Sasseur REIT's Subsidiary Sued by Construction Firm

News about Sasseur Real Estate Investment Trust

One of Sasseur REIT's subsidiary is on the receiving end of a lawsuit by construction firm Zhongjian Sanju No 2, claiming 148.4 million yuan (or S$29.5 million) plus legal cost. The firms are in dispute over the final construction sum payable for a Sasseur property in Hefei completed in May 2016.

Sasseur Cayman Holding Ltd, together with its subsidiary Sasseur Cayman Holding II Ltd and DBS Trustee Ltd, had entered into a sales and purchase agreement (SPA) on Nov 16, 2017 to acquire Hefei Outlets.

Pursuant to the SPA, Sasseur Cayman Holding had irrevocably and unconditionally undertaken to indemnify Sasseur Reit against, among other things, any losses that Sasseur Reit and its subsidiaries may suffer in connection with additional construction payables that were not already provided for in the SPA, said Sasseur Asset Management in an Exchange filing.