Frasers Centrepoint Trust (FCT), a wholly-owned unit of Fraser and Neave Group, will acquire Bedok Point Mall from its parent company by Q2 next year, said Chew Tuan Chiong, chief executive of FCT.
In January, FCT paid Frasers Centrepoint approximately $290 million for two malls, the YewTee Point at Choa Chu Kang and an extension to Northpoint at Yishun through the issuance of new units and taking on more debt, and Dr. Chew said the acquisition of Bedok Point would likely be financed in the same way.
“We are also quite keen to increase the liquidity of the stock because it (FCT) is quite tightly held,” he added.
According to The Business Times, Bedok Point, which is now 99 percent leased, could cost between $120 million and $140 million, but the final price tag has not been fixed. Currently, it is waiting to receive its Temporary Occupation Permit (TOP).
Meanwhile, FCT has also announced that its distribution per unit (DPU) in Q4 rose 6 percent to 2.16 cents, while total distribution to unitholders increased 29 percent to $16.5 million from $12.8 million in the previous year.
FCT’s Q4 revenue was boosted by the accretive acquisitions of YewTee Point and Northpoint extension (Northpoint 2), as well as the successful revamp of the older part of Northpoint.
During the year, FCT also began the refurbishment of Causeway Point, which will cost approximately $72 million. Property income is targeted to increase by 20 percent after the refurbishment.