mr funny
15-07-11, 00:22
http://www.businesstimes.com.sg/sub/news/story/0,4574,447071-1310500740,00.html?
Published July 12, 2011
Peace Centre site again up for collective sale
Guide price this time round is down slightly at $675m
By EMILYN YAP
PEACE Centre and Peace Mansion are up for collective sale for the third time, and the owners are hoping to sweeten the deal with a slightly reduced guide price of $675 million.
The last time that they put the 40-year-old properties at 1 Sophia Road up for sale by tender in February, the guide price was $700 million.
There was interest from a handful of developers then but their offers did not meet the reserve price, said Savills Singapore director of investment sales Suzie Mok, whose firm is handling the collective sale.
The owners of Peace Centre and Peace Mansion had tried to sell the properties as early as 2007 for an indicative price of $470 million.
The properties sit on a 76,618 square foot site. The developer which purchases the plot can build a new project with a gross floor area of around 627,852 sq ft, subject to regulatory approval.
The developer will also have to pay an estimated upgrading premium of $145 million on top of the guide price to top up the existing lease to 99 years. This means that the total cost works out to around $1,306 per square foot per plot ratio.
Peace Centre and Peace Mansion are near PoMo and Wilkie Edge, and are also in the vicinity of education institutions such as the Nanyang Academy of Fine Arts.
According to Ms Mok, the site can be transformed into a mixed-use project with retail, entertainment, office, Soho (small office, home office) or other components.
She added: 'The outlook and demand for commercial space in the city centre remains strong, and the developer may also leverage on the strong rebound in the office segment to develop a quality commercial block to cater to businesses that do not require a presence in the CBD.'
Savills is marketing Peace Centre and Peace Mansion locally and regionally. The tender closes on Aug 3.
Published July 12, 2011
Peace Centre site again up for collective sale
Guide price this time round is down slightly at $675m
By EMILYN YAP
PEACE Centre and Peace Mansion are up for collective sale for the third time, and the owners are hoping to sweeten the deal with a slightly reduced guide price of $675 million.
The last time that they put the 40-year-old properties at 1 Sophia Road up for sale by tender in February, the guide price was $700 million.
There was interest from a handful of developers then but their offers did not meet the reserve price, said Savills Singapore director of investment sales Suzie Mok, whose firm is handling the collective sale.
The owners of Peace Centre and Peace Mansion had tried to sell the properties as early as 2007 for an indicative price of $470 million.
The properties sit on a 76,618 square foot site. The developer which purchases the plot can build a new project with a gross floor area of around 627,852 sq ft, subject to regulatory approval.
The developer will also have to pay an estimated upgrading premium of $145 million on top of the guide price to top up the existing lease to 99 years. This means that the total cost works out to around $1,306 per square foot per plot ratio.
Peace Centre and Peace Mansion are near PoMo and Wilkie Edge, and are also in the vicinity of education institutions such as the Nanyang Academy of Fine Arts.
According to Ms Mok, the site can be transformed into a mixed-use project with retail, entertainment, office, Soho (small office, home office) or other components.
She added: 'The outlook and demand for commercial space in the city centre remains strong, and the developer may also leverage on the strong rebound in the office segment to develop a quality commercial block to cater to businesses that do not require a presence in the CBD.'
Savills is marketing Peace Centre and Peace Mansion locally and regionally. The tender closes on Aug 3.