Photo of 138 Teck Whye Lane (Source: Huttons Asia)
A HDB shophouse at Blk 138 Teck Whye Lane is up for sale via an expression of interest (EOI) exercise at a guide price of $4.45 million. The commercial shop has been approved by HDB to operate as a Family Restaurant (FR) and has a site area of 68 sq m excluding the Outdoor Refreshment Area (ORA).
The property has a wide frontage with a refreshment area that prepares and serves food, drinks and dessert to customers and comes with installed exhaust and roller shutters. This HDB shop has a lease of 93 years from 1992, with a balance lease of approximately 61 years. The shop is situated within the Chua Chu Kang HDB estate which is one of the most populated towns in Singapore.
Jeremy Lim, Executive Group District Director of Huttons Asia Pte Ltd notes that the property has very high human traffic as it is surrounded by HDB flats. It is near to Chua Chu Kang Community Centre and Polyclinic, hence increasing the human traffic and the awareness of the family restaurant. HDB shops have been well sought after due to the high rental yield. HDB shops especially those with F&B approval are rarer and has very high demand. The property comes with existing tenancy and command a yield of approximately between 4.5 – 5%.
Dex Ho, Senior Marketing Director of Huttons Asia Pte Ltd believes that the property is very suitable for both own use and investors. The quantum of this F&B approved Family Restaurant (FR) is much smaller compared to other alternative F&B commercial properties making it appealing to business owners. Investors can enter at an attractive entry price into the commercial property market and enjoy good rental returns. “Rents for F&B shops have increased tremendously after Covid and we are seeing a demand from tenants looking to buy such properties for their own use instead of renting,” he says.
“The property has no living quarters and are not subjected to Additional Buyer’s Stamp Duty (ABSD). Foreigners are eligible to buy the property. There is no GST payable as well. The palatable quantum should see healthy interest from investors,” concludes Lee Sze Teck, Senior Director of Data Analytics at Huttons Asia Pte Ltd.
The Expression of Interest will close on 8th December at 4pm.
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