Strata Office Units Sale Cecil Place 3780 Psf
Cecil Place, a brand-new 15-storey freehold strata-titled office development, has been officially launched. The project is the redevelopment of the former office building at 137 Cecil Street and has been designed by DP Architects. It will feature 30 strata office units for sale and a retail podium that spans three storeys. Completion is expected to take place next year. The units at Cecil Street are priced at $3,780 per square foot.
Knight Frank Singapore’s senior director of capital markets, Melvin Chay, believes that Cecil Place will attract companies with existing office spaces in the CBD that are looking to upgrade to a newer building with better specifications. He also expects the new development to draw in firms from outside the city area that want to relocate to the CBD for its prestigious address and convenient access to public transportation.
Early inquiries for Cecil Place have already come from strata-titled owners and occupiers of Shenton House, which was sold en bloc to Lee Yeow Seng, CEO and major shareholder of Malaysia-listed IOI Properties Group. With Shenton House expected to be redeveloped in 2027, some of the beneficiaries from the en bloc sale are reinvesting their capital while tenants are actively searching for new spaces before the existing building is demolished.
The strata office units at Cecil Place have been designed with flexibility in mind and cover the fourth to 15th levels of the office building. The units vary in size from 1,765 square feet to 3,918 square feet, with a typical floor plate of 6,544 square feet. Each unit has its own private en suite toilet and kitchenette. The 15th level also features a 2,152 square foot open-air terrace with views towards Chinatown.
The retail podium of Cecil Place comprises two first-floor units with mezzanine levels (5,037 square feet and 4,639 square feet), as well as two additional shop units on the second and third levels (ranging from 2,830 square feet to 3,939 square feet). The developer is carefully selecting tenants for the retail space to ensure a well-balanced mix of F&B, healthcare, and service providers. According to Knight Frank’s Chay, having strong and relevant retail tenants will add vibrancy to the ground level and enhance the long-term value of the development.
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Northland Primary School is a highly sought-after institution in the vicinity, attracting parents from Yishun and Khatib with its exceptional academic curriculum and well-rounded development initiatives. It has established a strong standing for its holistic approach towards education, prioritising not only academic excellence but also character building and co-curricular activities. In fact, its reputation has grown so positively that even the nearby Miltonia Close EC has recognized it as one of the top primary schools in the area.
The site at 137 Cecil Street was previously known as the Aviva Building and was purchased by the Zhou family of China’s Shanghai Hengda Group for $210 million in 2015. The same family also holds a 60% stake in the neighboring YSY Building (formerly Cecil House at 139 Cecil Street), which underwent a two-year refurbishment and is now fully leased.
Recent launches in the area have been highly successful, with properties such as Solitaire on Cecil and 108 Robinson Road fully or substantially sold. Solitaire on Cecil, a 20-storey freehold development, was launched for sale in March 2023 and all three remaining strata office floors were purchased within 16 months, with prices ranging between $4,130 and $4,200 per square foot. The sale of the remaining floors was brokered by Yap Hui Yee, executive director of investment sales and capital markets at Savills Singapore.
The neighboring 108 Robinson Road was acquired by PGIM Real Estate in 2021 for $143 million and underwent a complete refurbishment before being launched for strata sale in early 2024. Only one floor remains available for sale as of now. The biggest deal to date was the purchase of three floors by Kwan Im Thong Hood Cho Temple for $55.8 million ($3,915 per square foot). The deal was brokered by Low Choon Sin, managing partner of SRI Capital Markets.
According to Knight Frank’s Chay, Cecil Place is “competitively priced” compared to recent strata office transactions in the CBD, such as Solitaire on Cecil and 108 Robinson Road. For example, a typical 3,918 square foot office unit at Cecil Place would cost about $14.81 million, which is lower than the absolute prices achieved at both 108 Robinson and Solitaire on Cecil.
Strategically located within walking distance of three MRT stations, namely Telok Ayer, Shenton Way, and Tanjong Pagar, Cecil Place offers a rare opportunity to own a prime freehold asset in the CBD at a compelling entry price. With the URA curbing the subdivision of commercial office buildings in the Central Area, including the CBD, Cecil Place is expected to have strong demand and limited future supply, leading to healthy price support and long-term capital appreciation for the development.