Lukewarm interest in Singapore colonial shophouse

PETALING JAYA: Besides Orchard Road, the most happening street in Singapore is Mohamed Sultan Road, where spiffy night clubs and eateries catering to the republic’s urbanites can be found.

Down the road stands a 3-storey colonial shophouse which came up for auction on Sept 22, but was not sold. The reserve price of the property is not known but the indicative market price is believed to be S$5 million (RM12.29 million), based on a per sq ft (psf) value of S$909 for the built-up area of 5,500 sq ft. The land area is 2,399 sq ft.

Of the bids received, DTZ Debenham Tie Leung (SEA) Ptd Ltd senior director of investment advisory services and auctioneer Shaun Poh  told theedgeproperty.com , the nearest was at S$4.65 million.

The last property on Mohamed Sultan Road transacted in the area was two years ago, so, this shophouse had been expected to attract a lot of interest.

In August 2007, a shophouse on the road numbered 14 changed hands at S$5.6 million or S$2,264 psf. According to data from Singapore’s Urban Redevelopment Authority (URA) Real Estate Information System (REALIS), earlier  in May of 2007, two adjoining shophouses – Nos 28 and 29 – were sold for a total of S$12.38 million or S$1,276 psf.

The current monthly rental range for a ground floor unit in the Mohamed Sultan area is between S$10 and S$12 psf.  For the upper floors, the rent goes from S$3 to S$4 psf.