Oxley accepts expression of interest for $1.03 bil sale of Chevron House

By EdgeProp Singapore | March 14, 2019 11:05 PM SGT
Mainboard-listed property group Oxley Holdings could be selling Chevron House in Singapore’s central business district for $1.025 billion – just 15 months after acquiring the property for $660 million in December 2017.
In a filing to SGX on Thursday, Oxley says its wholly-owned subsidiary, Oxley Beryl, has accepted an expression of interest (EOI) from a US-based real estate fund to acquire the company.
Oxley Beryl owns Chevron House, the 32-storey commercial building located at 30 Raffles Place.
Oxley Holdings purchased Chevron House for $660 million in Dec 2017 (Credit: Samuel Isaac Chua/EdgeProp Singapore)
The property comprises a five-storey retail podium linked directly to Raffles Place MRT interchange station and a 27-storey office tower. The retail podium has a net lettable area of 45,613 sf, while the office component makes up 215,667 sf of net lettable area.
The 99-year leasehold building, which was completed in 1993, sits on a 29,891 sf site.
Oxley says the EOI was accepted after taking into consideration the prevailing conditions in the property market, and that this unsolicited offer generally meets the group’s long-term investment objectives when it acquired the property.
The EOI is not intended to be legally binding, and is subject to the conduct of due diligence and the parties entering into a definitive sale and purchase agreement.
The purchaser, which was not named, has been granted an exclusive dealing period of 45 days starting March 14, when the EOI was accepted.
Shares in Oxley last traded at 33 cents, before it called for a trading halt at noon on March 13.
The story first appeared in TheEdgeSingapore.com.