close
Parking space

People’s Park Complex parking lot put up for sale at a target price of S $ 42 million

SINGAPORE: A multi-storey car park at the People’s Park Complex was put up for sale by public tender on Tuesday, June 22 with a guide price of S $ 42 million, equivalent to S $ 57,000 for each parking lot .

The parking lot, which occupies levels three through six of the 31-story mixed-use commercial and residential development in Chinatown, includes 648 parking lots, 56 motorcycle parking lots and a catering unit on the upper level of the parking lot.

This spans a total strata area of ​​approximately 182,340 square feet, including the 2,809 square foot restaurant.

Marketing agent Brilliance Capital said the price of S $ 42 million is about S $ 208 for the parking lot and S $ 1,673 for the restaurant.

On a per parking basis, this translates to approximately S $ 57,000 per parking lot.

This is an “attractive price,” the agent said, referring to two other parking sales he made last year at Holland Road Mall and Parklane Mall. These parking lots were sold for over S $ 360,000 and S $ 70,000 respectively per lot.

FOCUS: Is there an environmental cost to Singapore’s love affair with bulk sales?

People’s Park Complex is zoned commercial, which means it can be purchased by local and foreign buyers without paying additional stamp duty for the buyer or stamp duty for the seller.

“As communal car parks are no longer allowed to have separate strata titles, it has definitely become one of the most closely held asset classes that is well sought after, but rarely available for sale,” Sammi said. Lim, executive director of Brilliance Capital.

She said incoming buyers can enjoy the security of immediate rental income from the restaurant unit.

It also presents an opportunity for investors, Ms. Lim said, adding that there is “potential for change in use through the settling of part of the parking lot”.

The Big Read: Rising Prices, Construction Delays – Young Couples Face Perfect Storm In Search Of Home Sweet Home

READ: Industry players shouldn’t ‘stoke exuberant feelings’ in the real estate market: Indranee Rajah

Brilliance Capital said the parking sector “has proven to be an attractive alternative to traditional property classes” such as residential and commercial units, and is considered “relatively low risk investments”.

This has attracted investors who are looking for stable cash flow and a resilient asset class in which to invest.

With authorities limiting the number of parking lots in new developments, existing buildings with generous parking space hold a competitive advantage, he added.

“Due to the limited number of parking spaces and the high and significant parking costs in the heart of Raffles Place and Marina Bay CBD, the People’s Park Complex car park has become one of the beneficiaries where the office crowd uses a parking system. incentive parking to get to their offices, ”mentioned.

The call for tenders will close at 3 p.m. on July 29.

Tags : car parksparking lotsparking spacesreal estatesquare feetsquare foot
John Smith

The author John Smith