Excelsior Hotel and Shopping Centre up for collective sale at $458 mil

The Excelsior Hotel and Shopping Centre, located at 5 Coleman Street in the City Hall district of Singapore, has been put up for collective sale. According to marketing agent Cushman & Wakefield, the reserve price for the property is $458 million, achieving an overwhelming consent from the developers.

This development, sits on a 20,798 sq ft site with a 99-year leasehold tenure from Aug 17, 1979, and zoned for hotel use. It has a verified gross floor area (GFA) of 227,247 sq ft or an as-built plot ratio of 10.93. The development holds a 21-storey tower which houses a 284-key hotel, and a five-level podium shopping centre.

The site is nestled in proximity to Funan mall, Peninsula plaza, Grand Park City Hall hotel and City Hall MRT Station; which is a five-minute walk away.

Recent sales transactions along 5 Coleman Street include a hotel at $1,450 psf ppr; translating to $815 million for the 56,000 sq ft site in May 2019.

Christina Sim, senior director of capital markets at Cushman & Wakefield has expressed optimism for the hospitality sector’s steady recovery, especially in light of China’s re-opening. Sim states that hospitality assets will “recover with a vengeance” as Singapore’s hospitality sector is expected to outperform her neighbouring countries post the pandemic.

The Excelsior Tengah EC Hotel and Shopping Centre tender will close on April 18 at 3pm. Its convenient location and previous competitive transactions on 5 Coleman Street make this hotel a highly sought after property.