2 Office Floors At Solitaire On Cecil Being Acquired
SINGAPORE – Two more office floors at Solitaire On Cecil, an under construction mixed-use commercial property that will mainly contain office space, are in the process of being sold for a total of S$103.2 million, reported The Business Times on Tuesday morning (16 May, SGT).
The buyers are three entities connected with the Thye Hua Kwan (THK) Group of Charities that were granted options to buy the two office floors in late-April 2023.
In particular, the Thye Hua Kwan Moral Charities (THKMC) is acquiring all eight strata office units on the 10th floor. Ang Mo Kio-Thye Hua Kwan Hospital (AMK-THKH) is purchasing seven strata office units on level 14, while Thye Hua Kwan Holdings is buying the remaining unit on that floor.
Each office floor consists of 8 strata units and all 16 strata units collectively measure 12,465 sq ft.
When contacted by the news outlet, THKMC and AMK-THKH’s Chairman of their joint investment committee Phillip Tan disclosed that the committee thinks that these two entities should diversify their investment as they already have ample investments in equities and bonds.
“To widen their spread of investments, the committee has recommended that the respective boards of these two [entities] invest in freehold Singapore offices in prime areas with prospects of good sustainable rental income.”
However, Tan revealed that the options to purchase (OTP) the two office floors at Solitaire on Cecil are subject to approval from the relevant government agencies. This is because THKMC and AMK-THKH own Institutions of Public Character (IPC) status. Notably, AMK-THKH is a community hospital.
Lawrence Ng, Chief Executive of Thye Hua Kwan Moral Society (THKMS) disclosed that Thye Hua Kwan Holdings’ OTP is subject to the approval of Singapore’s Accounting and Corporate Regulatory Authority (ACRA). Thye Hua Kwan Holdings is a nominee firm of THKMS.
If the THK entities obtain regulatory nods to acquire levels 10 and 14, it would mean that Solitaire On Cecil would have sold eight of its 15 office floors.
Except for the 6th floor, which was bought for S$3,865 psf, the other seven levels have commanded more than S$4,100 psf. The most expensive so far is the penthouse office on the 20th floor that was snapped up for S$4,325 psf.
Situated on the site of the former PIL Building, the 127m high commercial property will contain around 190,000 sq ft of office space and two strata restaurant units on the street level, both of which were already divested.
The development, which is expected to be completed by 2027, is being built by a joint venture (JV) consisting of TE Capital Partners and LaSalle Investment Management.