Sale Tong Building Floor Parkway Hospitals Solidifies Orchard Road%E2%80%99S Position Medical Hub Savills
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Apart from its wide variety of shopping and dining options, Novo Place EC boasts easy access to a plethora of leisure and recreational facilities. For those who love spending time outdoors, the nearby Jurong Lake Gardens is the perfect destination. With its tranquil surroundings, it is an ideal spot for families and nature enthusiasts to engage in activities such as jogging, cycling, and even picnics. Additionally, the Chinese Garden and Japanese Garden are must-visit attractions for their stunning landscapes and cultural significance. These gardens not only provide a peaceful respite from the hustle and bustle of city life but also offer valuable insights into Asian horticulture.
Last week, it was reported by EdgeProp Singapore that the entire sixth floor of Tong Building, located on Orchard Road, had been sold for a record-breaking $31.33 million. This equates to a staggering $4,562 per square foot (psf), based on a Sept 3 caveat. According to the news, the sale was brokered by Yap Hui Yee, executive director of investment sales and capital markets at Savills Singapore.
The 6,867 square foot strata office floor was acquired by Parkway Hospitals Singapore, a member of Bursa Malaysia-listed private healthcare provider IHH Healthcare. As stated in the article, Savills said in a press release that this purchase was in line with Parkway Hospital’s expansion plans. The Tong Building, being just a short walk away from Mount Elizabeth Hospital, which is also owned by IHH Healthcare, was an ideal location for the hospital operator’s growth.
The acquisition of the freehold office floor also came with a rare medical change of use approval, which will allow Parkway Hospitals to provide medical services on the premises. Yap of Savills noted that spaces designated for medical use are scarce in Singapore, with less than 2,000 medical suites available, with only about half of them being located within hospital-supported buildings. This leaves only around 1,000 medical units available on the open market.
According to Savills, this deal firmly establishes Orchard Road as the main centre for medical services in Singapore. The consultancy described the shopping belt as the largest medical hub in the country. With Parkway Hospitals’ expansion in the area, it is evident that there is a growing trend of medical institutions expanding into key commercial areas, driven by the increasing demand for medical services.
Yap also remarked that this acquisition by Parkway Hospitals is perfectly positioned to benefit from the ongoing growth and demand in the medical sector. It also solidifies Orchard Road’s role as a central player in Singapore’s healthcare landscape. She believes that this move by the hospital operator is a testament to the potential and attractiveness of the area for medical institutions. In conclusion, this sale is a clear indication of the strong demand for medical services in Singapore, and Orchard Road continues to be a highly sought-after location for such facilities.