Valued at “just” $1.05 billion or $490 per sq ft on a gross floor area (GFA) basis on the books, the analysts see that the “low holding costs” for the 2.15 million sq ft mall offers a “blank sheet of opportunities to extract value”.
DBS Group Research analysts Derek Tan and Tabitha Foo are revisiting potential possibilities for UOL Group and Singapore Land Group (SGX:U06
) (SingLand) to unlock value from Marina Square. The mixed-used development sits on 99-year leasehold land that started from Sept 9, 1980, and measures 92,197 sqm with a total gross floor area of 315,046 sqm. UOL holds a 50% stake in SingLand.
“We believe that the time is ripe for consortium UOL and SingLand to unlock value from the hidden gold in its portfolio through the redevelopment of Marina Square Mall into a futureproof mixed-use integrated development with work-live-play elements involving residential, retail, and office components,” they write in their April 10 report. This can be done by tapping into government incentive schemes focused on rejuvenating the core central business districts, they add.
