GH15 Ventures wins Pek Chuan Building tender with $80.68 mil bid
GH15 Ventures has actually won the collective sale tender for Pek Chuan Establishment at 116 Lavender Street with an $80.68 million bid.
The existing four-storey building has retail space on the very first three floors and workplaces on the 4th. It is about 50m from Bendemeer MRT Terminal on the Downtown Line and inside strolling range of Lavender MRT Station on the East-West Line. Loi describes it as the longest standalone industrial property with a full frontage along Lavender Street.
The public tender finalized on Oct 7 and enticed 3 bids, claims Dillon Loi of Mount Everest Properties, the advertising agent. The succeeding bid is 4.8% above the $77 million requesting rate established when the building was relaunched for sale in September. It additionally covers the $80 million guide cost for its first 2 efforts at a cumulative sale in October 2025 and March 2026. Both tenders shut without an effective bid.
The customer can apply to URA for an improvement of use to a hotel or mixed-use property development. If it chooses for asset enhancement instead, Loi expects the building to draw in workplaces and F&B services displaced by the 2027 redevelopment of Marina Square and Valley Point. He also expects “solid support” from upcoming residential developments in Kallang and Boon Keng.
The site has 28,700 sq ft of land and is zoned commercial, with a plot ratio of 2.5 and an elevation limit of 12 floors. At the acceptable gross ground area of 71,750 sq ft, the cost works out to $1,124 psf per plot proportion (ppr), leaving out any kind of land improvement fee and lease top-up premium. The site gets on a 99-year lease that began in 1978, leaving approximately 51 years.
Refurbishment has repaid for a similar building. Mount Everest Properties sold GSM Building on Middle Road to Coliwoo for $80 million in 2023. After a significant repair, the structure, now called Coliwoo Midtown, is being acquired by CapitaLand Ascott Trust for $134 million under a deal announced in August.
The arrangement was agented by Terry Wong, head of capital markets and financial investment sales at Colliers Singapore, who represented the buyer GH15 Investments.
Business documents suggest that GH15 Ventures is an investment vehicle of GH15 Investments, a business registered to operate hostels and dormitories for students, workers and others. Its supervisor is Stephen Goh.
