Bookmark & Share
Offering office specifications within the North Sichuan Road fringe CBD, SOHO Hongkou has a total leasable area of 70,042 sq m, of which 65,304 sq m are office space and 4,738 sq m retail. (Photo: Keppel Corporation)
Keppel Land China and Alpha Investment Partners have partnered with a co-investor to acquire an office and retail mixed-use development, SOHO Hongkou in Shanghai, China for around US$525 million.
Keppel Land China is a fully-owned subsidiary of Keppel Land, while Alpha is a fully-owned unit of Keppel Capital.
Keppel Land China, via its fully-owned unit Joysville Investment, has agreed to acquire a 30 percent stake in Vision (III) Pte. Ltd., which holds an indirect 100 percent stake in SOHO Hongkou.
Alpha’s Alpha Asia Macro Trends Fund (AAMTF) III and the co-investor will hold a 40 percent and 30 percent stake, respectively.
Keppel Land CEO and Keppel Land China chairman Ang Wee Gee revealed that the acquisition is “in line with our strategy to scale up in high-growth cities, such as Shanghai, where Keppel Land China has established a firm foothold”.
“We are confident about the opportunities in the commercial property market in Shanghai, one of China’s key gateway cities. Leveraging the synergistic business models of Keppel Land China and Alpha, we believe that the latest acquisition of the mixed-use development, SOHO Hongkou, will further augment Keppel Land’s commercial portfolio as well as position us well to meet the growing demand for Grade A offices in the city,” he said.
Offering one of the best office specifications within the North Sichuan Road fringe CBD, SOHO Hongkou has a total leasable area of 70,042 sq m, of which 65,304 sq m are office space and 4,738 sq m retail.
Completed in Q4 2015, the mixed-use development has a high occupancy rate of 97 percent as at March 2017, with tenants including China Pacific Insurance and Panasonic.
This article was edited by Denise Djong.
Related Articles:
China Vanke eyeing a slice of Singapore’s GLP