CapitaLand Mall Trust's Funan Digital Mall, which is currently undergoing redevelopment till 4Q 2019. (Photo: REITsWeek)

Singapore-listed retail REIT, CapitaLand Mall Trust (SGX:C38U), announced on 10 December that it will be shutting down operations at Funan DigitaLife Mall for a redevelopment project.

Funan DigitaLife Mall is a technology-centric seven-storey retail property located near the central business district of Singapore. The mal has 298,000 square feet of net lettable area and accounts for SGD33.5 million of revenue for the REIT for the financial year ended December 2014.

“Funan DigitaLife Mall has utilised 3.861 of its allowable gross plot ratio of 7.0. As such, the mall currently has an untapped gross floor area of about 388,000 square feet”, said the REIT in its announcement.

“The redevelopment of Funan DigitaLife Mall will maximise the full potential of its site and excellent location”, it added. The property is expected to cease operations from the third quarter of 2016 for three years.

CapitaLand Mall Trust said in mid-2015 that it was exploring several options with regards to Funan DigitaLife Mall. “These options include and are not limited to a disposal or redevelopment of [the property]”, the REIT announced on 15 July.

Units of CapitaLand Mall Trust are currently listed on the Singapore Exchange at SGD1.89.

By Ridzwan Rahmat

Ridzwan has been analysing REITs and business trusts since 2008, and personally manages a portfolio comprising mainly of SGX-listed REITs. He founded REITsWeek in 2013.