SINGAPORE (EDGEPROP) - A freehold serviced apartment building in Balestier is on the market for $93 million, according to Showsuite Consultancy, the agency marketing the sale of the building.

The 15-storey building, known as 12 on Shan, was completed in 2018 and has a gross floor area of 68,048 sq ft. The guide price translates to $1,367 psf on the existing gross floor area. The property features 78 fully furnished apartment units that range from 350 to 930 sq ft.

“From a pricing perspective, the guide price of $93 million or $1,367 psf on the gross floor area is well below replacement costs and not far from prices of freehold redevelopment parcels in that area, which tends to command between $1,200 and $1,300 psf before construction and ancillary costs,” says Karamjit Singh, chief executive of Showsuite Consultancy.

The property is close to the healthcare cluster at Novena which includes premium private healthcare providers such as Mount Elizabeth Novena Hospital, Tan Tock Seng Hospital, as well as neighbouring specialist centres like Novena Specialist Centre, Novena Medical Centre and Royal Square.

According to Showsuite Consultancy, the development is also the only fully-fledged serviced apartment building within the immediate vicinity of the upcoming Healthy City Novena.

“This investment opportunity enjoys several tailwind trends supporting it. It plugs well into the strong overall residential market and serves as a form of landbank with its freehold tenure for future redevelopment,” says Singh.

The expression of interest exercise will close on March 31.

Check out the latest listings near 12 on Shan, Balestier, Novena