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The building formerly housed AIA Singapore P L and was eventually acquired by Wealth Development. (Photo: JLL)
A freehold strata office floor at Hexacube, a five-storey commercial project in Paya Lebar precinct, has been put up for sale via Expression of Interest for around S$21.6 million, which translates to about S$1,700 psf based on the level’s strata area of about 12,712 sq ft.
According to the exclusive marketing agent JLL, Hexacube in Changi Road is a short walk from the Eunos MRT station and commands excellent visibility thanks to its 25m-wide main road frontage.
The building formerly housed AIA Singapore P L and was eventually acquired by Wealth Development.
After it was completely redeveloped and obtained its Temporary Occupation Permit (TOP) in April 2017, the building now consists of shops and restaurants on basement 1 up to level 2, while offices occupy level 3 to 5.
The strata office floor up for sale is situated on the highest level and is being offered with vacant possession. It features a mezzanine and double volume office space on level 5, allowing versatile space planning.
Given that the property sits on land zoned for commercial use, foreigners are allowed to purchase it. The deal is also exempt from the Additional Buyer’s Stamp Duty (ABSD) and the Seller’s Stamp Duty (SSD).
Moreover, the psf price for strata office floor is lower than previous transactions in Hexacube. In May 2016, an office unit on the third floor was sold for S$1,909 psf, while an office unit on the fourth level was divested for S$2,031 psf in July of the same year. Originally, the individual office units were priced from S$1,961 to S$2,283 psf when the project was launched in 2014.
“The subject property presents purchasers with a unique opportunity to acquire an entire freehold office floor located in the city fringe that is easily accessible,” said JLL’s Senior Manager for Capital Markets Clemence Lee.
There is also strong demand for properties in the upcoming Paya Lebar growth precinct. In fact, Australian developer Lendlease sold 50 percent or 215 units at its 429-unit Park Place Residences on the first day of launch on 25 March 2017.
“As more new developments are added to Paya Lebar, the new owner can expect to enjoy capital and rental upside from the urban regeneration and the gradual transformation of the area in the mid-to-long term,” Lee added.
Under the URA Master Plan, the precinct is set to be the next commercial hub in Singapore, with the development of more than 5.4 million sq ft of retail, hotel, residential and office projects in the area. Another 800 hectares of land will also be freed up for further development after the relocation of the Paya Lebar Airbase by 2030.
The Expression of Interest exercise will close on Wednesday, 5 July 2017.
This article was edited by Denise Djong.
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