SLA invites tenders for old bungalow in Kampong Bahru

An old bungalow in Kampong Bahru may be developed into a childcare, student care or eldercare facility.

Built in the 1930s, the Running Bungalow at Spooner Road has an area of 1,010 square metres (sqm) with a total usable floor area of around 569 sqm.

It sits on land formerly owned by the Malaysian State Railway, Keretapi Tanah Melayu Berhad (KTMB).

The building was a rest stop for train drivers, and since Singapore took over the land last year, it has remained vacant.

Earlier this month, the Singapore Land Authority invited tenders for the building. Monthly rental is about S$11,400, with an initial tenancy term of three years. Operators can request to renew their tenancy for two terms of three years each.

However, analysts feel the structure of the building makes it unsuitable as an old folks’ home.

Nicholas Mak, head of research at SLP International, said: “Just across the street, there is already a larger eldercare facility, an old folks home. Hence, the competition will be fiercer from across the road.

“Furthermore, this is an old building that is two storeys. And because the lease is not very long, the maximum is about up to nine years, the operator may not wish to invest a large sum of money into building new infrastructure, such as a vertical lift in this building.”

Although the building is at least 80 years old, the Urban Redevelopment Authority said it is not a conservation project. As such, operators have greater flexibility in carrying out renovation works.

The building is also being put into interim use until the development plan for the area is finalised.

Source : Channel NewsAsia – 21 Oct 2012

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