Tan Boon Liat Building, a well-known industrial property in Outram, has been launched for collective sale at a reserve price of $1.15 billion. Best recognized for housing multiple furniture and home decor retailers, the 15-storey freehold property sits on a prime site along Outram Road, right next to Havelock MRT Station on the Thomson-East Coast Line (TEL).
This site spans 175,655 sq ft across two separate land plots and is currently zoned for “Business 1” (B1) industrial use. However, with URA’s Outline Planning Advice (OPA) issued on Jan 22, the site could be rezoned to “Residential with Commercial at 1st Storey”, significantly increasing its development potential.
Massive Redevelopment Potential
If rezoning is approved, the plot ratio could be increased from 3.1 to 4.9, translating to a 50% uplift in total Gross Floor Area (GFA). Additionally, URA has advised on the inclusion of 20,451 sq ft of remnant state land, further expanding the development scope.
With this, the potential GFA, including the state land and bonus GFA, could exceed 1.06 million sq ft, offering developers a chance to build a large-scale mixed-use project. The first storey is planned to accommodate up to 16,146 sq ft of commercial space, while 161,459 sq ft must be allocated for Serviced Apartments II (SA2), with a minimum stay requirement of three months.
Attractive Land Rate & No ABSD for Developers
Factoring in the land betterment charges for rezoning, the estimated premium for remnant state land, and bonus GFA for the residential portion, the indicative land rate is around $1,888 psf per plot ratio (ppr).
One key advantage that could make this site extremely attractive to developers is the absence of Additional Buyer’s Stamp Duty (ABSD). As the site was originally zoned for industrial use, developers will not be subject to ABSD upon purchase—a rare exemption in Singapore’s property market that could drive strong interest from major players.
Strategic Location & Market Appeal
Given its freehold tenure and proximity to a major MRT interchange, Tan Boon Liat’s redevelopment potential is significant. Future residential projects on the site would benefit from:
- Direct access to Havelock MRT (TEL)
- Close proximity to the upcoming Great World MRT (TEL)
- Connectivity to key commercial hubs like Orchard, Marina Bay & Raffles Place
- Established lifestyle and retail offerings in the Outram/Chinatown area
Christina Sim, senior director of capital markets at Cushman & Wakefield, noted that the freehold status and strategic location make this site an exceptional opportunity for developers looking for prime land without ABSD restrictions.
What’s Next?
The public tender for the site will close on March 18 at 3pm. With a strong development upside and favorable market conditions, this site could attract keen interest from major developers looking to make their mark on the city fringe.
🔎 Key Takeaways:
✅ Prime freehold site next to Havelock MRT (TEL)
✅ Potential rezoning to residential with commercial at 1st storey
✅ 50% increase in allowable GFA to 1.06 million sq ft
✅ No ABSD on purchase—huge advantage for developers
✅ Estimated land rate of $1,888 psf ppr
✅ Tender closes on March 18, 2025, at 3pm
As the property market continues to evolve, opportunities like these don’t come often! Reach out to stay updated on the latest collective sale opportunities and investment insights.