Hongkong Land Launches Singapore’s Largest Commercial Real Estate Private Fund: Major Strategic Move with Potential Share Price Impact

Date: 3 February 2026

Issuer: Hongkong Land Holdings Limited

Key Points from the Announcement

• Launch of Singapore Central Private Real Estate Fund (SCPREF): Hongkong Land has announced the successful launch of its inaugural private real estate fund, SCPREF, with assets under management (AUM) of S\$8.2 billion (US\$6.4 billion) at inception, making it Singapore’s largest office-focused private investment platform.
• Strategic Capital Recycling: The Fund recycles capital from Hongkong Land’s prime real estate assets, providing a platform for acquiring new ultra-premium integrated commercial properties in Singapore.
• Ambitious Growth Target: The launch of SCPREF is a crucial step towards Hongkong Land’s target of US\$100 billion AUM by 2035 and represents the formation of a third-party capital investment platform with leading global institutional investors.
• High-Profile Institutional Investors: Hongkong Land holds a majority stake in SCPREF at inception, joined by founding investors Qatar Investment Authority (QIA) and APG Asset Management (APG), as well as an established Southeast Asian sovereign wealth fund.
• Initial Portfolio Composition: SCPREF’s portfolio includes 100% of Asia Square Tower 1, 33⅓% of Marina Bay Financial Centre Tower 1 & 2 and Marina Bay Link Mall, 33⅓% of One Raffles Quay, and 100% of One Raffles Link – collectively representing 2.6 million sq ft of Net Lettable Area (NLA) and a Gross Asset Value (GAV) of S\$8.2 billion as of December 2025.
• Growth and Expansion Plan: The Fund targets growing GAV to at least S\$15 billion through selective acquisitions and a pipeline of future commercial assets in Singapore.

Details for Shareholders and Potential Price-Sensitive Developments

• Major Capital Recycling and Share Buyback: The launch of SCPREF, together with the sale of Marina Bay Financial Centre T3, has enabled Hongkong Land to receive net proceeds of US\$1.3 billion, bringing total proceeds from recycling activities since 2024 to US\$3.4 billion, surpassing 80% of the company’s 2027 US\$4 billion target.
• Share Buyback Programme Increased: The company has increased its share buyback programme by an additional US\$300 million, raising the total to US\$650 million (since 2024). This represents roughly 20% of the total capital recycled to date. The buyback will continue through 30 June 2027 and will commence after the annual results release on 5 March 2026. All repurchased shares are to be cancelled, reducing the outstanding share count, a move likely to be supportive for the share price.
• Strong Institutional Endorsement: SCPREF has committed equity of S\$4.1 billion (US\$3.2 billion), with over S\$1.8 billion coming from third-party capital, signaling strong endorsement by global sovereign wealth and pension funds.
• Open-End Core Fund Structure: The perpetual open-end structure of SCPREF is designed to continuously attract long-term institutional capital, growing fee income and reinforcing Hongkong Land’s position as a leading capital manager.
• Environmental, Social, and Governance (ESG) Leadership: SCPREF launches with premium, high-performing assets certified under Singapore’s BCA Green Mark Platinum or Super Low Energy standards. Hongkong Land is a signatory to the UN-supported Principles for Responsible Investment and is recognized as a Global Listed Sector Leader in the Global Real Estate Sustainability Benchmark (GRESB).

Strategic and Financial Implications

• Long-term Value Creation: The establishment of SCPREF marks a pivotal move in Hongkong Land’s strategy to broaden its investment platform, grow resilient new fee income streams, and attract long-term institutional capital partners.
• Balance Sheet Strengthening: The capital raised will be used to improve shareholder returns and to pursue new investment opportunities aligned with the company’s growth strategy.
• Market Leadership: SCPREF’s portfolio offers exposure to Singapore’s most strategic and prestigious locations, with premium Grade A office assets, high occupancy, blue-chip multinational tenants, and excellent connectivity.
• Active Pipeline and Future Growth: The fund has a mandate to acquire additional high-quality commercial assets in Singapore’s Central Business District and Orchard Road District, and will benefit from a pipeline of future developments by Hongkong Land.

About Hongkong Land

Hongkong Land is a major listed property development, investment, and management group, focusing on ultra-premium mixed-use real estate in Asian gateway cities. With over US\$50 billion in AUM, its portfolio spans 1.82 million sq. m. of lettable area in operation and 1.57 million sq. m. under development, including flagship projects in Hong Kong, Singapore, and Shanghai. Hongkong Land maintains industry-leading green building certifications and attracts top-tier tenants and luxury brands. The company is listed on the London Stock Exchange, with secondary listings in Singapore and Bermuda, and is a member of the Jardine Matheson Group.

Investor Takeaway

The launch of SCPREF, the significant capital recycling, increased share buyback, and strong institutional backing represent material developments for Hongkong Land. These actions are likely to be viewed positively by shareholders, as they are expected to enhance shareholder returns, strengthen the balance sheet, and expand Hongkong Land’s recurring fee-based income. The ongoing buyback programme and the reduction in outstanding shares could provide support to the share price. Furthermore, the company’s ESG leadership and pipeline for future growth further solidify its position as a premier real estate manager in Asia.

Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell any securities. Investors should conduct their own research or consult a qualified financial advisor before making investment decisions.