Aerial view of the land parcel at Jiak Kim Street, which includes three conserved shophouses. (Photo: URA)
UPDATED: The Urban Redevelopment Authority (URA) announced on Friday (29 September) that it has accepted an application from a developer to put up the former Zouk site at Jiak Kim Street in Robertson Quay for sale by public tender.
The 1.35ha residential with 1st storey commercial site was first made available for sale on the reserve list in June 2017.
According to the URA, the unnamed developer committed to bid a minimum price of $689.35 million, which works out to a land rate of about $1,250 psf per plot ratio (psf ppr). As this is acceptable to the government, the site will be released for sale.
With a maximum permissible gross floor area of about 551,478 sq ft, the site could yield 525 housing units.
Offered on a 99-year lease, the land parcel also includes three conserved warehouses that were built around 1919.
The future Havelock and Great World MRT stations on the upcoming Thomson-East Coast Line are located nearby.
Edmund Tie & Co. research head Dr Lee Nai Jia said the site offers many unique selling points, including its iconic status as the former Zouk nightclub as well as proximity to the Central Business District and Orchard Road.
“The site will attract foreign buyers and investors seeking to rent to expatriates,” he said.
He added that there is demand for the location given the recent success of nearby Martin Modern. As at August, the high-end project has sold 134 out of the 160 units launched at a median price of about $2,202 psf. Developer GuocoLand was awarded the 171,536 sq ft site at $595 million ($1,239 psf ppr).
As such, Lee expects the Jiak Kim Street site to attract 10 to 12 bids with the winning bid likely to be around $1,400 psf ppr.
The URA will launch the public tender for the site in about two to three weeks. The tender period will be about six weeks.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, wrote this story. To contact him about this or other stories, email firstname.lastname@example.org