Fragrance Group buys Katong Plaza for $180 mil with potential redevelopment into a new hotel
Fragrance Group could likely redevelop Katong Square into a brand-new accommodation following among one of the Accor labels. After all, Katong Plaza lies in top District 15 in the eastern side and only 120m from the Marine Parade MRT Terminal on the Thomson-East Coast Line and the Parkway Parade shopping center.
Last month, Fragrance Group and Global Premium Hotels signed one more arrangement with Accor to open up 2 new-build properties with three brand-new lodgings by 2027. They are the 808-key Mövenpick Singapore on Hoe Chiang Street, that will certainly be the biggest Mövenpick hotel in the Asia Pacific location. It will also house Mövenpick Living Singapore, a 37-key lodging intended at travellers seeking prolonged visits.
The Arcady @ Boon Keng condo price
Property developer Fragrance Group has acquired Katong Plaza in Marine Parade for $180 million. The purchase price equates to a land rate of $1,809 psf per plot ratio (psf ppr), including the land improvement cost.
The various other real estate, based at Waterloo Street, will be a new 502-room hotel under the Handwritten Collection brand of Accor. It is a redevelopment of the former Min Yuan Apartments that Fragrance Team acquired en bloc for $141 million in September 2019; and the former Waterloo Apartments, which it acquired in November 2018 for $131.1 million. Both 999-year leasehold sites were amalgamated, and URA approval was gotten for redevelopment right into a 500-room hotel.
Fragrance Group and its hospitality arm, Global Premium Hotels, are regulated by billionaire property real estate investor and hotelier James Koh, the chairperson of both firms. Global Premium Hotels has a profile of brands, including the homegrown Fragrance and Parc Sovereign. In 2019, Fragrance and international hotels and resort group Accor locked up to open up 13 new ibis Budget hotels, that were in the past Fragrance-branded resorts, along with generating the ibis Styles and Mercure brands.
It is at the moment zoned for business and residential usage however has actually gotten URA approval for resort use. Lian projections that the brand-new hotel can produce around 300 and 340 rooms.
Katong Plaza is a freehold commercial and residential mixed-use project located at 1 Brooke Road. It has 132 strata retail units and 14 residential houses. Proprietors of the retail units will be receiving earnings ranging from $502,000 to over $6 million, whereas household proprietors will be acquiring between $2 million and $5.1 million, indicates Terence Lian, Huttons Asia’s head of financial investment sales who agented the agreement.
“Our team believe this purchase will increase confidence in the cumulative sale market as property developers remain to seek appealing land plots,” claims Lian.
Katong Plaza is alongside Roxy Square and the Grand Mercure Roxy Singapore. Many other hotel and resorts close such as Holiday Inn Express Singapore Katong, an IHG Hotel and Village Hotel Katong.
The existing development spans an overall land area of 34,044 sq ft with a gross plot ratio of 3.0. This works out to a max gross flooring space of 102,132 sq ft.