FCT extends Northpoint City South Wing management by a year
The automatic renewal follows the March acquisition of the mall’s South Wing
[SINGAPORE] The manager of Frasers Centrepoint Trust (FCT) announced on Monday (Jul 14) an automatic 12-month extension of its management of the South Wing of the shopping mall Northpoint City.
The renewal, which took effect from Monday, will yield economies of scale and ensure continuity as FCT also manages the adjoining North Wing of the mall.
This comes after an evaluation of the performance of Frasers Property Retail Management in its control of the South Wing and its familiarity with the property.
Northpoint City’s South Wing was acquired by the manager of FCT in March this year in order to “implement holistic asset enhancement initiatives and tenant mix strategies”, said trust chief executive Richard Ng.
Additionally, FCT raised around S$220 million in gross proceeds from its private placement in March this year bringing total gross proceeds to around S$420 million. About 98.6 per cent of the proceeds will be used to repay debt and fund the acquisition of the South Wing when it is finalised. The manager of FCT then announced in May it would draw on additional debt financing for the acquisition.
Northpoint City is part of an integrated development that also comprises the condominium North Park Residences, which is situated above the retail podium.
Shares of Frasers Centrepoint Trust were last down 0.45 per cent at S$2.21.
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