Perennial Real Estate announced today (December 4th) that it has acquired the Big Box mall in Jurong East for S $ 118 million.
This acquisition is expected to be completed in mid-February 2021.
In a media release, Perennial announced that JTC Corporation has received approval to redevelop the site into an industrial park that is expected to be in excess of S $ 70 million.
Perspective of the multi-year business city / Photo credit: Multi-year real estate
The space will be renamed Perennial Business City, in which Perennial will hold a majority of 51 percent.
The remaining 49 percent is held by other investors, including HPRY Holdings, the investment vehicle of Kuok Khoon Hong, who is also chairman of Perennial.
It covers an area of 606,600 square meters and is expected to be completed “gradually” from the fourth quarter of next year.
Potential tenants include Infocomm technology, biomedical, consumer goods and finance industries.
Pua Seck Guan, CEO of Perennial, said the acquisition is an "important milestone" adding commercial parks to the company's real estate portfolio.
"We are excited to have the opportunity to redevelop the asset to take advantage of the growing demand for business parks and the new Perennial Business City to add vibrancy to the Jurong Lake District," he said.
Jurong: An emerging business center
Jurong will be an emerging business hub in Singapore.
In early March, the senior minister of state for trade and industry, Koh Poh Koon, announced that a new cooperation room was being set up in the Jurong Innovation District (JID) to help local businesses innovate and develop products.
JID is currently being developed as an advanced manufacturing hub and the district is expected to create 95,000 research and advanced manufacturing jobs over the next 20 years.
Regardless, the International Business Park (IBP) in Jurong has gained a foothold in the world of innovative technology.
This is especially true for companies involved in advanced manufacturing, including suppliers and manufacturers who are driving the future of robotics and 3D printing.
The growing interest in IBP lies in the rejuvenation of Jurong. It does so in the form of the Jurong Lake District (JLD), which has been positioned as the largest mixed-use business district outside of the city center.
In order to keep up with the changing requirements of emerging companies in Jurong, the redevelopment of iQuest @ IBP is also planned, which should be completed in 2022.
Featured Image Source: Robert Ang via Shutterstock.com