Hongkong Land plans to launch Singapore’s largest private real estate fund – the Singapore Central Private Real Estate Fund (SCPREF) – which is expected to have a prime office portfolio of S$8bn (€6.8bn) at inception.
The move follows news that the company had sold its interest in Marina Bay Financial Centre (MBFC) Tower 3 to Keppel REIT for S$1.5bn yesterday.
Hongkong Land said the level of equity commitments by third-party capital investors into SCPREF is in the final stage of documentation. The establishment of SCPREF is in line with the company’s strategy to grow its assets under management (AUM) to US$100bn (€85bn) by 2035, with “meaningful participation” from third-party capital investors.
The listed company, part of the Jardine Matheson group, said the fund would be a unique private investment platform that would own and operate some of Singapore’s most valuable real estate assets in terms of location, tenants, and resilience of rental income.
Its assets include interests in office towers in Marina Bay Financial Centre and One Raffles Quay – all located in Singapore’s financial precincts of Raffles Place and Marina Bay.
It said that in accordance with its contractual obligations, it had to first offer the stakes in the MBFC towers to its existing joint-venture partners before transferring them into the trust. The deadline for acceptance was 11 December 2025.
Co-investor Keppel REIT exercised its pre-emptive right to buy the stake in MBFC Tower 3.
Hongkong Land stated: “As the pre-emptive offers for the other three buildings have now lapsed, Hongkong Land plans to transfer its interests in these assets into SCPREF, together with its 100% interest in One Raffles Link.”
Combined, these assets were valued at S$3.9bn at 30 June 2025. Hongkong Land stated that it intends to put other assets that it owns or acquires into the fund to double SCPREF’s AUM at launch.
The company said net proceeds from the sale of MBFC T3 would increase Hongkong Land’s total capital recycling achieved since 2024 to US$2.8bn – around 70% of its 2027 US$4bn capital recycling target.
It added that Singapore remained a core market for Hongkong Land, with the company planning to use the capital recycled from the sale of MBFC T3 and SCPREF to further invest in ultra-premium integrated commercial properties in Singapore as it continued to implement its strategy.
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