DBS to buy stake in MBFC Tower 3

DBS to buy stake in MBFC Tower 3
Posted: 10 December 2012 1154 hrs
     
SINGAPORE: DBS Group on Monday announced plans to acquire a stake in Marina Bay Financial Centre Tower 3 (MBFC), where the bank's headquarters is located.

In a filing with the Singapore Exchange, the bank said it will pay S$1.035 billion for a 30 per cent share in Central Boulevard Development Pte Ltd - a joint venture of Cheung Kong (Holdings) Ltd and Hutchison Whampoa Ltd.

DBS also has an option to take up another 3.3 per cent interest in the development for an estimated S$115 million.

MBFC Tower 3 is a 46-storey Grade A office building with about 1.35 million square feet (sq ft) of net lettable area. DBS is the anchor tenant at the tower, occupying over 600,000 sq ft or 18 floors of space.

DBS Chief Executive Piyush Gupta said: "The decision to acquire a stake in our new headquarters in MBFC Tower 3 enables us to better manage our occupancy costs in the long-term.

"The Marina Bay area is a location of choice for top financial institutions and businesses and the desirability and value of being housed here is only going to grow as Singapore strengthens its position as a leading Asian financial hub."

- CNA/ck

- wong chee tat :)