SINGAPORE: A conservation shophouse in Dhoby Ghaut has been put up for tenancy by the Singapore Land Authority.
Shophouses in Orchard Road are rare, especially the one up for tenancy at 38 Orchard Road which is 3-storey high shophouse with a floor area of 4,000 square feet.
Channel NewsAsia understands that there are about 30 such shophouses in the area.
These conservation shophouses have been gazetted for commercial use under Urban Redevelopment Authority (URA) guidelines.
The rental period for these properties is 3 years. It is also renewable for another 3 years.
The guide rent for this property is S$24,700 per month, which works out to less than S$6 per square foot.
This is compared to rents in prime retail malls on Orchard Road which can go up to S$30 per square foot for shops and S$10 per square foot for offices.
Analysts expect the take-up rate for such shophouses to be good given the reasonable rent and central location.
However they note that the shophouses are more suited to be used as offices or private schools considering the thinner human traffic.
"At the price SLA is calling for at S$6 per square feet, I feel it's reasonable. There are retail outlets that can go beyond S$10… There may be law firms, accountancy firms and even financial planners who enjoy having their own shophouse because it gives them the prominence and signage and a place of their own," said Chris Koh, Director of Chris International.