LHN unit buys Balestier property for S$18.1m under plans for co-living business

LHN Limited, through its indirect wholly-owned subsidiary Coliwoo Balestier, will buy a property in Balestier for S$18.1 million, which it intends to operate as a co-living space.

The four-storey corner building located at 320 Balestier Road has a total land area of approximately 406.7 sq m. The first floor is tenanted, while the second, third and fourth floors are vacant.

The seller is Crescent Developments Private Limited, a private company engaged in wholesale trade and real estate development.

LHN said on Wednesday that Coliwoo Balestier has paid a deposit of S$905,000. The remaining balance of about S$17.2 million plus goods and services tax will be paid when the deal is completed - expected to be three months from now.

The purchase will be funded by the group's internal funds and bank borrowings.

The group said it plans to operate the property as a co-living space, noting that it is surrounded by international schools and universities, and near to Health City Novena, making it attractive to individuals studying or working nearby.

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The property is also near the Novena, Toa Payoh and Boon Keng MRT stations.

LHN added that the purchase will expand its portfolio of properties under the co-living business in Singapore and increase the brand value of Coliwoo. It will also provide potential capital appreciation and opportunities to generate revenue.

Shares of LHN closed unchanged at S$0.121 on Wednesday before the announcement.