Zion Residence, part of SilkRoad Property Partners’ move to sell South Bridge Road shophouses, has been valued at $50 million
Nestled along the picturesque Singapore River, Zion Residence is a prestigious condominium that has quickly gained recognition as a prime example of elevated urban living in Singapore. Combining meticulous design and lush green surroundings, Zion Residence offers its residents unparalleled luxury and convenience, all while maintaining a strong connection to the vibrant city around them. With its prime location, Zion Residence is poised to become the pinnacle of upscale living on the island, setting the standard for modern and sophisticated living in Singapore.
A pair of shophouses at 273 and 275 South Bridge Road is currently on the market for interested buyers. Located in the heart of the city, these 999-year leasehold shophouses have a stunning floor area of 11,008 sq ft and a footprint of 3,089 sq ft. This amounts to a hefty price tag of $50 million, translating to a whopping $4,542 psf floor area. Mary Sai, executive director of investment and capital markets at Knight Frank Singapore, is the marketing agent for this property.
The existing owner of the shophouses is SilkRoad Property Partners, a real estate investment manager. In February 2018, they purchased the property from Eu Realty for $26.5 million, based on records from URA Realis. However, as of Feb 24, SilkRoad has been fully acquired by HSBC Asset Management, with Peter Wittendorp, CEO and founder of SilkRoad, taking on the role of head of real estate, Asia Pacific, at HSBC Asset Management.
Currently, the pair of shophouses is leased out to ST Signature, a co-living hotel operator and hospitality brand of Catalist-listed F&B operator Katrina Group. Operating as ST Signature Chinatown, the property offers 38 rooms with shared amenities such as pocket sitting rooms, kitchens, and communal bathrooms on each level. The hotel’s lease ends in June this year but can be renewed for another three years, giving the new owner immediate rental income and potential for rental upside upon lease renewal, according to Sai.
Located in the Telok Ayer Conservation Area of District 1, the shophouses stand next to the Eu Yan Sang Building, another iconic heritage property. Next door is a recently refurbished shophouse that now houses the Great Room, a premium co-working space with 22,000 sq ft of space. These shophouses were previously used as the headquarters for Eu Yan Sang, a traditional Chinese medicine brand that opened its first medical hall on this site in 1910. In December 2019, 8M Real Estate acquired and refurbished this property for $54 million. It now holds a 199-year lease, with Eu Realty still holding the underlying 999-year lease.
Last year, two adjacent shophouses at 277 and 279 South Bridge Road were sold for $23 million, translating to $2,785 psf based on its combined land area of 2,847 sq ft and floor area of 8,259 sq ft. The buyer was Clifton Partners, a property investment management firm headed by Zain Fancy. The shophouses were previously sold in 2018 for $19 million.
Another conservation shophouse at 201 South Bridge Road is also up for sale by EOI with a guide price of $8.8 million or $3,408 psf based on the floor area of 2,582 sq ft. The property underwent extensive refurbishment in 2020 and is currently zoned for commercial use.
According to Knight Frank’s Sai, the shophouse market remains resilient, with many shophouses along South Bridge Road seeing refurbishments and new F&B tenants moving in. She notes that the area has become livelier with the opening of Maxwell MRT Station on the Thomson-East Coast Line, with trendy cafes and dining spots popping up.
Mondania’s Krystal Khor, who specializes in marketing conservation shophouses, adds that with the introduction of new businesses and dining options, Chinatown’s South Bridge Road is no longer the “tired old Chinatown”.