PARAGONREIT forum
SK6U A Rare Opportunity on Orchard RoadParagon’s retail and medical spaces make it a sought-after prize. Recent sales in the vicinity underscore this demand, such as Parkway Hospitals’ purchase of strata office space nearby for S$4,562 per square foot. With few high-quality retail assets available on Orchard Road, Paragon’s sale would likely trigger intense competition among deep-pocketed investors.
Unitholders Could Benefit
For Paragon Reit’s unitholders, a complete divestment offers the promise of attractive returns. The trust’s manager has already distributed special payouts following recent sales, including 1.85 Singapore cents per unit from The Rail Mall transaction. A full wind-down could provide even greater returns, making this potential shift a win for investors.
The Bigger Picture
As Paragon Reit grapples with its future, questions remain about the broader implications for Orchard Road. Revitalising this iconic shopping belt could benefit not only Paragon but also other key stakeholders, including Hotel Properties Limited, which may seek to redevelop its nearby assets such as Forum and voco Orchard Singapore.
With its prime location, scarcity value, and premium quality, Paragon stands as both a trophy asset and a symbol of Orchard Road’s enduring appeal. The coming months will reveal whether this storied mall begins a new chapter under different ownership.