Frasers Centrepoint Trust (FCT) has announced the acquisition of Northpoint City South Wing in Singapore for $1.17b (S$1.17b). The deal, finalised on 25 March 2025, involves FCT acquiring 100% interest in the retail mall through the purchase of all units in North Gem Trust, the private trust holding the property. This strategic move consolidates FCT’s position as a leading owner of prime suburban retail spaces in Singapore.
The acquisition is expected to be Distribution per Unit (DPU) accretive, enhancing FCT’s ability to deliver stable returns to its unitholders. Richard Ng, CEO of the Manager, stated, “With the Acquisition, FCT will have 100% ownership of both North Wing and South Wing that together form Northpoint City. With full control, FCT will be able to implement holistic asset enhancement initiatives and tenant mix strategies to unlock further value across both wings.”
The agreed property value stands at $1,133.0m (S$1,133.0m), with a net property income yield of 4.5%. The acquisition cost includes $375.2m (S$375.2m) for the purchase price, $785.0m (S$785.0m) in bank loans, and additional fees. FCT plans to fund this through a mix of equity fund raising, debt financing, and potential issuance of subordinated perpetual securities.
Northpoint City, the largest mall in North Singapore, benefits from its strategic location and robust operational performance. It boasts a 100% occupancy rate and a diverse tenant mix, including major brands like FairPrice and Uniqlo. The mall’s strong performance is underpinned by its high footfall and shopper traffic, driven by its connectivity to the Yishun Integrated Transport Hub.
The acquisition positions FCT to capitalise on the revitalisation of Singapore’s North Region, with significant new home developments and transformation into a work-live-play hub. This move is set to enhance FCT’s portfolio and strengthen its market presence in the suburban retail sector.
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