Tantalising new details have been unveiled about the massive $3.2 billion mixed development that will transform the area right next to Paya Lebar MRT station.
The mega project, Paya Lebar Quarter, comprising office space, shops and private housing, will be spread across seven buildings on land the size of eight football fields.
Developer Lendlease yesterday disclosed details of the project’s vast retail mall, three office towers and three residential blocks.
The urban-regeneration project, to be connected to Paya Lebar MRT interchange station, will transform the area into a “vibrant, pedestrian-friendly city precinct”, it said.
Paya Lebar Quarter has a total gross floor area (GFA) of about 1.8 million sq ft. The office blocks will account for about 55 per cent.
Cost of the mixed development that will transform the area next to Paya Lebar MRT station.
Number of workers the office blocks, which account for about 55 per cent of the total gross floor area , will house.
The one million sq ft of Grade A office space will be spread across two 14-storey towers and one 13-storey tower, offering large floor plates for major clients seeking extensive office space. Lendlease said it is in talks with large multinationals for leasing that space, which will eventually house about 10,000 workers.
Despite the weak economic outlook, Lendlease is optimistic about leasing activity and interest in Paya Lebar Quarter. “I think it will be highly sought after because of the fundamentals,” said Mr Richard Paine, managing director of Paya Lebar Quarter at Lendlease.
“Has it got good connection to public transport, is it centrally located, is it near schools… does it have a workforce nearby that might lease the property? It just ticks all these boxes,” he added.
The project is being developed on two plots spanning 3.9ha. One plot will house a retail mall and two office blocks, while the three condo blocks and another office building will sit on the other plot.
The 340,000 sq ft retail mall will feature about 200 stores and cinemas over seven floors. About 30 per cent of the tenants are expected to be food and beverage operators.
Lendlease announced the first two anchor tenants yesterday: supermart NTUC FairPrice Finest, to occupy over 22,000 sq ft, and foodcourt Kopitiam, with 15,000 sq ft.
It is Lendlease’s fourth mall here, after Jem in Jurong, 313@Somerset in Orchard Road and Parkway Parade in the East Coast area.
The office and retail elements are expected to be completed in the second half of 2018. The 429-unit Park Place Residences, comprising one- to three-bedroom units, will be completed in the first half of 2019.
It will be Lendlease’s first residential development here.
The developer plans to launch the apartments for sale in the first half of next year, but declined to disclose further details. The residential blocks will have 17 storeys, including four floors of carpark.
Lendlease said it does not think “selling and demand will be an issue” for the private housing units.
“We are bullish in regard to the fact that there haven’t been too many launches in this area,” said Mr Paine, adding that Park Place Residences will largely be marketed to Singaporeans.
Cushman & Wakefield research director Christine Li estimates that the average selling price could be “above $1,400 psf, with small units touching $1,500 psf”, while International Property Advisor chief executive Ku Swee Yong puts it at around $1,500 to $1,700 psf.
About 100,000 sq ft has been set aside as public space, with a cycling path incorporated in the development. Lendlease will also introduce what it calls “end-of-trip facilities”, featuring parking spaces for bicycles and personal mobility devices, as well as lockers, changing room and shower facilities.
A consortium comprising Lendlease and Abu Dhabi Investment Authority won the tender for the 99-year leasehold site in Paya Lebar Central last year with a $1.67 billion bid (about $943 psf per plot ratio).