A seven-storey office building at 22 Martin Road, formerly known as the AIG Building, has been put up for sale by expression of interest.
The property sits on a freehold land of about 11,473 square feet, says its marketing agent Colliers International.
The 10-year old development has a gross floor area of 34,556 square feet and a net lettable area of 31,603 square feet.
It comprises retail space on the ground floor and office space from the second to seventh floor, as well as 29 car park lots at the basement and ground levels.
The site is zoned for “commercial” use, with an allowable plot ratio of 2.8 and a maximum height of up to 15 storeys.
Under the street block plan for River Valley, it also has high potential to be re-zoned to “residential” use, which is subject to approval from the relevant authorities.
The property is currently fully leased out to AIG at about S$2.8 million. The lease expires in 2012.
The property is along the Robertson Quay, strategically located on the fringe of Central Business District (CBD), says Colliers.
It is within a short drive to Clarke Quay MRT station and has immediate access to several major expressways, including the Central Expressway and Ayer Rajah Expressway.
Colliers International’s executive director of investment services Ms Tang Wei Leng is expecting transaction prices in the area to exceed S$2,000 per square foot.
“Recent prime office spaces in the CBD have been transacted in the region of S$2,300 to S$2,500 per sq ft. For instance, Capital Square recently changed hands at S$2,300 per sq ft, while four strata floors at Prudential Tower were sold at S$2,430 per sq ft. Both properties are of 99-year leasehold tenure,” says Ms Tang.
She adds that the property will appeal to corporate office end users, investors and developers seeking to redevelop the property.
“On the back of a recovering economy, strengthening business confidence, increasing tenant demand and expected rent increases, we expect strong interest for this quality building from corporate office users looking to own their own building,” says Ms Tang.
Alternatively, the developer can redevelop the project into a SOHO style development, which has been popular of late as witnessed in the positive response to The Tennery, SOHO@Central and The Lumiere, says Colliers.
Interested parties are invited to submit their offers to Colliers International by April 21.
Source : Channel NewsAsia – 22 Mar 2011