CapitaLand Integrated Commercial Trust (CICT) has divested 21 Collyer Quay, a freehold office property in Singapore's Central Business District (CBD), for S$290.0 million. The sale was completed on 26 July 2023.
The divestment is in line with CICT's strategy to optimize its portfolio and enhance shareholder value. The proceeds from the sale will be used to repay existing debt and for general corporate purposes.
21 Collyer Quay is a 17-storey office building with a net lettable area of approximately 125,000 square feet. It is located in the heart of the CBD, close to Raffles Place MRT station and other amenities. The building is currently fully occupied by a mix of tenants from various industries.
The divestment of 21 Collyer Quay is expected to have a positive impact on CICT's financial performance. The sale proceeds will allow CICT to reduce its debt and improve its financial flexibility. The divestment will also allow CICT to focus on its core portfolio of office and retail properties in Singapore and other key markets.
"The divestment of 21 Collyer Quay is a strategic move for CICT," said Mr. Tan Seng Chai, CEO of CICT's manager. "The proceeds from the sale will allow us to strengthen our financial position and focus on our core portfolio of properties. We believe that this divestment will create long-term value for our unitholders."
