SINGAPORE: The Big Box shopping mall in Jurong East has been acquired by Perennial Real Estate for S$118 million, said the developer on Friday (Dec 4).
In a media release, Perennial said it has obtained JTC Corporation's confirmation for the zoning of site to be changed to a business park.
More than S$70 million is also expected to be invested to redevelop the former warehouse space, which has a land area of approximately 606,600 sq ft.
The redeveloped property will be renamed Perennial Business City and is expected to be completed "progressively" from Q4 next year, said the developer.
Commercial real estate firm CBRE Singapore has been appointed to manage the marketing and leasing of the space to potential tenants from industries such as infocomm technology, biomedical sciences, consumer goods and finance.
Perennial will own a majority 51 per cent stake in Perennial Business City, it said.
The remaining will be held by other investors including HPRY Holdings, the investment vehicle of Mr Kuok Khoon Hong, who is also the chairman of Perennial.
The transaction is expected to complete by mid-February 2021.
Perennial CEO Pua Seck Guan said the acquisition marks a "major milestone", expanding the firm's real estate portfolio to include business parks.
"We are pleased to have the opportunity to redevelop the asset to capitalise on the burgeoning demand for business parks, and for the new Perennial Business City to add to the vibrancy of the Jurong Lake District," he said.
Big Box is among the facilities recently fitted with beds to house COVID-19 patients.