CBRE is offering the exclusive opportunity of purchasing the well-known Hotel Clover at 7 Hongkong Street, a 27-room boutique hotel, for a guide price of $27 million. At the same time, the commercial real estate company is also marketing a commercial building located at 36 Hongkong Street, with a guide price of $22.6 million.
Situated in the heart of the Central Business District (CBD), Hotel Clover is a six-storey hotel that sits on a 1,701 square feet plot of land. The property has been zoned as a “hotel” with a plot ratio of 4.2 under the latest Master Plan. This 99-year leasehold site has a remaining land tenure of approximately 89 years and a total floor area of 7,142 square feet. With a price translating to $3,780 per square foot (psf) on the floor area, this property is a rare find in the prime commercial district.
Next door, the commercial building at 36 Hongkong Street is also an attractive investment opportunity. The property is a five-storey building situated on a 1,733 square feet plot of land. Similar to Hotel Clover, it has been zoned as a “commercial” property with a plot ratio of 4.2 under the Master Plan. This 99-year leasehold site has a remaining land tenure of 93 years and a total floor area of 7,279 square feet. With a guide price translating to $3,105 psf, this property is also a highly sought-after asset in the CBD area.
What makes these properties even more appealing is their relatively attractive remaining land tenures, which are longer than most other 99-year leasehold properties available for sale in the district. This makes them suitable for both investors and owner-occupiers looking for a flagship asset with naming rights for their exclusive operations.
Being a hotel and a commercial building, both sites are open for purchase by foreigners and companies, making it easier for potential buyers to acquire the properties without incurring Additional Buyer’s Stamp Duty (ABSD) or Seller’s Stamp Duty (SSD).
When it comes to investing in Singapore property, it is crucial for international investors to be aware of the laws and limitations that govern property ownership. Unlike landed properties, which have more stringent ownership regulations, foreigners are generally permitted to purchase condos with fewer restrictions. However, foreign buyers are required to pay an Additional Buyer’s Stamp Duty (ABSD), currently set at 20%, for their first property purchase. Despite this added expense, the stability and potential for growth in the Singapore real estate market remains a major draw for foreign investment. New Condo Launches are also attracting a lot of attention and interest from foreign buyers.
These properties are located in Clarke Quay, a popular riverfront area renowned for its diverse dining and entertainment options, fitness studios, and boutique hotels. The location is also highly accessible, with the Clarke Quay MRT Station situated just a short walk away.
With the ongoing $62 million asset enhancement initiative at CQ@Clarke Quay and the upcoming completion of two large-scale integrated developments, Canninghill Piers and Union Square, the surrounding area is set to become even more vibrant in the near future. According to Clemence Lee, the executive director of capital markets at CBRE Singapore, both 7 and 36 Hongkong Street have the potential to yield future rental upsides and capital appreciation in the medium to long term.
Both properties will be available for sale through an expression of interest exercise that closes on March 26. Don’t miss this opportunity to own a prime piece of commercial real estate in one of Singapore’s most coveted locations. Check out the latest listings for commercial properties today!