MENARA RAJA LAUT (FORMERLY KNOWN AS MENARA EON BANK) FOR SALE AT RM220MIL

Hong Leong Financial Group Bhd (HLFG) has proposed to acquire Hong Leong Bank Bhd (HLB)'s Menara Raja Laut and the parcel of land it sits on for a cash consideration of RM220 million.

HLFG’s entered into a sale and purchase agreement with HLB for the proposed acquisition.

The proposed acquisition is expected to be completed by the first half of this year, barring any unforeseen circumstances, it said.

MENARA RAJA LAUT (FORMERLY KNOWN AS MENARA EON BANK) FOR SALE AT RM220MIL

Currently, 41% of the office building is occupied by tenants, of which 36% comprised HLB and its subsidiaries. Part of the land is leased to Tenaga Nasional Bhd.

Upon completion of the proposed acquisition, HLB is expected to lease its occupied office space from HLA with a rental payment of about RM5.14 million per annum. The proposed acquisition is in line with HLA’s “strategic asset allocation” as it may provide long-term yield and/or capital appreciation potential. The group may consider proposals to refurbish and redevelop the building including collaborations with a property developer to do so.

Some basic details on Menara Raja Laut (formerly known as Menara Eon Bank)

Location :

Located at Jalan Raja Laut , matured commercial area with good accessibility via Jalan Kuching, Jalan Sultan Ismail and Jalan Tun Razak

Public transports within 1 km radius – STAR and PUTRA LRT Lines, KTM & Monorail StationsWide Catchment Area

Project land area : 1.4 acres

Net lettable area : 400,000sf

Car park bays : 625 bays

Tenure : Freehold