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Perennial may take on asset manager role, could invest up to 30% stake in AXA Tower

PERENNIAL Real Estate Holdings may take on the role of an asset manager and could invest up to a 30 per cent stake in AXA Tower.

Responding to The Business Times' story published on Friday, Perennial said: "(The company) wishes to clarify that it is exploring the syndication of a consortium of investors to acquire AXA Tower, taking on the role of an asset manager and potentially investing up to a 30 per cent stake in the property."

It said that no definitive agreement has been entered into and no firm decision has been made on whether or not to proceed with the deal.

BT had earlier reported that Perennial is said to be leading and syndicating a consortium that is close to inking a deal to buy AXA Tower - the 50-storey distinctive circular office building opposite Tanjong Pagar MRT Station - from BlackRock.

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The price is about S$1.18 billion, translating to roughly S$1,750 per square foot (psf) based on the existing net lettable area (NLA) of nearly 675,000 sq ft.

AXA Tower is on a site with a balance lease term of about 66.5 years.

Said Perennial: "Singapore is one of the key markets for the company and it is in the ordinary course of business to explore and evaluate potential investment opportunities that may arise."

It added that it will announce more details if and when there are material developments.