News release

JLL acts as advisor to Alibaba’s 50% purchase of AXA Tower, Singapore

Investor appetite for CBD assets remains strong

May 06, 2020

SINGAPORE, 6 MAY 2020 – JLL today announced it acted as the real estate advisor to Alibaba Singapore, part of Alibaba Group Holding Limited, in its 50% share purchase agreement (SPA) of AXA Tower from Perennial Real Estate Holdings Limited (“Perennial”) through Perennial Shenton Investors Pte. Ltd, a Perennial-led entity comprising a consortium of investors. Under the terms of the SPA, Alibaba Singapore will acquire a 50% stake in Perennial Shenton Holding Pte. Ltd, which indirectly owns AXA Tower, and the transfer of 50% of the shareholders’ loan outstanding, based on an agreed property price of S$1.68 billion. 

“Investors have remained optimistic throughout this uncertain environment and stayed active in their pursuit of core assets in Singapore. This transaction will provide a confidence boost to the Singapore market and reaffirm investor appetite for CBD assets,” said Ting Lim, Executive Director, Head of Capital Markets, Singapore, JLL. 

AXA Tower, located at 8 Shenton Way, is a grade-A office development in Singapore's central business district with 50 stories and an attached podium of retail space. AXA Tower currently has an existing gross floor area (GFA) of approximately 1.05 million square feet. It has received approval from the Urban Renewal Authority further to increase its GFA to 1.55 million sq ft to integrate hotel and residential usage under the CBD Incentive Scheme.

Alibaba Singapore will complete its purchase around June 2020, subject to all transaction conditions being fulfilled. Upon completion, the company will also enter into a new joint venture with Perennial Newco, a consortium of investors including Perennial, with an equity interest in AXA Tower, to redevelop the property. Alibaba Singapore currently serves as an anchor tenant of AXA Tower. 

“Amid ongoing market uncertainty related to the COVID-19 pandemic, technology and e-commerce companies have become essential providers of goods and services across the region. As a result of increased demand for their services and strong capital positions, they have remained active in their expansion and investment plans, with global gateway cities like Singapore proving an attractive destination for deployment,” said Regina Lim, Head of Asia Pacific Capital Markets Research, JLL.

About JLL

JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $18.0 billion, operations in over 80 countries and a global workforce of more than 94,000 as of March 31, 2020. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit