Two full office floors at the tower have been released for sale, at a total guide price of $119.9 million (Photo: TE Capital Partners, LaSalle Investment Management)
SINGAPORE (EDGEPROP) - Real estate investment managers TE Capital Partners (TEC) and LaSalle Investment Management have jointly launched office units at VisionCrest Orchard, a freehold strata commercial development at 103 Penang Road in the Orchard Road precinct, for sale.
In a July 15 press release, the joint-venture (JV) partners announced that two full office floors at the tower have been released for sale, at a total guide price of $119.9 million, as part of the launch.
The sixth floor, spanning 14,725 sq ft, has a guide price of about $58.6 million, or $3,980 psf. This is 37% higher than the price that the floor was bought for. Based on caveats lodged when the JV partners acquired the property in November 2023, the sixth floor was originally purchased at $42.79 million ($2,906 psf).
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The ninth floor, spanning 14,844 sq ft, has also been put up for sale at $61.3 million ($4,130 psf). This is 39.9% higher than the $43.82 million ($2,952 psf) it was purchased for last November.
According to a brochure by international property consultancy JLL, which is marketing the sixth and ninth-floor office space, both floors were last renovated in 2018 to upgrade the lobbies, lift cars and washrooms. The office air-conditioner was replaced in 2020.
The site of the VisionCrest building on 103 Penang Road (Photo: EdgeProp's LandLens)
In its press release, TEC and LaSalle say that more units at Visioncrest Orchard, including a 14,725 sq ft office space and retail units totalling 1,388 sq ft, are “currently under due diligence” following VIP previews held in June.
VisionCrest Orchard is a freehold commercial strata development completed in 2008. It features Grade-A office spaces on the upper floors which are LEED Gold certified — the highest global standard for green buildings. The ground floor houses a retail podium, complemented by two levels of basement parking accommodating up to 135 cars. The office spans 149,652 sq ft, while the retail space covers 5,059 sq ft, spread across 11 storeys.
The project is part of a mixed-use development that includes the national monument House of Tan Yeok Nee, which currently houses the private university Amity Global Institute and the 265-unit VisionCrest Residence. The development is a five-minute walk from the Dhoby Ghaut MRT Interchange Station on the Circle, North-South and North-East Lines, and is a few minutes' drive from the Central and Pan Island Expressways. It is close to various popular malls, such as Plaza Singapura on 68 Orchard Road and 313@Somerset on 313 Orchard Road, and to the CBD.
VisionCrest Orchard was acquired by TEC and LaSalle from German fund manager Union Investment Real Estate in November last year for about $450 million. This is 4.26% lower than the asking price of $470 million that was set when the development was launched for sale in July of the same year.
Read also: TE Capital-LaSalle JV completes purchase of VisionCrest Commercial, to carry out enhancements
The development is managed by TE Capital and is backed by Singapore-listed Metro Holdings as a capital partner. Metro owns an effective 20% stake in the property, while the remaining 29.9% and 50.1% are owned by TEC and LaSalle respectively.
The sales launch follows the JV partners’ asset enhancement programme at VisionCrest to improve the property’s green credentials and upgrade its specifications. This includes updating the building’s facade and public areas, as well as introducing new sustainability features. The enhancement works are expected to be completed in 2025.
The JV partners have appointed real estate management firms CBRE, ERA, JLL, Knight Frank, PropNex and Savills as marketing agents for VisionCrest Orchard.