Realty Centre at Tanjong Pagar has been sold en bloc for $148 million, making it the first commercial collective sale concluded this year. The 12-storey freehold building was put up for collective sale by Cushman & Wakefield (C&W) with a reserve price of $165 million in January.

The buyer is Singapore Exchange-listed The Place Holdings, which plans to redevelop the building and house its company headquarters there, according to a filing to the exchange on April 22. The company is backed by The Place Investment Group, a Chinese conglomerate with dealings in tourism, media, property management, bio-medical technology and international trade.

Located at 15 Enggor Street, Realty Centre has a total site area of 11,000 sq ft and a possible height of 35 stories. It is currently zoned for commercial use with a plot ratio of 5.6.

With the recent announcement of the CBD Incentive Scheme for the Draft Master Plan 2019, the property is eligible for the bonus plot ratio of between 25% and 30% if there is a change of use to either hotel (25%), residential and commercial (25%) or residential with commercial on the first storey (30%).

The property is located within walking distance to Tanjong Pagar MRT Station on the East-West Line and the future Prince Edward Station on the Circle Line.

Christina Sim, director of capital markets at C&W, says Realty Centre is a “versatile site” located on the fringe of a location which will be undergoing massive urban rejuvenation and transformation. It will also benefit from the Draft Master Plan’s “Greater Southern Waterfront” proposal of extending the central core region from Pasir Panjang to Marina East.