Ravi Chandran
The Chinatown Point strata office has a floor area of approximately 2,347 square feet
CBRE announced on 22 June that it has been appointed as the exclusive marketing agent for the sale of an office unit in Chinatown Point.
The sale of the Chinatown Point strata office will be by way of Expression of Interest, which closes on 5 August 2021 at 3pm.
Located on Level 18 overlooking Singapore River, shophouses and the CBD skyline, the office unit has a strata floor area of approximately 2,347 square feet.
With an indicative guide price of S$4.46 million, the Chinatown Point strata office unit can be sold vacant or with a leaseback arrangement for one year. Both locals and foreigners are eligible to purchase the subject property, which is zoned for “Commercial” use. There will be no Additional Buyer’s Stamp Duty or Seller’s Stamp Duty imposed on the purchase.
Chinatown Point is one of the largest strata-titled commercial developments in proximity to the CBD, comprising an office block from the 8th to 25th storey and a retail podium from basement 2 to the 5th storey.
Enjoying a prominent triple frontage along New Bridge Road, Upper Cross Street and Upper Hokkien Street, Chinatown Point boasts an underground pedestrian link to the Chinatown MRT interchange station, a sheltered linkway to Hong Lim Complex/Food Centre and a generous car parking provision of 361 lots across four levels. A supermarket, eateries, restaurants, travel agencies and the National Library Board’s first Chinese arts and culture-themed library are amongst its current offerings.
Mr Michael Tay, Head of Capital Markets, Singapore at CBRE said, “One of the many key selling points include the spectacular view that only high floor office units can command. We’ve noticed that this development has been extremely popular with law firms wanting to be near the State Courts, and the Family and Juvenile Court. Additionally, the newly completed 35-storey State Courts Tower is within a three-minute walk and this will further enhance the attractiveness of the development to legal and other professional services firms.”
Mr Tay added, “Many occupiers here are attracted by its strong locational attributes of being close to the CBD, the myriad of amenities in the vicinity and the direct linkage to Chinatown MRT Interchange Station which serves the North-East and Downtown lines. These positive attributes and the view of hedging against inflation may encourage business owners to buy the unit for owner occupation.”
“On the investment front, against the backdrop of tight office supply in the short to mid-term, we believe this offering will appeal to investors, including family offices, high net-worth individuals and boutique investment firms, who may be looking to buy into a recovering office rental cycle”
Mr Michael Tay
Completed in 1990, Chinatown Point is one of the largest office and retail developments strategically located within the heart of Chinatown, Singapore’s most renowned historical district. The mixed-use development comprises an office block from the 8th to 25th storey and a retail podium from basement 2 to the 5th storey.
Refurbished in 2012, Chinatown Point offers an exciting tenant mix, including banks, restaurants, cafes, a library, a supermarket and lifestyle concept stores. Generous car parking provision of 361 lots are provided across four levels of parking.
Given its strategic corner location along New Bridge Road and Upper Cross Street, the development enjoys high visibility with wide dual frontages. Conveniently situated close to an array of amenities including Park Royal Pickering and Hong Lim Food Centre, Chinatown Point is directly linked to Chinatown MRT Interchange Station which offers connectivity to the North-East and Downtown Lines. Two stations to Marina Bay Financial Centre and a short drive into the CBD, the development is also easily accessible via various expressways such as Central Expressway and Ayer Rajah Expressway.
Mr Paul Ho, chief officer at iCompareLoan, said: “As the Chinatown Point strata office is zoned under “Commercial”, both local and foreigners are eligible to purchase them without additional buyers’ stamp duty or sellers’ stamp duty imposed on the unit.”
“Against a backdrop of tight strata office supply in the CBD, this offering will be a good opportunity for the right purchaser,” he added.
According to CBRE Research, office rents recovery is expected in the second half of 2021, resulting in an overall positive rental growth for the whole of 2021.
The office rents recovery will come on the back of Ministry of Trade and Industry’s projection that the Singapore economy will grow by 4% to 6% in 2021. Nonetheless, office demand is expected to remain relatively subdued in 1H 2021, as firms will still remain cautious in the wake of the COVID-19 pandemic. Should economic activity and business sentiment recover after the administration of the vaccine by Q3 2021, the office market is well poised to benefit from the gains in employment.
Five new projects are estimated to complete in 2021, which will add another 1.23 million square feet to the entire office stock. Out of these five, there is only one Grade A office development – CapitaSpring, which will add another 0.65 million square feet of office stock to the Grade A (Core CBD) market.
