Frasers Property Consolidates Ownership of The Centrepoint on Orchard Road for S\$391.9 Million

Key Points for Investors

• Collective Sale Tender Awarded: Frasers Property, through its wholly owned subsidiary Frasers Property Cuppage Pte. Ltd., has been awarded the collective sale tender for the leasehold rear plot at The Centrepoint for S\$391.9 million.
• Strategic Acquisition: The acquisition consolidates Frasers Property’s ownership of both the leasehold rear plot and the freehold front plot at The Centrepoint, strengthening its footprint on Singapore’s premier shopping belt, Orchard Road.
• Land Rate and Details: The tender price translates to a land rate of approximately S\$2,577 per square foot per plot ratio (psf ppr), inclusive of lease top-ups and any land betterment charges.
• Asset Details: The leasehold rear plot comprises 66 retail units and 66 residential apartments under MCST Plan No. 1304. The Centrepoint, completed in 1983, consists of two components: the freehold front plot and the leasehold rear plot.
• Ownership Prior to Sale: Before the collective sale, Frasers Property held over 52% of the rear plot units and about 96% of the units in the freehold front plot by strata area.
• Retail Portfolio Impact: The Centrepoint remains a key asset for Frasers Property’s retail portfolio, with a high occupancy rate of about 98% as of 30 September 2025.
• Location Advantage: The property features prominent main-street frontage and direct access to Somerset MRT station, ensuring healthy shopper traffic.
• Broader Plans: The acquisition provides greater flexibility for potential rejuvenation and redevelopment initiatives in line with national plans to enhance Orchard Road.
• Business Continuity: Operations at The Centrepoint will continue as usual, with ongoing efforts to enhance retail offerings and year-long marketing activities.
• Completion Conditions: The acquisition’s completion is subject to obtaining a sale order approving the collective sale or consent from all subsidiary proprietors.

Implications for Shareholders

• Potential Share Price Impact: This strategic move consolidates Frasers Property’s control over a landmark asset in Singapore’s most prestigious retail location, potentially enhancing long-term asset value and opening avenues for future redevelopment or rejuvenation projects. Such developments could positively influence the company’s valuation and share price.
• Portfolio Strengthening: The increased ownership and flexibility to unlock the site’s long-term potential may bolster investor confidence in Frasers Property’s retail strategy and execution capabilities.
• Ongoing Performance: With The Centrepoint maintaining a high occupancy rate and contributing significantly to the retail portfolio, further improvements or redevelopment could drive higher rental yields and asset values.
• Execution Risk: Investors should note that completion depends on regulatory approval and consent from all subsidiary proprietors, which introduces some execution risk.

About Frasers Property Singapore and Frasers Property Limited

Frasers Property Singapore is a business unit of SGX-listed Frasers Property Limited, owning, developing, and managing a diverse portfolio of residential, retail, office, and mixed-use properties in Singapore. It has developed over 23,000 homes and oversees 12 shopping malls and six commercial properties, with many assets held under its sponsored REITs.

Frasers Property Limited is a multinational investor-developer-operator listed on the Singapore Exchange, with total assets of approximately S\$39.7 billion as of 30 September 2025. The Group operates across industrial & logistics, retail, commercial & business parks, residential, and hospitality, with a presence in Southeast Asia, Australia, Europe, and China.

The Group is committed to ESG principles, aiming for long-term value creation through sustainable finance, inclusive communities, and reduced carbon emissions.

Conclusion

Frasers Property’s acquisition of the leasehold rear plot at The Centrepoint is a significant strategic move, consolidating its control over a landmark asset in Singapore’s premier shopping district. This positions the company for future redevelopment and rejuvenation opportunities, supporting its long-term growth and value creation ambitions. Investors should monitor regulatory developments and potential plans for the site, as these could materially impact Frasers Property’s share price and portfolio performance.

Disclaimer: The information provided in this article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult with financial advisors before making any investment decisions. The completion of the acquisition is subject to regulatory approval and consent from all subsidiary proprietors, which may affect the timeline and eventual outcomes.

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