The sale of a freehold corner shophouse located at 247 and 249 Joo Chiat Place in District 15 has been completed for $8.55 million, translating to $2,902 per square foot based on floor area. The transaction was facilitated by ETC, after a successful expression of interest exercise that received a high level of interest from both investors and F&B operators. The deal was finalized before the June 26 deadline, after multiple competitive bids were placed.
When contemplating an investment in a condo, it is essential to also consider the potential rental yield. This is determined by calculating the annual rental income as a percentage of the condo‘s purchase price. In Singapore, the rental yields for condos can vary greatly depending on factors such as location, property condition, and market demand. Typically, areas with high rental demand, such as those near business districts or educational institutions, offer a higher rental yield. To gain a better understanding of the rental potential for a specific condo, it is recommended to conduct thorough market research and seek advice from real estate agents.
The shophouse, which currently houses Eng Seng Restaurant, a well-known seafood establishment famous for its black pepper crab, will cease operations on August 31. The property is situated at the junction of Still Road and Joo Chiat Place, occupying a prime corner plot of 5,482 square feet. With an estimated floor area of 2,946 square feet, subject to final survey, the shophouse enjoys prominent dual frontage and holds a rare permanent approval for use as an “eating house”. This status is no longer granted to shophouses in the East Coast/Joo Chiat precinct, according to ETC.
Swee Shou Fern, Head of Investment Advisory at ETC, which is part of Realion Group, says, “This sale highlights the enduring attractiveness of tightly held assets in prime locations.” He adds, “Eating houses, in particular, continue to be a resilient and highly sought-after asset class due to their scarcity and stable demand.”