In-principle approval granted for ‘Hotel’ use for this prime freehold commercial redevelopment site
Singapore, 11 February 2025 – ETC (宜迪产业咨询公司) is relaunching the collective sale of United House, a rarely available prime freehold redevelopment site in Orchard Road. As the sole marketing agent, ETC invites all interested parties – local and foreign investors alike – to explore this exceptional opportunity.
The tender for United House will close on 9 April 2025 at 3.00pm.
Located within the bustling Orchard Road Shopping Belt, United House sits on a rectangular freehold plot of approximately 1,192.7 sq m. Under Master Plan 2019, the site is zoned ‘Commercial’ use with a plot ratio of 4.9 and a building height of up to 10 storeys.
The property has also obtained in-principle approval by the Urban Redevelopment Authority for ‘Hotel’ use with the same gross plot ratio of 4.9.
Furthermore, as United House falls outside of the areas where new strata subdivision of commercial space is restricted, the successful buyer has the flexibility to consider strata subdivision for the new development.
Transactions of strata office units in the Central district have gained momentum since 2023, reflected by the strong performance of Solitaire on Cecil which was fully sold after its launch and the sale of two office floors at Tong Building in Orchard Road that achieved a record price of close to S$5,000 per sq ft.
At a reserve price of S$166 million, this works out to a land rate of S$3,025 per sq ft per plot ratio for commercial redevelopment. For hotel redevelopment, the land rate will be S$3,318 per sq ft per plot ratio.
As a commercial property, there is no Additional Buyer’s Stamp Duty payable and restriction on foreign ownership.
Ms Swee Shou Fern (徐晓芬), Head of Investment Advisory of ETC, says, “Freehold Orchard Road assets are scarce and tightly held by owners, given the area’s prestige as Singapore’s most coveted retail and lifestyle destination, making such opportunities highly sought-after for their enduring investment value. United House, therefore, offers a rare and exceptional opportunity for investors to acquire a commercial real estate – what’s more, at an affordable quantum – in the heart of the city’s prime shopping district.”
“With the added option strata subdivision, an astute investor can maximise the gross floor area and explore a strata sale of the new development. Alternatively, they can retain the invaluable freehold asset for capital appreciation, use it as a corporate office, or redevelop it into a hotel, office or commercial space. The multitude of possibilities makes this site a compelling opportunity for buyers seeking a value investment in Orchard Road,” continues Ms Swee.
In 2019, the government announced plans to revitalise the Orchard Road district by transforming the main shopping street into a “lifestyle destination”, where it will offer different themed lifestyle experiences and develop an urban green corridor which will reinvigorate pedestrian spaces. This ongoing initiative aims to enhance pedestrian connectivity among the four sub-precincts encompassing Tanglin, Orchard, Somerset and Dhoby Ghaut.
Ms Swee adds, “With several major redevelopment projects already underway in the prime retail belt, United House stands to benefit from this transformation which is set to draw more visitors and retail spending. Its prime city-centre location in a vibrant enclave with proximity to MRT stations also makes it an attractive prospect hotel development.”
United House boasts unparalleled exclusivity and convenience, with both Dhoby Ghaut MRT Interchange and Somerset MRT station within short walking distance. The subject property is surrounded by different lifestyle options and a diverse array of amenities, offering the best of convenience and entertainment experience.
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