The 441 sq ft unit, which will be auctioned on Sept 19, faces the pedestrian walkway and Orchard Road. (Picture: Knight Frank)
A shop unit on the ground floor of Lucky Plaza will be put on the block at Knight Frank’s upcoming auction on Sept 19.
An owner’s sale, the freehold unit on Orchard Road has a guide price of $7.1 million. This works out to approximately $16,100 psf based on its floor area of 441 sq ft.
The shop unit enjoys a prominent frontage in front of the pedestrian walkway, and its raised position above the street level provides high visibility to pedestrians and vehicles along Orchard Road. The unit is also close to the main entrance of the shopping mall, as well as the taxi stand and drop-off point serving the building.
Karen Ker, assistant manager of auction and sales at marketing agent Knight Frank, says the unit will be offered with a tenancy that ends on Nov 30. In addition, GST is not payable on the transaction, and the sale will not incur additional buyer’s stamp duty or seller’s stamp duty.
Completed in 1981 by Far East Organization, Lucky Plaza is a freehold mixed-use development comprising retail shops, F&B outlets, medical centres, and residential apartments. The shops and commercial units occupy a seven-storey podium, while the residential units occupy the ninth to 30th floors.
The mall is near landmarks like Tang Plaza, Wisma Atria, Ion Orchard, Ngee Ann City Shopping Centre, and The Paragon. Behind it are Mount Elizabeth Hospital and upscale condos along Mount Elizabeth and Cairnhill Road.
Lucky Plaza draws in fresh buyers and investors whenever new units become available. Based on URA caveats, seven shop units successfully changed hands last year. The transactions ranged from the sale of a 538 sq ft unit on the fourth floor for $2.8 million ($5,209 psf) on Dec 7, to the sale of a 129 sq ft unit on the third floor for $1.05 million ($8,129 psf) on April 21.
So far, there have been three resales at Lucky Plaza. The most recent was a 420 sq ft unit on the third floor that changed hands for $3.3 million ($7,861 psf) on May 11.
A tabulation of commercial resale caveats between August 2022 and August this year by EdgeProp Singapore shows that the average price of shop units at Lucky Plaza is about $5,566 psf. Indicative rents vary between $2.80 and $19.90 psf per month. This suggests an average 2.4% rental yield for shop unit landlords.
Check out the latest listings for Lucky Plaza properties