JLL markets freehold Ching Shine Industrial Building for collective sale

SINGAPORE, February 26, 2025 – JLL (NYSE: JLL), as the sole marketing agent, has launched Ching Shine Industrial Building for collective sale by tender. The freehold industrial development is up for sale at a minimum price of $113 million.

Built in the early 1980s, Ching Shine Industrial Building comprises 52 strata units on a 49,308 square feet (sq ft) land area, boasting a 100-metre frontage along Shaw Road. The site is zoned 'Business 1' under the 2019 Master Plan by the Urban Redevelopment Authority (URA) with a gross plot ratio (GPR) of 2.5. Over 80% of owners have consented to the collective sale at the minimum price, with Donaldson & Burkinshaw LLP appointed as lawyers for the owners.

The site has an existing gross floor area (GFA) of approximately 137,341 sq ft. Subject to URA approval, a developer could potentially explore a conversion of the site into a food factory. The minimum price of $113 million reflects a unit land rate of approximately $823 psf per plot ratio (psf/pr) at the existing gross plot ratio (GPR) of about 2.79. Alternatively, the freehold asset could also present an investment opportunity for family offices seeking long-term growth, as well as owner-occupiers looking to establish a corporate presence.

The National Environment Agency (NEA) has confirmed that the subject site meets the buffer requirements for redevelopment into a multi-user food factory. Additionally, the Singapore Food Agency (SFA) has informed the Urban Redevelopment Authority (URA) of their in-principle non-objection to the proposed food factory. The project now awaits the URA's consideration and approval for food factory redevelopment on the site.

"We've observed growing interest in industrial assets, especially those with freehold tenure. This site is particularly attractive to developers due to the absence of Additional Buyer's Stamp Duty (ABSD), which can impact project timelines. Given the strong demand from developers and family offices seeking non-residential opportunities as well as owner-occupiers, we anticipate very good interest in this rare opportunity," says Nicholas Ng, Senior Director, Capital Markets, JLL Singapore.

The site offers excellent connectivity to major expressways (CTE, PIE, KPE) and is also strategically located just 5 minutes from Tai Seng MRT Station. It is near prominent food factories including Breadtalk IHQ, Sakae Building, and Food Empire Building. The Tai Seng industrial estate provides a unique blend of industrial convenience and lifestyle accessibility, with nearby amenities such as Grantral Mall @ Macpherson and 18 Tai Seng.

"The recent collective sale of Noel Building (zoned Business 1 - White) in November 2023, which transacted 17% above the reserve price, demonstrates the fervent demand for such assets in the area. We expect a similarly competitive response for Ching Shine Industrial Building," adds Ng.

The tender for Ching Shine Industrial Building closes on Thursday, 3 April 2025 at 3.00 p.m.