CBRE has launched a public tender for the sale of a 4,079 square foot coffee shop in a central Singapore residential estate with an asking price of S$16.8 million.
The property, which was on a 91-year leasehold that started in 1993, now has a remaining tenure of 67 years. It is located at block 631 on Ang Mo Kio Avenue 4, said the commercial real estate services firm in a press release on Thursday. CBRE is the sole marketing agent for the tender.
At an asking price of S$16.8 million, the property works out to be about S$4,100 per square foot.
Past sales of coffee shops have seen prices set at record levels. In 2015, a coffee shop at Bukit Batok Street 11 was sold for S$31 million, or at S$6,857 per square foot.
Another at Hougang Avenue 4 was sold at S$23.8 million, or S$5,912 per square foot, in 2013.
The Ang Mo Kio coffee shop is currently leased as an eating house. It comprises 10 food and beverage stalls on the ground floor and a living quarter on the second floor. These form the total area of about 4,079 square feet.
In addition, about 1,345 sq feet of a sheltered outdoor dining area for patrons of the outlet has been approved by the relevant authority.
The total existing seating capacity can accommodate about 270 patrons. There is further flexibility in the seating capacity and can be further enhanced, as extra tables and chairs can be easily added to cater to higher customer volume during peak hours, said CBRE.
Change of use to other trades may also be considered by the buyers, but this is subject to HDB's approval.
Although the property has a living quarter attached to it, HDB's prevailing policy is that if such properties are sold or tenanted out as a commercial property under a single title, Singaporeans and permanent residents may purchase them, said CBRE. Foreigners or companies may also purchase the property.
CBRE estimates that there are more than 26,000 residents located within a 650-metre radius from the property. It is also about 500m from Yio Chu Kang MRT station and bus interchange, and the future Lentor MRT station on the Thomson-East Coast Line.
The public tender closes on July 4 at 3pm.