Residential

Blackstone waiting 5 years for better returns from Sentosa deal Blackstone Group, which is taking part in the financing of luxury Singapore properties, is prepared to wait up to five years for better residential transaction prices. Together with Malaysia’s CIMB Bank, both have agreed to finance several property development projects owned by City Developments this week. Both Blackstone and CIMB will receive a fixed 5% coupon for 5 years and other cash flows from the Sentosa project, as well as proceeds from the sale of luxury residential units on Sentosa. Blackstone is taking advantage of a slowdown in the Singapore housing market following government curbs since 2009, and has accelerated investments in Asia this year. According to Kishore Moorhani, managing director of Blackstone’s Tactical Opporunities Group, the property investor will not be satisfied with just a 5% return on its Sentosa investment and instead, are targeting the long term ......