Should CICT and MCT swap some of their local offices for properties in London?

Leslie Yee

Published Wed, Jul 7, 2021 · 05:50 AM

SUNTEC Real Estate Investment Trust (Suntec Reit) has been busy buying office assets in the United Kingdom.

On June 29, the trust's manager announced the purchase of a Grade A office building with ancillary retail, The Minster Building, located in the City of London for an agreed property value of £353 million (S$667.2 million).

And in December, Suntec Reit completed its maiden acquisition in London of a 50 per cent interest in two Grade A office buildings with ancillary retail for an agreed property value of £430.6 million. Dubbed the Nova Properties, they are situated opposite London's Victoria station.

Meanwhile, Suntec Reit has been reducing its exposure to the Singapore office segment.

In June, the trust announced divestments of a 30 per cent stake in 9 Penang Road at an agreed property value of S$295.5 million and 78,491 sq ft of Suntec City Office strata units at an agreed property value of S$197 million. Proceeds from these sales will help fund the purchase of The Minster Build…