Frasers Property Expands Portfolio with S$175 Million Buy
In a significant move to expand its presence in Singapore’s prime Orchard Road area, Frasers Property has successfully acquired Cuppage Terrace—a cluster of 17 conservation shophouses—for S$175 million. This acquisition aligns with the company’s strategic vision for enhancing its real estate portfolio and focuses on long-term asset development.
Cuppage Terrace is not just any property; it stands out as a distinctive lifestyle destination characterized by Peranakan-style architecture. The enclave complements an array of food-and-beverage offerings alongside vibrant entertainment and nightlife options, making it a desirable location within the bustling Orchard Road.
The total gross floor area of Cuppage Terrace reaches 34,678 square feet, excluding outdoor refreshment spaces. With 62 years remaining on its 99-year lease, this site promises longevity in urban development potential. Its proximity to The Centrepoint—Frasers’ flagship property—further strengthens the strategic nature of this acquisition.
This transaction follows Frasers’ successful collective sale tender earlier in February, where they secured the leasehold rear plot of The Centrepoint for S$391.9 million. Notably, Frasers holds a majority stake in the freehold front plot at The Centrepoint, possessing 96 percent of the retail units by strata area and fully owning an adjacent office building at 51 Cuppage Road connected directly to The Centrepoint.
With this latest addition to their portfolio, Frasers aims to implement a more coordinated approach towards asset enhancement aimed at maximizing long-term value creation. Soon Su Lin, CEO of Frasers Property Singapore, articulated that this strategy will enable the company to unlock synergies across nearby sites and better position their assets amid ongoing transformations within Orchard Road.
As part of its commitment to rejuvenating Orchard Road as a premier shopping destination, Frasers remains dedicated to exploring further opportunities for enhancement across its properties in the district. Such initiatives are crucial as they can significantly contribute to the overall vibrancy and appeal of one of Singapore’s most iconic streets.
The market reacted positively to this development, with Frasers shares concluding at S$1.02—an increase reflecting investor confidence in their strategic direction.
Source: Original Article