The Capri by Fraser, a 313-room hotel-cum-serviced apartment development located within the Changi City integrated development, was sold to a unit of Frasers Centrepoint Ltd (FCL) for $203.4 million. The price translates into about $650,000 per room. The land on which The Capri by Fraser is situated has a lease term of 54 years left. The 12-storey property was sold by Ascendas Frasers Pte Ltd, a 50:50 joint venture between Ascendas Land and Frasers Centrepoint.

The joint-venture partners had purchased the 4.7ha site for $150.8 million, or $119 psf per plot ratio (psf ppr) for the development of a mixed-use project in 2008. The Capri by Fraser is part of the integrated project, which includes a shopping mall and office block. The purchase price translates into a yield of 6%, says Donald Han, managing director of Chesterton Singapore.

This article appeared in the City & Country of Issue 669 (Mar 23) of The Edge Singapore.