The 16-storey Golden Mile Complex is making its second collective sale attempt at the same price of $800 million.
Golden Mile Complex, which was gazetted as a conserved building in October, has once again been put up for collective sale with a reserve price of $800 million.
This marks the second en bloc attempt for the development after its last attempt ended in July 2019, with the two tenders during the first round of en bloc sale exercise closed with no bids, said sole marketing agent Edmund Tie & Company.
The collective sale was immediately reactivated in August 2019, with the collective sale committee and marketing agent Edmund Tie continuing “to provide feedback to the Urban Redevelopment Authority (URA) on the proposed conservation”.
The reserve price remains the same as its previous attempt. Including the lease upgrading premium and the differential premium payable, the indicative land rate will translate to around $1,350 per sq ft per plot ratio (psf ppr), depending on the proposed use mix.
Since the property is zoned for commercial use under the 2019 Master Plan, no Additional Buyer’s Stamp Duty (ABSD) is payable for its purchase and there is no restriction on foreign ownership.
Golden Mile Complex was completed in 1973, making it one of Singapore’s first large scale mixed-use developments. It is an example of Brutalist architecture, with signature features including slanted beams, terraced floor slabs, “floating” staggered staircases and towering columns.
It is the “first modern, large-scale, strata-titled development to be conserved in Singapore”.
To attract potential buyers, URA offered a range of conservation incentives for the development of the Golden Mile Complex.
These include a “bonus floor area equivalent to one-third increase over existing development intensity; full tax waiver for conserved floor area; partial tax waiver for new floor area; options to adjust the site boundary and alienate part of an adjoining State Land to allow more design flexibility; lease renewal to a fresh 99 years lease, subject to formal approval from relevant authorities; and flexibility in the mix of commercial, residential and hotel uses”.
Nestled on a 1.3ha site, the 16-storey building with a basement level houses offices, shops and apartments. It comprises 718 strata-titled units and has an existing GFA of about 56,000 sq m.
With the bonus floor area and alienation of the adjoining state land, the site has a maximum potential GFA of about 81,000 sq m and comes with an option to build a new 30-storey tower beside the main building.
“The unprecedented and comprehensive package of conservation incentives offered by URA is a sweetener to make development options for the site more attractive to the developers,” said Swee Shou Fern, Executive Director of Investment Advisory at Edmund Tie.
“Besides financial incentives in the form of development charge waivers, the package offers the developers flexibility in the use mix as well as design flexibility by allowing reconfiguration of the site boundary. Taken together, this is a well-balanced package which will incentivize developers to seize this once-in-a-lifetime opportunity to leverage on an existing architectural icon and take it to greater heights.”
The tender for Golden Mile Complex closes on 28 February 2022.
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Cheryl Chiew, Digital Content Specialist at PropertyGuru, edited this story. To contact her about this story, email: firstname.lastname@example.org.