Singapore’s government is transferring a plot of land in one of its priciest residential enclaves to the eldest son of Malaysia’s billionaire king, in exchange for a larger vacant parcel that his family has owned for more than a century.
Ismail Ibrahim, the Regent of Johor state, is the registered owner of a 21.1 hectare (52 acres) parcel of land along Holland Road that is worth billions of dollars. It is close to Singapore’s Botanic Gardens, a colonial-era attraction which has become a UNESCO World Heritage Site.
The city-state’s Urban Redevelopment Authority said Ismail “plans to develop his land,” and the government has reached an agreement to swap an adjacent parcel with him.
As part of the deal, Ismail will transfer 13 hectares of his land closest to the gardens to the Singapore government, which will hand him 8.5 hectares of state land nearby that is “of comparable value,” the URA said.
The estate lies in an area known as Tyersall Park, which inspired the setting of the 2018 hit movie ‘Crazy Rich Asians.’ There have been discussions for years about transforming the land into a multibillion-dollar luxury residential development.
, which is close to many embassies and the country’s major Orchard Road shopping belt, is home to many of the city’s priciest luxury real estate, especially mansions known as good class bungalows, which are typically sold for tens of millions.
Ismail, who is also the Crown Prince of Johor, was in talks with local authorities and seeking permission to develop a cluster of high-end homes on the land.
Since then, his father Ibrahim Iskandar has gained more political power, and became Malaysia’s monarch last year due to his role leading Johor, a state which borders Singapore.
The royal family’s fortune was worth about $5.7 billion last year, according to a Bloomberg estimate. The estate in Singapore makes up a significant chunk of it.
The area to be developed is suitable for low-rise and low-density residential uses, although they will be subject to environmental studies and assessment from government agencies. The land plot the Singapore government is taking over will be kept undeveloped “for now,” the URA said.
Ibrahim’s newly redrawn 16.6-hectare land could be worth about S$3.67 billion to S$3.83 billion ($2.9 billion to $3 billion), said Nicholas Mak, chief research officer at property portal Mogul.sg, in a note. He said the plot could yield a mixture of condominiums and landed houses.
