More than $ 1 million Below Valuation -Freehold Shophouse for Sale
Press Release in EdgeProp Singapore – April 24, 2023, 4:46 PM SGT
A newly restored conserved freehold shophouse for sale at 275 Joo Chiat Road at a significant $1.1 million below its valuation of $10.3 million. The sale price translates to $2,946.8 psf based on an estimated gross floor area (GFA) of 3,122 sq ft; with a land area of approximately 1,233 sq ft and freehold tenure, this property is a potential gem for any investor’s portfolio.
I came across this property and would like to bring it to your attention. Recently, EdgeProp has picked up this news, but I personally want to give the details of this attractive shophouse for you to peruse.
Comprehensive refurbishment and reconstruction Underway of the shophouse for sale
The shophouse for sale is currently undergoing a $2 million reconstruction, a comprehensive refurbishment, and rebuilding, including a rare four-level extension and installing a mechanical lift for rear access. The construction is expected to be completed by the third quarter of 2023. Upon completion, the conserved shophouse will become an iconic heritage site along Joo Chiat Road.
As a full commercial zone property, this shophouse is exempt from Additional Buyer’s Stamp Duty (ABSD) and is open for purchase by foreigners.
An independent valuation done on the 14th of April 2023 reflect the latest valuation at $10.3m, however. The seller has agreed to honour selling from $9.2 million, an old price established during the Covid period.
The privilege to market the reserve price of $9.2 million is given to me. I am the exclusive marketing agent for this gem of a property and have been diligently negotiating on behalf of the potential overseas buyer. The seller has therefore honoured their commitment to the agreed reserve price of $9.2 million until the TOP obtains the property (TOP expected July-sept range 2023).
The valuation of the property will be expected to be higher than the current value after TOP when the building is ready for business operation.
Prime location and opportunity for investors
Situated in the vibrant District 15 of Joo Chiat Road in Singapore’s East Coast area, this heritage gem offers a unique blend of modern architecture and art conservation. The property enjoys easy access to Marine Parade MRT (TE26). It is surrounded by popular destinations like Dunman Food Centre, Geylang Serai Market, Joo Chiat Complex, Katong Village, and Sheng Siong Hypermarket, ensuring high foot traffic.
Rare opportunity! Newly restored freehold shophouse for sale at a significant discount
The below valuation pricing of the shophouse presents a rare opportunity in a location like Joo Chiat, which is expected to continue gaining traction due to the limited supply of shophouses for sale and strong demand from shophouse investors in this area.
The expression of interest (EOI) closing date of 5th May 2023. at $9.2 million via expression of interest (EOI).
I am Tyson Yuk, the founder of the blog Commercial Realty Singapore. With over 15 years of experience, my forte is in the commercial and luxury property line. With my blog, I aim to educate, advise and share tips and tricks with potential property buyers and investors to help them make successful property ventures.
Recently, I, with my partner and colleague, have published a book on “The Untold Truth of Investing in Commercial Properties.” The book is an ultimate guide to redefining real estate investment, unveiling 10 transformative secrets for building a lasting commercial property legacy, especially shophouses. With 30 years of combined experience, we provided invaluable insights into Singapore’s commercial landscape and niche shophouse market, empowering investors to navigate the economic climate and optimise returns.
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