Far East Shopping Centre up for collective sale with S$928 million guide price

CBRE, the marketing agent, has announced that FAR East Shopping Centre is now available for en bloc sale, with a guide price of S$928 million. Based on a maximum building gross floor area (GFA) of 290,574 square feet (sq ft), the land rate is estimated at S$3,421 per square foot per plot ratio, assuming the site qualifies for the Urban Redevelopment Authority’s (URA) strategic development incentive (SDI) scheme.

Under the SDI scheme, the potential buyer will have the opportunity to increase the GFA of the redeveloped building by up to 20 percent, subject to meeting URA’s redevelopment conditions.

Situated at 545 Orchard Road, this 999-year leasehold shopping centre occupies a commercial zoned site of 36,014 sq ft. It currently allows for a gross plot ratio of 4.9 and has a GFA of 242,145 sq ft.

Notably, the buyer will not be required to pay any Additional Buyer’s Stamp Duty. However, it is expected that the buyer will engage in a joint integrated redevelopment with adjacent sites if the property falls under the SDI scheme, as suggested by CBRE.

As part of the proposed SDI scheme, direct underground pedestrian links will be established from the Orchard MRT stations on both the North-South Line and Thomson-East Coast Line. This strategic move aims to enhance foot traffic in the Orchard Road area, as stated by CBRE’s head of Singapore capital markets, Michael Tay.