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Charles & Keith buys S$60m building next to HQ in Tai Seng Link
FOOTWEAR, bag and accessories maker Charles & Keith Group is buying an industrial building next to its headquarters in Tai Seng Link to cater for its business expansion plans.
The group is acquiring 8 Tai Seng Link for S$60 million from Marvell Asia, which opened the building in late-2008 as an expanded regional hub of its US-based parent, semiconductor company Marvell Technology Group.
Marvell Asia relocated in the first half of 2018 to leased premises spanning two and a half floors at the nearby Tai Seng Centre at 3 Irving Road.
Singapore-headquartered Charles & Keith Group owns two fashion brands: Charles & Keith and Pedro.
When contacted, a spokeswoman for the group told BT that it has purchased 8 Tai Seng Link to support future expansion plans. "In addition to the current group headquarters at 6 Tai Seng Link, the acquired property will make space for our growing workforce. It will create opportunities for us to strengthen our e-commerce and supply chain capabilities," she added.
Since its establishment in 1996, the group has expanded to more than 600 stores in 37 markets today. The expansion went beyond brick-and-mortar stores. Charles & Keith also offers online shopping on its website, which delivers to 55 destinations worldwide.
The group operates its own Charles & Keith stores in Singapore, China, Taiwan, South Korea, Macau, Hong Kong and Japan. It has appointed franchisees to operate Charles & Keith stores in other overseas markets including the United Arab Emirates, Thailand, the Philippines, Malaysia and Indonesia.
The brand has also launched a localised e-commerce website for the United Kingdom market this year.
CBRE is understood to have brokered Marvell Asia's sale of 8 Tai Seng Link to Charles & Keith Group. The seven-storey light industrial building with centralised air-conditioning has a gross floor area of about 268,000 square feet and a multi-storey carpark annexe with about 200 parking lots. The property stands on a 107,595 sq ft site with 60-year leasehold tenure starting September 2006, leaving a balance lease tenure of about 48 years.
Charles & Keith Group's existing eight-storey headquarters at 6 Tai Seng Link sits on a 67,780 sq ft site with a 30-year leasehold tenure. The clock started ticking down in February 2008, leaving a balance lease term of about 19 years.
The group also owns the nearby 21 Tai Seng Street, which it has leased to Valiram Group, the Malaysia-based retail and lifestyle group.
This property rests on a 26,910 sq ft site which has a 30-year leasehold tenure starting December 2005, translating to 17 years' balance lease.
All the three buildings are located on sites zoned for Business 2 use (which allows both clean and light industrial as well as heavier and more pollutive industrial activities) and have 2.5 plot ratio (ratio of maximum gross floor area to land area), under the Urban Redevelopment Authority's Master Plan 2014.