A related entity to Singapore’s Sunray Woodcraft Construction (Sunray) is reportedly assessing the acquisition of Hotel Telegraph from Viva Land, a Vietnamese property developer.

“An entity related to contractor Sunray Woodcraft Construction, which is controlled by Tan Teng Huat and family, is in due diligence to buy the 134-key Hotel Telegraph at the corner of Robinson Road and Boon Tat Street from Viva Land,” cited Mingtiandi on November 11.

Founded in 1987, Sunray Woodcraft Construction Pte Ltd. is an established Singapore brand specialising in commercial interior fit-out, with business activities spanning across Singapore and Asia.

The deal is estimated to be valued between approximately $125 million - $133 million.

Hotel Telegraph, situated at the intersection of Robinson and Boon Tat streets in Singapore, was acquired by Viva Land in May 2022 for 240 million SGD (about $173 million). The transaction at the time was hailed as a benchmark for Singapore’s hotel market. Following the acquisition, Viva Land rebranded SO/Singapore to Hotel Telegraph.

According to Mingtiandi, Viva Land could potentially incur a loss of around $51.42 million, equivalent to a 30 per cent loss, if the deal goes through. Previously, Viva Land had reportedly put the hotel on the market for 200 million SGD (around $146.9 million).

Meanwhile, another member of the Sunray family currently holds a 10 per cent stake in a joint venture that acquired the office complex at 39 Robinson Road - adjacent to Hotel Telegraph - from Viva Land earlier this year.

The transaction value is reported to around $293.2 million, 20 per cent lower than the record-breaking $367.3 million paid by Viva Land for the property in 2020.

Viva Land, reportedly linked to Eric Chu, husband of Truong My Lan, chairwoman of Van Thinh Phat Group, has been in the spotlight in recent months.

In February, Chu sold a development site in Hong Kong’s Quarry Bay for $55.46 million, which represented a 36 per cent mark-down from what he had paid in acquiring the property in 2018.

In June, Chu was reported to have sold a hotel on King’s Road in Hong Kong’s Tin Hau area, taking a 40 per cent hit from the 2017 purchase price, and let go of a luxury villa in Sun Hung Kai’s Severn 8 project on the Peak.

Truong My Lan was arrested following several 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, with 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 at the centre of District 1, Capital Place in Lieu Giai, Hanoi, Tuan Chau Island in Halong city, and Landmark Haiphong in Haiphong.

Vietnam Investment Review