Singapore’s Frasers Property Retail has introduced a support package for its tenants to provide some relief from the effect of the current coronavirus outbreak on business.
The support package will apply across the group’s portfolio of 14 malls in Singapore, and will pass on the government’s 15 per cent property tax rebate to all qualifying businesses. Tenants will also be permitted to convert security deposits paid in cash into banker’s guarantees to ease cash flow challenges on a case-by-case basis.
“We are cognisant of the challenges that tenants are facing due to the COVID-19 outbreak, and are actively looking to identify ways we can reduce the pressures they are facing,” said Frasers Property Retail CEO Low Chee Wah. “The Tenant Support Package will help stem the immediate cashflow challenges that tenants might be facing due to sudden and unexpected dip in revenue.
“Together with wider marketing assistance initiatives to encourage shoppers to visit the malls, we will continue to engage our tenants and actively review initiatives that can help mitigate the impact on our tenants’ businesses. We will monitor the situation closely, and if the situation worsens, we will consider rolling out additional support such as rental reliefs to tenants who are most affected,” he said.
Other concessions made in the support package include flexibility towards shorter operating hours, complimentary lunch time parking, marketing initiatives targeted at both tenants and shoppers and reduced atrium rental rates.
“FCT fully supports the Tenant Support Package,” said Frasers Centrepoint Trust manager Richard Ng. “Our success depends on the sustainable wellbeing of our tenants and their businesses, and we stand firmly behind them during this difficult time.”