SINGAPORE (EDGEPROP) - Allianz Real Estate has acquired a 50% interest in OUE Bayfront, a Grade-A office asset located in the Singapore CBD, for $633.8 million.
Built in 2011, OUE Bayfront is an 18-storey office building (Credit: JLL)
OUE Commercial Real Estate Investment Trust will retain a 50% ownership and OUE-related entities will continue to maintain both asset and property management of the development.
“This transaction demonstrates that global investor appetite for high-quality office buildings remains very strong in core gateway markets, and that there is real confidence in the resilience of the Singapore office market,” comments Stuart Crow, CEO, Capital Markets, Asia Pacific, at JLL, which brokered the deal.
The 50% interest acquisition in OUE Bayfront marks Allianz Real Estate’s latest move in the Singapore office market, following landmark transactions which included acquiring the Duo asset with GAW Capital Partners in July 2019, and purchasing a stake in Ocean Financial Centre in November 2018.
Read more: Allianz Real Estate expands in key markets
Built in 2011, OUE Bayfront is an 18-storey office building with a remaining land tenure of 85 years. Located in Marina Bay, the asset has a strong mix of tenants from the financial services and legal services industries.
As of Dec 31, the total net leasable area of OUE Bayfront is 399,846 sq ft. As of December last year, OUE Bayfront had about 100% occupancy.