City Developments said Wednesday its indirect subsidiary King’s Tanglin Shopping (KTS) agreed to dispose of all 85 strata lots and two car parks it holds at the Tanglin Shopping Centre in a collective sale.
“The group is expected to realise a significant gain,” City Developments said, but noted the completion date may be either this year or next.
The sale is via a public tender to Hillthorpe Investments, an unrelated third party based in Singapore, the property developer said in a filing to SGX.
Hillthorpe Investments is an investment vehicle of Pacific Eagle Real Estate, the family office of Sukanto Tonato, an Indonesian magnate who controls Royal Golden Eagle, an industrial group which produces edible oils, natural fibers and natural gas, according to an EdgeProp report.
In February, Savills Singapore said Tanglin Shopping Centre had sold to Pacific Eagle Real Estate for S$868 million, EdgeProp reported.
The strata area held by KTS is 21,229 square meters, or 60.2 percent of Tanglin Shopping Centre’s total strata area, and 34.64 percent of the total share value of the freehold office-cum-shopping complex, which is located near the Orchard Road shopping belt, on Taglin Road, the filing said.
KTS is an indirect wholly owned subsidiary of Millennium & Copthorne Hotels, which is in turn owned by City Developments.
City Developments said the divestment of the KTS units was in line with its strategic review of the M&C Hotels’ asset portfolio.