A pair of adjacent strata retail units at Peninsula Plaza with a 999-year leasehold are now on the market for $10.9 million. The units, located on the ground floor, boast a prominent frontage along North Bridge Road.
One unit has a strata area of 538 sq ft while the other has a strata area of 581 sq ft, making the total strata area 1,119 sq ft. This means that the asking price of $10.9 million translates to a rate of $9,741 psf based on the strata area.
The units are currently tenanted until 2026 and are expected to provide a 3% gross rental yield for investors at the guide price of $10.9 million.
According to Nick Chan, Associate Director of Investment Sales and Capital Markets at Savills Singapore, who is handling the sale of the units on a private treaty basis, these two units are among the best in the development due to their strategic location and excellent footfall.
Peninsula Plaza is a 30-storey mixed-use commercial building with a six-storey retail podium and a 24-storey office tower, built in 1980. It has prominent frontages along North Bridge Road, Coleman Street and Coleman Lane. The building also has a sheltered link to City Hall MRT Interchange Station for easy access to the North-South and East-West lines.
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Since March 2022, when the Urban Redevelopment Authority (URA) placed restrictions on the subdivision of commercial units in the CBD and Orchard corridors, strata-titled units with 999-year and freehold tenure have been highly sought after, according to Savills’ Chan.
In August 2022, a transaction was recorded for a ground-floor retail unit at Peninsula Plaza, which has a smaller strata area of 452 sq ft, at a rate of $9,025 psf based on a lodged caveat. This reflects the high demand for commercial units in this prime location.
If you are interested in owning a unit in Peninsula Plaza, check out the latest listings at EdgeProp.sg.