Frasers Centrepoint Asset Management Ltd., the manager of Frasers Centrepoint Trust (FCT), has announced the divestment of White Sands mall at a premium of 8.4% over its independent valuation. The transaction, completed in the third quarter ending 30 June 2026, will see the net proceeds used to repay debt, reducing FCT’s pro forma aggregate leverage from 40.0% to 36.5%.
The sale of White Sands, located in Pasir Ris, Singapore, is part of FCT’s strategy to unlock value for capital recycling. The agreed property value stands at $467m, with net proceeds estimated at $454.1m. This move strengthens FCT’s financial position and creates headroom for future growth opportunities.
In addition to the divestment, FCT has jointly submitted a bid for the Bayshore Drive site, the only mixed-use site in the new Bayshore precinct. The total development cost is approximately $613m, with an attractive yield on cost of around 5%. The project is expected to be completed by the end of 2030.
Operationally, FCT continues to perform well, with a strong retail portfolio committed occupancy of 99.6% and a 2.4% year-on-year increase in shopper traffic for the third quarter. Tenant sales also saw a slight increase of 0.2% year-on-year.
Looking ahead, FCT’s financial metrics remain robust, with a quarter cost of debt at 3.0% as of 30 June 2026. The ongoing asset enhancement initiatives at Hougang Mall and NEX are progressing, with significant leasing precommitments achieved.
These strategic moves underscore FCT’s commitment to maintaining a healthy financial position whilst pursuing growth opportunities in Singapore’s retail market.
