Pearl Bank Apartments

Two iconic buildings - The Riverwalk next to Boat Quay and Pearl Bank Apartments in Outram - could be torn down soon if their collective sales go through.

Elsewhere, two other residential developments - in Leonie Hill and Upper East Coast - were also put up for sale by tender yesterday.

However, it is the pair of eye-catching landmarks that have attracted the most interest.

Jones Lang LaSalle yesterday put The Riverwalk, a mixed development in the central business district, up for sale through an expression-of-interest exercise that will close on July 26.

The property, which houses businesses such as Home Club, has 181 commercial units ranging from 54 sq ft to 20,161 sq ft, plus 118 apartments ranging from 818 sq ft to 3,821 sq ft.

Jones Lang LaSalle said it is zoned for commercial use and can be redeveloped into a building with a gross floor area of up to 403,351 sq ft.

Its regional director and head of investments, Mr Lui Seng Fatt, said developers could build shops, offices or small office, home office units. Apartments cannot be built for now, as the Government has temporarily halted the conversion of commercial space to flats in the central region until the end of 2009.

Owners of The Riverwalk want $700 million, up from the $500 million they asked for earlier. Developers will also have to pay a development charge and a premium to top up the lease, which could add up to about $70 million.

The price, including the extra charges, could work out to $1,900 to $2,000 per sq ft (psf) of potential gross floor area, said market experts.

The 280-unit Pearl Bank Apartments, completed in 1976, could be put up for sale soon for more than $500 million, said market watchers.

While some owners are keen on a sale, some architects hope the building will be preserved.

One had reportedly said that it should be kept because it represents the emergence of modern architecture in Singapore.

The value of Pearl Bank has risen greatly recently, with a 1,323 sq ft two-bedroom unit sold last month at a record $1.07 million, said an ERA agent who brokered the deal.

The property has an allowable plot ratio of 7.2 based on the 2003 masterplan, though some owners are hoping for a higher plot ratio to be approved, market sources said. Pearl Bank has two-storey maisonettes, penthouses and shops.

And the 74-unit Rivershire at Leonie Hill Road has been put up for sale by tender at a revised price of $348 million or $2,200 psf of potential gross floor area. There is no development charge payable on the freehold site.

Its previous asking price was about $237 million and the tender closes on July 24.

At Upper East Coast Road, Credo Real Estate has put the 40-unit Rich East Garden up for sale, with an indicative price of $92 million to $95 million.

This translates to $630 psf to $650 psf of potential gross floor area, including development charges. The tender closes on July 31.

Source: The Straits Times, 26 June 2007