LHN Group unit buys Pasir Panjang property to expand co-living business
LHN Group’s co-living brand Coliwoo has agreed to buy a Pasir Panjang property for S$30 million, as the group eyes an expansion of its co-living portfolio in Singapore.
Announcing this in a bourse filing on Friday (Sep 16), the real estate management services company said the 404 Pasir Panjang Road property, which currently operates as Pasir Panjang Inn, a small hotel, will be turned into a co-living space.
Once it begins operations, LHN Group will be able to increase Coliwoo’s brand value, which will in turn bring capital appreciation to the group and provide additional opportunities to generate revenue, it said.
“For reasons above, the Board considers that the acquisition and the transactions contemplated under the option to purchase are fair and reasonable, on normal commercial terms, and are in the interests of the company and the shareholders as a whole,” it added.
The group also clarified that it is the property that is being acquired, not the business of Pasir Panjang Inn. The property is sold with vacant possession, it added.
Coliwoo’s website says that it now runs 3 co-living hotels and offers studio apartment rentals in 5 locations.
Shares of LHN Group closed flat at S$0.285 before the announcement on Friday.
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