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The 20-storey commercial development, The Arcade (pictured), has been put up for sale by tender at a guide price of $900 million, Colliers International revealed.
The Arcade, located at 11 Collyer Quay, currently sits on a 21,909 sq ft site that comes with a 999-year leasehold tenure. The site has a maximum allowable gross floor area is approximately 303,657 sq ft and the total existing strata area of about 157,325 sq ft.
Zoned “commercial” under the 2008 Master Plan, the building comprises three levels of retail units, 16 levels of office space and a basement car park. According to Colliers, the site has not been fully maximized and there is "huge re-development potential.”
Tang Wei Leng, Executive Director of Investment Services at Colliers International said: “This is a great and rare investment opportunity for both local and foreign investors, given the scarcity of strata-titled mixed developments that are made available for sale.”
“We expect good demand for both the retail and office units, if they are made available on a strata basis,”she added.
According to Tan, prices of the office space at the new development are expected to be at above S$3,500 per sq ft, while retail space at above S$12,000 per sq ft based on the recent transactions recorded around the area. She also noted that the current asking price for retail units at The Arcade is now at about S$10,000 sq ft.
Considered a landmark in the Raffles Place area, The Arcade is situated directly above Raffles Place MRT station and enjoys dual frontage onto Raffles Place and Collyer Quay.
Tender exercise for the property will close on March 19.
Image source: Colliers International
Nikki De Guzman, Junior Journalist at PropertyGuru, wrote this story. To contact her about this or other stories email nikki@propertyguru.com.sg
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