39 Robinson Road Office Bldg Bought For S$399mil
SINGAPORE – 39 Robinson Road, a 21-storey office property situated in the city-state’s central business district (CBD), has been acquired by a consortium led by Singapore-listed shipbuilding group Yangzijiang for S$399 million, reported The Edge on Wednesday evening (29 March, SGT).
The commercial property’s selling price translates to around S$2,357 psf, based on the asset’s gross floor area (GFA) of about 169,252 sq ft.
Notably, a 100 percent stake in 39 Robinson Road was purchased by Yangzijiang Realty, where the shipbuilder holds an 81 percent interest. Boutique investment company ICH Singapore Holdings owns a 9 percent stake, while property firm 9Co Parker holds the remaining 10 percent interest.
“Having been listed on the SGX mainboard for 16 years and being a Straits Times Index (STI) component company, the acquisition gives us an opportunity to deepen our roots in Singapore with our very own office building,” said Ren Letian, Chief Executive and Executive Chairman of Yangzijiang.
“Furthermore, considering the highly inflationary environment, we see this as a good vehicle to preserve our existing capital over the long term while also providing us stable rental cash flow,” he explained.
Nonetheless, Ren revealed that the acquisition of the commercial property is just a “one-off exercise” for Yangzijiang, which will continue to focus on its core shipbuilding business.
As such, the ship builder plans to appoint a professional property manager to oversee the operations of the office property, including its rental marketing activities. They also plan to position the asset as a financial hub to lure office tenants, such as family offices and institutional investors, he added.