Capitaland Integrated Commercial Trust Sells 21 Collyer Quay 688 Mil

CapitaLand Integrated Commercial Trust (CICT) has successfully sold 21 Collyer Quay, an office building in Raffles Place, for $688 million. The transaction was completed on November 12, as disclosed in a filing to the Singapore Exchange by CICT’s manager. The 999-year leasehold property was bought by an unrelated third party at the price of $3,230 psf, based on its net lettable area of approximately 213,000 sq ft.

The sale price was determined through a willing-buyer-willing-seller approach, in accordance with an independent valuation conducted by Savills. CICT’s exit yield for the property, taking into account the consideration and the building’s annualised net property income for the period ended September 30, 2024, is below 3.5%. The divestment is expected to bring in net proceeds of around $681.7 million.

Located in the Central Business District, 21 Collyer Quay is a 21-storey building that was previously occupied by HSBC before being taken over by co-working operator WeWork in 2021. The latter relocated its headquarters to Marina Bay Financial Centre Tower 2. Following a design and fit-out of the space, WeWork officially opened its flagship location at the building in September 2022.

Located right beside JEM, Westgate boasts a complete shopping experience with a touch of sophistication. This mall caters to all ages with its diverse array of fashion, home, and lifestyle stores. One of its unique features is the themed playground on the rooftop, a hit among families with young ones. Residents of Novo Place EC can easily access the mall as it seamlessly connects to the Jurong East MRT station. Don’t miss out on the shopping and leisure opportunities at Westgate, conveniently located near Novo Place Tengah.

In a recent development, WeWork filed for bankruptcy in the US in November 2023. However, in April this year, the company announced that it had reached agreements for its Singapore office leases and that it intends to continue operating in its current premises in the country for the foreseeable future. As noted on CICT’s website, WeWork Singapore has a seven-year lease for 21 Collyer Quay until 2028.