Wachovia Development Corp. sold its stake in two luxury apartment buildings in Singapore to its joint venture partner City Developments Ltd. (CIT) after five years at a lower price than its initial investment.
Wachovia sold its 60 percent stake in the towers at the Cliveden at Grange development for S$204.5 million ($167 million) to the country’s second-largest property developer, City Developments said.
“City Developments has taken a medium to long-term view of the prospects of the project and has confidence in the project,” the developer said in a Dec. 21 statement.
Wachovia bought the stake in the 110-unit luxury residential project on Grange Road, a prime area in the island city, in 2007. The two partners paid S$432.4 million to acquire the buildings, which have 44 apartments. The 60 percent stake by Wachovia was worth S$259.4 million.
The joint venture between Wachovia and City Developments paid S$3,750 per square foot for the residential project, according to a Nov. 5, 2007 statement by the developer.
The last transaction at the project named ‘Cliveden at Grange’, showed a unit sold for S$3,914 per square feet in Feb. 2008, according to data from the Urban Redevelopment Authority.
Wachovia Development is a subsidiary of Wachovia Corp., which was bought by Wells Fargo & Co. (WFC:US) in 2008.
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