KUALA LUMPUR: Sunway Bhd’s wholly-owned property development unit in Singapore, Sunway Developments Pte Ltd (SDPL), announced today that it is disposing 30 per cent stake in Hoi Hup Sunway Novena Pte Ltd (HHSN) to Hoi Hup Realty Pte Ltd for SG$39.9 million cash.
In a statement today, Sunway said the disposal of shares is expected to be completed on June 30 this year.
It said the disposal marks the completion of this project and will enable Sunway to exit and monetise its investment in HHSN.
Sunway plans to use the proceeds from the disposal for its new projects, as well as new land bank acquisitions to strengthen its property development presence in Singapore.
“This includes the recently announced SG$530 million en-bloc acquisition of the residential development known as Brookvale Park, which is located on a prime 999-year leasehold land in Clementi, Singapore.
“The proposed redevelopment on this site shall be undertaken by another 30 per cent Sunway owned joint venture vehicle with Hoi Hup Realty and SC Wong Pte Ltd,” it said.
Sunway said notwithstanding the disposal of the stake in HHSN, Sunway has retained an entire floor of medical suites in Royal Square at Novena with total floor area of approximately 8,500 sq ft with the aim of establishing Sunway Medical’s maiden presence in Singapore.
Targeted to commence operations by end 2018, Sunway Medical Singapore is envisaged to be a collection of clinics housing doctors in various specializations and a wellness center.
Separately, it said Hoi Hup Sunway Sengkang Pte Ltd’s SG$658 million Rivercove Residences, comprising 628 units of executive condominium units within ten 16-storey blocks at Anchorvale Lane, Singapore has been 98 per cent sold.
Launched on April 14, the riverside development, which is next to the tranquil and scenic Punggol Reservoir has been snapped up by eager buyers, recording 80 per cent sales on its first day of launch.