SINGAPORE (EDGEPROP) - Maxwell House has been put up for collective sale at a guide price of $295 million.
In a location of mostly retail, F&B options and office space, 20 Maxwell Road will be one of the rare exceptional residential plots on the market, says Cushman & Wakefield (C&W), which is handling the sale.
Assuming 80 percent of the total gross floor area (GFA) is for residential use and the remaining 20 per cent GFA for commercial use, the land rate works out to $1,691 psf per plot ratio (ppr), after factoring the seven per cent bonus balcony plot ratio for the residential component plus the differential premium and an estimated lease upgrading premium for the site, according to C&W, which is managing the sale.
Maxwell House is built on a trapezoidal island plot with views from all four sides of the building. It currently houses a 13-storey commercial building and occupies 41,801 sq ft of land. Under URA’s Master Plan 2019, the site is zoned for commercial use with a plot ratio of 4.3.
Alternatively, the site could also be redeveloped into a hotel with a plot ratio of 5.6, subject to approval from authorities, says C&W. Should developers build a hotel on the site, this would increase the land rate to $1,998 psf ppr, which is inclusive of the differential premium and an estimated lease upgrading premium, it adds.
“Maxwell House is expected to be well received as there is a dearth of residential development land in this part of the business and heritage district. With the surrounding neighborhood filled with a plethora of entertainment and retail outlets plus a smorgasbord offering of much-loved Singaporean food, it will be one of the best ‘work-live-play’ sites to be made available,” comments Christina Sim, director of capital markets at C&W.
“Added to this is the advantage of being in the Central Area where it is not constrained by the guideline on the maximum allowable number of units calculated based on an average size of 85 sqm per dwelling unit,” she says, which would allow developers to build studio or dual key units.
The site is a two-minute walk to the upcoming Maxwell MRT station on the Thomson-East Coast line, slated to open in 2021.
The tender for the site will close on Nov 12, at 3pm.