for $829 mil
Investing in a Condo in Singapore: A Wise Choice for Local and Foreign Investors
Singapore has proven to be a top destination for real estate investment, with its strong economy, stable political climate, and exceptional quality of life. In this thriving city-state, the condominium market is particularly enticing, offering a multitude of benefits such as convenience, luxurious amenities, and promising returns. In this article, we will delve into the advantages, factors to consider, and necessary steps for investing in a Condo in Singapore.
Singapore-based real estate investment firm, CapitaLand Investment, is currently in advanced discussions to obtain a minority stake in the French luxury resort chain, Club Med, from its Chinese owner, Fosun International. Sources close to the matter have revealed that the company is looking to acquire a stake of 20-30%, valued at several hundred million euros. The firm, a subsidiary of the CapitaLand Group, which is owned by Temasek Holdings, has emerged as the front-runner in the bidding process, beating out other interested parties, including private equity firms.
According to sources, negotiations are ongoing, and no final decisions have been made yet. Fosun International has been actively working to reduce its debt burden, which includes selling off assets and reducing borrowing. These efforts have helped the company regain the confidence of global investors, making it one of the few Chinese conglomerates to see a recovery in recent years. Fosun International, led by billionaire Guo Guangchang, holds Club Med through its listed leisure arm, Fosun Tourism Group. Club Med is renowned for its all-inclusive resorts, offering a variety of leisure activities such as fine dining, massages, yoga, scuba diving, and baby gym classes. It currently operates over 60 resorts worldwide in destinations such as the French Alps and the Maldives.
CapitaLand Investment, which was listed in late-2021 during a major restructuring at CapitaLand Group, is facing pressure from the market due to its significant investments in China, which is currently experiencing a property downturn. Temasek Holdings, which owns a majority stake in the investment arm, is the parent company of CapitaLand Group. A representative from CapitaLand Investment and Fosun Tourism declined to comment on the matter, while Fosun International has yet to respond to requests for comment. In other recent news, CapitaLand Investment successfully raised RMB1 billion from its first sustainability-linked panda bond and posted a decline in earnings of 79% to $181 million for the FY2023 period. It also acquired three properties in Singapore and Thailand for a total of $829 million.