SINGAPORE - Property heavyweight City Developments (CDL) has acquired a landmark Stag Brewery site in Mortlake, South West London for £158 million (S$334.96 million).
CDL said in a statement on Thursday that the freehold site - sold by global brewer AB InBev - has "tremendous potential" to be redeveloped into a new mixed-use project, complete with a riverside residential belt.
The acquisition by CDL's unit Reselton Properties is expected to be finalised by the first week of December.
CDL executive chairman Kwek Leng Beng said the deal is in line with the company's plans to step up its overseas diversification.
"Greater London is a key focus for our UK real estate platform, which we established in 2013. Greater London is seen as an attractive alternative to Central London as buyers have increasingly sought more value for their money," Mr Kwek added.
Spanning 89,031 sq m, the site is in the London Borough of Richmond upon Thames. CDL said the site sits "right beside" the River Thames and about 200 meters from the rapid overland train link to Central London's mainline station, Waterloo.
Central London is a 25-minute train ride from Mortlake, it added.
The site's planning brief promotes mixed-used scheme, which will accommodate a major residential development, new school, a hotel and other employment and leisure uses.
CDL said it presents an opportunity to create a new riverside residential belt for Richmond, with "a new green parkland spine" leading from the existing commercial centre of Mortlake to the Thames.
The Stag Brewery site is CDL's eighth acquisition in Britain.
"We will continue to build traction and capitalise on property development and investment opportunities in the UK," Mr Kwek said.
Planning and consultation process for the redevelopment of the site in Mortlake will commence in early 2016. CDL expects planning approval to be granted in the first quarter of 2018, and undertaken in two phases.