Latest news with #IOIPG
The Star
a day ago
- Business
- The Star
IOI Properties to launch The Pentagon at Bandar Puteri Bangi
IOI Properties Group Bhd (IOIPG) is set to launch its next commercial phase, The Pentagon at Bandar Baru Bangi in Selangor. Comprising 18 units of double-storey shop offices, the development features a linked semi-detached concept with expansive built-ups and high ceilings. The project is within walking distance to the upcoming Bangi Fresco, a 4.98ha lifestyle and retail hub unveiled in March, set to be fully managed by IOIPG's leasing team. It is also a stone's throw away from the township's existing Lotus's hypermarket. 'Together with components such as Kubica Square, Enigma Square, Lotus's and Bangi Fresco, The Pentagon forms the commercial heartbeat of the township, complementing the agile built-ups of existing commercial offerings with larger lot sizes and voluminous interiors,' said IOIPG Bangi and Sepang general manager Wong Peen Fook. 'The linked concept maximises visibility while keeping the distinction of semi-D designs. The spacious layouts cater for entrepreneurs and businesses seeking expansive premises for their operations, suitable for food and beverage chains, showrooms, education centres, car workshops and more. 'In addition, it leverages Bandar Puteri Bangi's strategic location, with direct access to the North-South Highway and accessibility to the Kajang-Seremban Highway, South Klang Valley Expressway and more. 'This gives The Pentagon prime connectivity to the Kuala Lumpur city centre, Putrajaya and other surrounding destinations and points of interest, including many nearby industrial parks,' he added. The 145.69ha Bandar Puteri Bangi township includes a balanced range of residential and commercial components, as well as ample greenery and public spaces. Thoughtfully crafted spaces Spanning 1.81ha, The Pentagon draws its name from the shape of the plot it shares with Kubica Square, emphasised by its geometric aesthetic elements integrated throughout its modern facade. It offers lot sizes of 45' x 70', 50' x 70' and more, significantly larger than surrounding developments, with ceiling heights of 14' for ground floor spaces and 12' for higher storeys, to accommodate a wide range of business needs. Gross prices for shop office units start from RM3.6mil. 'The Pentagon's ample built-ups, ranging from 5,545sq ft to 7,046sq ft, are showcased with extensive glass panels throughout its design, seamlessly blending interior and exterior spaces while maximising natural lighting. 'The larger widths of shoplot units, ranging upwards from 45' to 50', serve to enhance visibility for business owners and investors, while a 15' wide open terrace promotes walkability and flow,' said Wong. Individual units are designed with rear roller shutter access to streamline loading and unloading operations. Additionally, 263 car park bays cater for visitor convenience, with an average allotment of 15 car park lots per shop office unit, and four electric vehicle (EV) bays. Leveraging surrounding pull factors The Pentagon leverages the growing demographics of Klang Valley South, with a catchment population of more than 680,000 from surrounding areas, as well as the 145.69ha integrated township itself, with over 2,000 homes handed over to date and an estimated resident population of more than 5,000. 'The Pentagon is set to benefit from proximity to Bangi Fresco, an upcoming retail hub with planned retail facilities spanning 100,000sq ft of net lettable area,' said Wong. 'These include 24 shops and five waterfront eating outlets, al fresco dining spaces and four drive-through outlets, as well as a 19,000sq ft grocery operator. Other features include a 10,000sq ft event space as well as a gym, positioning Bangi Fresco as a one-stop lifestyle destination for the community. 'In addition, the presence of numerous academic institutes nearby, such as Universiti Kebangsaan Malaysia, Nilai University and primary and secondary schools, has contributed to strong demographics for the township in terms of families, students and supporting workers, building a ready catchment population for businesses,' he added. According to IOIPG, The Pentagon draws its name from the shape of the plot it shares with Kubica Square, emphasised by its geometric aesthetic elements integrated throughout its modern facade. To date, Bandar Puteri Bangi features a balanced range of residential and commercial components, from luxurious landed and high-rise homes—such as Arawani and Caladia—to existing three- and four-storey shop offices, like Enigma Square. On top of that, ample greenery and public areas across the township offer social spaces for people to come together close to nature. These include the Oasis Park, a serene waterfront landscape home to over 90 known flora and fauna species, as well as the Geopark, a green sanctuary with a jogging trail and football field. 'Moving forward, we have exciting launches in store for Bandar Puteri Bangi in the coming months, designed to expand its vibrant array of property offerings. 'These include a planned lakeside precinct with landed homes and its own integrated commercial hub,' Wong concluded. To learn more about Bandar Puteri Bangi and join its growing community, click here or call 03-8929 9988.
