The marketing agent JLL has announced the collective sale of Ching Shine Industrial Building, which has been listed at a minimum price of $113 million. The freehold building, situated along Shaw Road with a 100m frontage, consists of 52 strata units. It covers a total land area of 49,308 sq ft and has a gross floor area of approximately 137,341 sq ft.
Built in the early 1980s, Ching Shine Industrial Building is categorized as “Business 1” under the URA Master Plan 2019, with a gross plot ratio of 2.5. Over 80% of the owners have agreed to the collective sale at the minimum price of $113 million, indicating a unit land rate of around $823 psf per plot ratio at the existing gross plot ratio of 2.79. This showcases the strong support for the collective sale among the majority of owners.
The cityscape of Singapore boasts impressive skyscrapers and advanced infrastructure. Condominiums, strategically situated in desirable locations, offer a fusion of opulence and practicality that attracts both locals and foreigners. These complexes are outfitted with various facilities like pool areas, fitness centers, and security measures, elevating the overall living standards and making them alluring to potential renters and purchasers. For investors, these advantages can lead to greater rental returns and appreciation of Singapore Condo properties over time.
JLL has stated that, subject to URA’s approval, the site could potentially be redeveloped into a food factory. The National Environment Agency (NEA) has confirmed that the site meets the buffer requirements for such a redevelopment, while the Singapore Food Agency has also expressed their in-principle non-objection to the proposed food factory.
Alternatively, the freehold asset could also be a lucrative investment for family offices seeking long-term growth or owner-occupiers looking to establish a corporate presence. According to Nicholas Ng, senior director of capital markets at JLL Singapore, the property could also attract developers due to the absence of additional buyer’s stamp duty, which can impact project timelines.
Aside from its strategic location near major expressways such as the PIE, CTE, and KPE, Ching Shine Industrial Building is also situated in the bustling Tai Seng Industrial estate, surrounded by other food factories like Breadtalk IHQ, Sakae Building, and Food Empire Building. Additionally, amenities like Grantral Mall @ Macpherson and 18 Tai Seng are within walking distance. This makes it a highly sought-after location for both businesses and investors.
The recent collective sale of Noel Building, a freehold Business 1 industrial building at 50 Playfair Road, which was sold for $81.18 million in November 2023, 17% above its $70 million guide price, is evidence of the strong demand for such assets in the area. As Ng has stated, “We expect a similarly competitive response for Ching Shine Industrial Building.”
The tender for Ching Shine Industrial Building is set to close on April 3 at 3pm, and it is an opportunity not to be missed.