Aedge subsidiary buys 219 Kallang Bahru industrial building for $13.99 mil
Using most space operationally while leasing the remainder may lower occupancy dependence and strengthen recurring income, with future enhancement potentially improving the asset’s utility.
Aedge subsidiary HPF Holdings completed its $13.99 million acquisition of the 71,236 sq ft leasehold industrial building at 219 Kallang Bahru.
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HPF Holdings, a 51%-owned subsidiary of Aedge Group, has completed the acquisition of the industrial building located at 219 Kallang Bahru for $13.99 million.
This is part of the group’s long-term growth plan to diversify and generate recurring income, according to a June 30 bourse filing by Aedge. The Singapore-listed company provides engineering, security, manpower, and transport services, and also leases out its investment properties for rental income.
The 219 Kallang Bahru property will be mainly for the group’s own use, with the remaining space tenanted out for recurring income.
Read also: Aedge Group’s subsidiary exercises option to purchase balance of lease at 219 Kallang Bahru for about $14 mil
“At an appropriate opportunity in the future”, Aedge will also explore asset enhancement initiatives to repurpose the building to suit the group’s future needs.
The leasehold property has a 60 years lease term granted by JTC, commencing from February 1984. It spans a land area of 2,652 sq m (28,547 sq ft) and a built-up area of about 6,618 sq m (71,236 sq ft).
The purchase price is in line with the independent valuation of $14 million.
Back in September 2025, the subsidiary HPF had exercised the option to purchase the balance of the lease of the property, paying a deposit of $559,520 to the seller, Chutex Holdings. The balance consideration of $13.29 million was to be paid upon completion of the transaction.
In its latest filing, Aedge noted that this acquisition deepens its presence in recurring-income real estate.
Poh Soon Keng, executive chairman and CEO of the group, said: “Industrial properties such as this one support our core engineering and operational needs, while the additional lettable space provides a steady income stream that complements the project-based revenue from our other business segments.”
This is the group’s third industrial building acquisition. In October 2023, Aedge completed the acquisition of 9 Tuas South Street 11, named Amethyst House. Across nearly 80,000 sq ft of land, it serves as additional warehouse space supporting the growth of the engineering business and now also houses a 299-bed secondary workers’ dormitory.
This was followed by the acquisition of 4 Tuas South Street 11, named Beryl House, in November 2024. Sitting on a 107,643 sq ft site, this includes a four-storey single-user detached warehouse and a 408-bed secondary dormitory, according to Aedge's website.