Business Times
3 days ago
- Business
- Business Times
Who is behind Malaysia's IOI Properties Group?
[SINGAPORE] Property developer IOI Properties Group (IOIPG) is poised to grow its Singapore presence with the acquisition of the remaining 50.1 per cent stake in the South Beach development that it does not already own, from its joint venture partner City Developments (CDL). Upon the S$834.2 million acquisition, slated to complete by Q3 2025, IOIPG will gain full ownership of South Beach's commercial components, the group said in a Wednesday (Jun 4) bourse filing. This includes the 34-storey South Beach Tower housing Grade-A office units, the 634-room JW Marriott Hotel Singapore South Beach, and the restaurants and cafes in the complex. The mixed-use integrated development along Beach Road is now owned by both parties via an entity called Scottsdale Properties, which owns South Beach Consortium, which in turn owns South Beach. The acquisition, one of CDL's largest divestments, will expand IOIPG's Singapore investment property portfolio – even as it is already a major player in the city-state's real estate space. IOIPG has developed projects such as the IOI Central Boulevard Towers in the Marina Bay area. Nearby, in the pipeline is W Singapore - Marina View, a 350-room hotel slated to open in late 2028. Branded apartments W Residences - Marina View will be part of the 51-storey mixed-used development. Lee Yeow Seng, IOI's group chief executive officer, said: 'This acquisition will elevate the group's profile as a major landlord of premium office space and a prominent player in the hospitality industry within the Republic.' A NEWSLETTER FOR YOU Tuesday, 12 pm Property Insights Get an exclusive analysis of real estate and property news in Singapore and beyond. Sign Up Sign Up The deal will bring the total net lettable area (NLA) of IOI's Singapore investment assets to 1.8 million square feet (sq ft) and the total NLA of its property investment segment across Malaysia, Singapore and Xiamen, China, to 9.82 million sq ft. IOI's total assets across investment properties, hotel assets and property development assets stood at RM47.93 billion as of Mar, 31, 2025. News of the South Beach sale comes on the heels of CDL's announcement of its plans to divest assets in a bid to cut debt. The Business Times explains who is behind IOIPG, and throws light on its diverse portfolio of property developments in Singapore. What is IOI Group? The group is a Malaysian conglomerate that started off as a palm oil business before venturing into property. Its palm oil business is parked under IOI Corporation, one of Malaysia's largest palm oil companies; its property business is handled by IOIPG, the property arm of IOI Corporation. One of Malaysia's largest property entities by market capitalisation, IOIPG was carved out of IOI Corporation, and separately listed on the Malaysian stock exchange in January 2014. IOIPG has three core business segments: Property development, property investments and hospitality and leisure in the markets of Malaysia, Singapore and Xiamen, China. It has four-decades of experience in property development across residential, commercial and industrial offerings. IOI Corporation is among the 30 largest companies listed on the main board of the Malaysian stock exchange, and a constituent company on the bourse's benchmark index, the FTSE Bursa Malaysia KLCI. Who is IOI's founder, and who runs the business now? The late Malaysian magnate Lee Shin Cheng, who died in 2019, founded IOI Corporation and its property arm IOIPG, which is also listed on Bursa Malaysia. Born in 1939 in Kuala Selangor in the Malaysian state of Selangor, he was raised on a poor rubber plantation. He dropped out of school at 11 and started selling ice cream to support his family. He began working as a supervisor in a rubber estate at the age of 17, and worked his way up to becoming an estate manager before he turned 30. In 1975, he acquired a property company and over the years, developed the business. In 1982, he acquired Industrial Oxygen Incorporated. Renamed as IOI Corporation in 1995, it ventured into the palm oil business. After his death, his sons inherited stakes in IOI Group. Lee Yeow Chor is group managing director and chief executive of IOI Corporation, and Lee Yeow Seng is the group CEO of IOIPG. What other Singapore assets does IOIPG own? Beyond the integrated developments, IOIPG has a portfolio of high-end residential properties in Singapore. These include Seascape and Cape Royale, condominium developments in Sentosa Cove that were developed in partnership with Ho Bee Land. IOIPG also developed The Trilinq, a residential development in Clementi and Cityscape@Farrer Park. Last November, Lee Yeow Seng acquired Shenton House along Singapore's Shenton Way, in his personal capacity, for S$538 million.
