Two noteworthy industrial properties were put up for sale this week – a freehold site housing a vehicle maintenance shop on Woodlands Road, and a factory site in Pioneer with significant intensification potential – and they demonstrate the ubiquitous influence of this segment of the real estate market in Singapore.
The freehold industrial site on Woodlands Road is on sale at a guide price of $4 million. The site, which spans 2,888 sq ft, is currently occupied by a tyre and battery servicing workshop. The guide price translates to $1,385 psf on the land area.
The sale of this site is marketed by ERA Singapore, and the property will be sold in an Expression of Interest (EOI) exercise.
Located near the junction of Stagmont Ring, the site is close to the Sungei Kadut and Mandai industrial hubs. The Mandai precinct has seen a surge in the number of new food factories and other developments supporting food production and storage.
These new developments complement the area’s transformation into the Sungei Kadut Eco-District, a master planned rejuvenation scheme by JTC, the largest land owner there, for agri-food technology, waste management, and recycling industries.
The site for sale is currently zoned for Business 2 use, under the latest Master Plan. This opens the way for it to be redeveloped for other industrial uses, such as a 24-hour vehicular service station incorporating EV charging points, subject to approvals.
“Although the site is relatively compact, it enjoys a strategic frontage along a busy arterial road, making it well-suited for a passenger vehicle servicing facility,” says Donald Goh, director of Capital Markets and Investment Sales at ERA.
Road connectivity in the area is supported by nearby major trunk roads and expressways, such as Woodlands Road, Mandai Road, Upper Bukit Timah Road, as well as the Kranji Expressway (KJE) and Bukit Timah Expressway (BKE).
Meanwhile, a factory at 151 Gul Circle in Pioneer was listed with an asking price of $18 million this week. Marketed by CBRE, the property will be sold in a private treaty.
The existing facility comprises a single-storey building with a mezzanine, with a ceiling height of 8.1m at the main production area and 4.5m at the mezzanine. It has a total gross floor area (GFA) of 105,041 sq ft.
Other onsite amenities, including a canteen, surface parking, and a guard house, enhance the property’s operational convenience.
The entire site spans 297,507 sq ft and is zoned ‘Business 2’ with a plot ratio of 1.4 under the Master Plan. This means that the site could support a development with a total built-up area of about 416,510 sq ft. This reflects a difference of more than 300,000 sq ft of untapped plot ratio based on the GFA of the existing building.
But, the plot has a 60-year tenure that started in 1973, with about seven years left on its lease, with the possibility of extending, according to CBRE. It is rare to come across existing industrial sites on the market with a significant upside for redevelopment or intensification.
The size and configuration of the plot make it particularly suitable for construction-led and engineering-related businesses requiring significant open yard areas, production space or material storage.
An opportunity like this will catch the eye of industrialists and owner-occupiers who are looking for a rare high-scale industrial site in the West, that also offers operational flexibility, abundant yard space and future redevelopment potential.
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