# Why Some Clarke Quay And Beach Road Shophouses Could Become More Attractive After URA’s Latest Move

- **Source:** Stacked Homes
- **Published:** 2026-07-14T02:24:47.000Z
- **Author:** Sihan Chia
- **Original:** https://stackedhomes.com/clarke-quay-and-beach-road-shophouses-more-attractive-after-uras-latest-move/
- **Topics:** Private Residential, Commercial & Industrial, Government & Policy

## Featured rationale

Broader permitted uses may increase repositioning options and investor demand for suitable commercial shophouses, potentially supporting asset values if planning and conservation constraints are overcome.

## AI summary

URA has begun a two-year pilot allowing proposals for new hotels, hostels and serviced apartments in specified Clarke Quay and Beach Road conservation areas until May 2028.

## Original article

For more than a decade, the government has generally rejected the application of new hotels, hostels, and serviced apartments in parts of the Central Area such as the Singapore River Planning Area and parts of Rochor.

But now, the government has overturned this long-standing guideline and relaxed its stance to new development applications in two key areas – Upper Circular Road in Clarke Quay and a street block along Beach Road.

Specifically, the area of Clarke Quay where owners may submit proposals for new hotels, hostels, and serviced apartments which consists of the commercial properties along Upper Circular Road, Carpenter Street, Hongkong Street, and a portion of North Canal Road.

Meanwhile, several commercial as well as mixed-use commercial and residential buildings along Tan Quee Lan Street, Liang Seah Street, parts of Middle Road, Purvis Street, and Seah Street are part of the relaxed guidelines.

The revised stance by the government is significant because it carries with it the possibility that the character of these heritage locations could be eroded if the number of new hotels, hostels, and serviced apartments which could spring up is not properly managed.

For 12 years, proposals for new hotels, backpackers’ hostels and serviced apartments were not allowed in these two conservation areas. New development applications that did manage to go through were mostly related to supporting commercial uses such as shops, restaurants, and bars.

Back in 2014, when URA tightened its approvals for this type of change-of-use applications, it noted that backpackers’ hostels and boarding houses shouldn’t dominate and displace the broader commercial activities in those areas. The rationale was to preserve the districts’ unique character by preventing the “over-proliferation” of short-term accommodation.

At the time, URA did not specify that the guideline targeted shophouses, but it was widely understood to include those properties which make up a significant part of the areas the guidelines targeted.

However, things seem to have changed in the minds of urban planners. In the circular that announced the revision, URA cited that the revision corresponds with its “pro-business initiatives to address business needs and encourage more vibrancy”.

At the moment, this is a two-year pilot that will end in May 2028. However, it effectively lifts the 12-year ban on short-stay accommodation in those two heritage locations – Upper Circular Road in Clarke Quay and Beach Road.

The latest revision follows a year-long government trial to revitalise the Boat Quay Waterfront, Circular Road, Lorong Telok and Canton Street areas, which began in August 2025. That pilot initiative includes the extension of liquor licences till 4am and consideration of applications from new bars, pubs and nightclubs.

According to URA, its revised approach towards new hotels, hostels, and serviced apartments is part of its review of prevailing regulations and reduces the compliance burden on businesses.

It will take time for building owners and asset managers to fully incorporate what the latest revision means for them and the value proposition of the buildings they may own in these two locations. But by and large, most will see it as a welcome change that heightens the appeal of the right type of commercial properties there.

Most brokers expect a renewed interest in the commercial buildings and shophouses in the two identified street blocks. Demand for new hotel and serviced apartment properties has been robust for several years, buoyed by the limited number of available properties that may come onto the market.

Some shophouse owners are banking on this renewed interest to launch their properties for sale. For a pair of shophouses near the Upper Circular area that were just put up for sale, this guideline relaxation greatly expands the list of prospective buyers.

Two adjoining commercial conservation shophouses on 18 and 19 Hongkong Street are for sale in Singapore’s Central Business District. (Photo: Knight Frank)

Located at 18 and 19 Hongkong Street, these 99-year leasehold conservation shophouses are right in the middle of the street block at Upper Circular Road where the relaxed guidelines are applicable.

The shophouse at 18 Hongkong Street is a four-storey commercial building with an existing gross floor area of about 5,074 sq ft. It has a guide price of $14.5 million ($2,858 psf).

Meanwhile, 19 Hongkong Street is a four-storey commercial building with a six-storey rear extension, in total it has an existing floor area of 8,842 sq ft. It underwent an extensive $7 million refurbishment in 2015. This included upgrading building specifications, installing a passenger lift serving all floors, creating a private on-site car park lot and topping up a fresh 99-year lease. This property is listed for $27.5 million ($3,111 psf).

