Cromwell E-REIT Buys UK Warehouse and More Asia Real Estate Headlines
In today’s roundup of regional news headlines, Singapore-listed Cromwell E-REIT picks up a third logistics property in the UK, a Sentosa Cove housing project sells half of its available units at launch, and private equity giant Carlyle Group slashes its China exposure.
Cromwell European REIT is continuing its pivot to the light industrial and logistics sector with the divestment of its largest office asset in Finland and the acquisition of its third logistics property in the UK.
The SIngapore-listed trust’s manager on Thursday announced the divestment of its Kiinteisto Oy Opus 1 office asset in Helsinki for €16.2 million ($16.5 million). The buyer of the asset is real estate corporation Julius Tallberg-Kiinteistot Oyj. Read more>>
Cape Royale, the first large-scale launch at Singapore’s Sentosa Cove in over a decade, is said to have moved about 50 percent of the 50 units put up for sale on its first day of bookings on Wednesday. Its three-bedroom units were understood to be sold at a median price of S$4 million ($2.9 million), while four-room apartments went for a median S$5.5 million.
Jointly developed by IOI Properties and Ho Bee Land, the 302-unit Cape Royale has been rented out since the project was completed in 2013, when the developers felt prices were weak after two rounds of property cooling measures that year. Read more>>
Carlyle Group’s new $8.5 billion Asia fund aims to have as little as half the exposure to Greater China as previous funds, driven by investor concern over rising geopolitical risks and regulatory uncertainty in Beijing, according to people familiar with the matter.
The Washington-based asset manager is telling investors that the targeted China exposure for its sixth Asia fund will be about 20 to 40 percent, compared with 40 to 50 percent on average for predecessor funds, said the people, asking not to be identified discussing fundraising. Read more>>
Charlene Chu, famed among China watchers for warning about a debt bubble when at Fitch Ratings, says the pain is only just beginning for credit extended to Chinese property.
In the wake of Beijing’s sweeping crackdown on leverage built up in real estate, China Evergrande Group and others have defaulted on a slew of bonds. Chu, a senior analyst at Autonomous Research, a division of Sanford C. Bernstein & Co, estimates that “we have 30 companies who’ve defaulted with total liabilities of around $1 trillion”. Read more>>
EC World REIT’s manager said Wednesday that it has successfully extended the maturity date of its outstanding onshore and offshore facilities to 30 April 2023.
The Singapore-listed trust’s manager noted that this would give it enough time to complete an ongoing refinancing exercise. Read more>>
UOL Group’s 60 percent-owned joint venture with Singapore Land Group and Kheng Leong Company, each with a 20 percent stake, will be previewing the private residential project AMO Residence this Saturday before sales commence on 23 July.
In a press statement on Thursday, UOL highlighted AMO Residence as the first major residential launch in Ang Mo Kio in eight years — adding that the development is “attractively priced” for its luxury concept with units starting from S$1,890 ($1,350) per square foot. Read more>>
Demand for warehouse space in Singapore hit a high in April, with the expanding inventory of the food industry driving a record 212 rentals signed in that month, according to real estate consultancy Knight Frank.
Occupiers were taking up space for food factories and central kitchens, as well as looking for warehouse space as stockpiling activity surged with lingering supply crunches and accelerating inflation. Read more>>
Bedok Point on Singapore’s upper east coast closed its doors for the last time on Friday and will be redeveloped as a mixed-use development that will include residential units.
Sky Eden, with its 99-year lease, will feature 12 commercial units on the first floor and residential units on the upper floors, according to developer Frasers Property. Read more>>