Lend Lease has won a joint venture bid to buy a strategically significant plot of land in suburban Singapore on which it will build a mixed use development.
The Australian property developer, which already has extensive interests in Singapore and neighbouring Malaysia, was the highest bidder in the government auction of a site at Paya Lebar Central. It owns 30 per cent of the JV with the balance owned by an unidentified international investment partner.
According to a statement, the joint venture will pay S$1.672 billion (US$1.222 billion) for the site which has capacity for a development of about 165,000 sqm, including office, retail and residential / serviced apartment use. The site has direct connections to the Paya Lebar Mass Rapid Transit (MRT) Interchange that serves both the Circle and East-West lines.
The award of the site is subject to the issue of the tender acceptance letter by the Urban Redevelopment Authority, who manages the Government land sales process.
Lend Lease says the development will be funded by a combination of non-recourse, project level debt and equity.
Lend Lease Group CEO and MD Steve McCann said the site offered a great opportunity for the company to continue its success in the region, leveraging Lend Lease’s global capabilities to develop large scale urban regeneration projects in major cities around the world.
“It further cements Lend Lease’s position in the Singapore market and leverages its leading integrated property capabilities encompassing development, construction, investment management and asset and property management platforms.”