SINGAPORE (Apr 4): Frasers Property says it has been in talks with certain parties who have expressed interest in acquiring a stake in Frasers Tower located at 182 Cecil Street.
Frasers Property made the disclosure in a regulatory filing after receiving a query related to Frasers Tower from Bloomberg News.
In 2013, Frasers Property paid $924 million or $1,112 psf per plot ratio for the 99-year leasehold, 82,841 sq ft, commercial site. It was where the former Telok Ayer Performing Arts Centre once stood.
Frasers Tower has a total net lettable area (NLA) of 663,000 sq ft with floor plates of 20,000 to 22,000 sq ft. To date, the office tower has achieved 94% occupancy, with asking rents now in the range of $11 to $13 psf per month.
Anchor tenants include tech giant Microsoft Singapore and French oil and gas company Total Oil, which are taking up a combined floor area of 232,200 sq ft or 35% of the total NLA.
Analysts say Frasers Tower could benefit from the rejuvenation of the areas around Anson Road, Cecil Street, Shenton Way, Robinson Road and Tanjong Pagar under the CBD Incentive Scheme announced on March 27.
Frasers Property says it continually reviews opportunities to enhance shareholder value, which included potential opportunities to collaborate with new investors and divestment of its interests in projects and assets.
“In the course of such review, we may from time to time enter into discussions with parties for potential investments in or divestment of our interest in our projects/assets,” says Frasers Property, adding it will issue further announcement when there are material developments in the matter.
Shareholders are meantime advised to refrain from taking any action in respect of their shares in Frasers Property which may be prejudicial to their interests, and to exercise caution when dealing in the shares of the company.
As at 2.54pm, shares in Frasers Property are down 1 cent at $1.80.
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