Four freehold strata commercial units at Clementi Arcade are up for sale at a guide price of $22 million, translating to approximately $2,379 psf on the strata area.
The units at #02-01/02/03/04 Clementi Arcade are fully leased to childcare centre Brighton Montessori, offering the incoming buyer with immediate rental income, says exclusive marketing agent CBRE in a July 14 announcement. Subject to the relevant authorities’ approval, there is potential to convert the space to alternative uses such as school, office or gym.
Nestled within the affluent Sunset Way residential enclave, Clementi Arcade is surrounded by an extensive catchment of landed homes and private condominiums. It is known as a neighbourhood destination anchored by tenants like Cold Storage and complemented by popular F&B concepts such as Baker & Cook and Deli By The Meatery.
Despite containing only 14 strata units, Clementi Arcade occupies a sizeable land of approximately 51,285 sq ft and currently accommodates an existing gross floor area of approximately 38,836 sq ft. This is below the permissible gross floor area of 71,799 sq ft as the site has a plot ratio of 1.4.
The substantial untapped gross floor area for the development suggests strong en bloc potential, according to CBRE. “The four strata retail units collectively account for 26.6% of the development’s total share value, providing the incoming buyer with substantial influence over any future en bloc sale of the development.”
Units at the property enjoy strong patronage from surrounding established educational institutions which include Ngee Ann Polytechnic and Singapore Institute of Management. These institutions contribute to a steady influx of students, faculty members and visitors.
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According to the Housing & Development Board, approximately 15ha of Maju Forest are earmarked for new public housing developments in the coming years. This transformative initiative is expected to significantly expand the residential catchment and further enhance the vibrancy and activity within the surrounding precinct, says CBRE.
Joshua Giam, CBRE’s director of capital markets, Singapore, says freehold strata commercial units in Clementi Arcade are rarely available. “This opportunity is ideal for both end-users and investors seeking a strategic foothold in a mature residential estate… The incoming purchaser may choose to strata sell the four units individually or retain the asset for recurring rental income while capitalising on future en bloc redevelopment potential.”
Located along Clementi Road, the asset is approximately eight minutes’ drive to Clementi MRT Station and enjoys excellent connectivity to other key commercial and residential precincts across Singapore.
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The asset is also well-served by major transport routes, including the Ayer Rajah Expressway (AYE) and Pan Island Expressway (PIE), providing convenient access to the Central Business District, Jurong Lake District and other major business hubs.
Foreigners and corporate entities are eligible to purchase, and no additional buyer’s stamp duty (ABSD) will be imposed.
The expression of interest exercise for the asset closes at 3pm on Aug 13.
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