AEW Asia, the Asia-focused division of real estate investment management firm AEW Capital Management, has sold a commercial office building in Shanghai to Ascendas-Singbridge, the Singapore-headquartered developer and fund manager jointly owned by Temasek Holdings and JTC Corporation.
The selling price of the property located at 686 Jiujiang Road in the Huangpu District was not disclosed.
AEW Asia acquired the 14-story, 268,000-square-foot office building in July 2015 via the AEW Value Investors Asia II. The second in the series of value-added funds launched by the firm closed on $590 million in May last year. AEW Asia reportedly paid $147.2 million to purchase the asset from Blackstone.
In a statement announcing the transaction, Ascendas-Singbridge said that it plans to rename and upgrade the building, which would include creating more flexible workspaces to support the growth of innovative enterprises.
“China has always been a key market for Ascendas-Singbridge and we are optimistic about its prospects and economic development,” commented Charles Chan, chief executive officer for China at Ascendas-Singbridge.
“At present, China is actively introducing reforms that are accelerating the growth of innovation and development of the knowledge economy. We hope that through the continuous enhancement of our product and service offerings, we will create new business space platforms that will inspire creativity and vitality, thus contributing to China’s economic transformation.”
China has been a key investment market for Ascendas-Singbridge. In 2015, the firm raised and deployed $247 million for an industrial and business parks-focused China fund.