Yet another win-win deal rocks the vibrant Commercial Real Estate market!
Acquisition of Seven Strata Office Units in the prestigious Prudential Tower by a private real estate fund managed by BlackRock is the grand reason.
The Seller, Consortium Epic Land comprising Lian Beng Group (with 32% shares), KSH Holdings (with 28% share), KOP Limited (25% share) and Centurion Global (with 15% shares) had bought about 92.8% of Prudential Tower from Keppel Reit in 2014.
They began selling strata offices, right at the end of the same year. They have now completed their last remaining space of Seven Strata Offices for about S$130 million.
They believe that this divestment would leave a positive impact on their respective net earnings per share and the net tangible assets per share for the present fiscal year.
Lian Beng further acknowledges that this disposal is in accordance with one of group’s core business activities in investments.
Meanwhile, BlackRock Real Estates’ Asia Pacific Head, John Saunders has expressed his happiness about the acquisition.
The Commercial Leasing Market in Singapore enjoys an auspicious period with healthy occupancy rates, raising demands and increased rental values. Considering this uptrend, he believes that the acquisition is profitable and laudable.
He is also optimistic about finding investments in Singapore and Asia-Pacific for their existing long-standing clients.
The Prudential Tower is situated at district 1, a strategic location in the midst of Downtown Core Popular Raffles Place, Central Business District. Further, it has the advantage of a prominent dual frontage on Cecil Street and Church Street.
Since this attracts heavy footfall, CBRE, who brokered the transaction believes that it has a vast retail potential.
Moreover, this 30-storey Grade A Commercial property has won 3 awards in the past which include the FIABCI Prix d’Excellence Award in the year 2003, also the Water Efficient Building Award in year 2009 and the BCA Green Mark Gold Award in 2010.
Both the divestment and the acquisition on this prestigious Prudential Tower are considered prudent by the Market Watchers, as they bring prosperity to all concerned.