Elevate Capital–LaSalle JV picks up 51 Merchant Road for $121.8 mil as Raffles Education trims debt
The property at 51 Merchant Road is made up of two rows of conservation shophouses and a four-storey annex building (Photo: Delasa)
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Singapore-listed Raffles Education has sold its commercial building at 51 Merchant Road for $121.8 million — below its market valuation of $152.7 million. The buyer is understood to be a joint venture between real estate investment firms Elevate Capital Group, led by founder and managing partner Ashish Manchharam, and LaSalle Investment Management. This marks Elevate Capital’s latest acquisition, following its $132 million purchase of Stamford Court with PGIM Real Estate in late 2024.
Raffles Education will book net proceeds of $121.3 million and a gain of $53 million, as the property at 51 Merchant Road is carried on its books at $68.3 million. The group says the proceeds will be used to pay down debt and reduce interest costs tied to the property’s acquisition. “The released capital will be strategically redeployed to bolster working capital and fund higher-yielding initiatives, transforming a non-income-generating asset into flexible liquidity to drive operational priorities and strategic growth,” the company stated in its Dec 1 announcement.
The four-storey annex building next to the two rows of conservation shophouses that make up Raffles Education Square (Photo: ETC)
Known as Raffles Education Square, the property comprises two rows of conservation shophouses, a four-storey annexe building, and a basement carpark. It has a total gross floor area (GFA) of 71,111 sq ft and sits on a 27,669 sq ft commercial site. The land has a 99-year leasehold commencing 15 May 1993, leaving about 67 years remaining.
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The building is located adjacent to City Developments Ltd’s upcoming Union Square, a 735,500 sq ft mixed-use development, which will feature a Grade-A office tower, retail space, co-living apartments and the 366-unit Union Square Residence. Launched in November 2025, Union Square Residences has seen 135 units sold to date at an average of $3,197 psf, based on caveats lodged.
Raffles Education Square at 51 Merchant Road is next to the upcoming large-scale mixed-use development Union Square by City Developments (Source: EdgeProp Landlens)
Raffles Education Square’s sale price of $121.8 million translates to $1,713 psf based on its existing GFA. This is about 9.8% below the guide price of $135 million ($1,898 psf) when the property was put up for sale by sole marketing agent ETC in June this year.
This is not the first time the property has been on the market. In August 2021, Raffles Education launched an expression of interest (EOI) exercise at $200 million ($2,813 psf), followed by a tender in June 2023 at the same price. Neither attempt secured a buyer.
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