Singapore: PGIM Real Estate has acquired the Stamford Court commercial building near Singapore’s City Hall for S$132 million ($99.9 million) in a joint venture with private equity startup Elevate Capital Group.
The JV plans to convert the four-storey retail and office property opposite Singapore Management University into coliving and coworking “lifestyle destination”.
The acquisition from SGX-listed Singapore Land marks the maiden investment of Elevate, a locally based company focused on lifestyle-led projects.
Investors are seeking value-add opportunities with strong income potential as the global real estate market reaches an inflection point, said Fiona Cho, chief operating officer for Asia Pacific and senior portfolio manager at PGIM Real Estate.
“The ongoing demand for high-quality office, living, and retail space against the backdrop of limited supply, rising occupancy rates, and strong rental growth prospects in Singapore present what we believe to be a compelling investment case for Stamford Court,” Cho said. “Together with Elevate, we look forward to transforming the asset and activating a vibrant community at the heart of the city while delivering sustainable income for our investors.”
Providing 62,900 square feet of net lettable area, Stamford Court is located at the intersection of Stamford Road and Hill Street in Singapore’s Civic District, with the transaction valuing the property at the equivalent of S$2,099 per square foot. PGIM Real Estate made its investment on behalf of its Asia core-plus strategy.
Elevate managing partner Ashish Manchharam said: “We are committed to enhancing the immediate neighbourhood and the historic Civic District by working with the authorities to deliver a restored mixed-use asset to house a curated array of retail and F&B offerings, whilst addressing the future of work and urban living in Singapore.”
