CDL and IOI Properties Group Berhad (IOIPG) have announced a landmark deal for the iconic South Beach mixed-use integrated development.
The transaction will be executed via a share sale in the holding company Scottsdale Properties Pte. Ltd.. Based on CDL’s proportionate 50.1% share of its consolidated net assets as of 30 April 2025, the estimated sale consideration is S$834.2 million.
Upon completion of the transaction expected by Q3 2025, IOIPG will gain full ownership of South Beach’s commercial components. The strata-titled residential component, South Beach Residences, has been fully sold since September 2021.
CDL and IOIPG have been long-term JV partners in South Beach since 2011, having co-developed the 3.5-hectare site into one of Singapore’s most recognisable architectural landmarks. Directly connected to Esplanade MRT station and City Hall MRT Interchange, the development features Grade A office space (South Beach Tower), a 634-room JW Marriott Hotel Singapore South Beach, restaurants and cafes (South Beach Avenue and Quarter, as well as the NCO Club) and South Beach Residences comprising 190 luxury apartments and penthouses.
The entire South Beach development is valued at S$2.75 billion.
Mr Kwek Leng Beng, CDL’s Executive Chairman, said, “South Beach began as a bold vision to enhance Singapore’s reputation as a global city, attract international investors and create a new icon that blends modern, sustainable architecture while preserving the site’s conserved buildings. I had the privilege of bringing together esteemed partners, including the late Tan Sri Dato' Dr Lee Shin Cheng, IOIPG’s late Founder and Executive Chairman, who shared my conviction to make South Beach one of Singapore’s most iconic developments. With IOIPG’s partnership, we were pioneers in creating this distinctive landmark and introduced the first JW Marriott branded hotel to Singapore. Today, South Beach is a testament to our long-standing collaboration, foresight and resilience. As this property reaches maturity, we have fulfilled our promise. This strategic divestment enables CDL to realise exceptional value, while entrusting the ownership to a partner that knows South Beach well, marking a natural evolution in our successful partnership.”
Mr Sherman Kwek, CDL’s Group Chief Executive Officer, added, “The iconic South Beach landmark represents the shared commitment and fruitful partnership we have forged with IOIPG for over a decade. Having fulfilled our vision for South Beach – from securing the land site via a rigorous tender process in 2007, navigating macroeconomic challenges, to transforming it into the high-performing, stabilised asset it is today – it is now time to crystallise its value. This transaction gives a strong boost to CDL’s efforts to accelerate capital recycling so as to reduce gearing and redeploy capital. We will continue to unlock value across our diversified portfolio and pursue future growth opportunities.”
Following the divestment of South Beach, CDL continues to hold a sizeable commercial and retail portfolio in Singapore, totalling around 2.6 million sq ft of existing and pipeline lettable space. It also continues to operate six hotels, totalling 2,608 rooms, under its directly owned hotel operator, Millennium Hotels and Resorts, in addition to owning hotels such as The St. Regis Singapore and The Singapore EDITION.
