Sunray Woodcraft Construction from Singapore Sets Sights on Hotel Telegraph Acquisition

According to Mingtiandi’s report on November 11, an entity connected to contractor Sunray Woodcraft Construction, controlled by Tan Teng Huat and family, is currently conducting due diligence for the acquisition of Hotel Telegraph, a 134-key hotel located at the corner of Robinson Road and Boon Tat Street in Singapore, from Viva Land. Sunray Woodcraft Construction Pte Ltd., established in 1987, is a well-known Singaporean brand specializing in commercial interior fit-out projects across Singapore and Asia.

The estimated value of the deal falls between approximately $125 million to $133 million. Viva Land had acquired Hotel Telegraph in May 2022 for 240 million SGD (around $173 million), and the transaction was seen as a significant milestone for Singapore’s hotel market. After the acquisition, Viva Land rebranded the hotel as Hotel Telegraph from its previous name, SO/Singapore. If the deal proceeds, Mingtiandi suggests that Viva Land may incur a potential loss of around $51.42 million, equivalent to a 30% loss. Previously, Viva Land had reportedly listed the hotel for sale at 200 million SGD (around $146.9 million). Additionally, another member of the Sunray family currently holds a 10% stake in a joint venture that acquired the adjacent office complex at 39 Robinson Road from Viva Land earlier this year. The transaction value was reported to be around $293.2 million, which is 20% lower than the record-breaking $367.3 million Viva Land paid for the property in 2020.

Viva Land, allegedly associated with Eric Chu, the husband of Truong My Lan, chairwoman of Van Thinh Phat Group, has recently attracted attention. In February, Chu sold a development site in Quarry Bay, Hong Kong, for $55.46 million, representing a 36% markdown from the property’s acquisition price in 2018. In June, Chu reportedly sold a hotel on King’s Road in Tin Hau, Hong Kong, at a 40% loss compared to the purchase price in 2017, and also let go of a luxury villa in Sun Hung Kai’s Severn 8 project on the Peak. Truong My Lan was arrested due to various irregularities in bond issuance in late 2022.

Viva Land, originally known as Circus Power, primarily operates in the real estate sector. Established in 2020, with headquarters in Hanoi, Ho Chi Minh City, and Singapore, Viva Land is chaired by Chen Lian Pang and has Eddie Lim as CEO. Currently, Viva Land owns and operates several projects on prime land in Hanoi and Ho Chi Minh City, including Saigon One Tower in District 1, One Central Saigon in the center of District 1, Capital Place in Lieu Giai, Hanoi, Tuan Chau Island in Halong City, and Landmark Haiphong in Haiphong.