CDL buys $356m land plot in Tokyo
CITY Developments (CDL), Singapore's second-largest developer, bought a plot of land in Tokyo valued at $356 million as it seeks to expand overseas amid declining demand at home.
CDL and a United States-based investment company jointly acquired the 16,815 sq m plot in Tokyo's Shirokane area from Seiko Holdings, the developer said in a statement to the Singapore stock exchange yesterday.
CDL did not name the partner in the statement.
CDL, which hired Grant Kelley from Apollo Global Management as chief executive earlier this year, is entering Japan, where property demand is picking up amid Prime Minister Shinzo Abe's efforts to revive the world's third-largest economy.
Residential values in Singapore slid for a third quarter in the three months to June, the longest losing streak in five years, after the Government introduced loan measures in June last year, widening a campaign that began in 2009 to curb speculation.
"This acquisition is in line with CDL's strategy to accelerate overseas expansion to supplement our existing operations," Kwek Leng Beng, executive chairman at CDL, said in the statement. Japan is "rebounding due to the positive impact of monetary easing, fiscal stimulus and reforms under Abenomics".