IOI eyes US$760mil deal in Singapore

Malaysian property magnate Lee Yeow Seng, the CEO of IOI Properties Group Bhd, is reportedly aiming to acquire two Singapore real estate assets for a potential US$760 million deal. The properties in question are Chijmes, a retail venue located in the heart of Singapore's civic district, and the nearby Capitol Kempinski hotel. IOI is currently engaged in exclusive talks and due diligence to finalize the purchase of these assets.

Chijmes, previously known as the Convent of the Holy Infant Jesus, has been valued at S$379 million as of the end of 2025. The Capitol Kempinski hotel, on the other hand, has been marketed for approximately S$600 million. Perennial Holdings, a Singapore developer, has been attempting to sell the Kempinski hotel.

IOI's aggressive real estate buying spree has led to a record year for real estate transactions in Singapore. The firm is now seeking investors for a new fund to facilitate further expansion and alleviate the burden of debt incurred through its rapid acquisitions. Lee, the 47-year-old CEO, is a latecomer to Singapore's competitive property market and seeks to challenge the dominant wealthy clans in the industry.

Perennial Holdings holds about a third of Chijmes and around 80% of Capitol Singapore, a broader complex that includes the hotel and a retail mall, as well as residential units. A vehicle backed by a Southeast Asian sovereign wealth fund also holds a minority stake in both assets. Other notable investors in Chijmes include Breadtalk Group Pte and Ronald Ooi, the former chair and CEO of Kim Eng.

IOI is exploring the possibility of attracting high-end fashion brands to Chijmes to increase rental income, as the current retail mix primarily consists of food and beverage outlets. The firm also aims to replace the Kempinski hotel with a global ultra-luxury hotel brand.