BlackRock agrees to sell Singapore office spot to Qatar Investment Authority for $2.5bn

Hayley Kirton
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The deal is one of the biggest of its kind (Source: Getty)

BlackRock announced today that it had agreed to hand over the keys to an office complex in Singapore to sovereign wealth fund Qatar Investment Authority for $2.5bn (£1.7bn).

Asia Square Tower 1 consists of 43-storeys of space and more than 1.25 million square feet of area that could be let out. Citibank, one of the building's most notable tenants, has been in residence since 2011.

"We value our strong partnership with Qatar Investment Authority, and are delighted to have the opportunity to work closely with them on this landmark real estate transaction," said Mark McCombe, BlackRock's global head of institutional client business and head of BlackRock Alternative Investors. "Singapore remains well-positioned as a gateway city offering premium commercial real estate opportunities to long-term international investors."

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John Saunders, head of APAC for BlackRock Real Estate, added:

This premier office project is testament to BlackRock’s strong capability in real estate development and management to meet the needs of tenants and investors seeking core assets. We are very pleased with the sale, and look forward to working closely with Qatar Investment Authority to maintain the pre-eminent status of Asia Square.

JLL and CBRE advised on the sale for BlackRock.

According to data from JLL, the sale is the largest single-tower real estate transaction in Asia Pacific since the property consultant started collecting data in 2004, and the second largest single-tower real estate transaction globally.

Qatar Investment Authority has quite a diverse portfolio of interests, as it is also one of the biggest shareholders in Glencore and a major shareholder in Shell.

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