Dasin Retail Trust buys Shiqi Metro Mall
Dasin Retail Trust Management has agreed to buy Shiqi Metro Mall and Shiqi Rental Management Company at a substantial discount.
The Singaporean property investor will pay RMB 1.224 billion (approximately S$248.2 million, which represents a discount of about 58 per cent to the average appraised value of Shiqi Metro Mall by Savills Valuation and Professional Services and Colliers International (Hong Kong).
“Shiqi Metro Mall is a quality asset with strong occupancy as disclosed in our prospectus,” remarked Li Wen, CEO designate of the trustee-manager of Dasin Retail Trust.
“This is in line with our growth strategy of acquiring quality, income-producing real estate properties in Greater China that provide attractive cash flows and yields. We will continue on our proactive asset management strategy and disciplined investment approach to provide stable and growing distributions to generate value for our unitholders.”
Centrally located in the Shiqi District, within the core urban area of Zhongshan, Shiqi Metro Mall is well served by numerous local public bus routes. It is a mid-end positioned regional mall with a broad ranging trade mix primarily targeting mid-income household in the Zhongshan core urban area. With a gross floor area of 119,682 sqm spread across seven floors (including two basement floors), it has a strong occupancy rate of 99.9 per cent as at March 31.
Upon completion of the acquisition, Dasin Retail Trust’s portfolio will comprise four retail malls valued at approximately $1.5 billion spread across gross floor area of 434,567 sqm.