56% stake in Southbank on sale for $63m

56% stake in Southbank on sale for $63m

Real estate investor Chan Heng Fai of SingXpress Land is selling 32 Soho units and a retail outlet at Southbank for $63 million.
The properties constitute 56 per cent of Southbank Soho Block - a mixed development project built by UOL Group, comprising a 40-storey residential tower, 20-storey Soho (small-office home office) block with 16 shops on the first floor.

Of the 32 Soho units, 29 are duplex loft units. The duplex loft consists of units from 883 sq ft to 1,593 sq ft.

Three are single level units ranging from 463 sq ft to 603 sq ft. The shop is 129 sq ft.

The development currently enjoys views over the Kallang River and Kallang Basin. The Urban Redevelopment Authority plans to rejuvenate the Kallang area to make it a lifestyle hub with offices and waterfront residences.

The asking price works out to $1,812 per sq ft and should mean a sizeable gain for Mr Chan and his investment holding firm Hong Kong-listed Xpress Group, the parent company of Catalist-listed SingXpress Land, as the properties were accumulated between 2006 and 2010.

The sale may attract those investors who want to avoid paying the Additional Buyer's Stamp Duty or Seller's Stamp Duty.

As the Soho block is zoned commercial, these stamp duties will not apply.

Source: The Straits Times – 2 August 2012