Tycoon Raj Kumar Sells Prime Orchard Road F&B Space for $195 Million

Royal Holdings—controlled by property tycoon Raj Kumar and his son Kishin RK—is selling a cluster of shophouses in Singapore’s Orchard Road shopping precinct for S$250 million ($195 million). The sale of the property, Cuppage Terrace, which is occupied by bars and restaurants, comes on the heels of the proposed collective sale of the residential and retail block of the Centrepoint shopping mall next door for S$418 million. “This is a truly generational asset, rarely brought to market, representing an unparalleled opportunity for investors to acquire a unique asset with a palatable investment quantum of S$250 million in the heart of the internationally-recognised Orchard Road,” Clemence Lee, executive director for capital markets at CBRE Singapore, said in a statement. “We anticipate robust interest from a diverse spectrum of local and international capital, including family offices, funds, and high-net-worth investors, all vying for this one-of-a-kind trophy asset.” Comprising 17 adjoining conservation shophouses, Cuppage Terrace has about 50,891 square feet (4,728 square meters) of built up space, including outdoor refreshment areas spanning more than 12,000 square feet. The 99-year leasehold property has about 62 years left. The proposed sale of Cuppage Terrace is well-timed as the Orchard Road shopping belt is undergoing a major facelift with several older properties in the area undergoing redevelopment. For instance, UOL Group is building a new hotel on the site of the former Faber House, while Singtel has partnered with Australian developer Lendlease to build a twin office tower at the former Singtel Comcentre headquarters across the Somerset MRT station. MORE FOR YOU Cuppage Terrace is one of several properties owned by Royal Holdings which is run by father-son duo Raj Kumar and Kishin. With a combined net worth of $3.2 billion, they are among the wealthiest in Singapore. Their prized holdings include the 442-room Holiday Inn Express at Clarke Quay, Holiday Inn Little India and the hotel Intercontinental Singapore Robertson Quay.