Centurion Corporation Wins Singapore Lok Yang Way Dormitory Tender
Centurion Corporation secured a S$221.7 million tender from JTC for a Singapore dormitory site, adding 5,000 beds to its worker accommodation portfolio.
Dormitory Site Awarded
Centurion Corporation secured a 30-year leasehold for a purpose-built dormitory (PBWA) site at Lok Yang Way. JTC Corporation awarded the tender. Centurion's S$221.7 million bid was the highest among ten submissions, exceeding the next by 1.2 percent. The 28,441 sq m site's completion is scheduled for November 2026.
Centurion intends to develop the land into a PBWA with 5,000 beds, the maximum allowed by the land's 2.5 times gross plot ratio. This development will increase Centurion's Singapore PBWA capacity by approximately 12 percent.
Development and Joint Venture
The new facility will meet updated dormitory standards. Centurion expects completion in 2Q2028, with operational readiness by 3Q2028. The company will develop this asset through a 90:10 joint venture, with Centurion holding the majority stake and an unnamed partner the remaining 10 percent.
Upon asset stabilisation, Centurion intends to offer the property to Centurion Accommodation REIT (CAREIT) under a rights of first refusal (ROFR) agreement.
Strategic Capacity Expansion
Centurion CEO Kong Chee Min noted that Lok Yang Way, combined with the Kranji Close site, will bring 12,000 beds online by 3Q2028. This timing coincides with upgrades to existing dormitories to meet higher standards. These additions will expand Centurion's total Singapore capacity to nearly 54,000 beds.
Kong described this as a meaningful capital deployment into their owned and operated portfolio, supporting local and international growth.
Singapore's increased PBWA capacity directly addresses the demand for foreign worker housing. This supports sectors like construction and manufacturing, which rely on migrant labour, by ensuring adequate accommodation supply. The phased introduction of new beds, alongside existing facility upgrades, mitigates potential supply disruptions.
For investors, this acquisition demonstrates Centurion's commitment to expanding its core asset base in a key market. Centurion shares gained 1.28 percent to S$1.58 at 9.32am following the announcement.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
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