The latest in realty deals saw Singapore firms expanded their presence to US and China, while state fund GIC has cashed out its investment in Indonesia.
Singapore eDevelopment to invest $15.65 m in second US property project
SGX-listed Singapore eDevelopment (SeD) said it is acquiring a 197-acre land sub-division development in Maryland, its second US property project – for $15.65 million, and added that it had already secured pre-sales commitment for 89 per cent of the project’s gross development value of approximately $67.1 million.
The deal will see see Maryland Development LLC acquire Ballenger Run, a planned unit development in Frederick County, for $15.65 million.
In a separate development, NYSE-listed home builder, NVR Inc has entered into agreement with Singapore eDevelopment Maryland to acquire 443 lots (comprising all the available single-family residential lots) – or 52 per cent of the 853 total approved units – for approximately $59.8 million. The development also consists of 210 multi-family units and 200 assisted living
SeD’s participation in the Ballenger Run project follows its maiden foray into U.S. property development earlier this year when it acquired a 60 per cent stake (since raised to 64 per cent) in the 136- acre Black Oak project in Houston, Texas. It is currently talking to US based financial institutions to finance the acquisition and other costs of the project.
GIC sells stake in Indonesian property firm
The Singapore fund has sold its entire shareholding of 2.36 billion shares in the Indonesian firm for a maximum of maximum of 1.2 trillion rupiah ($95.3 million), the report added.
Frasers embarks on China expansion
SGX listed Frasers Hospitality said it has expanded its China presence with the addition of 10 serviced residences in the second-tier cities of Tianjin, Nanchang, Hefei, Dalian,Kunming, Wuxi and Chengdu, and two more in the first-tier Shanghai and Shenzhen.
The latest deals has seen the company almost double its China portfolio, bringing it to 26 properties with more than 5,900 serviced apartment units in 14 key cities and second-tier cities.
Choe Peng Sum, Chief Executive Officer of Frasers Hospitality said, “China’s high-growth second and third-tier cities are key growth areas for us and we will continue to extend our footprint in burgeoning cities where foreign direct investment and tourism are expected to increase exponentially in the coming years.
“This is in tandem with our plans to continue enhancing our offerings in cities where we have an established presence such as Beijing, Shanghai, Guangzhou and Shenzhen, Suzhou and Nanjing.”
“Demand for our serviced residences has remained strong, with consistent occupancy of at least 80 per cent since we first set foot in 2005 with Fraser Place Shekou Shenzhen and economic conditions are ripe for the ambitious doubling of Frasers Hospitality’s footprint over the next five years,” he added.
See the list of Frasers Hospitality properties [here]