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The National Property Administration's (the NPA) Original Office Building Reconstruction Project is Expected to Re-offer for Investment at the End of February 2023

    The NPA's Original Office Building Reconstruction Project (i.e., Renai Section Base of [Guangfu S. Road], with a land area of 1,939 square meters) was offered for investment in 2022 but failed. After reviewing the reasons of the unsuccessful tender, it was attributed to the pandemic, lack of labor and materials in the construction market, global inflation, central bank raising rates, and other influences. In response to the business condition of the future real estate market, the NPA has adjusted the terms for the investment, and conducted preparations for offering the tender. We expect to re-offer the investment at the end of February 2023, and welcome all sectors to bid.

    To solve the problems of aging offices and inadequate seismic resistance capacity of the buildings, the NPA is planning to reconstruct the existing offices on the same site, and to manage the case the same way as the "Ministry of Finance's Financial Staff Training Institute and Surrounding National Land Cooperative Development Project". Through a partnership with the private sector, the cooperating contractor will apply for rebates for the renewal, in accordance with the “Statute for Expediting Reconstruction of Urban Unsafe and Old Buildings” and build two government office buildings at the Renai Section Base, for the use of the NPA and the Tourism Bureau, Ministry of Transportation and Communications. The NPA is also providing the Nangang Section Base (located straight across the building of bridge level at Nangang Station, surrounded by office buildings, department stores, and shopping malls, adjacent to the Cultural and Creative Site - Bottle Cap Factory, with a land area of 3,666.31 square meters, and zoned as a specific business district [2].), and the Zhongshan Section Base (near the MRT Minquan West Road Station, surrounded by a cluster of corporate headquarters, with a land area of 1,114.42 square meters, and zoned as a third business district), both conveniently located in the best part of Taipei's urban area, to set up superficies for cooperative manufactures to build and operate their own buildings.

    According to the NPA, this project conducted tender offering between 2021 and 2022. To assess the willingness of constructors to invest, a total of three investment seminars and briefing sessions were held, but all failed. The reasons for the failures were reviewed right away, and the tender terms were adjusted, including: lowering the lowest price of royalties to reflect the risks, such as rising construction costs or the Central Bank raising interest rates, and binding the time point for signing the superficies contract to the signing of cooperative development contracts, to increase the flexibility of capital deployment for developers, etc. In addition, in order to solicit opinions from contractors or the public, a public viewing of the tender documents was held from February 13 to February 17, 2023.

    The NPA further stated that after the successful completion of the project, it is expected that the total floor area of the office buildings available will be approximately 9,154.5 square meters. The Nangang Section Base and Zhongshan Section Base may also receive royalties and land rent for 70 years, during the continued existence period of the superficies rights. The estimated investment amount from cooperative developers is approximately NT$4.337 billion, not only expanding domestic demand and driving local development, but also increasing employment opportunities and promoting economic development.

    The NPA's Original Office Building Reconstruction Project is expected to offer the tender at the end of February 2023, and the offer period will last for 2 months. The relevant tender information will be posted on the Government e-Procurement System, and potential bidders are welcomed to download the tender documents and bid.

Contact person of the press release: Huang Mei-Ching, Section Chief

Tel.: +886-2-27718121 ext.1331

Issued:National Property Administration Release date:2023-02-20 Last updated:2023-02-24 Click times:451