Keppel takes full control of I12 Katong
Keppel Corporation has paid S$56.6 million to take full control of the I12 Katong shopping centre on East Coast Road, formerly known as Katong Mall.
Using its DC Reit subsidiary, Keppel Land will acquire the 77.6 per cent of the shares it does now already own from Divine (AMT) in the mall’s holding company.
Seven-year-old I12 Katong is seven stories tall and located on the intersection of Joo Chiat and East Coast Roads. Keppel describes the centre as “strategically located in an affluent and thriving residential precinct” and said it was well situated to benefit from the completion of the Thomson-East Coast railway line.
The new owner said it will review the tenancy mix of the centre and undertake asset enhancement work.
While Keppel will gain control of the centre and sees development potential, the price it has paid for the mall represents a $16.8 million loss on the value of its current investment.