A pair of retail units at Peninsula Plaza, located along North Bridge Road, is currently up for sale at a guide price of $10.9 million. The two units, which have a combined strata area of 1,119 sq ft, are located on the ground floor of the 999-year leasehold mixed-use commercial building.The guide price for the units translates to a rate of $9,741 psf based on the strata area. The ground floor units have prominent frontage along North Bridge Road, making them an ideal location for businesses looking to attract a constant stream of footfall.Savills Singapore associate director of investment sales and capital markets, Nick Chan, who is handling the sale of the units on a private treaty basis, describes them as “arguably the best” within the development due to their strategic location.AdvertisementAdvertisementPeninsula Plaza was built in 1980 and comprises a 30-storey mixed-use commercial building with a six-storey retail podium and a 24-storey office tower. It has frontages along North Bridge Road, Coleman Street, and Coleman Lane. The building also has a sheltered walkway that connects it to the City Hall MRT Interchange Station, providing easy access to the North-South and East-West lines.Based on the latest market transactions, ground-floor retail units at Peninsula Plaza are highly sought-after. In August 2022, a 452 sq ft unit changed hands for $4.08 million, at a rate of $9,025 psf. According to Chan, the strata-titled units have become especially attractive since the URA’s restrictions on strata subdivision of the commercial component of new properties in the CBD and Orchard corridors came into effect in March 2022.Apart from the potential for capital appreciation, the two units at Peninsula Plaza also offer investors a gross rental yield of 3%, as they are currently tenanted until 2026. With its prime location and high rental demand, this is a rare opportunity for investors to own a piece of prime retail real estate in a highly coveted area.
Obtaining financing is a pivotal aspect of investing in a condominium. In Singapore, there are various mortgage choices available, but it is crucial to have a thorough understanding of the Total Debt Servicing Ratio (TDSR) framework. This framework sets a limit on the amount of loan that a borrower can take based on their income and current debt obligations. To make informed decisions about financing, it is advisable to seek guidance from financial advisors or mortgage brokers and keep the TDSR in mind to avoid overextending oneself. Additionally, investors can also consider exploring opportunities offered by New Condo Launches to diversify their investments.