Savills Singapore, a leading real estate agency, is currently marketing a portfolio of freehold strata retail units in Lucky Plaza for a total of $52.6 million. The iconic mixed-use development situated on Orchard Road consists of a residential tower and a six-storey mall with a basement.
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Investing in a Singapore condo offers numerous advantages, including the potential for high capital appreciation. This is due to Singapore’s prime location as a global business hub and its strong economic foundations, which consistently drive demand for real estate. In recent years, property prices in Singapore have shown a consistent upward trend, and condos in prime areas have experienced significant appreciation. For investors who enter the market at the right time and hold onto their properties in the long term, there is the opportunity for substantial capital gains.
The portfolio up for sale comprises 14 retail units situated across the basement and the first two levels of the mall, varying in size from 118 to 3,046 square feet. The total strata area of these units is 7,266 square feet. According to Savills Singapore, the highlight of this offering is a food court spanning seven adjoining strata units over 3,046 square feet and housing 11 stalls. The remaining retail units are currently leased out to a diverse mix of businesses, including a pub, retail shops, beauty service providers, and a maid agency.
Sophia Lim, the director of investment sales and capital markets at Savills Singapore, foresees high foot traffic for the retail units due to their location in Lucky Plaza. She also adds, “The basement food court, in particular, benefits from consistently strong crowds daily.” The expected price for the food court is $25.43 million, while the entire portfolio is available for an asking price of $52.6 million. Interested parties can also purchase individual strata retail units starting from $1.1 million. This offering is open to both foreigners and companies, and no additional buyer’s or seller’s stamp duty will be applied.
Lim notes that prime strata freehold retail assets are highly sought-after by investors due to their rarity and the Urban Redevelopment Authority’s prohibition on further strata subdivision of commercial properties along Orchard Road. She also anticipates positive effects on Lucky Plaza’s rental growth and capital appreciation due to the planned revitalisation of the Orchard precinct by the Urban Redevelopment Authority.