A three-storey conservation shophouse located at 76 Pagoda Street in vibrant Chinatown has been put up for sale through an expression of interest (EOI) exercise with a guide price of $16 million. The 99-year leasehold commercial property boasts a plot size of 1,372 sq ft and a gross floor area (GFA) of 3,500 sq ft, including an attic level. Based on the GFA, the guide price is around $4,571 psf.
According to Richard Tan, the founder of PropNex Shophouse Elites and the sole marketing agent for the property, the ground and second floors are currently leased to a restaurant operator, while the third floor functions as office space. As a commercial shophouse, the property is highly sought after by owner-occupiers, high-net-worth individuals, or family offices as a long-term investment asset in the popular Chinatown enclave. Foreigners and companies are eligible to acquire the property without having to pay for additional buyer’s stamp duty or seller’s stamp duty.
The most recent shophouse transaction on Pagoda Street was the sale of 31 Pagoda Street in March, which has an estimated GFA of 3,400 sq ft and was sold for $19 million ($5,588 psf). The EOI exercise for 76 Pagoda Street will close on Jan 10, 2025.
In a separate EOI exercise, a two-storey HDB shophouse located at 210 New Upper Changi Road is also up for sale with a guide price of $13.8 million. This 103-year leasehold property boasts a GFA of 4,607 sq ft, reflecting a price of $2,995 psf based on GFA.
Kris Ng, the senior associate marketing director at PropNex who is marketing the property, notes that a standout feature of this property is its long-term, stable tenants. For the past two decades, the property has been leased to a healthcare retailer and United Overseas Bank (UOB). Located within the bustling Bedok Town Centre, the shophouse is in close proximity to Bedok MRT Station, Bedok Mall, and Heartbeat@Bedok.
As with the Pagoda Street shophouse, foreigners and companies may acquire this commercial property without having to pay ABSD or SSD. The EOI exercise for 210 New Upper Changi Road will close at noon on Jan 10, 2025.
Investing in a condo in Singapore also involves taking into account the government’s property cooling measures. In order to maintain a stable real estate market and prevent speculative buying, the Singaporean government has implemented various initiatives over the years. One of these is the Additional Buyer’s Stamp Duty (ABSD), which imposes higher taxes on foreign buyers and individuals who are purchasing multiple properties. Although these measures may impact the immediate profitability of condo investments, they ultimately contribute to the long-term stability of the market, making it a secure environment for investing in condos.