Ho Bee should inject its investment properties into a Reit

SOME market watchers are predicting that London's office towers will hollow out, as more people work remotely and Brexit pushes companies to leave the United Kingdom. But property group Ho Bee Land is betting those fears are overblown.

Ho Bee recently purchased The Scalpel, a Grade A office tower at 52 Lime Street in London, for £718 million (S$1.3 billion), thereby bringing its total investment in London to over £2 billion.

The Scalpel sits on a freehold site in the heart of London's insurance district. The building's transport connectivity will be enhanced when the Crossrail is scheduled to open at Liverpool Street later this year. The Scalpel has secure 10-year income with a yield of 4 per cent.