Bookmark & Share
Deka Immobilien GmbH, a subsidiary of Germany’s DekaBank Group, is putting up its Singapore office building for sale for around $700 million, reported Bloomberg citing a source.
Chevron House (pictured) was acquired by Deka in 2010 from a Goldman Sachs-managed property fund for $420 million.
With an area of 262,650 sq ft, Chevron House comprises a 29-storey office tower, a four-storey retail podium and a basement that is directly linked to the Raffles Place MRT station. The high-rise skyscraper is located in Raffles Place, with tenants including Chevron Corp.’s Singapore unit.
The sale of the tower follows a flurry of activity within the city-state’s commercial property market since 2016.
Qatar’s sovereign wealth fund purchased an office building for a record $3.4 billion from BlackRock last year, while a Malaysian-led group bid $2.6 billion for a rare site in the Marina Bay district in 2016.
Earlier this year, local developer Tuan Sing Holdings acquired Sime Darby Centre for $365 million from Blackstone Group.
“Now is a window of opportunity available for owners to recycle capital given evidence of rents firming up in prime office buildings, albeit at a cyclical low, and continued strong liquidity,” said Priyaranjan Kumar, Cushman & Wakefield’s regional executive director of capital markets.
Declining to comment on the issue, a Deka spokesman said that Chevron House is the only building that the company owns in Singapore.
Image source: chevronhouse.com
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email romesh@propertyguru.com.sg
Related Articles:
Maxwell Chambers Suites to be expanded further
Keppel Land China, Alpha in JV to acquire Shanghai mixed-use project
Sinarmas Land acquires London commercial building for £188.6mil