Roxy-Pacific and partners acquires Marina House for S$148mln

Consortium with four other firms plans to convert property into residential-commercial mixed development.

Roxy-Pacific Holdings Limited (Roxy-Pacific), through its wholly-owned subsidiary RL Properties Pte. Ltd., together with Macly Capital Pte. Ltd. (Macly), Pinnacle Assets Pte Ltd (Pinnacle), Fission Holdings Pte. Ltd. (Fission) and Mr Chee Hsian Sing, have formed a consortium with equal shareholdings of 20% each. Together, the consortium has announced that they have successfully acquired the option to purchase Marina House at 70 Shenton Way for a total consideration of S$148.0 million.

Marina House, owned by the Hong Leong Group, is situated on a land area of 1,833.5 sq m and comprises of a 4-storey podium and a 17-storey office tower. It has a gross floor area of 199,691 sq ft and a land tenure of 99 years with effect from June 2, 1970 (unexpired lease of 60 years).

The prime site has obtained planning permission for the proposed erection of a 42-storey residential apartment block with commercial space on the 1st storey.

In behalf of the Consortium, Mr Teo Hong Lim, Executive Chairman and CEO of Roxy-Pacific said: “We and our four JV partners, Macly Group, Pinnacle Group, Fission Group and Mr Chee Hsian Sing are delighted to have secured the option to acquire this prime parcel of land.

“Collectively, we find synergies amongst the partners and will look for more real estate development as well as investment opportunities.

“With its excellent location in the heart of Singapore’s financial districts, as well as close proximity to Marina Bay, Tanjong Pagar MRT, the two IRs and the future Tanjong Pagar Waterfront City, we are confident that the proposed luxurious mixed development will be very much sought-after for owner occupation and investment potential.

“A reference property nearby that was launched recently is 76 Shenton Way which was sold within one day, with the highest selling price achieved at S$2,600 psf.

“With the continuing growth and strength in demand for high-end developments in prime districts as well as rising rental market, coupled with our complementary strengths, we are optimistic of developing a unique product that will be well-received by the market.”

This transaction, which is financed through internal cash resources, is not expected to have a material impact on the net earnings per share and net tangible assets per share of the Group for the current financial year ending December 31, 2010.

Details of the project will be unveiled at a later date.