A Rare Freehold Food Factory Is On Sale For $38M — What Else Is Selling In Kallang?

A recently completed freehold food factory at 25 Genting Road is on the market for $38 million. The Business 1 zoned site is 10,526 sq ft, and the existing four-storey building has a total gross floor area of 26,287 sq ft. The property will be sold via private treaty according to CBRE, the marketing agent.

The food factory has been purpose built for food production usage with 13 units that can support modern operational needs. Each unit has a ceiling height of approximately 5m and floor loading capacity of 10 kN per square metre. Food-ready provisions include LPG connections, kitchen exhaust ducts, in-unit toilets, two service lifts and one passenger lift to support a wide variety of food-related uses.

Located in the Kallang industrial precinct, the area is close to residential estates like Macpherson and Book Keng. The area is also close to Potong Pasir MRT station on the North-East Line, and Mattar MRT station on the Downtown Line.

Typically, food manufacturing facilities are situated close to major transport networks to facilitate an efficient supply chain and distribution network. The food factory for sale is in an area that is served by the Pan Island Expressway (PIE), Central Expressway (CTE) and Kallang Paya Lebar Expressway (KPE).

With freehold food factories limited in supply, particularly in central areas like Kallang, this property is ideal for food operators seeking central kitchen facilities, cloud kitchens, satellite production spaces, and food manufacturing operations requiring efficient islandwide distribution, says Graeme Bolin, CBRE’s head of occupier and leasing, Industrial and Logistics Services, Singapore.

Kallang’s transformation into a modern industrial precinct

The sale of this food factory comes as the Kallang industrial precinct will be gradually transformed into a modern industrial hub. The government had announced its plans to rejuvenate the Kallang River and surrounding precinct by introducing sustainable redevelopment initiatives and adaptive reuse projects.

An industrial government land sale site (IGLS) at Kallang Way was sold to CapitaLand Development for $368.9 million in October 2024. It is the first IGLS site where an existing terrace factory is retained and adapted for continued industrial use.

The repositioned development, Gourmet Xchange, was launched for sale this month. The B2 site now features a strata-titled food facility with 272 units. Prices start from $2.3 million for units spanning 3,175 to 4,230 sq ft, and $6 million for larger units spanning 6,135 to 8159 sq ft.

JTC plans to reposition the precinct to co-locate food manufacturing spaces and retail spaces such as F&B. This will integrate industrial, retail, and lifestyle spaces to inject vibrancy into industrial spaces.

The appeal of food factory industrial properties among business owners and investors

Even as F&B closures dominate the headlines, the industry continues to attract new entrants each year. With cloud kitchens becoming one of the fastest-growing segments in Singapore’s foodservice market, revenue is expected to grow at a 20.05% CAGR from 2026 to 2031. This could signal an increased demand for more food production facilities to address evolving needs in catering. 

As F&B businesses continue to pivot and adopt new business models, industrial properties housing food production facilities are shaping up as an asset class. For business owners, this means the need to have more streamlined production processes.

For investors, this could translate to stable tenant demand, long-term leases from food manufacturers and central kitchens. On top of potential capital appreciation, there is no Additional Buyer Stamp Duty (ABSD) for industrial properties, and foreign buyers are suitable to purchase as well.  

“25 Genting Road is a newly completed and operation-ready facility that offers food operators the opportunity to establish a long-term presence in one of the most sought-after industrial zones in the city fringe. Its food-ready specifications and strategic location present a compelling proposition for both occupiers and investors,” says Bolin.