57 units of Hougang Green Shopping Mall is put for sale by developer Hiap Hoe Holdings.
Hiap Hoe, which built the mixed residential and commercial development near the junction of Hougang Street 51 and Buangkok Green in 1997, still owns the 57 shops in the retail component.
It is looking to sell the units for $78 million to $84 million, which works out to an average of $1,174 to $1,264 per sq ft of strata floor area.
Hougang Green is a two-storey complex with 78 strata-titled retail units and a total strata area of more than 82,600 sq ft.
The 57 units have a combined strata floor area of 66,435 sq ft and represent more than 80 per cent of the total strata floor area of the retail complex. By share value, the portfolio accounts for more than 57 per cent of the entire mixed development.
The units are all occupied, tenants include Shop N Save, Watsons, Guardian, 7-Eleven and Pizza Hut.
‘Opportunities to acquire a large cluster of shops of this scale are few and far between. It’s an attractive investment for investors looking for higher returns than from residential properties,’ said Karamjit Singh, managing director of Credo Real Estate. Credo is conducting an expression-of-interest exercise to sell the shops.
Mr Singh said buyers could also acquire the units with a view to selling them individually for a profit later. A first-floor unit in the retail complex changed hands in December 2009 at $2,600 psf, he said.
The expression-of-interest exercise closes on Nov 25 at 2.30 pm.