URAMore
The Urban Redevelopment Authority (URA) has given the green light for the voluntary conservation of Golden Mile Tower. This decision will come into effect if the 99-year leasehold development is successfully sold in a collective sale and a developer intends to redevelop the property.
Based on documents obtained by EdgeProp Singapore, the government has indicated that if a developer agrees to conserve at least the existing cinema block, the site’s allowable gross plot ratio (GPR) would increase from 4.46 to 5.6. This would apply to the existing site area of 93,902.5 square feet.
This higher GPR would result in a larger allowable gross floor area (GFA) of 525,854 square feet, a significant increase from the current GFA of 419,142 square feet. In addition, voluntary conservation would also allow for a higher maximum building height of 164m, compared to the current height limit of 145m for the site.
In August last year, the owners of Golden Mile Tower made their third attempt at a collective sale with a reserve price of $556 million. However, this did not result in a successful sale and redevelopment of the 99-year leasehold development.
According to Anna Tan, the business development director at Tag Realty, which is the marketing agent for the collective sale of Golden Mile Tower, the reserve price for the 99-year leasehold development remains unchanged. This translates to a land rate of $1,350, which does not include the cost of renewing the land tenure and land betterment charges.
Tan adds that the increase in building height control as part of the voluntary conservation options presents opportunities for developers to create a striking presence in the skyline with the reimagined property. It also means that the new development could feature commercial and hotel spaces with floor-to-ceiling heights of 5m, and residential units with ceiling heights of 3.6m.
The approval for the voluntary conservation of Golden Mile Tower is especially significant as its neighbouring building, Golden Mile Complex, has been gazetted for conservation in 2021. Golden Mile Complex has since been revived as Golden Mile Singapore through a joint development project by Perennial Holdings and Far East Organization. The commercial units were launched in December last year, and the new residential units in a 45-story tower are set to be launched this quarter.
According to Tan, this is a rare opportunity to redevelop Golden Mile Tower, taking into account the limited land supply along Beach Road and the increase in land value due to rejuvenation efforts such as the launch of Golden Mile Singapore and the neighboring Kallang Alive masterplan.
She adds that the redevelopment of Golden Mile Tower presents a unique opportunity to create a new mixed-use development in a prime location along Beach Road. Its heritage and potential for the future make it a highly desirable investment for both local and international investors.