Office space up for grabs

20140211-st-office-space-up-for-grabs NOL BUILDING

FRAGRANCE Group, which bought the NOL Building in 2012, is now putting it up for lease.

The property company has appointed agency Jones Lang LaSalle to lease the freehold property at 456 Alexandra Road.

Fragrance plans to hold the building for long-term rental income, the agency said yesterday. It bought the 26-storey office tower from container shipping firm Neptune Orient Lines (NOL) in 2012.

The NOL Building has more than 200,000 sq ft net lettable area of office space that will be available to tenants from July 1.

In the statement, Jones Lang LaSalle said the building has a "very high car parking ratio" with 276 carpark spaces.

It added that a single large tenant looking for branding and naming rights may also find the building attractive.

"It is hard to come by a freehold property with such a large land area of about 108,000 sq ft," Mr Koh Wee Meng, executive chairman and chief executive of Fragrance, said in a statement. "Coupled with its distinct location and prominence, this property fits perfectly to be added to our portfolio of quality assets offering rental returns and, at the same time, retaining its exciting future potential."

Mr Chris Archibold, head of markets at Jones Lang LaSalle, said the amenities in the Alexandra area have grown, such as the completed Mapletree Business City and Labrador Park MRT station.

He said: "We are confident that 456 Alexandra Road will see strong leasing interest due to the amenities in the area.

"Office vacancy is currently low and there is a distinct lack of non-Central Business District supply which will also benefit the leasing."

RACHAEL BOON

KH KEA BUILDING

THE owner of a building in the Central Business District (CBD) is looking for joint venture investors to redevelop the property.

This will be done through an expression of interest exercise.

The building, known as the KH Kea Building, is at 333 North Bridge Road, next to Odeon Towers.

It is owned by local company KH Kea Properties and the anchor tenant is fast food chain McDonald's.

The nine-storey commercial building sits on a 4,066 sq ft site at the corner of North Bridge Road and Cashin Street. It comes with a 635 sq ft land parcel next to it, which at the moment serves as road access to the building's basement carpark.

The property has a 999-year leasehold with 812 years remaining.

It could yield a total gross floor area of around 32,351 sq ft if redeveloped, said marketing agent Savills Singapore in a statement yesterday.

Savills said that the property could be redeveloped into a new strata office and retail project.

"The offering of CBD boutique commercial assets with long 999-year leasehold tenure situated at prime location near MRT interchange is rare," said Mr Steven Ming, deputy managing director and head of investments at Savills.

He added that KH Kea "had received unsolicited interests" in the property in recent months which was why it was embarking on an expression of interest exercise.

The exercise will close on March 18.

MELISSA TAN

Source: Straits Times, 11 Feb 2014