Freehold Kartar Apartments on Thomson Road for sale at $18.5 mil
A four-storey apartment at 41 & 43 Thomson Roadway has actually been offered by exclusive treaty with a demanding rate of $18.5 million. The building is marketed by property consultancy Delasa.
The structure is about 300m from United Square Mall and is also close to Novena MRT Terminal on the North-South Line.
According to the press launch, this project has at first been offered in November 2021 with a seeking price of $18 million. An investor initially exercised the choice to acquire the building that month, yet can not finish the buy as a result of financing concerns.
“While doing so, the buyer had acquired a recommendations from the Urban Redevelopment Authority in feedback to a provisional approval application helping the redevelopment of the plot into a serviced condominium project,” claims Singh.
According to a notice by the advertising agent, the estate apartment building is being sold by a family-owned business which constructed the project, Kartar Apartments, in the 1980s.
The residential property sits on a 7,300 sq ft plot and also has a gross flooring area (GFA) of 8,300 sq ft. The asking price equate to a land price of $917 psf per plot ratio, involving project fees, states Delasa. “At this rate, a builder might presume to break-even at around $1,800 psf, subject to approvals from the authorities,” claims Karamjit Singh, CEO of Delasa.
The area is zoned “residential” under the current Master Plan with an allowable plot rate of 2.8. This causes a possible GFA of 20,400 sq ft, based on approvals.
He includes that this makes the redevelopment opportunities for the area extra appealing for property developers or investors to capitalise on the tight rental market. The location could be redeveloped right into an apartment development with 22 units with a standard dimension of 915 sq ft, says Singh.