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In just 15 months of purchasing the shophouse for conservation at 65 Club Street for $15.7 million ($2,784 per sq ft) in August, Andy Lim, CEO of JL Family Office (JLFO) began negotiations for purchasing the shop across the street at $26.038 million on the 26th of November in accordance with the results of an Inlis search. The purchase was done through an exclusive vehicle called Club Street Venture 2. Lim was unable to be reached to provide a response.
The two-storey conservation shophouse located situated at 64 Club Street comes with a basement and mezzanine floors, with a lift that serves every floor. It is a 999 year leasehold property that lies on land of 2,249 square feet, and has the built-up area being 5,618 square feet. The price of purchase of $26.038 million is equivalent to $4,635 psf. This is a record price per square foot for Club Street. The transaction was brokered with Yap Hui Yee of Savills Singapore, director of capital markets and investment sales and Sammi Lim the executive director and founder of Brilliance Capital.
The previous record price for psf in Club Street was set by the shophouse located at No. 64, too. The property was sold 3 years prior to that in the year 2000 for $21.8 million, as per the caveat filed in August of 2018. The cost was $3,880 per square foot according to the floor area that was a new price at the time. Now, it’s been purchased at 19.5% higher.
Lim was the one who bought the 65 Club Street in the wake of the circuit-breaker’s failure last year, at a time when investor were not yet a positive one, according to Savills’ Yap, who also brokered on the purchase of the building. In light of the increased prices today the price for purchase for 64 Club Street at $4,635 psf is 66.5% higher than the $2,784 he bought for the 65 Club Street over a year prior.
After purchasing the shophouse at Club Street, Lim had completed the renovations to the interior before moving into the premises in Chinese new year. The shophouse that was originally a conservation site at 65 Club Street is now the headquarters of JLFO and its many divisions, from real-estate to financial trading, the private capital, and the philanthropic arm.
It’s not clear what Lim’s plans are with regard to the shophouse that is being conserved located at 64 Club Street at this point. The previous tenant of 64 Club Street was Caffe B which was an Italian fine-dining restaurant that was shut down on October 30. Therefore, the shophouse is now vacant.
The area is zoned for commercial use and every floor of the shophouse located at 64 Club Street has approval for F&B use, according to Savills” Yap. It’s actually the only shophouse along the portion of Club Street that has approval for F&B use. The shophouse also is able to be used as a office, fitness, or health centre , or even a medical practice, she says.
Monthly rental rates for commercial shops in the CBD at present are in the $5 per sq ft to $6 per square foot range for offices located on upper floors, whereas the ground floor units have the highest rental rates of between $10 and $15 per square foot, due to their greater access from the street as noted by Savills”Yapa.