79 Anson Rd on verge of being sold for over $400m

79 Anson Rd on verge of being sold for over $400m

SINGAPORE - At least one major office block transaction could be sealed before the year ends, BT understands.

A deal is close to being stitched for 79 Anson Road, with both owners - German fund manager SEB and Central Provident Fund Board - selling their space.

Expectations are running high that the price will cross $1,400 per square foot based on the freehold building's existing gross floor area (GFA) of 289,185 square feet (sq ft).

On a lumpsum basis, this would translate to $405 million or more.

Assuming the price is in the $400-410 million range, this represents $2,000-2,050 psf based on the building's current net lettable area (NLA) of around 200,000 sq ft, say market watchers.

Industry watchers tipped United Engineers group as a possible buyer of the 23-storey tower.

Others which had been in the running earlier are said to include Sun Venture.

Market watchers compare the pricing for 79 Anson Road to that for Tower 15 in Cantonment Road, which Fragrance Group bought in May this year for $1,420 per square foot per plot ratio (psf ppr) based on the building's existing GFA.

Tower 15 is also freehold.

Fragrance is said to be exploring the possibility of redeveloping Tower 15 into strata office and shop units for sale. Some residences may also be included.

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