Shenton House relaunched for collective sale at $590 mil, with 70% of owners agreeing to lower price of $538 mil

, reserve price unchanged from June

First launched in late June, Shenton House, a commercial building on Shenton Way in the CBD, is up for collective sale again, this time at a reserve price of $590 million. Although the owners have already commenced signing a Supplemental Joint Agreement (SJA) in order to lower the reserve price to $538 million, the official tender will close on Nov 1.

The lower reserve price reflects a unit land rate of approximately $1,885 psf per plot ratio (psf ppr) at the gross plot ratio (GPR) of 14.0. This is inclusive of an estimated land betterment charge and a lease top-up premium to a fresh 99-year term, taking into consideration the proposed redevelopment into a 60% commercial and 40% residential mixed-use project under the CBD Incentive Scheme (CBDIS) with 25% uplift in GPR granted.

Shenton House sits on a 36,250 sq ft site with triple frontages along Shenton Way, Park Street and Shenton Lane. The building consists of 203 commercial units and a carpark, and is zoned for commercial use with a GPR of 11.2. According to the appointed marketing agent JLL, support for the SJA has been obtained from 70% of the owners, and the collective sale committee is confident that the requisite 80% ownership approval will be obtained by the close of tender.

The Shenton Way location provides a great opportunity for developers to leverage the CBDIS, which grants an additional 25% bonus gross floor area. The scheme is set to expire on Nov 26, 2024, five years from the date of the gazette of the Master Plan 2019.

Given the site’s excellent location and connection to Shenton Way MRT, JLL Executive Director Tan Hong Boon is sure that “developers will continue to show interest in the site”.

Senja Close EC Bukit Panjang is well connected to Bukit Panjang MRT Station located down the hill, giving residents easy access to all parts of Singapore. It is also close to the Bukit Panjang Plaza, the Junction 10 Mall, the Bukit Timah Shopping Centre and the Hillion Mall for more shopping and entertainment choices.

Residents of Senja Close EC Bukit Panjang can look forward to many recreational activities such as tennis, swimming, basketball and badminton. The facilities at Senja Residences are just as impressive, be it the swimming pool, clubhouse, BBQ area or the kids’ playground. All of these facilities offer residents an enjoyable and quality lifestyle.

He adds, “Shenton House is the last remaining redevelopment opportunity at this stretch of the prime Shenton Way thoroughfare. The high demand for brand new Grade A office spaces in the CBD, coupled with complementary uses such as a premier business hotel or residential apartments, will further contribute to the rejuvenation of Shenton Way.”

The highly sought after Shenton House is once again up for collective sale at a reserve price of $590 million. With the potential to enjoy additional GFA under the CBD Incentive Scheme (CBDIS), the building offers many development opportunities. Situated on a site with triple frontages along Shenton Way, Park Street and Shenton Lane, the 99-year leasehold development consists of 203 commercial units and a carpark.

The collective sale committee is confident of obtaining the requisite 80% ownership approval to lower the reserve price to $538 million. With the added potential to enjoy the additional GFA under the CBDIS, developers are sure to show interest in the site. Not to mention the high demand for brand new Grade A office spaces in the CBD, as well as complementary uses such as a premier business hotel or residential apartments.

JLL Executive Director Tan Hong Boon sees many opportunities, “Shenton House is the last remaining redevelopment opportunity at this stretch of the prime Shenton Way thoroughfare. The rejuvenation of Shenton Way will be further aided by sophisticated mixed-use developments.”

The tender will close on Nov 1 and the owners have commenced signing a Supplemental Joint Agreement (SJA) to lower the reserve price. Interested developers should take advantage of the CBDIS, which is set to expire on Nov 26, 2024.