Royal Holdings, RB Capital buy Scotts Square for S$310 million
The price works out to S$2,369 psf on a gross floor area of 130,875 sq ft
Add BT as a preferred source
[SINGAPORE] Royal Holdings and RB Capital are jointly buying Scotts Square for S$310 million.
The duo have inked a sale-and-purchase agreement for all the shares in Wharf Estates Singapore, which owns the four-level freehold retail mall in a prime Scotts Road location, just off Orchard Road.
Wharf Estates Singapore, formerly known as Wheelock Properties (Singapore), is a wholly owned subsidiary of Hong Kong-listed Wharf Real Estate Investment Company.
The S$310 million price works out to S$2,369 per square foot (psf), based on the gross floor area of 130,875 sq ft.
The building’s current net lettable area is nearly 76,660 sq ft. Tenants include FairPrice Finest supermarket, Bang & Olufsen, Vivenne Westwood, Carhartt and Stussy.
The purchase is expected to be completed by year-end.
After that happens, the new owners are expected to embark on an overhaul of the mall.
Scotts Square is part of a mixed development that also includes two residential towers; these are located behind the mall.
The mall accounts for about 43.3 per cent share value in the strata-titled development; the owners of the apartments in the residential towers hold the remaining 56.7 per cent.
CBRE brokered the Scotts Square sale. The property consulting group marketed the property in the first half of this year through an expression-of-interest exercise at a guide price of S$380 million, about 15 per cent below the S$450 million sought in 2024.
Royal Holdings is controlled by Raj Kumar and RB Capital by his son Kishin RK.
Last month, The Business Times reported that the duo were in exclusive due diligence for the purchase of Scotts Square at a price of about S$320 million.
On Aug 31, Royal Holdings completed the S$175 million sale of Cuppage Terrace – a row of 17 conservation shophouses off Orchard Road, next to The Centrepoint – to Frasers Property.
On Jul 30, Wharf Real Estate Investment Company inked a deal to sell Wheelock Place in Orchard Road to Hongkong Land’s Singapore Central Private Real Estate Fund for S$1.1 billion.
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Copyright SPH Media. All rights reserved.
