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.

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.