Singapore’s Chip Eng Seng Corporation Ltd announced that its wholly-owned subsidiary CES Gladstone has entered into an agreement to sell its property located at 15- 55 and 85 Gladstone Street in South Melbourne, Victoria, Australia to a trust managed by a subsidiary of the Greystar Group for A$65 million.
The property has a site area of approximately 5,900 square metres and was acquired by CES Gladstone in April 2016 for development of three towers comprising over 700 residential units.
”As at the date of this announcement, above-ground construction works have not yet commenced and the property will be sold with vacant possession,” said Chip Eng Seng in a statement.
”Notwithstanding the proposed disposal, the Australia market remains an integral part of the Group’s long-term growth and diversification strategies,” stated in the statement.
The group has been steadily increasing its portfolio of assets and businesses in Australia over the years, including the acquisition in 2018 of the property located at 51 Pirie Street in Adelaide, Australia for redevelopment into a Hyatt Regency Hotel.