CapitaLand Mall Trust (CMT) has agreed to sell its Sembawang Shopping Centre for S$248 million.
The buyer is a JV between Lian Beng Group and Apricot Capital, with the deal being made through CMT trustee HSBC Institutional Trust Services (Singapore), reports CapitaLand Mall Trust Management Limited (CMTML).
Based on the latest independent valuation, Sembawang Shopping Centre was worth $126 million at the end of last year. The divestment is expected to generate net proceeds of about $245.6 million and a net gain of about $119.6 million when the transaction is completed by June.
CMTML CEO Tony Tan says the divestment is in line with its portfolio management strategy, with the net proceeds enhancing CMT’s financial flexibility. When the transaction is complete, CMT’s portfolio will comprise 15 properties in suburban areas and downtown core of Singapore: Bedok Mall, Bugis Junction, Bugis+, Bukit Panjang Plaza, Clarke Quay, Funan, IMM Building, JCube, Junction 8, Lot One Shoppers’ Mall, Plaza Singapura, Raffles City Singapore, Tampines Mall, The Atrium@Orchard and Westgate.
Along Sembawang Road, Sembawang Shopping Centre reopened to shoppers in 2008 following CMT’s acquisition in 2005. It comprises four levels of retail space, including a basement level, with a net lettable area of 143,631sqft. The mall had a committed occupancy of 99.4 per cent at 31 December. Major tenants include Daiso Japan, Food Junction, Giant and Yamaha Music School.