Malaysian Reserve
3 days ago
- Business
- Malaysian Reserve
IOI Properties to take full ownership of South Beach in RM2.75b deal
IOI Properties Group Bhd (IOIPG) is acquiring the remaining 50.1% stake in Singapore's South Beach development from joint venture partner City Developments Ltd (CDL) for S$834.2 million (approximately RM2.75 billion), bringing its ownership to 100%. The deal, executed via IOIPG's wholly owned unit IOI Consolidated (Singapore) Pte Ltd, is based on an agreed property value of S$2.75 billion, a 3% premium over its last independent valuation of S$2.67 billion as at end-2024. Completion is expected by the third quarter of 2025, subject to approvals. 'The acquisition of the 100% equity stake in this landmark development marks a significant strategic expansion for IOIPG in Singapore,' said IOIPG group CEO Lee Yeow Seng. 'Combined with the IOI Central Boulevard Towers and the W Singapore – Marina View hotel, this acquisition will elevate the Group's profile as one of the major landlords of premium office space and a prominent player in the hospitality industry within the republic,' he added. South Beach is a 3.5-hectare mixed-use development directly linked to Esplanade and City Hall MRT stations, with about 81 years remaining on its 99-year lease. As at March 2025, its office and retail segments had occupancy rates of 92.4% and 92.5%, respectively. The acquisition will be funded via a mix of internal funds and borrowings. IOIPG expects EPS to rise from 37.45 sen to 46.88 sen for FY2025, driven by remeasurement gains and full earnings consolidation. Net gearing is projected to increase from 0.70x to 0.93x post-completion. CDL, which is divesting its stake, said the move supports its capital recycling strategy. 'This strategic divestment enables CDL to realise exceptional value, while entrusting the ownership to a partner that knows South Beach well, marking a natural evolution in our successful partnership,' said CDL executive chairman Kwek Leng Beng. CDL retains about 2.6 million sq ft of commercial and retail space in Singapore and continues to operate six hotels, including The St. Regis Singapore and The Singapore EDITION. IOIPG's total assets now stand at RM47.93 billion as at March 31, 2025. — TMR
Business Times
3 days ago
- Business
- Business Times
CDL selling its 50.1% South Beach stake to its Malaysian partner IOI for S$834 million, yielding S$465 million gain
[SINGAPORE] City Developments Limited (CDL) has agreed to sell its 50.1 per cent stake in the South Beach mixed project to its Malaysian partner, IOI Properties Group (IOIPG), for about S$834.2 million. The deal values the complex at about S$2.75 billion, which represents a premium of about 3 per cent over the most recent valuation of S$2.67 billion as at Dec 31, 2024. The transaction is expected to result in a gain on disposal of about S$465 million for the financial year ending Dec 31, 2025, CDL said on Wednesday (Jun 4). IOIPG will take full ownership of South Beach's commercial components upon completion in the second half of 2025. CDL added that the sale price was based on 50.1 per cent of the consolidated net assets of Scottsdale Properties, which owns South Beach Consortium, which in turn owns South Beach. IOI noted in a bourse filing that Scottsdale's liabilities of S$1.16 billion were also factored in. Cash proceeds from the proposed divestment will enable CDL to reduce bank borrowings and improve its net gearing ratio, the group said. Capital from the sale will also be used to pursue new acquisitions, invest in upcoming pipeline development projects