Leaving out AMK Hub makes Mercatus’ retail portfolio a more digestible acquisition target

ALMOST 3 months have passed since Mercatus Co-operative – substantially owned by NTUC Enterprise – was said to have bundled 4 of its retail assets in Singapore for a potential sale “in excess of S$4 billion”. Yet, there are no signs of a deal close to being done.

The portfolio is appealing, with a strong concentration of suburban malls – a relatively resilient segment of the retail property market, catering to the daily needs of shoppers living in Singapore’s heartlands.

Jurong Point, AMK Hub in Ang Mo Kio, and a half-stake in Nex in Serangoon Central are “fortress retail” assets integrated with MRT stations and bus interchanges, with 1.36 million sq ft of retail space. (The fourth asset comprises levels 1 and 3 of Thomson Plaza, adding up to 110,000 sq ft; this space is branded as “Swing By @ Thomson Plaza”. Thomson Plaza is a stone’s throw from Upper Thomson MRT station, which opened last year.)