Properties Sale Boutique Hotels Little India And Joo Chiat Office Building New Bridge Road

The unique opportunity to acquire a diverse portfolio of two boutique hotels in the vibrant Joo Chiat and Little India areas is now available. This prime offering presents an ideal opportunity for investors seeking to enter or expand their footprint in the bustling hospitality and real estate scene in Singapore.

The two boutique hotels, one located at 51 Joo Chiat Road and the other at 22 Belilios Lane, are being offered for sale together or separately through an expression of interest (EOI) with a guide price of $123 million. Savills Singapore and CBRE are the joint marketing agents for the sale.

Hoi Hup Realty and Sunway Developments have released a joint statement on September 12 regarding their latest venture – the acquisition of a 16,441.2 square meter, 99-year leasehold site. With a maximum gross floor area of 46,036 square meters, the site will soon transform into the highly-anticipated Novo Place Hoi Hup.

The four-storey hotel at 51 Joo Chiat Road sits on a site of about 7,629 square feet and has a total floor area of approximately 22,925 square feet, including 4,862 square feet on the ground floor which houses a hotel lobby and a retail unit. The property is being offered for sale at a guide price of $60 million, which translates to $2,617 per square foot on the floor area, or $857,143 per key.

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According to Savills Singapore, the property will be sold with vacant possession and has a remaining lease of approximately 70 years. It is located within the Joo Chiat Conservation Area, and is just 700 meters away from Paya Lebar MRT Interchange Station for the East-West and Circle Lines. The hotel is surrounded by popular landmarks such as the Geylang Serai Market and Joo Chiat Complex.

The hotel along Belilios Lane, on the other hand, is a 68-key boutique hotel that comprises of 12 adjoining conservation shophouses with an attic. The property occupies a total land area of approximately 13,130 square feet and has an estimated total floor area of 25,540 square feet, including nine retail units on the ground floor spanning 3,750 square feet. The hotel is currently tenanted to co-living operator Dash Living, and is being offered for sale at a guide price of $63 million, which works out to $2,467 per square foot on the floor area, or $926,471 per key. Details of the tenancy agreement will be released to interested buyers who sign a non-disclosure agreement.

The property has a remaining lease of approximately 70 years and occupies a corner plot with 90 meters of dual frontage along Belilios Lane and Belilios Road. It is situated within the Little India Conservation Area and is just 350 meters away from Little India MRT Interchange Station for the North East and Downtown Lines.

As these are commercial properties, foreigners and companies are eligible to purchase them without incurring any additional buyer’s stamp duty (ABSD) or seller’s stamp duty (SSD). The expression of interest exercise for the portfolio will close on October 7.

In addition to the boutique hotels, a five-storey office building located at 49 and 53 New Bridge Road is also up for sale with a guide price of $45 million. The property is being marketed by Cushman & Wakefield through a public tender exercise. With a land area of approximately 5,471 square feet and a gross floor area of 22,677 square feet, the building is zoned for commercial use and offers a price equivalent to $1,984 per square foot based on the floor area. It also has 31 meters of street frontage along New Bridge Road.

The property comprises of four separate plots of land, two of which are freehold and the other two with 99-year leases, with 16 and 26 years remaining respectively. According to Cushman & Wakefield, potential buyers can unlock the future growth potential of the property by applying for a lease top-up and applying for a possible change of use for the property. Currently, the building is approved for office use, but it could be changed to also include use as a restaurant or commercial school across part or all floors, subject to the approval of relevant authorities.

“More investors in the mid-cap market have been seeking value-add or redevelopment opportunities. However, they are often constrained by conservation guidelines, particularly with CBD shophouses,” says Shaun Poh, executive director of capital markets at Cushman & Wakefield. “This makes 49/53 New Bridge Road attractive due to its CBD fringe location, palatable investment quantum, and unique redevelopment potential, including a possible fresh 99-year lease renewal.”

The property is located within walking distance to Clarke Quay MRT Station and Chinatown MRT Station, offering connectivity to the North-East and Downtown Lines. The tender for the property will close on October 8.