and optimise capital management. Assuming that the deal had been completed at the end of FY2024, the group's net gearing ratio would have fallen to 103 per cent, from 117 per cent, CDL said. It would have logged earnings of S$638.5 million, up from S$190.8 million, had the deal been completed at the beginning of FY2024. Earnings per share would have risen to S$0.712, from S$0.213. A NEWSLETTER FOR YOU Tuesday, 12 pm Property Insights Get an exclusive analysis of real estate and property news in Singapore and beyond. Sign Up Sign Up CDL's board believes the sale supports positive returns for the group's business and aligns with its strategic focus on capital recycling. It said the Beach Road property has reached maturity and has been delivering 'strong occupancy and stable income'. Sherman Kwek, CDL's group chief executive, said: 'Having fulfilled our vision for South Beach – from securing the land site via a rigorous tender process in 2007, navigating macroeconomic challenges, to transforming it into the high-performing, stabilised asset it is today – it is now time to crystallise its value.' The Norman Foster-designed project in Singapore's Central Business District includes retail space, a 34-storey office tower and a 45-storey building housing JW Marriott Hotel Singapore. As at Mar 31, South Beach's office and retail components posted committed occupancy of 92.4 per cent and 92.5 per cent, respectively, CDL said on Wednesday. Major tenant Meta Platforms last year gave up seven floors of space at the office tower; the exit brought occupancy down to 92.4 per cent from 94.4 per cent at the end of last year. CDL acquired the site through a government land sale for nearly S$1.7 billion in 2007, with two foreign partners – a unit of state-owned Dubai World, and El-Ad Group. Based on a Bloomberg report, the global financial crisis led to a years-long delay in construction. The two partners exited the project, with IOIPG eventually taking a minority stake in 2011. Kwek Leng Beng, executive chairman of CDL, resisted letting IOIPG take an equal stake in order to maintain control, based on a biography published in 2023, Bloomberg said. In CDL's statement on Wednesday, the elder Kwek said: 'South Beach began as a bold vision to enhance Singapore's reputation as a global city, attract international investors and create a new icon that blends modern, sustainable architecture while preserving the site's conserved buildings.' IOIPG group CEO Lee Yeow Seng said: 'The acquisition of a 100 per cent equity stake in this landmark development marks a significant strategic expansion for IOIPG in Singapore. Combined with the IOI Central Boulevard Towers and W Singapore Marina View hotel, this acquisition will elevate the group's profile as one of the major landlords of premium office space and a prominent player in the hospitality industry within the Republic.' The Malaysia-listed group is controlled by the Lee family, which made its fortunes from palm oil. CDL shares were up 2.1 per cent or S$0.10 at S$4.97 on Wednesday as at 3.24 pm, after its trading halt was lifted. The group said in 2024 that it aimed to divest S$1 billion in assets, and has announced about S$600 million in divestment so far. News of the South Beach sale comes in the wake of a public feud between father and son in CDL's Kwek family, which erupted in late February. While they have since buried the hatchet, the younger Kwek acknowledged at CDL's annual general meeting in April that the dispute had hurt shareholders' confidence. He also identified reducing the growing debt load as a priority.
