BlackRock to sell 43-storey office building in Singapore to QIA for $2.45 bn

BlackRock Inc, the world's largest asset manager, today struck a deal to sell a 43-storey office building in Singapore to Qatar's sovereign wealth fund Qatar Investment Authority (QIA), for S$3.4 billion ($2.45 billion).

Qatar Investment AuthorityThe sale represents the largest single-tower real estate transaction in Asia Pacific to date, and the second-largest single-tower real estate transaction globally, according to Jones Lang LaSalle (JLL), who advised on the deal.

QIA is buying the 43-story Asia Square Tower 1 in Singapore's Marina Bay business and financial district comprising of more than 1.2 million square feet of Grade A office space and nearly 40,000 square feet of retail space.

Asia Square Tower 1, which has an occupancy rate of 91 per cent, has tenants that include Citibank, Julius Baer and insurance firm Marsh & McLennan.

BlackRock, which also owns Asia Square Tower 2, had last year put Tower 1 on the block and had said that it could fetch more than S$4 billion for Tower 1 and may also sell Tower 2.

"Asia Square is one of the most prestigious commercial developments in the region and represents a rare opportunity to acquire a premium, highly sought-after property in one of Asia's most important business and financial centres," said Stuart Crow, head of Asia Pacific Capital Markets at JLL.

"We are delighted to have worked with BlackRock and QIA on this landmark deal which, when complete, will be one of the biggest ever real estate transactions globally," he added.