108 Robinson Road Office Block To Undergo Upgrading Works
SINGAPORE – PGIM Real Estate plans to carry out an asset enhancement initiative (AEI) on the 108 Robinson Road office building, reported The Business Times on Tuesday afternoon (27 April, SGT).
The upgrading works will include a revamp of the office block’s exterior, addition of a new office lobby, and an overhaul of the commercial property’s mechanical & electrical systems so that the asset will qualify for the Green Mark Gold certification from Singapore’s Building and Construction Authority (BCA).
These works are part of PGIM Real Estate’s planned enhancements to the office tower’s environmental, social and corporate governance (ESG). This is considering that the office block’s vicinity is expected to be further uplifted by ongoing refurbishment and redevelopment works in the area, said the real estate investment division of PGIM in a press statement.
In its announcement, PGIM Real Estate confirmed that it has purchased the 12-storey freehold office block in Singapore’s central business district (CBD) from US$107 million, corroborating a news article posted last week.
According to the buyer, it considers 108 Robinson Road as a rare freehold office asset, and the opportunistic purchase “offers numerous asset enhancement exit strategies”. Notably, the seller Sin Capital Group is facing some issues with its healthcare business.
“This acquisition signals our strong conviction in the recovery of the Singapore office market, as well as our proactive stance for real estate investments in the Asia Pacific region,” said PGIM Real Estate’s Asia Pacific Head, Benett Theseira.
“With employers encouraging staff to return to the office and the strengthened position of Singapore as a leading regional financial and technological services hub, we expect to see continued growth in demand for office space in the CBD,” he explained.