Business Times
3 days ago
- Business
- Business Times
CDL selling its 50.1% South Beach stake to partner Malaysia's IOI for S$834 million, yielding S$465 million gain
[SINGAPORE] City Developments Limited (CDL) has agreed to sell its 50.1 per cent stake in the South Beach mixed project to partner Malaysia's IOI Properties Group (IOIPG) for about S$834.2 million. The deal values the complex at about S$2.75 billion, which represents a premium of about 3 per cent over the latest valuation of S$2.67 billion as at Dec 31, 2024. The transaction is expected to result in a gain on disposal of about S$465 million for the financial year ending Dec 31, 2025, CDL said on Wednesday (Jun 4). IOIPG will take full ownership of South Beach's commercial components upon completion in the second half of 2025. CDL added that the sale price was based on 50.1 per cent of the consolidated net assets of Scottsdale Properties, which owns South Beach Consortium, which in turn owns South Beach. It also takes into account an agreed property value of S$2.75 billion and Scottsdale's liabilities of S$1.16 billion. Cash proceeds from the proposed divestment will allow CDL to reduce bank borrowings and improve net gearing ratio, the group said. Capital from the sale will also be used to pursue new acquisitions, invest in upcoming pipeline development projects and optimise capital management. Assuming that the deal had been completed at the end of FY2024, the group's net gearing ratio would have fallen to 103 per cent, from 117 per cent, CDL said. It would have logged earnings of S$638.5 million, up from S$190.8 million, had the deal been completed at the beginning of FY2024. Earnings per share would have risen to S$0.712, from S$0.213. A NEWSLETTER FOR YOU Tuesday, 12 pm Property Insights Get an exclusive analysis of real estate and property news in Singapore and beyond. Sign Up Sign Up CDL's board believes the sale supports positive returns for the group's business and aligns with its strategic focus on capital recycling. It said the Beach Road property has reached maturity and has been delivering 'strong occupancy and stable income'. Sherman Kwek, CDL's group chief executive, said: 'Having fulfilled our vision for South Beach – from securing the land site via a rigorous tender process in 2007, navigating macroeconomic challenges, to transforming it into the high-performing, stabilised asset it is today – it is now time to crystallise its value.' The Norman Foster-designed project in Singapore's Central Business District includes retail space, a 34-storey office tower and a 45-storey building housing JW Marriott Hotel Singapore. As at Mar 31, South Beach's office and retail components posted committed occupancy of 92.4 per cent and 92.5 per cent, respectively, CDL said on Wednesday. Major tenant Meta Platforms last year gave up seven floors of space at the office tower, with the exit bringing occupancy down to 92.4 per cent, compared with 94.4 per cent at the end of last year. CDL acquired the site at a government land sale for nearly S$1.7 billion in 2007, with two foreign partners – a unit of state-owned Dubai World, and El-Ad Group. Based on a Bloomberg report, the global financial crisis led to a years-long delay in construction and the two partners exited the project, with IOIPG eventually taking a minority stake in 2011. Kwek Leng Beng, executive chairman of CDL, resisted allowing IOIPG to take an equal stake in order to maintain control, based on a biography published in 2023, Bloomberg said. In CDL's Wednesday statement, the elder Kwek said: 'South Beach began as a bold vision to enhance Singapore's reputation as a global city, attract international investors and create a new icon that blends modern, sustainable architecture while preserving the site's conserved buildings.' IOIPG group CEO Lee Yeow Seng said: 'The acquisition of the 100 per cent equity stake in this landmark development marks a significant strategic expansion for IOIPG in Singapore. Combined with the IOI Central Boulevard Towers and W Singapore – Marina View hotel, this acquisition will elevate the group's profile as one of the major landlords of premium office space and a prominent player in the hospitality industry within the Republic.' The Malaysia-listed group is controlled by the Lee family, which made its fortunes from palm oil. CDL shares were up 2.1 per cent or S$0.10 at S$4.97 on Wednesday as at 3.24 pm, after its trading halt was lifted. The group said in 2024 that it aimed to divest S$1 billion in assets, and has announced about S$600 million in divestments so far. News of the South Beach sale comes in the wake of a public feud between father and son in CDL's Kwek family, which emerged in late February. While they have since buried the hatchet, the younger Kwek acknowledged at CDL's annual general meeting in April that the dispute had hurt shareholders' confidence, and said reducing the growing debt load is a priority.
