A wholly owned subsidiary of Soon Hock Enterprise has successfully acquired Kewalram House via an en bloc tender for S$120.5 million, reinforcing continued confidence in Singapore’s industrial property sector.

The Business 1 (B1)-zoned site was transacted at approximately S$440 per square foot per plot ratio (psf ppr), based on a gross plot ratio of 2.5. The development occupies a regular land parcel of about 108,359 sq ft, translating to a maximum permissible gross floor area of around 270,898 sq ft under the Urban Redevelopment Authority Master Plan.

Kewalram House is strategically located across 28, 30, 32, 34, 36 Jalan Kilang Barat and 8 Jalan Kilang Timor, the site sits within a well-established industrial enclave, offering strong connectivity and accessibility for businesses.

Strategic Expansion Amid Sustained Industrial Demand

According to Walter Tan, Executive Director and CEO of Soon Hock Enterprise, the acquisition represents a strategic move to strengthen and expand the group’s industrial portfolio. He emphasised that the company is well-positioned to capture sustained demand within Singapore’s industrial sector.

This aligns with broader market trends, where industrial assets—particularly those supporting logistics, e-commerce, and light manufacturing—continue to demonstrate resilience amid economic uncertainties.

Attractive Entry Pricing and Asset Enhancement Potential

The purchase price of S$120.51 million reflects a competitive entry point for a non-JTC industrial asset of this scale. With a 99-year leasehold tenure commencing from 1 January 1961, the property presents opportunities for redevelopment, asset rejuvenation, or repositioning to meet evolving industrial requirements.

Given the limited supply of sizeable industrial land plots in Singapore, such acquisitions are increasingly viewed as long-term strategic plays by developers seeking stable income streams and capital appreciation.

Market Implications: Confidence in Industrial Real Estate

The successful tender highlights sustained investor confidence in Singapore’s industrial property market. As supply remains controlled and demand continues to be supported by structural drivers such as digitalisation and supply chain transformation, industrial real estate is expected to remain a key asset class for both developers and institutional investors.

Transactions of this nature also underscore the importance of data-driven decision-making in identifying undervalued opportunities—an approach increasingly adopted by market participants leveraging platforms like PropertyForSale.com.sg to analyse transaction trends and market performance.

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