Two adjoining retail units at Peninsula Plaza, with a 999-year leasehold and prominent frontage along North Bridge Road, are currently on the market for $10.9 million. These ground-floor units have a combined strata area of 1,119 sq ft, with one unit at 538 sq ft and the other at 581 sq ft. This translates to a price of $9,741 psf based on the strata area.
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Currently tenanted until 2026, the units offer investors a gross rental yield of 3% at the asking price of $10.9 million. According to Savills Singapore associate director of investment sales & capital markets, Nick Chan, who is handling the sale on a private treaty basis, these units are arguably the best within the development due to their strong street frontage and consistent footfall.
Peninsula Plaza is a 999-year, 30-storey mixed-use commercial building built in 1980, comprising a six-storey retail podium and a 24-storey office tower. It has frontages along North Bridge Road, Coleman Street, and Coleman Lane, and has a sheltered link to City Hall MRT Interchange Station for the North-South and East-West lines. In August 2022, a ground-floor retail unit of 452 sq ft was sold for $4.08 million, equivalent to $9,025 psf, according to a lodged caveat.
In view of the Urban Redevelopment Authority’s (URA) restrictions on the subdivision of strata-titled commercial units in the CBD and Orchard areas since March 2022, Chan notes that there has been an increased demand for strata units with 999-year and freehold tenures, which bodes well for Peninsula Plaza.