SLB Development to acquire Singapore commercial property and Australia office building

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SLB Development has entered deals to acquire a Singapore commercial property and an Australian office property, the company said in a filing to SGX Thursday.

Matthew Ong, executive director and CEO of SLB, said the deals were part of diversifying the company’s short-term recurring income stream, both by asset portfolio and geography, including by adding office assets.

In Singapore, SLB has entered a deal to acquire 30 and 31 North Canal Road for S$14.38 million, with completion expected later this month, the filing said. The two four-storey commercial buildings, with a net lettable area of 11,464 square feet, are located near the Clark Quay, Chinatown and Raffles Place MRT stations, the filing said.

In Australia, SLB has entered a contract of sale to acquire a property at 225 King Street in Melbourne, for A$35.5 million, subject to obtaining regulatory permission, the filing said. The 12-storey property in the city’s central business district (CBD) has good access to the public transportation network, the filing said.

SLB Development also said its acquisition of 17 shophouses on Singapore’s Jalan Sultan which has been operating as Hotel Clover for S$74.8 million has been completed. The acquisition was made with Weave Living, which has a significant majority ownership, the filing said.

CEO Ong said asset enhancements were planned for all three assets.

“For Hotel Clover, together with Weave Living, we intend to reposition the asset into serviced residences with a modern flavour,” Ong said in the statement. “As for the two offices, we will also look to rejuvenate and uplift overall tenant experience through green and sustainable repositioning, to achieve positive rental reversions in near terms, whilst we wait for suitable market conditions for redevelopment or disposal.”