Concorde Hotel and Shopping Mall Sold En Bloc to HPL for S$821 Million
HPL Seals Largest En Bloc Deal of 2024 for Iconic Orchard Road Property
Hotel Properties Limited (HPL), through its wholly owned subsidiary Luxury Peak Pte Ltd, has successfully acquired Concorde Hotel and Shopping Mall in a landmark en bloc deal worth S$821 million.
The deal marks the largest collective sale of 2024 and comes just above the initial guide price of S$820 million set when the site was launched for tender in September.
The sale price translates to approximately S$1,804 per square foot per plot ratio (psf ppr), including a S$213 million premium to top up the lease to a fresh 99-year tenure.
Located at 100 Orchard Road, Concorde Hotel and Shopping Mall sits on a 99,623 square foot plot, strategically placed in one of Singapore’s most prestigious shopping districts.
The mixed-use development consists of a three-storey retail podium and a 407-room hotel, with zoning for hotel use and height control of up to 10 storeys.
The acquisition will see HPL redevelop the site, potentially including 40% hotel, 40% residential, and 20% commercial space as part of the redevelopment scheme.
Jeremy Lake, managing director of investment sales and capital markets at Savills Singapore, noted, “The sale of Concorde Hotel and Shopping Mall is a testament to the stellar attributes of an Orchard Road development site and its endearing appeal to developers riding on the next wave of rejuvenation.”
Concorde Hotel Joins Successful Orchard Road Collective Sale List
The successful sale of Concorde Hotel and Shopping Mall adds to a growing list of recent en bloc successes in Singapore’s prime Orchard Road district.
Earlier this year, Delfi Orchard was sold to City Developments Ltd (CDL) for S$439 million, translating to S$3,346 psf ppr.
Before that, Ming Arcade was sold for S$172 million, or S$3,125 psf ppr, in December 2022.
Tanglin Shopping Centre was also successfully sold to Pacific Eagle Real Estate, held by the Tanoto family, for S$868 million, equivalent to S$2,769 psf ppr.
These record-breaking collective sales highlight the enduring appeal of Orchard Road as a prime location for redevelopment.
Developers are keen to acquire land in this prestigious area, attracted by the opportunity to rejuvenate aging properties and capitalize on Singapore’s premier shopping and hospitality district.
The sale of Concorde Hotel and Shopping Mall underscores this trend, positioning HPL to take advantage of Orchard Road’s ongoing transformation.
With this acquisition, HPL, which already owned 95.4% of the property, has further solidified its presence along the Orchard Road retail belt.
The prime property will benefit from ongoing enhancements in the Orchard Road area, and its redevelopment is expected to contribute significantly to the rejuvenation of Singapore’s prime shopping and hospitality precinct.
Concorde Hotel and Shopping Mall En Bloc All Details