Ho Bee Land on March 15 announced that it has disposed two of its properties, located at 12 Tannery Road and 31 Tannery Lane, for a total consideration of $115 million. The deal has already been made unconditional after the conditions of the disposal were satisfied on March 14. The properties are both located in District 13 off MacPherson Road.
The property at 12 Tannery Road, known as HB Centre I, is a 10-storey high-tech industrial building with a total gross floor area of 9,347 sqm. The property at 31 Tannery Lane (HB Centre II) is an eight-storey light industrial building with a GFA of 3,701 sqm. The purchase has already been paid in part, having paid 10% of Champions Way Condo the consideration, with the remaining balance to be paid upon completion.
The properties are valued at $67.9 milion as at December 2022, leaving the group with a gain on disposal of $47.1 million before selling expenses. The gain will be reflected in the consolidated earning and net tangible assets of the group upon completion, which is expected to be by June 27.
The purpose of this disposal is part of the group’s capital recycling strategy in the normal course of business. The proceeds from the disposal shall be used for general working capital purposes for the group.