Marketed by Knight Frank, the shophouses can be purchased individually or collectively via an Expression of Sale (EOI) exercise. Combined, they fetch a $42 million ($2,675 psf) price tag.

It will be properties like these that will catch the eye of most investors and owners looking to capitalise on the loosened planning permissions in Clarke Quay and Beach Road. It is especially appealing because the shophouse at 18 Hongkong Street currently enjoys an existing backpackers’ hostel approval.

In general, most asset owners and hotel operators will be on the look out for adjacent properties like this, in order to increase the room count and the number of keys. Dayna Ang, senior manager at Knight Frank, says that combined ownership of a pair of assets like this also creates greater flexibility in planning, circulation and operational efficiency for future accommodation uses.

“The existing backpackers’ hostel approval at 18 Hongkong Street, coupled with upgraded building specifications, a passenger lift and a longer lease tenure at 19 Hongkong Street, provides investors with an attractive platform to explore larger-scale accommodation-led repositioning,” she says.

Taking a step back, it makes sense why the government has identified this part of Clarke Quay and Beach Road for this pilot revision to the guidelines. Both locations are within heritage precincts that most tourists already frequent when they visit Singapore. But it is tough finding affordable and good-quality accommodation options in these areas.

The EOI for the sale of 18 and 19 Hongkong Street shophouses closes on Tuesday, August 25.

What will this mean for some of the properties in these affected heritage areas?

It is too early to tell if the revision to the permitted use of some buildings in Clarke Quay and Beach Road/Rochor will significantly ramp up the sale of commercial buildings in the identified street blocks.

If the relaxed guidelines stick around past the initial two-year pilot period, the policy shift may broaden future repositioning opportunities within the precinct, while boosting long-term investment appeal of well-located commercial conservation assets for investors and accommodation operators.

Ever since the hike in additional buyers stamp duty on residential purchases by corporate entities and foreigners, most high net-worth investors and investment firms have turned to well-located commercial properties, including hospitality assets and conservation shophouses.

Ang points out that Singapore continues to reinforce its standing as a haven for capital despite the heightened geopolitical and economic uncertainty in recent years. “Against this backdrop, demand for scarce commercial shophouses is expected to remain well supported by investors seeking stable, tangible assets with long-term capital preservation and value creation potential”.

For now, property owners and hotel/hostel operators need time to re-evaluate the feasibility of launching new hotels and serviced apartments in the two locations. We shall also have to wait and see how many change of use applications URA approves, not forgetting that conservation properties carry nearly prohibitive renovation limits.

But if those hurdles can be overcome, it will be good news for local hotel operators who have been waiting for more than a decade to expand their footprint in some of the most popular heritage spots in Singapore.

## Chinese translation

> Translation model: grok_cli

### URA最新举措后，部分克拉码头与美芝路店屋或更具吸引力

位于新加坡中央商务区香港街18号与19号的两栋相邻商业保育店屋，正通过意向表达（Expression of Interest）方式出售，截止日期为8月25日星期二，由Knight Frank代理，豁免额外买方印花税（ABSD）与卖方印花税（SSD），外籍买家亦可购买。

十多年来，政府大体上拒绝在中央区部分地段——如新加坡河规划区及梧槽部分区域——审批新建酒店、旅舍及服务公寓的申请。

但如今，政府已推翻这一长期指引，并放宽对两个关键区域新发展申请的立场——克拉码头上环路一带，以及美芝路一段街块。

具体而言，克拉码头中业主可提交新建酒店、旅舍及服务公寓方案的区域，包括上环路、卡本特街、香港街及北干渠路部分地段的商业物业。

与此同时，陈桂兰街、梁玺街、密驼路部分路段、普维士街及佘街沿线的若干商业建筑，以及商住混合用途建筑，也纳入放宽指引范围。

政府修订立场意义重大，因为若新建酒店、旅舍及服务公寓的数量未能得到妥善管理，这些历史地段的风貌有可能被削弱。

12年来，这两个保育区内不允许新建酒店、背包客旅舍及服务公寓。即便获批的新发展申请，也大多与配套商业用途相关，例如商铺、餐厅和酒吧。

2014年，当市区重建局（URA）收紧对此类用途变更申请的审批时，曾指出背包客旅舍与宿舍不应主导并排挤这些地区更广泛的商业活动。其理据是防止短租住宿“过度增生”，以维护各区独特风貌。

当时URA并未明确说明该指引针对店屋，但外界普遍理解，其涵盖构成相关区域重要组成部分的此类物业。

不过，城市规划者的思路似乎已有所转变。在宣布修订的通告中，URA称此次修订与其“亲商举措相呼应，以回应企业需求并鼓励更多活力”。

目前这是为期两年的试点，将于2028年5月结束。但它实际上解除了对克拉码头上环路与美芝路这两个历史地段长达12年的短住住宿禁令。

最新修订此前，政府曾开展为期一年的试验，以振兴驳船码头滨水区、环路、直落巷与广东街一带，该试验于2025年8月启动。该试点措施包括将酒牌营业时间延长至凌晨4时，并考虑新酒吧、酒馆与夜店的申请。

据URA称，其对新建酒店、旅舍及服务公寓的修订方针，是其检讨现行规例的一部分，并减轻企业的合规负担。

业主与资产管理方需要时间充分消化最新修订对他们的意义，以及他们在这两个地点可能持有的物业价值主张。但总体而言，多数人会视其为受欢迎的变化，提升了当地合适类型商业物业的吸引力。

多数经纪预期，这两个指定街块的商业楼宇与店屋将再度受到关注。多年来，新建酒店与服务公寓物业需求一直强劲，并因可能上市的物业数量有限而得到支撑。

部分店屋业主正借此重新升温的兴趣挂牌出售物业。就上环一带刚推出出售的一对店屋而言，此次指引放宽大幅扩大了潜在买家名单。

位于新加坡中央商务区香港街18号与19号的两栋相邻商业保育店屋正在出售。（图片：Knight Frank）

这两栋位于香港街18号与19号的99年地契保育店屋，正好处于上环路适用放宽指引的街块中段。

香港街18号店屋为四层商业建筑，现有总楼面面积约5,074平方英尺，指导价为1,450万新元（每平方英尺2,858新元）。

香港街19号则为四层商业建筑，另有六层后部扩建，现有楼面面积共8,842平方英尺。该物业于2015年进行了耗资700万新元的大规模翻新，包括提升建筑规格、安装服务各层的客用电梯、增设私人现场车位，并续期新的99年地契。该物业挂牌价为2,750万新元（每平方英尺3,111新元）。

由Knight Frank代理，这两栋店屋可通过意向表达（EOI）程序单独或一并购买。合计总价4,200万新元（每平方英尺2,675新元）。

正是这类物业，将吸引希望把握克拉码头与美芝路放宽规划许可的多数投资者与业主的目光。尤其具有吸引力的是，香港街18号店屋目前已持有背包客旅舍用途批准。

总体而言，多数资产所有者与酒店运营商会物色此类相邻物业，以增加客房数量与钥匙数。Knight Frank高级经理Dayna Ang表示，像这样的一对资产合并持有，也能为未来住宿用途在规划、动线与运营效率上创造更大灵活性。

“香港街18号现有的背包客旅舍批准，加上香港街19号提升后的建筑规格、客用电梯及更长的地契年限，为投资者提供了一个颇具吸引力的平台，以探索更大规模、以住宿为主导的重新定位，”她说。

退一步看，政府选择克拉码头与美芝路这一带作为指引试点修订区域是合理的。两处均位于多数游客到访新加坡时本就会光顾的历史街区，但在这些区域要找到实惠且优质的住宿选择并不容易。

香港街18号与19号店屋出售的EOI截止日期为8月25日星期二。

这对受影响历史区域内的部分物业意味着什么？

目前尚难判断，克拉码头与美芝路／梧槽部分建筑允许用途的修订，是否会显著推高指定街块商业楼宇的成交量。

若放宽指引在最初两年试点期后仍获延续，政策转向或可拓宽该片区未来的重新定位机会，同时提升区位优越的商业保育资产对投资者与住宿运营商的长期投资吸引力。

自企业实体与外籍人士购买住宅所须缴纳的额外买方印花税上调以来，多数高净值投资者与投资机构已转向区位优越的商业物业，包括酒店类资产与保育店屋。

Ang指出，尽管近年来地缘政治与经济不确定性上升，新加坡仍持续巩固其作为资本避风港的地位。“在此背景下，对稀缺商业店屋的需求预计仍将获得良好支撑，投资者寻求的是具有长期资本保值与价值创造潜力的稳定、有形资产。”

眼下，业主与酒店／旅舍运营商需要时间重新评估在这两处地点推出新酒店与服务公寓的可行性。我们也须观察URA将批准多少用途变更申请，别忘了保育物业的翻新限制几乎近于苛刻。

但若能克服这些障碍，对本地酒店运营商将是好消息——他们已等待十多年，希望在新加坡一些最受欢迎的历史地段扩展布局。