Golden Mile Tower’s voluntary conservation has been given the go-ahead by URA, subject to the successful sale of the 99-year leasehold development through a collective sale. As per documents obtained by EdgeProp Singapore, the government has stated that should a developer opt to conserve the existing cinema block, it may consider increasing the site’s allowable gross plot ratio (GPR) from 4.46 to 5.6, based on the current site area of 93,902.5 sq ft.
Such an increase in GPR would mean a corresponding rise in the redevelopment’s allowable gross floor area (GFA) to 525,854 sq ft, a significant boost from the current GFA of 419,142 sq ft. In addition, voluntary conservation could also result in a higher maximum building height of 164m, surpassing the current limit of 145m for the site.
The latest collective sale attempt for Golden Mile Tower was made by its owners in August 2020, with a reserve price of $556 million. This was the third collective sale attempt for the 99-year leasehold development, which has yet to be successful.
Tag Realty, the marketing agent for Golden Mile Tower’s collective sale, confirms that the reserve price for the development remains the same. This translates to a land rate of $1,350, which includes the cost of renewing the land tenure but excludes land betterment charges.
Anna Tan, business development director at Tag Realty, believes that the increase in building height limit under the voluntary conservation option presents opportunities for developers to revamp the property and create a grand presence in the skyline. It also means that the new development’s commercial and hotel spaces could offer 5m floor-to-ceiling heights, while residential units could feature 3.6m ceiling heights.
The approval for voluntary conservation of Golden Mile Tower is especially significant as its neighboring Golden Mile Complex, now known as Golden Mile Singapore, was gazetted for conservation in 2021. Developed by Perennial Holdings and Far East Organization, the commercial units at Golden Mile Singapore were launched last December, with the residential units in a 45-storey tower scheduled to be launched in the current quarter.
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Tan views the voluntary conservation approval of Golden Mile Tower as a rare opportunity to redevelop the prime Beach Road site, given the limited land supply in the area and the expected price increase as a result of rejuvenation efforts such as the launch of Golden Mile Singapore and the upcoming Kallang Alive masterplan.
She also believes that the redevelopment of Golden Mile Tower presents a unique investment opportunity for local and international investors, given its heritage and future potential as a mixed-use development in a prime location along Beach Road.