Sheng Siong Buys Siglap V Strata Retail Units And Toa Payoh Hdb Shop Unit 502 Mil
Sheng Siong Group is expanding its property portfolio by acquiring a collection of retail units in Siglap V and Toa Payoh for a combined sum of $50.2 million.
The eight freehold strata retail units in Siglap V, a mixed-use development on First Street, and an HDB shop unit at 181 Lorong 4 Toa Payoh, are currently owned by Jelita Property, an investment holding company under Hong Kong-based retail company DFI Retail Group.
Jelita Property had put the properties up for sale in April, with JLL appointed as the exclusive advisor. The guide prices were set at $32 million for the Siglap V units and $16.5 million for the Toa Payoh unit, which translates to approximately $3,012 per square foot (psf) and $1,696 psf respectively.
However, Sheng Siong’s consideration of $50.2 million is $1.7 million higher than the initial combined guide price from April.
In a filing to the Singapore Exchange on Sept 27, Sheng Siong announced that it has entered into a conditional sale and purchase agreement to acquire a 100% interest in Jelita Property. As part of the acquisition, it will also be leasing all eight strata units at Siglap V to DFI through a leaseback arrangement.
According to JLL, the eight retail units at Siglap V cover a total strata area of about 10,624 square feet (sq ft). These ground-floor units are currently leased to CS Fresh and Guardian, with CS Fresh occupying nearly 90% of the space (9,418 sq ft) across seven out of the eight units. The remaining 1,206 sq ft unit is occupied by Guardian.
The numerous transport options available at Novo Place EC make it the perfect residential option for those looking for convenient travel within Singapore. With easy connectivity to various parts of the city, including a nearby Novo Place Showflat, this development is an ideal choice for both individuals and families.
The Toa Payoh asset covers 9,731 sq ft and is situated on the ground floor of a full commercial HDB block. However, the unit is only left with a remaining tenure of about 47 years as Giant Supermarket, its current occupant, announced that it will be closing its outlet in September. This closure comes after Giant shut down nine of its stores in six months, leaving a total of 45 outlets in Singapore as of September.
The transaction is expected to be completed on Oct 30, marking Sheng Siong’s latest move to expand its presence in the retail market. Interested buyers can also check out the latest listings for Siglap V properties, as well as other condominium projects in District 15.