By S Anuradha

Singapore-listed property firm Overseas Union Enterprise will begin book-building for a commercial real estate investment trust listing in the city-state on Jan. 13 that may raise as much as $355 million, the Thomson Reuters publication IFR reported.

This will be the first major Singapore IPO of 2014, which could be followed by the South Korea's Lotte Shopping Co Ltd's $1 billion REIT after the Chinese New Year holiday.

The OUE Commercial REIT is targeting a market capitalisation of S$700 million-S$800 million ($631 million)and sponsor OUE plans to retain a stake of around 40 percent.

At present, its listed peers trade at an average yield of 6.5 percent.

The OUE Commercial REIT will feature office building OUE Bayfront in Singapore and the Lippo Plaza Property in Shanghai.

CIMB, Oversea-Chinese Banking Corp and Standard Chartered are the joint global co-ordinators on the IPO, as well as joint bookrunners with Citigroup, JPMorgan and RHB.