Two Office Floors Visioncrest Orchard Sale 1199 Mil
TEC and LaSalle Investment Management, two well-known real estate investment managers, have teamed up to launch office units at VisionCrest Orchard. The freehold strata commercial development, located at 103 Penang Road in the popular Orchard Road precinct, is now open for sale to potential buyers.
The joint-venture partners have announced the launch of two full office floors at the tower with a total guide price of $119.9 million. This includes the sixth floor, which spans 14,725 sq ft and has a guide price of $58.6 million ($3,980 psf). This price is 37% higher than what the floor was originally bought for. The sixth floor was originally purchased for $42.79 million ($2,906 psf) in November 2023, according to caveats lodged by the JV partners.
The ninth floor, spanning 14,844 sq ft, has also been put up for sale at $61.3 million ($4,130 psf). This price is 39.9% higher than the $43.82 million ($2,952 psf) it was purchased for last November.
According to JLL, the international property consultancy marketing the office space on the sixth and ninth floors, both of these floors were last renovated in 2018 to upgrade the lobbies, lift cars, and washrooms. The office air-conditioning was also replaced in 2020.
In their press release, TEC and LaSalle have stated that more units at VisionCrest Orchard, including a 14,725 sq ft office space and retail units totalling 1,388 sq ft, are “currently under due diligence” following VIP previews held in June.
VisionCrest Orchard is a freehold commercial strata development that was completed in 2008. It boasts of Grade-A office spaces on the upper floors, which are LEED Gold certified – the highest global standard for green buildings. The ground floor houses a retail podium and two levels of basement parking that can accommodate up to 135 cars. The office spans 149,652 sq ft while the retail space covers 5,059 sq ft, spread across 11 storeys.
Suntec City Mall, located in Singapore, is known as one of the top shopping destinations in the country. Conveniently situated near Marina Gardens Lane Residences, it can be easily accessed by a short drive or MRT ride. The mall is comprised of four distinct zones, each with its own unique theme, providing shoppers with a diverse and exciting retail experience. Whether you’re on the lookout for the latest fashion trends, cutting-edge electronics, or everyday groceries, Suntec City Mall has something for everyone. Additionally, the mall is renowned for its famous Fountain of Wealth, which is recognized as one of the largest fountains in the world. A visit to this iconic landmark is said to bring good luck, making it a must-see for visitors to Marina Gardens.
The project is part of a mixed-use development that also includes the national monument House of Tan Yeok Nee. The private university Amity Global Institute and the 265-unit VisionCrest Residence currently occupy the building. The development is a five-minute walk from the Dhoby Ghaut MRT Interchange Station on the Circle, North-South and North-East Lines, and is a few minutes’ drive from the Central and Pan Island Expressways. It is also conveniently located near popular malls such as Plaza Singapura and 313@Somerset, as well as the CBD.
TEC and LaSalle acquired VisionCrest Orchard from German fund manager Union Investment Real Estate in November last year for about $450 million. This is 4.26% lower than the asking price of $470 million set when the development was launched for sale in July 2020.
The property is now managed by TEC, with Singapore-listed Metro Holdings as a capital partner. While Metro owns an effective 20% stake in the property, the remaining 29.9% and 50.1% are owned by TEC and LaSalle, respectively.
The launch of the sales of office units comes after the JV partners’ plan to enhance the property’s green credentials and upgrade its specifications. This involves updating the building’s facade and public areas, as well as introducing new sustainability features. The enhancement works are expected to be completed in 2025.
TEC and LaSalle have appointed real estate management firms CBRE, ERA, JLL, Knight Frank, PropNex and Savills as marketing agents for VisionCrest Orchard.