Singapore’s Croesus Retail Asset Management is buying a shopping mall in the Hiroshima prefecture of Japan for about US$30 million.

Representing Croesus Retail Trust as a trustee manager, the group has signed an agreement with Grand Natalie Property to buy Fuji Grand Natalie mall in Hatsukaichi City.

Completed in June 1999, the centre was leased to retail chain Fuji, founded in 1967. The mall covers 21,084 sqm and has three floors in the main building and two annexes.

With 53 sub-tenants, the mall had 100 per cent occupancy at December 31. Its key sub-tenants include Daiso, Edion, Fuji, MaxHouse, Namco, Shoe Plaza and Tsutaya.

Fuji Grand Natalie is leased to Fuji until the end of March, 2024. The lease will be renewed automatically upon expiry for one-year terms unless either party objects.

Croesus Retail Asset Management intends to finance the acquisition by using part of its net proceeds from the private placement of 70 million new units in Croesus Retail Trust, launched on March 23 and closed the next day. The company raised gross proceeds of S$52.5 million (US$38.8 million) through the private placement.

The acquisition is expected to be settled by April 18.