Freehold Kartar Apartments on Thomson Road for sale at $18.5 mil
A four-storey apartment at 41 & 43 Thomson Road has been put up for sale by exclusive treaty with an asking rate of $18.5 million. The building is marketed by residential property consultancy Delasa.
According to an announcement by the marketing representative, the estate apartment building is being offered by a family-owned company which built the structure, Kartar Apartments, in the 1980s.
The structure is about 300m from United Square Shopping Center and also is also close to Novena MRT Station on the North-South Line.
The site is zoned “property” under the most up to date Master Plan with an allowed plot rate of 2.8. This causes a potential GFA of 20,400 sq ft, subject to endorsements.
According to the press launch, this construction has actually originally been offered in November 2021 with an asking deal of $18 million. An investor originally set the alternative to buy the property that month, yet might not complete the purchase as a result of financing concerns.
The residential property remains on a 7,300 sq ft plot and has a gross floor location (GFA) of 8,300 sq ft. The asking cost equate to a land rate of $917 psf per plot ratio, involving property costs, states Delasa. “At this value, a developer might anticipate to break-even at around $1,800 psf, subject to approvals from the authorities,” says Karamjit Singh, CEO of Delasa.
“At the same time, the purchaser had gotten a suggestions from the Urban Redevelopment Authority in action to a provisional consent application sustaining the redevelopment of the plot into a serviced condo project,” states Singh.
He includes that this makes the redevelopment possibilities for the area much more appealing for developers or investors to capitalise on the tight rental market. The area could be redeveloped right into an apartment project with 22 units with a normal size of 915 sq ft, states Singh.