International property consultant, Colliers International’s upcoming auction will feature two freehold properties; one of which is a corner single-storey detached house at 18 Dalkeith Road that is put up as an estate sale, while the other is an eight-storey hotel at 44 Lorong 6 Geylang that is put up as an owner’s sale.
The auction is slated for November 21, 2014 at 2.30 pm at the Amara Hotel.
18 Dalkeith Road (estate sale)
Located off Dunearn Road, the subject property is a freehold single-storey detached house that comprises an attic, four bedrooms and a lush garden. It sits on an elevated rectangular-shaped site of approximately 9,980 sq ft and has double road frontages.
Under the 2014 Master Plan, the site is zoned for “two-storey bungalows” use.
Ms Grace Ng (黄黎明), Deputy Managing Director of Colliers International, says, “The subject property is well-maintained and has a sizeable mature garden which offers city dwellers a personal serene environment.
The indicative price is between S$19-21 million. To be sold with vacant possession, the property is ideal for developers or owner-occupiers. Alternatively, the successful buyer can consider sub-dividing the land to build two bungalows averaging at 4,990 sq ft each – to accommodate large extended families to stay next to each other.”
Ms Ng adds, “There are only some 10,660 detached houses across Singapore, which makes the property type scarce. Furthermore, the appeal of the subject property lies in its prime location. While it is situated in an exclusive neighbourhood zoned for landed houses within District 11, it is also close to amenities, food and beverage establishments and reputable schools.”
Amenities and food and beverage establishments are available at the nearby Adam Food Centre, Serene Centre, Coronation Shopping Plaza, Sixth Avenue Centre and The Grandstand. Reputable education institutions in the vicinity include Singapore Chinese Girls’ School, Anglo-Chinese School (Barker Road), St Joseph Institution, Chinese International School and National University of Singapore (Bukit Timah Campus). The property is within a short drive to Pan Island and Central Expressways, and it is near Botanic Gardens MRT station, as well as the future Stevens MRT station.
44 Lorong 6 Geylang (owner’s sale)
Occupying a land area of approximately 3,725 sq ft, the subject property is a freehold eight-storey boutique hotel which has double road frontages. It comprises 56 guest rooms and 7 car park lots, and the total gross floor area is approximately 12,238 sq ft (subject to final survey).
Under the 2008 Master Plan, the subject site is zoned for “Residential/Institution” use with a gross plot ratio of 2.8.
Ms Ng comments, “Hotel supply in the immediate location is expected to remain stable in the near future, as it is unlikely that the authority will approve new sites for “Hotel” use. Hence, this offer is timely for current hotel operators or investors to seize the opportunity to invest into the hospitality industry. The indicative price is S$25 million.
According to the Singapore Tourism Board (STB), Singapore welcomed 15.5 million tourists in 2013, 7 per cent more than in 2012; and visitor arrivals is expected to continue to increase, reaching up to 16.8 million by end this year.
“The government’s continued efforts to sustain tourism growth will help support healthy visitor arrivals and boost the Average Room Rate (ARR) and revenue per available room. The subject property has consistently achieved a stable occupancy rate of 80-90 per cent, which will translate to a sustainable yield for the potential buyer,” says Ms Ng.
Additionally, STB’s figures showed that the gazetted hotel room revenue for 1H 2014 posted a strong 9.1 per cent growth at S$1.6 billion, compared to 1H 2013. Similarly, ARR for budget hotels, a category similar to the subject property, registered a 7.5 per cent growth in 1H 2014.
Ms Ng continues, “The subject property is strategically located in a thriving residential, commercial and cultural area, which comprises a vibrant mix of retail shophouses, budget hotels and religious buildings. The area is also known to locals for good food and will appeal to budget travelers who prefer to take the offbeat track in exploring Singapore.”
Located along Lorong 6 Geylang, between Guillemard Road and Geylang Road, the subject property is located near Paya Lebar Central, which is slated as one of the future major commercial hubs, as well as the new world-class Singapore Sports Hub. Kallang Wave Mall, Kallang Leisure Park Mall and Guillemard Village are also situated nearby. Access to other parts of the island is easily accessible by Kallang, Mountbatten and Stadium MRT stations, as well as Nicoll Highway, East Coast Parkway and Kallang-Paya Lebar Expressway.