Keppel agrees to divest majority of Singapore office asset vehicle for $477m
Keppel will sell a 51% interest in K-Commercial, which holds Keppel South Central, to Keppel REIT for about S$611 million, Reuters reports.
- published on Newsmetry
- original source published
the public page opens no earlier than 15 minutes after we detect the story. approved stories may reach the api sooner. connect the api →
what happened
Singapore-based Keppel said on Tuesday it will sell a 51% interest in K-Commercial, the company that owns the Keppel South Central office building, to Keppel REIT. Reuters reported the price at about S$611 million, or $477.42 million. Of that, S$149 million covers the equity stake and roughly S$462 million repays a shareholder loan that Keppel had extended to K-Commercial.
Keppel will keep 49% of the entity, and its real estate division will continue managing the property and leasing its space. Keppel also gets a call option to buy back the 51% stake for a nominal sum after 70 years. Completion is expected in the second quarter of 2027. Keppel says the deal takes its announced asset monetisation this year to S$3.7 billion.
why it matters
The deal is a single asset transaction, but it shows Keppel continuing to recycle capital out of property. For Keppel REIT, it adds an office asset in Singapore to its portfolio. Investors following Singapore developers and REITs will watch the completion timing in 2027.
market impact
Keppel and Keppel REIT: single office asset deal, limited effect on the wider market
tags
instruments
sources
- Keppel to sell 51% stake in Singapore office tower vehicle for $477 million — Reuters, 19 October 2026 at 23:57 UTC
prepared by the newsmetry newsroom with ai assistance from the sources listed below. not investment advice.
the public page opens no earlier than 15 minutes after we detect the story. approved stories may reach the api sooner.
get stories in real time ↗