Verdun House: A Prime Commercial Opportunity in Farrer Park
The commercial real estate landscape in Singapore is witnessing significant transactions that reflect robust investor interest. One notable development is Verdun House, a four-storey freehold property located at 6, 8, 10, and 12 Verdun Road. Currently on the market with a guide price of $82 million through Cushman & Wakefield, this property offers an intriguing investment opportunity for discerning buyers.
Originally purchased by James Koh, the executive chairman and CEO of Fragrance Group, for $55.1 million in April 2022, Verdun House has seen a substantial increase in its valuation. This latest asking price marks a striking appreciation of approximately 48.8% within just over four years since its acquisition.
Property Details and Potential
Verdun House sits on a well-shaped land plot measuring around 7,316 square feet and boasts an existing Gross Floor Area (GFA) of about 22,730 square feet. The potential for expansion exists as the maximum GFA could reach approximately 30,728 square feet under the prevailing Gross Plot Ratio of 4.2. Thus, the current pricing translates to around $2,669 per square foot.
This attractive asset is fully leased out to a mix of food and beverage (F&B) establishments as well as retail tenants on the ground level. Meanwhile, upper floors are occupied by a co-living operator. This arrangement ensures immediate revenue generation from a diversified tenant base.
Investment Appeal
Shaun Poh from Cushman & Wakefield describes Verdun House as a rare find in the thriving Farrer Park precinct. The property’s commercial zoning presents various avenues for enhancing its value over time—be it through asset improvement or possible redevelopment after obtaining necessary approvals.
A successful transaction may establish new pricing benchmarks for similar freehold assets within the vicinity. The strategic location of Verdun House allows it to attract businesses not just limited to CBD spillovers but also a broader spectrum including healthcare professionals and students from nearby educational institutions.
Accessibility and Lifestyle Amenities
The proximity of Verdun House to Farrer Park MRT Station accentuates its appeal by providing excellent connectivity to key commercial districts across Singapore. Residents and tenants enjoy convenient access to lifestyle amenities such as City Square Mall and Mustafa Centre—making it an attractive location for both businesses and customers alike.
Target Demographics
The surrounding area is popular among various demographics including working professionals and students attending nearby renowned schools like Singapore Management University and LASALLE College of Arts. The presence of established healthcare facilities further enhances demand for space within this dynamic precinct.
The Path Ahead
Sophia Lim from Cushman & Wakefield notes that continued strong demand from occupiers underscores the growth trajectory of the Farrer Park area. Combined with its solid rental income stream and possibilities for layout optimization (pending approval), Verdun House provides investors with compelling reasons to seize this opportunity.
The sale process will proceed through an Expressions of Interest (EOI) exercise that concludes on September 21—a pivotal opportunity for those looking to invest in valuable commercial real estate in Singapore’s burgeoning market.
Source: Original Article
The commercial real estate landscape in Singapore is witnessing significant transactions that reflect robust investor interest. One notable development is Verdun House, a four-storey freehold property located at 6, 8, 10, and 12 Verdun Road. Currently on the market with a guide price of $82 million through Cushman & Wakefield, this property offers an intriguing investment opportunity for discerning buyers.
Originally purchased by James Koh, the executive chairman and CEO of Fragrance Group, for $55.1 million in April 2022, Verdun House has seen a substantial increase in its valuation. This latest asking price marks a striking appreciation of approximately 48.8% within just over four years since its acquisition.
Property Details and Potential
Verdun House sits on a well-shaped land plot measuring around 7,316 square feet and boasts an existing Gross Floor Area (GFA) of about 22,730 square feet. The potential for expansion exists as the maximum GFA could reach approximately 30,728 square feet under the prevailing Gross Plot Ratio of 4.2. Thus, the current pricing translates to around $2,669 per square foot.
This attractive asset is fully leased out to a mix of food and beverage (F&B) establishments as well as retail tenants on the ground level. Meanwhile, upper floors are occupied by a co-living operator. This arrangement ensures immediate revenue generation from a diversified tenant base.
Investment Appeal
Shaun Poh from Cushman & Wakefield describes Verdun House as a rare find in the thriving Farrer Park precinct. The property’s commercial zoning presents various avenues for enhancing its value over time—be it through asset improvement or possible redevelopment after obtaining necessary approvals.
A successful transaction may establish new pricing benchmarks for similar freehold assets within the vicinity. The strategic location of Verdun House allows it to attract businesses not just limited to CBD spillovers but also a broader spectrum including healthcare professionals and students from nearby educational institutions.
Accessibility and Lifestyle Amenities
The proximity of Verdun House to Farrer Park MRT Station accentuates its appeal by providing excellent connectivity to key commercial districts across Singapore. Residents and tenants enjoy convenient access to lifestyle amenities such as City Square Mall and Mustafa Centre—making it an attractive location for both businesses and customers alike.
Target Demographics
The surrounding area is popular among various demographics including working professionals and students attending nearby renowned schools like Singapore Management University and LASALLE College of Arts. The presence of established healthcare facilities further enhances demand for space within this dynamic precinct.
The Path Ahead
Sophia Lim from Cushman & Wakefield notes that continued strong demand from occupiers underscores the growth trajectory of the Farrer Park area. Combined with its solid rental income stream and possibilities for layout optimization (pending approval), Verdun House provides investors with compelling reasons to seize this opportunity.
The sale process will proceed through an Expressions of Interest (EOI) exercise that concludes on September 21—a pivotal opportunity for those looking to invest in valuable commercial real estate in Singapore’s burgeoning market.
Source: Original Article