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The shophouse occupies a freehold site of around 1,795 sq ft, with an existing built-up area of 4,010 sq ft. It is currently fully tenanted, with the ground and third levels occupied by Boon Tong Kee restaurant. Photo: CBRE
A freehold three-storey conservation shophouse at 199 East Coast Road has been put up for sale via expression of interest (EOI) carrying an indicative price of $9.5 million.
This works out to $2,369 per sq ft (psf) based on the existing built-up area of 4,010 sq ft, said marketing agent CBRE.
Enjoying high visibility along the main East Coast Road, the shophouse occupies a freehold site of around 1,795 sq ft.
The property is zoned “Commercial” under the 2019 Draft Master Plan, with a plot ratio of 3.0 within the Joo Chiat Secondary Settlement Conservation Area.
CBRE noted that the maximum allowable gross floor area is around 5,385 sq ft, subject to the approval of authorities.
Currently, the shophouse is fully tenanted, with the ground and third levels occupied by the popular Boon Tong Kee restaurant, which has been operating at the premises for more than 15 years, said Clemence Lee, Senior Director of Capital Markets at CBRE.
“This will provide the incoming buyer with immediate rental income,” he said. “Alternatively, once the existing leases expire, the incoming buyer can also consider maximizing the plot ratio by building a rear extension to increase the floor area by an additional 34%, subject to relevant authorities’ approval.”
Local or foreign buyers can acquire the property with no Additional Buyer’s Stamp Duty or Seller’s Stamp Duty payable.
Easily accessible via East Coast Parkway as well as major trunk roads like Marine Parade Road, Joo Chiat Road, East Coast Road and Still Road, the shophouse is near Katong Point and Parkway Parade.
Notably, the neighbourhood is set to benefit from the upcoming Marine Parade MRT, which is slated to open in 2023. Asset enhancement initiatives are also being conducted at nearby i12 Katong, with completion expected in 2021.
Lee noted that the East Coast area recently witnessed an increase in interest for shophouses.
“This could be attributed to the fact that F&B and retail businesses in the vicinity are doing well, with more people frequenting the neighbourhood more often due to the work-from-home regulations. The area is expected to become even more dynamic upon the completion of rejuvenation activities,” he said.
“Just last month, we understand that 139 East Coast Road, which previously housed Glory Catering, was transacted at $6.6 million, while another row of three shophouses located at 101-105 East Coast Road changed hands at $14 million. Therefore, at a palatable investment quantum of S$9.5 million for the subject property, we expect strong interest from astute investors,” added Lee.
The EOI exercise for the shophouse at 199 East Coast Road closes on 12 November.
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