Sim Lim Square is up for collective sale with an asking price of S$1.3 billion.

A total of 80.82 percent of owners by share value voted for the mall to go on sale.

Time for Sim Lim Square to move on

According to Today, at least one owner interviewed said it was time for Sim Lim Square to move on, after it has helped businessmen survive and even turning some into millionaires.

“Things might need to change. Building old, buildings owners also,” he said.

The change in mood for some of these owners could also be due to the arrival of e-commerce in Singapore.

Moreover, Sim Lim Square has over the years been mired in controversy after certain businesses engaged in shady sales tactics that became well-publicised, with footfall falling even with the opening of Downtown Line’s Rochor MRT Station beside it, and rental yields having gone lower.

Sale optimistic

The initial asking price was about S$1.1 billion about a year ago.

It has now been jacked up to S$1.3 billion as prospects for its sale is seen as getting better.

This was after the nearby freehold Golden Wall Centre was sold at over S$276 million (S$2,331 psf per plot ratio) in November 2018 to City View Holdings, a wholly owned subsidiary of Worldwide Hotels, which owns and manages hotel chains such as Hotel 81.

It looks set to be converted into a new hotel.

Sim Lim Square's unique selling point

The Sim Lim Square building is 32 years old and located on Rochor Canal Road.

The six-storey 99-year-leasehold strata-titled mall has 462 units owned by individuals.

Owners can stand to receive more than S$1 million for a unit to more than S$60 million for some other larger ones, if the sale goes through at the S$1.3 billion valuation.

Strata-titled structure a disincentive

Due to this strata-titled structure, owners could not accommodate requests from major brands that wanted to lease a huge space in the mall.

And due to this structure, owners of units have no incentive to do more to spruce up the building or pool money to pay for an underground linkway to connect the building to the Rochor MRT station.

But it is also this structure that gives the building its charm: Entrepreneurs wanting to strike out can find a ready clientele of geeks, aficionados, randos and those easily fleeced.

Size of Sim Lim Square

The mall has a strata floor area of 236,881 square feet excluding common areas such as the basement car park and common corridor.

The currently approved total gross floor area is 391,002 square feet.

The site itself is 78,146 square feet.

Bright prospects

The push for a collective sale took place two years ago.

If the Sim Lim en bloc succeeds, it would be the first collective sale of a fully commercial development in the prime central region.

It could make way for another entity that is not electronic goods-oriented, but might preserve only a fraction of its past legacy.

The site is also close to Bugis MRT interchange and the upcoming Ophir-Rochor corridor, and will most likely be directly linked to Rochor MRT station on the Downtown Line.

Top photo via Vijay & City View Holdings

Content that keeps Mothership.sg going

??
What animal has good eyesight, walks on two legs, and only eats during the day? Not these little guys.

??️
Here's a constructive response to cyberbullying which doesn't involve arguing in Facebook comments.

??
These people willingly clean up other people's trash. Find out why.

?
You could be watching new episodes of Game of Thrones fuss-free.