If it successfully secures a buyer, the property would become the biggest en bloc sale in Singapore’s history in terms of value and unit number. The 50-storey projects consist of 962 shop units, apartments, offices, a strata-titled swimming pool, and a strata-titled carpark.
The S$2.7 billion reserve price works out to a land rate of S$2,448 psf per plot ratio based on the property’s existing gross floor area (GFA) of roughly 1.4 million sq ft. This translates to a gross plot ratio of 19.24, of which the office GFA must not surpass 945,738 sq ft, while the residential GFA must not measure less than 326,809 sq ft.
Edmund Tie also revealed that the price includes the differential premium and lease upgrading premium to refresh the lease to 99 years.
Under the 2019 Master Plan, International Plaza stands on 75,089 sq ft commercial site with a plot ratio of 10.5 and building height control of up to 250 metres. As the plot is zoned for commercial use, there is no Additional Buyer’s Stamp Duty (ABSD) payable and foreigners are permitted to buy the property.
Swee Shou Fern, Executive Director of investment advisory at Edmund Tie, is upbeat on the relaunch, which comes on the back of the expected rebound in Singapore’s downtown commercial property market, which in turn is benefitting from the relaxation of COVID-19 restrictions, the rejuvenation of the CBD, and the rising demand for commercial properties from family offices, in addition to the growing population of high net-worth individuals (HNWIs) in the region.
“With tight supply of new office space within the CBD, International Plaza stands out as a rare opportunity for developers and funds to build their flagship development in Singapore, Asia’s leading city,” she noted.