Cushman & Wakefield and Savills Singapore jointly brokered Frasers Centrepoint Trust’s (FCT) divestment of White Sands mall for $467 million, announced the real estate services firm on July 1. The transaction with an unrelated third party to FCT came out of an offer sourced by Cushman & Wakefield’s capital markets team.
FCT announced the proposed divestment early on July 1. The divestment consideration represents an 8.4% premium to an independent valuation of $431 million as at May 31.
According to FCT, this will result in a net gain of around $32.4 million for the manager. Net proceeds from the divestment of approximately $454.1 million will be used to pay down debt, says FCT in a bourse filing.
On a pro forma basis, FCT’s aggregate leverage will be reduced from 40.0% to 36.5% while net asset value per unit will improve from $2.23 to $2.25. On the distribution front, distribution per unit (DPU) is expected to decline from 12.113 cents to 11.889 cents following the completion of the divestment.
Richard Ng, CEO of the manager, says the divestment is part of FCT’s “proactive portfolio management strategy” to strengthen portfolio resilience and to unlock value for unitholders. “The transaction will enhance FCT’s financial position through the lowering of its aggregate leverage, and provide us with headroom to redeploy it into future growth opportunities.”
The manager expects the completion of the White Sands mall divestment to take place around Sept 30.
See also: Frasers Property Australia sells Sydney retail asset to PGIM, AFM JV for A$248 mil
White Sands is a pioneer suburban retail destination in Pasir Ris, comprising six retail floors with a net lettable area of approximately 150,352 sq ft. Fully occupied, it features a diversified tenant mix anchored by key amenities including Pasir Ris Public Library, FairPrice supermarket and Koufu food court.
The mall is directly connected to Pasir Ris MRT Station on the East-West Line, which has been designated as an interchange station when the upcoming Cross Island Line is completed in 2030.
Shaun Poh, executive director of capital markets at Cushman & Wakefield, says: “We are extremely proud to have brokered this transaction on behalf of Frasers Centrepoint Trust. Investor interest in quality retail assets remains strong, supported by Singapore’s safe-haven status, robust retail operating fundamentals and favourable interest rate environment. We expect these factors to continue supporting transaction activity and drive further investment opportunities in the months ahead.”
See also: Freehold B1 industrial site at 23 Playfair Road up for sale for $21 mil
The transaction is the latest in a series of retail mall deals advised by Cushman & Wakefield’s capital markets team, following the sales of i12 Katong, Swing By @ Thomson Plaza, The Clementi Mall, The Seletar Mall and Changi City Point.
Jeremy Lake, managing director, investment sales and capital markets, Savills Singapore, says: “The sale of White Sands reflects the strong demand we continue to see for high-quality suburban retail assets in Singapore. Well-connected malls with established trade areas continue to attract significant investor interest. Investors are drawn to the attractive net yields, strong fundamentals and value-add angles.”
In August 2025, FCT divested 10 strata lots at the four-storey 51 Yishun Central 1 (also known as Yishun 10) for $34.5 million to a wholly owned subsidiary of its sponsor Frasers Property (FPL). With the sale, FPL consolidated full ownership of Yishun 10, Singapore’s first multiplex, under Lion (Singapore).
In May this year, the Urban Redevelopment Authority rezoned the land from commercial use to residential use with commercial space on the first storey. This sets the stage for a mixed-use redevelopment on the site, which is expected to yield 90 to 100 private residential units.
For more property trends and breaking news, visit City & Country’s microsite at theedgesingapore.com/cityandcountry
