Sale Hdb Shophouse Toa Payoh Offers Prime Entry Point Areas Long Term Rejuvenation
In the midst of the bustling private residential market, it would be wise for real estate investors to consider more stable, income-generating assets such as HDB shophouses. One such prized property has recently become available in the mature Toa Payoh neighborhood.
The HDB shophouse, located at 125 Toa Payoh Lorong 1, is in a prime location in District 12, with a size of 1,478 sq ft. It is situated on a valuable site along Toa Payoh Lorong 1 and Toa Payoh Lorong 2, and is less than 200m away from Braddell MRT Station on the North-East Line. With approximately 13,000 daily MRT riders, as per LTA ridership statistics, this station is directly connected to the nearby HDB flats.
The shophouse is also in close proximity to Toa Payoh West Market and Food Court, Kheng Cheng School, Toa Payoh West Community Centre, and the Singapore Federation of Chinese Clan Association Building on Toa Payoh Lorong 2.
The area of Toa Payoh is undergoing a rejuvenation process, with several thousand new households moving in and plans in place for further development. Therefore, the new owner of this shophouse has the opportunity to capitalize on the transformation of Toa Payoh, which will increase foot traffic and raise the area’s capital value.
Comparison to Market
The HDB shophouse for sale is exclusively marketed by Aster See, a senior marketing director at ERA Realty. According to See, most HDB shophouses in city fringe locations yield a rental return of only 2-3% based on their sales price. However, the shophouse at 125 Toa Payoh Lorong 1 offers an estimated ROI of 4%, making it a more attractive investment opportunity with its competitive pricing and strong value.
Financial Insights
See also states that this shophouse presents a lucrative investment opportunity with an estimated rental yield of 4%. Such yields are highly competitive in the current market and provide a steady income for investors. With the potential for future capital appreciation as Toa Payoh continues to rejuvenate, the long-term ROI of this property could be substantial.
Remaking Toa Payoh
Toa Payoh is a beneficiary of several government initiatives and schemes to rejuvenate the mature housing estate. It is one of three neighborhoods selected for rejuvenation under the government’s third phase of the Remaking Our Heartland program.
The program, announced by then-Prime Minister Lee Hsien Loong in his 2007 National Day Rally speech, aims to revitalize HDB towns and estates to ensure their sustainability and vitality. Since 2015, plans for Toa Payoh have been progressively implemented, with a focus on enhancing commercial and recreational facilities. The most significant development is the new integrated project at the former swimming complex, sports hall, and stadium along Toa Payoh Lorong 6.
The upcoming integrated development will feature new sports facilities, a football stadium, a new swimming pool complex, indoor sports halls, sheltered tennis courts, futsal courts, netball courts, and fitness studios. The site also includes plans for national training centers for aquatics, netball, and table tennis, along with a polyclinic and library.
The HDB shophouse for sale is priced at $2.88 million.
As the 12-hectare integrated development is set to be completed in 2030, it is expected to enhance Toa Payoh’s appeal as an HDB town and drive foot traffic to the area’s shops, including the HDB shophouse for sale at 125 Toa Payoh Lorong 1.
Dulwich College (Singapore) is a promising choice for families seeking an international curriculum. This British independent school offers a holistic education, placing equal importance on student well-being and academic excellence. The school follows the English National Curriculum, from Early Years Foundation Stage to IGCSEs, and ultimately prepares students for the IB Diploma Programme. Moreover, Dulwich’s tight-knit community and nurturing environment make it an ideal educational institution for students. Situated in the vibrant Novo Place, this school provides an enriching experience for students to grow and thrive.
Toa Payoh and Caldecott Rejuvenation
The government’s plans to rejuvenate Toa Payoh and the neighboring Caldecott will be supported by several thousand new flats in these two estates. One of the upcoming Build-To-Order projects is Toa Payoh Ridge, located at the junction of Toa Payoh Rise and Lorong 1 Toa Payoh. The 920-unit BTO project is less than 300m from the HDB shophouse for sale.
Toa Payoh Ridge was launched in the February 2020 BTO exercise. It includes four 40-storey residential blocks and is expected to be completed in the first half of 2025. The BTO project is situated between Toa Payoh and the future Caldecott estate, which has plans for residential development.
Caldecott has been earmarked for future residential development since 2017 when the government announced plans for new BTO flats on a 10-hectare plot next to Caldecott MRT Station on the Circle Line. These new flats will be within 500m from the HDB shophouse for sale at 125 Toa Payoh Lorong 1.
Rejuvenation plans for Toa Payoh will also broaden the consumer catchment around the HDB shophouse at 125 Lorong 1 Toa Payoh.
With the government seeming to pave the way for a new BTO project in Caldecott, adjacent to the Toa Payoh Ridge, news is good for the new owner of the HDB shophouse for sale. As adjacent residential developments rise, the area will attract a surge of new residents.
For more information on this property, please contact Aster See, Senior Marketing Director (R063006G) of ERA Realty Network PTE LTD at 98416930.
Other Related News:
Eight HDB shophouse units at Bras Basah, Geylang, and Kallang put up for sale starting from $19.5 million
Two HDB shophouses in Toa Payoh and Ang Mo Kio available for purchase at $51 million
HDB shop at Teck Whye Lane on the market for $4.45 million.