2012-06-26

International property consultant, Colliers International is putting up for sale, by Expression of Interest, level one to six of AA Centre, which is located at 336 River Valley Road.

International property consultant, Colliers International is putting up for sale, by Expression of Interest, level one to six of AA Centre, which is located at 336 River Valley Road.

Interested buyers are invited to submit their offer to Colliers International by August 7, 2012.

AA Centre was developed and completed by the Automobile Association of Singapore (AA Singapore) in Year 1984. The 14-storey mixed-use development sits on a freehold 33,751 sq ft site and has a total gross floor area of some 127,712 sq ft.

The six levels that are put up for sale form part of the development, with a total strata area of some 55,574 sq ft. The first four levels are owned and used by the Association. Level one comprises a reception area, a multi-purpose hall and a cafeteria, while level two to four comprise office and clubhouse space with a jackpot room and a swimming pool. Level five and six comprise 32 units of serviced apartments which are currently vacant.

Meanwhile, the residential units on the 7th to 14th floors are owned by individual owners. There are about 90 car parking lots located in the basement level for common use.

Under the 2008 Master Plan, the subject site is zoned for “Residential” use, with an allowable plot ratio of 2.8 and a maximum building height of 10 storeys.

Ms Tang Wei Leng (邓慧玲), Executive Director of Investment Services at Colliers International, says, “Given the subject property’s freehold tenure, superior location and unique mixed usage, we expect it to be a highly desirable property, appealing to different type of users – including serviced apartment operators/investors, community and recreational space users, corporate office users and specialised user groups such as those in education or medical tourism, among others.”

Ms Tang continues, “Since the fifth and sixth storeys already comprise serviced apartments, the successful buyer could consider converting the subject property into a serviced residence, subject to approval from the relevant authorities. Demand for residential serviced apartment is expected to rise – on the back of improving residential leasing market sentiments due to the introduction of the additional buyers’ stamp duty, and supported by increasing tenant demand, a resilient rental market and a lack in supply of residential serviced apartments.

Alternatively, as the subject property for sale constitutes to 78.2 per cent of the total share value of the development, it could also interest investors or developers looking to leverage the development’s collective sale potential.”

Prominently located along the fringe of the Central Business District, AA Centre enjoys immediate access to the Central Expressway and Ayer Rajah Expressway. The Somerset MRT station is about 10 minutes’ walk from the subject property.