Business

Tanglin Shopping Centre to make third bid to sell en bloc

An ageing Orchard Road landmark has become the latest to throw its hat into the collective sale ring.

The owners of the strata-titled Tanglin Shopping Centre are making a third bid to sell the building en bloc, following attempts in 2011 and 2014.

They will elect a sale committee at the end of the week.

The 47-year-old building comprises a six-storey podium block of shops, eateries and medical suites, and a 12-storey tower block of offices.

For the building to be put on the market, owners of 80 per cent of the property - by both share value and strata area - must sign the collective sale agreement.

The first attempt at a collective sale in 2011 fell through when the reserve price of $1.25 billion was not met.

The reserve price for the second attempt was $1 billion, or about $3,200 per sq ft per plot ratio. But this attempt also fell through when the property's 173 owners failed to garner the consent levels required.

Millennium & Copthorne Hotels, the hotel arm of Singapore-listed property group City Developments, holds the largest stake in the building at 34 per cent.

It signed the second collective sale agreement in November 2013.

Mr Len Hoo, who was the sales committee chairman in the property's previous attempt, said he is keen to sell because maintenance costs are rising due to the building's age.

REJUVENATE

"The building is not in tip-top condition, and it is time to rejuvenate it," said Mr Hoo, the managing director of family company C.T. Hoo, which owns an office unit and a jewellery shop in the building.

Tanglin Shopping Centre joins a recent slew of commercial and mixed-use properties looking to hop on the collective sale bandwagon. - THE STRAITS TIMES

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