S'pore Technologies building at Tanjong Pagar put on sale

Price expectations for the freehold office block are $1,500 psf of NLA

THE Singapore Technologies Building in the Tanjong Pagar area has been put on the market.

Price expectations for the 13-storey freehold office block, completed in 1986, are $1,500 per square foot of net lettable area (NLA) and above. Based on the building's current NLA of 98,906 sq ft, a price of $1,500 psf reflects an absolute sum of $148.4 million. The office block's current occupancy rate is close to 90 per cent.

The property is not being pitched for redevelopment potential as the current existing gross floor area of about 128,600 sq ft reflects a plot ratio of about 6.6 - which is higher than the 5.6 plot ratio assigned to the site under Master Plan 2008. The site is zoned for commercial use.

However, there is scope for additions and alterations work that could carve out more NLA and boost the property's rental profile, says Jones Lang LaSalle's national director (investment sales) Anthony Barr.

Jones Lang LaSalle has been appointed by the property's owner, Singapore Technologies group, to conduct an expressions of interest campaign for the sale of the property. The closing date for submissions is Nov 4. The building has ample car parking of 135 lots and is located at the corner of Cantonment and Lim Teck Kim roads. Vehicular access is via the laneway off Cantonment Road, allowing users to access the building without incurring Electronic Road Pricing charges, JLL highlighted.

'The building is currently occupied by various office tenants and provides the buyer with exposure to the improving CBD office rent cycle in addition to potential for further enhancement via refurbishment and asset management initiatives,' it added.


The building has ample car parking of 135 lots and is at the corner of Cantonment and Lim Teck Kim roads.

Source: http://www.businesstimes.com.sg