Mercatus close to sealing Jurong Point purchase

Singapore

IN THE biggest property investment sales transaction so far this year, Mercatus Co-operative, an NTUC social enterprise, is close to sealing a deal to buy Jurong Point for S$2.2 billion, BT understands. The price reflects a net yield of about 4.2 per cent. It also translates to S$3,343 per square foot based on the 658,000 square feet of commercial net lettable area (NLA) in Jurong Point to be sold by an equal joint-venture between Lee Kim Tah Holdings and Guthrie GTS.

The mall, which is nearly fully let, stands on two sites; one has a balance lease term of about 75.5 years and the other, 88 years. Their combined land area is 557,288 sq ft. The property was completed in two stages - in 1995 and 2008.