By Nguyen Thi Bich Ngoc
The deal, if completed, will mark Temasek’s first direct investment in a US-based real estate brokerage.
Following the divestment, CRCT’s portfolio will have 10 malls in seven Chinese cities, while CapitaLand’s retail network in China will comprise 51 malls in 21 cities.
The project is backed by investment partners including Sam Zell’s Equity International (EI) and a US pension fund.
REIT provides an exit and brings in governance and transparency, he said.
SGX-listed Ascott REIT said the acquisition of Felix Hotel will bolster its portfolio in Australia to over 900 units across six properties.
The acquisition was done through Keppel Capital Holdings Ltd and Keppel Land China Limited.
PGIM Real Estate Retail Fund is the latest fund of PGIM Real Estate, the largest non-listed retail mall fund in Singapore. It said it intends to finance the deal via internal funds, external borrowings or a combination thereof.
The real estate sector, which has been struggling with weak demand and stagnant prices for years, has received another blow with the liquidity crisis at non-banking financial companies (NBFCs).
The private equity firm is learnt to be moving towards first-close of the fund late in the second quarter.
Hines will initially own 33% equity share of the JV with an option to increase stake up to 49%. It has invested around Rs500 crore in the first tranche.