The Urban Redevelopment Authority (URA) has given the green light for the voluntary conservation of Golden Mile Tower, subject to the successful sale of the 99-year leasehold development in a collective sale and the proposed redevelopment plans by the new developer.
According to documents obtained by EdgeProp Singapore, the government has expressed its willingness to consider increasing the site’s allowable gross plot ratio (GPR) from 4.46 to 5.6, based on the current site area of 93,902.5 sq ft, if the developer chooses to conserve the existing cinema block.
This higher GPR would subsequently result in a significant increase in the allowable gross floor area (GFA) for the redevelopment, from the current 419,142 sq ft to 525,854 sq ft. In addition, the voluntary conservation would also allow for a taller maximum building height of 164m, compared to the current limit of 145m.
The recent collective sale attempt by the owners of Golden Mile Tower last August had a reserve price of $556 million, marking the third unsuccessful en bloc attempt to sell and redevelop the property.
Anna Tan, business development director at Tag Realty (the marketing agent for the collective sale of Golden Mile Tower), confirmed that the reserve price remains unchanged, translating to a land rate of $1,350 per sq ft. However, this rate does not include land betterment charges, which may be applicable if the lease is renewed.
“The approval for voluntary conservation is significant as it presents an opportunity to redevelop Golden Mile Tower in light of the limited land supply along Beach Road and the potential for price appreciation due to ongoing rejuvenation efforts such as the launch of Golden Mile Singapore and the neighbouring Kallang Alive Masterplan,” Tan stated.
She also highlighted the potential for the new development to feature 5m floor-to-ceiling heights for commercial and hotel spaces, and 3.6m ceiling heights for residential units, due to the increased building height limit.
The approval for voluntary conservation of Golden Mile Tower is especially significant as its neighbouring property, Golden Mile Complex, was recently gazetted for conservation in 2021. The latter has been transformed into Golden Mile Singapore, developed jointly by Perennial Holdings and Far East Organization, with commercial units launched last December and residential units expected to be launched this quarter.
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According to Tan, the redevelopment of Golden Mile Tower presents a unique opportunity to develop a new mixed-use property in a prime location along Beach Road. Its distinctive heritage and potential for future growth make it an attractive investment opportunity for both local and international investors.