Keppel Land, through its subsidiary Krystal Investments Pte Ltd, has acquired from its Vietnamese partner, Southern Waterborne Transport Corporation, an additional 16% stake in the joint venture (JV) entities for Saigon Centre in Ho Chi Minh City
The consideration for the purchase is 845.9 billion dong ($37.1 million), the Singapore Business newspaper reported.
Following the acquisition, Keppel Land has increased its aggregate interest in the JV companies, Keppel Land WATCO I, II, and III, for Saigon Centre Phases 1 and 2 from approximately 45.3% to 53.5%.
Its aggregate interest in the JV companies (Keppel Land WATCO IV and V) for subsequent phases of Saigon Centre has gained from 68% to 76.2%.
Saigon Centre is located on a two-hectare prime site in HCM City’s District 1, the city’s business hub. The property will be developed in several phases.
The first phase of Saigon Centre, which was completed in 1996, comprises a 25-storey office tower which is 100% leased to the diplomatic corps, multinational companies, as well as banking and financial institutions.
The Saigon Centre retail mall, part of the Phase 2 development, opened to the public in August last year, with Takashimaya Department Store as its anchor tenant.
Phase 2 of Saigon Centre will comprise 55,000 sqm of prime retail space, 44,000 sq.m of premium Grade A office space, and 195 luxury serviced apartments when fully completed by the end of this year.
Keppel Land in March last year acquired a 40% stake worth $94 million in Empire City Co, Ltd., which will invest $1.2 billion to build a high-rise complex in Thu Thiem Urban Zone in Ho Chi Minh City.