Singapore-listed ARA Asset Management Limited has established ARA Harmony VI (“Harmony VI”) to invest in Century Link, a newly-completed premium-grade integrated commercial property located in the heart of Lujiazui Finance and Trade Zone in Pudong New District, Shanghai, China.
The agreed property value is RMB20 billion (approximately S$4.1 billion). This renders it the largest single-asset property transaction in Asia Pacific this year. As at 30 June 2016, ARA’s assets under management (AUM) stood at approximately S$29.7 billion.
Century Link is a mixed-use development comprising two high-rise office towers, a six-storey retail podium and 1275 car parking spaces with total gross floor area of approximately 362,361 square metres.
Sited directly atop the city’s only four-subway line interchange hub and within the country’s leading financial district, Century Link is ideally positioned to attract office tenants prioritising location, prime Grade A office specifications, connectivity and amenities, and retail customers city-wide. It is expected to benefit from the strong office and residential population catchment, as well as the long-term growth potential of the area.
Harmony VI is anchored by an established insurer with a minority stake held by the Peninsula Investment Partners, L.P. and Peninsula Co-Investment Holdings I (Century), L.P., and has an initial term of 10 years with provision for extension.
It will be managed by ARA Fund Management (Mapleleaf) Limited, a wholly-owned subsidiary of ARA. APM China, a property management subsidiary of ARA with a successful track record in China, will be the property manager for Century Link.
Commenting on this development , ARA Private Funds CEO Ng Beng Tiong said, “Century Link is a landmark deal, given its prime location, quality and scale. It is expected to make significant contributions to the local community, providing prime Grade A office accommodation to demanding corporate tenants and a much-needed large-scale, mid-high retail offering in Pudong.”
“We are also encouraged by our investors’ confidence in ARA’s investment and asset management capabilities, especially for very large-scale commercial properties in the region,” he adds.