Chinese e-commerce giant Alibaba in partnership with Perennial Holdings—which counts Singapore billionaires Kuok Khoon Hong and Ron Sim among its major shareholders—have won government approval to build the tallest skyscraper in the Lion City, one of the hottest office markets in the Asia -Pacific region.
In its decision dated July 7, the Urban Redevelopment Authority approved the consortium’s proposal to build a 63-story mixed-use commercial, hotel, and residential tower on the site of 8 Shenton Way in Tanjong Pagar, near the Raffles Place central business district. The property, which was originally built in 1986 as the Treasury Building, was once the headquarters of state-investment firm Temasek Holdings.
With a maximum height of 305 meters, the new building will be the tallest structure in Singapore when completed by 2028, surpassing the 284-meter Guoco Tower, currently the city’s tallest completed building, according to URA. Both skyscrapers are linked to the Tanjong Pagar MRT station.
The new building will have a total gross floor area of 148,450 square meters, with commercial space occupying 87,966 square meters and residential apartments comprising 49,420 square meters and the rest allocated to the hotel component and other amenities, according to URA.
The redevelopment of 8 Shenton Way comes amid robust demand for commercial properties in Singapore, which is among the hottest office markets in the region. Investments in the city’s commercial properties increased 81% in the first half to $9.3 billion compared to the previous year, according to property consultant JLL.
Apart from Alibaba and Perennial, Chip Eng Seng and a joint venture between SingHaiyi Group and Haiyi Holdings—which are controlled by property tycoon Gordon Tang and his wife Celine—had earlier this year agreed to buy a stake in 8 Shenton Way.
Credit: www.forbes.com /