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Hongkong Street shophouse on the market for $23.65 mil

/ EdgeProp Singapore |

February 21, 2024 1:29 PM SGT

The three-storey shophouse (centre) with six-storey rear extension has an estimated total floor area of approximately 7,391 sq ft (Picture: CBRE)

A shophouse at 45 Hongkong Street is up for sale through an expression of interest (EOI) exercise with a guide price of $23.65 million. The three-storey shophouse has a six-storey rear extension and occupies a commercial land area of 1,659 sq ft with a gross plot ratio of 4.2. It has an estimated total floor area of 7,391 sq ft, subject to a final survey. Hence, the guide price works out to $3,200 psf on the floor area.

The shophouse has been refurbished with modern interiors and specifications, according to a Feb 21 press release by CBRE. It features regular floor plates and has a passenger lift that serves all floors. The ground-floor unit has permanent restaurant approval and is leased to the operator of a Japanese izakaya, while the second floor is occupied by a hair salon. The upper floors are used as offices.

Map showing the location of 45 Hongkong Street (Source: EdgeProp Landlens)

The property will appeal to investors seeking income-generating heritage assets, notes Clemence Lee, executive director of capital markets, Singapore, at CBRE. “The property holds a relatively long remaining land tenure of around 84 years, making it more attractive as compared to most other 99-year leasehold shophouses that typically have only around 70 years or less remaining on their land tenures,” he says.

Read also: Properties for sale for May 27-29

The shophouse is a three-minute walk to Clarke Quay Central, which is connected to Clarke Quay MRT Station on the North-East Line. Raffles Place (North-South and East-West Lines) and Chinatown (Downtown and North-East Lines) interchanges are also within walking distance.

Lee expects the property to see rental and capital upside over the mid-to-long term as new projects further rejuvenate the surrounding area. These include the opening of a 48-key boutique luxury hotel at 21 Carpenter Street, the $62 million asset enhancement initiative at CQ @ Clarke Quay and the proposed redevelopment of Central Square and Central Mall into a large-scale mixed development. “These projects will further strengthen the Boat Quay precinct’s position as one of the top lifestyle destinations in Singapore,” he says.