Singapore’s Chinatown Point Mall has been sold to a subsidiary of Pan Asia Realty Advisors, for S$520 million (US$383.28 million).
The joint-venture, including Mitsubishi Estate and CLSA Real Estate Partners, will also acquire four accompanying strata office units in the office tower element of the project.
Perennial Real Estate Holdings and a consortium of investors including Singapore Press Holdings (SPH) have agreed to sell their entire interests in the retail complex.
The consortium will receive S$225 million in cash for their shares in the company holding the assets as well as for assignment of shareholder loans.
Perennial, which holds a 50.64 per cent stake is expected to receive approximately S$125.3 million of that amount, subject to final adjustments.
“The transaction is a testament to Perennial’s ability in identifying quality assets, creating value via enhancement initiatives, and ultimately unlocking value via divestment for all stakeholders,” said Pua Seck Guan, Perennial CEO.
After settlement, Perennial’s retail management subsidiary will continue to manage the mall.
Built in 1993, the Chinatown Point project includes a 25-storey strata-title office tower next to the mall. SPH and Perennial bought a 60 percent stake in the mall in 2016, at a value of S$442.5 million.