Keppel REIT strengthens its Singapore portfolio with the acquisition of an additional one-third interest in Marina Bay Financial Centre Tower 3

Keppel REIT Management Limited, as manager of Keppel REIT (the “Manager”), is pleased to announce that it has accepted the offer set out in the pre-emptive offer notice from Sageland Private Limited (the “Vendor”) for Keppel REIT to acquire an additional one-third interest in Marina Bay Financial Centre Tower 3 ("MBFC Tower 3") in Singapore at an agreed property value of S$1,453.0 million or approximately S$3,268 per square foot (the “Acquisition”). The agreed property value represents a discount of approximately 1.0% to the property’s independent valuation (based on the one-third interest) of S$1,467.3 million. Post-completion, together with the one-third interest which Keppel REIT currently holds in MBFC Tower 3, Keppel REIT will hold in aggregate, two-third interest in MBFC Tower 3.

Strategically located in the heart of Marina Bay, the downtown core of Singapore's Central Business District, the 46-storey MBFC Tower 3 is a premium Grade A office building with an aggregate net lettable area of approximately 1.3 million square feet. It is directly connected to Downtown MRT Station and in close proximity to Marina Bay, Shenton Way, Bayfront, Telok Ayer and Raffles Place MRT stations, ensuring excellent accessibility.

DBS is a key tenant at MBFC Tower 3, which is supported by a diverse and strong tenant base including blue-chip corporations across financial institutions, legal services and technology and media companies among others. The property enjoys a high committed occupancy of approximately 99.5% as at 30 September 2025 and a weighted average lease expiry of 3.5 years^[1]. Looking ahead, the sustained demand for quality office space coupled with the absence of new office supply in the Marina Bay area are expected to support potential rental growth and long-term capital appreciation.

Mr Chua Hsien Yang, Chief Executive Officer of the Manager, said, “The exercise of our pre-emptive right to acquire the incremental one-third share of MBFC Tower 3 presents a rare opportunity to increase our interest in an iconic asset in the prime Marina Bay area, with potential for future rental upside and capital appreciation over the long term. This Acquisition reflects our confidence in Singapore’s prime office sector and reinforces our focus to anchor and continue to grow our portfolio of Grade A commercial assets in the market.”

The Acquisition will be completed on 31 December 2025. Post-completion, Keppel REIT’s Singapore-centric portfolio value will increase from S$9.8 billion across Singapore (75.8%), Australia (20.5%), South Korea (2.8%) and Japan (0.9%) to S$11.2 billion across 14 properties^[2] in Singapore (79.0%), Australia (17.8%), South Korea (2.4%) and Japan (0.8%).

In connection with the Acquisition, Keppel REIT has launched an underwritten non-renounceable preferential offering (the “Preferential Offering”) of new units in Keppel REIT (“New Units”) to raise gross proceeds of approximately S$886.3 million. Unitholders of Keppel REIT (“Unitholders”) who are entitled to participate in the Preferential Offering (“Entitled Unitholders”) will be offered 23 New Units for every 100 existing units held in Keppel REIT (“Units”), at an issue price of S$0.96 per New Unit.

In addition, Keppel Ltd., Keppel REIT Investment Pte. Ltd. and Keppel Capital Investment Holdings Pte. Ltd. have each provided an irrevocable undertaking to HSBC Institutional Trust Services (Singapore) Limited (in its capacity as trustee of Keppel REIT) (the “Trustee”) and the Manager, as well as Keppel REIT Management Limited (in its own capacity) has provided an irrevocable undertaking to the Trustee to subscribe for their respective total provisional allotment of the New Units based on their respective entitlements, demonstrating to Unitholders their commitment to and confidence in the Acquisition, the Preferential Offering and the long-term prospects of Keppel REIT.

The proceeds from the Preferential Offering will be used to partially fund the Acquisition and its related costs^[3]. Details of the Preferential Offering, including eligibility and application procedures, will be set out in the instruction booklet to be despatched to Entitled Unitholders in due course.

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About Keppel REIT (www.keppelreit.com)

Listed by way of an introduction on 28 April 2006, Keppel REIT is one of Asia’s leading real estate investment trusts with a portfolio of prime commercial assets in Asia Pacific’s key business districts.

Keppel REIT’s objective is to generate stable income and sustainable long-term total return for its Unitholders by owning and investing in a portfolio of quality income-producing commercial real estate and real estate-related assets in Asia Pacific.

Keppel REIT has a portfolio value of over $9.0 billion, comprising properties in Singapore; the key Australian cities of Sydney, Melbourne and Perth; Seoul, South Korea; as well as Tokyo, Japan.

Keppel REIT is managed by Keppel REIT Management Limited and sponsored by Keppel, a global asset manager and operator with strong expertise in sustainability-related solutions spanning the areas of infrastructure, real estate and connectivity.

IMPORTANT NOTICE

This media release is for information purposes only and does not constitute or form part of an offer, invitation, inducement or solicitation of any offer to purchase or subscribe for any securities of Keppel REIT in Singapore or any other jurisdiction nor should it or any part of it form the basis of, or be relied upon in connection with, any contract or commitment whatsoever.

The value of the Units and the income derived from them may fall as well as rise. The Units are not obligations of, deposits in, or guaranteed by the Manager, the Trustee or any of their respective affiliates.

An investment in the Units is subject to investment risks, including the possible loss of the principal amount invested. Unitholders have no right to request that the Manager redeem or purchase their Units while the Units are listed. It is intended that Unitholders may only deal in their Units through trading on the SGX-ST. Listing of the Units on the SGX-ST does not guarantee a liquid market for the Units. The past performance of Keppel REIT is not necessarily indicative of the future performance of Keppel REIT. Similarly, the past performance of the Manager is not indicative of the future performance of the Manager.

^[1] Based on attributable committed gross rent and net lettable area.

^[2] Includes the acquisition of 75% Interest in Top Ryde City Shopping Centre, a shopping centre located in Sydney, Australia, that was announced on 8 October 2025 which has not been completed as at the date of this media release.  

^[3] Pending the receipt of proceeds from the Preferential Offering, the Manager will fund the Acquisition with an Equity Bridge Loan of S$886.3 million which will be provided by the joint bookrunners and joint underwriters of the Preferential Offering. The net proceeds raised from the Preferential Offering will be used to repay the Equity Bridge Loan.