Keppel Land grabs more 112 Katong shares
Keppel Land has acquired a 22.4 per cent stake in Singapore’s 112 Katong lifestyle mall.
It is offering an aggregate cash consideration of about $51.4 million to buy the shares of BHG Holdings, Imagine Properties and Perennial Singapore Investment Holdings. The remaining 77.6 per cent stake is in the hands of Alpha Asia Macro Trends Fund (AAMTF), which is managed by Alpha Investment Partners, a property fund-management vehicle of Keppel Land.
“The investment in 112 Katong will add to our quality portfolio of retail and mixed-use properties,” says Keppel Land CEO Ang Wee Gee.
“We will focus on strengthening the mall’s positioning as a lifestyle and dining destination in the east.”
He says the company will also tap into the expertise of Keppel Land Retail Management, which will be retail manager for the property. The management company has developed and managed about 280,000 sqm of retail space over the years, including Century Square, Heartland Mall, Hougang Mall, Jurong Point Shopping Centre, Liang Court, Tampines One, Tiong Bahru Plaza and White Sands, and Taimall in Taiwan.
At the junction of East Coast and Joo Chiat Roads, 112 Katong is a six-storey shopping mall. Completed in November 2011, it has a net lettable area of about 19,000 sqm, and tenants include Food Republic, Golden Village, Katong Market Place and restaurants.
Arrived at on a willing-buyer/willing-seller basis, the transaction is not expected to have any material impact on the net tangible assets or earnings per share of Keppel Corporation this financial year.
Keppel Land acquired a 75 per cent stake in retail management company Array Real Estate in January last year, and has since renamed it Keppel Land Retail Management.