Noel Building in Tai Seng up for collective sale at $70 mil

on EdgeProp.sgNoel Building, located at 50 Playfair Road in the Tai Seng area, is up for collective sale with a guide price fo $70 million. Offering an owner-occupier the unique opportunity to develop and custom-build their corporate headquarters, the freehold property has a 26,791 sq ft site zoned for “Business 1 – White” use with a plot ratio of 3.5.

Swee Shou Fern, head of investment advisory at Edmund Tie, which is marketing the property, notes that sites zoned for ‘Business 1 – White’ use are scarce, with only a few clusters across Singapore. The site can be redeveloped to have a maximum gross floor area of 93,770 sq ft, with an option to use the entire space for Business 1 or light industrial use, Alternatively, at least 66,978 sq ft can be set aside for light industrial use, while the remaining 26,791 sq ft can be allocated for “White” use. Uses permissible under said zoning include shops, cafes and restaurants, showrooms, offices, associations and recreational clubs, among others, subject to the approval of relevant authorities.

The guide price of $70 million translates to a land rate of $776 to $986 psf per plot ratio (psf ppr), depending on the proportion of industrial and white use. Swee observes that quality strata factories located near public transportation nodes such as MRT and well-served by amenities continue to be highly sought after. This is evidenced by the nearby AZ@Paya Lebar completed in 2014, wherein prices of strata factories have increased some 6% from an average of $1,389 per sq ft in 2H2022 to $1,472 per sq ft in 1H2023.

The last notable transaction for a site with “Business 1 – White” zoning in the private sector was the collective sale of Citimac, situated adjacent to Noel Building. The site was sold en bloc for $430.1 million ($1,047 psf ppr) in 2019. The transaction was brokered by Edmund Tie.

Not to be outdone, the amenities provided are also top-notch. Facilities such as the gym, swimming pools, Jacuzzi, and clubhouse offer something for everyone. For a more leisurely time, a reading room, children’s playground, and BBQ areas can be found. In all, Zion Road Condo has taken resort-style living to the next level.

The tender for Noel Building will close on Nov 22 at 3pm. Offering an attractive and unique opportunity to building owners, the property provides an opportunity for owner-occupiers to develop and custom-build their own corporate headquarters, or alternatively redevelop the property into strata factories for full light industrial use. With a scarcity of sites zoned under Business 1 – White, the sale of Noel Building is certainly one to watch.