US fund manager in exclusive due diligence for Bugis Junction Towers

Singapore

A SALE may be in the works for Bugis Junction Towers.

The Business Times understands that Angelo Gordon, a US-headquartered global alternative investment manager, is doing exclusive due diligence with a view to buy the 15-storey office block above the Bugis MRT Station.

Market watchers expect the price to be around S$2,200 per square foot of net lettable area (NLA), which would work out to an absolute price of about S$547 million.

The property, owned by Keppel Reit, was valued at S$515 million at the end of last year, reflecting S$2,069 psf on NLA of 248,853 sq ft.

Talk in the market is that the price would translate to a net yield in the low 3 per cent range based on income from the existing leases. Bugis Junction Towers is currently running at full occupancy. Enterprise Singapore, the …