Singtel Group tapped Australian property company Lendlease Group to redevelop its headquarters in Singapore into a SGD3 billion ($2.2 billion) sustainable workplace, creating a new asset to deliver long-term recurring revenue.
In a statement, Singtel CEO Yuen Kuan Moon explained the redevelopment is a strategic move which will strengthen its financial position.
He added the project is in line with its capital recycling strategy “to unlock the latent value of our assets and invest the proceeds in growth areas where we can achieve higher returns”.
Under the terms of the agreement, the companies agreed to form a joint venture with Singtel taking a 51 per cent share.
The JV will pay SGD1.6 billion to Singtel for the cost of the land in or around 2024. Lendlease will provide development, construction, and ongoing property and asset management services.
As anchor tenant, Singtel expects to occupy about 30 per cent of the 20-storey building with a gross floor area more than 110,000 sq m.
The operator stated the net-zero energy development will be built using carbon neutral construction principles. It added Kohn Pedersen Fox, a well-known US architecture company is among the team of architects, with the building expected to be completed in 2028.Subscribe to our daily newsletter Back