CDL Singapore enters Brisbane apartments joint venture
Singapore-listed City Developments Ltd has re-entered the Australian residential sector, this time directly rather than through the 2 NZX-listed companies it controls, Millennium & Copthorne Hotels (NZ) Ltd & CDL Investments (NZ) Ltd.
CDL Singapore, part of the Hong Leong Group, has joined Australian developers Abacus Property Group & private company KPG Capital in a partnership to develop 2 30-storey towers on a 2733m² Merivale St site in Brisbane’s South Bank precinct. CDL & Abacus will jointly provide most of the equity funding via a preferred equity interest of about $A30 million each.
The 472 apartments will have an $A275 million gross development value. Site works have begun and both towers have been launched for presales.
CDL executive chairman Kwek Leng Beng said, “Our re-entry into Australia’s residential market is in line with CDL’s overseas expansion strategy, which we announced 2 years ago to supplement our existing Singapore operations. Brisbane’s residential market remains highly attractive due to its affordability when compared to other major cities in Australia. Both domestic & international buyers are looking to Brisbane for greater value & higher yield.”