City Developments Ltd (CDL) and CapitaLand have completed Liang Court Mall’s acquisition.
The two groups in a statement to a media group informed that their JV where both the companies have equal stake have completed the S$400 million acquisition.
As per the statement they would now focus on running the mall on a daily basis. They two companies would explore ways and means to explore the value of the mall as a part of active asset management strategy.
This news as put to rest all the speculations that were floating around regarding the put-and-call agreement that the JV had signed with the owner of the mall which is an entity with close links to PGIM Real Estate.
Realty experts see this deal as a good move as the control and ownership of the Liang Court mixed-development complex will now have two owners instead of three in the past. This should foster further improvement in the complex they believe.
Apart from the mall itself there are two other components part of the Liang Court complex – Novotel Singapore Clarke Quay Hotel which is owned by CDL and Hospitality Trusts and Ascott Residence Trust a listed entity belonging to CapitaLand.
The Liang Court complex dates back more than 30 years and has been a major landmark in the Clarke Quay riverside area.
It is easily accessible from the Fort Canning Station part of the Downtown Line. It is also in close proximity to North-East Line’s Clarke Quay Station.
There is 58 years remaining on the lease tenure of the site which started with 97-year lease tenure in 1980.
The Draft Master Plan 2019 from the Urban Redevelopment Authority has zoned the site for residential and commercial use.
Wuthelam Group which was led by business tycoon Goh Cheng Liang had developed the complex back in 1980.
PGIM Real Estate Asia Retail Fund has sold the mall as a part of the deal. Its PGIM Real Estate private investment vehicle and part of the PGIM Inc.’s property investment business. This is owned by United States based Prudential Financial Inc.