Thursday, September 4, 2025
  • Login
Forbes 40under40
  • Home
  • Technology
  • Innovation
  • Real Estate
  • Leadership
  • Money
  • Lifestyle
No Result
View All Result
  • Home
  • Technology
  • Innovation
  • Real Estate
  • Leadership
  • Money
  • Lifestyle
No Result
View All Result
Forbes 40under40
No Result
View All Result
Home Leadership

Lendlease Global Commercial Reit to divest office component of Jem to Keppel for S$462 million

by Yurie Miyazawa
in Leadership
Lendlease Global Commercial Reit to divest office component of Jem to Keppel for S2 million
Share on FacebookShare on Twitter


[SINGAPORE] Lendlease Global Commercial Reit will be divesting the office component of the Juong commercial-retail development Jem to Keppel for S$462 million, with the proceeds to be used to pay down debts and potentially for distribution to unitholders.

In a regulatory statement published on Monday (Aug 4), the manager of the real estate investment trust (Reit) announced that the trustee entered into a put and call option agreement with the purchaser on Monday.

Currently, the 12-level office space – which the Reit acquired in 2022 – is leased to the Ministry of National Development for 30 years from December 2014.

Net proceeds from the divestment will be used to predominantly repay certain loans, and this is expected to reduce the Reit’s aggregate leverage ratio to approximately 35 per cent on a pro forma basis from 42.6 per cent as at June 2025.

The divestment could result in a net cash gain of approximately S$8.9 million, which will be available for distribution to unitholders.

The manager said that key benefits of the divestment include improving the Reit’s financial position, unlocking value of the office component, and increasing the Reit’s focus on retail to over 85 per cent of its portfolio by valuation

BT in your inbox

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Had the divestment been completed on Jul 1, 2024, the pro forma distribution per unit (DPU) would have been S$0.0352 Singapore cents, 2.2 per cent lower than S$0.036 cents before the sale. Had the divestment been completed in end-June, 2025, the net asset value per unit would have been S$0.74, marginally lower than S$0.75 before the sale.

Keppel said in a media statement that private funds under its sustainable urban renewal strategy are acquiring the office component of Jem, and the asset manager and operator will explore upgrading works to reduce the energy use intensity.

Keppel’s earnings per share and net tangible assets per share for the current year are not expected to be materially impacted by the acquisition, it said.

Lendlease Global Commercial Reit units closed 2.7 per cent or S$0.015 higher at S$0.565 while Keppel shares closed S$0.04 or 0.5 per cent higher at S$8.35 on Monday, before this announcement.

Tags: CommercialComponentdivestGlobalJemKeppelLendleaseMillionOfficeReitS462
Yurie Miyazawa

Yurie Miyazawa

Next Post
US: Wall Street opens higher following Friday’s dramatic selloff

US: Wall Street opens higher following Friday's dramatic selloff

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Forbes 40under40 stands as a distinguished platform revered for its commitment to honoring and applauding the remarkable achievements of exceptional individuals who have yet to reach the age of 40. This esteemed initiative serves as a beacon of inspiration, spotlighting trailblazers across various industries and domains, showcasing their innovation, leadership, and impact on a global scale.

 
 
 
 

NEWS

  • Forbes Magazine
  • Technology
  • Innovation
  • Money
  • Leadership
  • Real Estate
  • Lifestyle
Instagram Facebook Youtube

© 2024 Forbes 40under40. All Rights Reserved.

  • About Us
  • Advertise
  • Contact Us
No Result
View All Result
  • Home
  • Technology
  • Innovation
  • Real Estate
  • Leadership
  • Money
  • Lifestyle

© 2024 Forbes 40under40. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In