Oxley gets its own piece of Raffles Place
Singapore’s real estate rebound continues to generate headlines today as Oxley joins the Raffles Place elite with a formal agreement to buy out Chevron House. Mainland housing also grabs attention with $3 billion in new securities backed by the future cash flows from rental housing, and a 12.4 percent increase in housing sales volumes. Read on for all these stories and more.
Oxley Buys Chevron House for S$660M
Oxley Holdings announced on Thursday (Dec 14) it has entered into sale and purchase agreements to buy Raffles Place office building Chevron House for S$660 million, as well as Singapore property developer and investment holding company Centra Cove for a cash consideration of US$12 million (S$16.2 million).
Deka Singapore A Pte Ltd has sold Chevron House, a 32-storey commercial development with 27 levels of office space and a five-storey retail podium, with a net lettable floor area of 24,273 square metres (sqm). Read more>>
China Merchants and CCB to Issue $3B in Rental Housing ABS
China will issue its largest bonds backed by rental housing projects, reflecting a pickup in momentum of rented property securitisation as a new funding channel for developers to tap.
China Merchants Group, a state-owned conglomerate, said this week it had teamed up with the Beijing-based China Construction Bank to gain a go-ahead to issue asset-backed notes worth 20 billion yuan (US$3.02 billion) in the country’s interbank market, in what would be China’s largest rental housing securitisation. Read more>>
China Home Sales Rose 12.4% in November
China’s new home sales rebounded in November, climbing the most in five months.
Sales by value, excluding affordable housing, increased 12.4 percent from a year earlier to 1.02 trillion yuan ($151 billion), according to Bloomberg calculations based on data released Thursday by the National Bureau of Statistics. Sales fell the two previous months. Read more>>
ESR REIT Buys 80% Stake in SG Industrial Project for S$240M
ESR Reit (Real Estate Investment Trust) has acquired an 80 per cent interest in a special purpose vehicle that owns a leasehold interest in a property in 7000 Ang Mo Kio Avenue 5 in Singapore for S$240 million, marking its largest acquisition to date.
The acquisition was funded with internal cash resources, existing bank debt facilities and part of the proceeds from ESR-Reit’s subordinated perpetual securities, said its manager ESR Funds Management (S) Ltd in an announcement on Thursday (Dec 14) morning. Read more>>
CPPIB Looking for More India Opportunities
Canada Pension Plan Investment Board (CPPIB), which has invested around $1.5 billion in India over the past year, is keen to find larger-sized investment opportunities across various asset classes in the country, its chief executive said on Wednesday.
The North American nation’s largest pension fund is also interested in finding opportunities in principal credit in India, Mark Machin told reporters in Mumbai. Principal credit refers to sub-investment grade corporate debt, which are riskier than investment-grade debt but yield higher returns. Read more>>
Two More SG Housing Projects Sell for Combined S$220.9M
It’s third time lucky for the collective sale attempts by two private residential developments, Derby Court and Parkway Mansion. Both properties have been sold after two earlier unsuccessful forays into the collective sale market.
RH Developments, a subsidiary of Roxy-Pacific Holdings, won the tender for Derby Court with a bid of $73.88 million, well above the reserve of $62 million. Read more>>
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