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Tag: CapitaMall Grand Canyon

  • CapitaLand China growth outpaces economy

    CapitaLand China growth outpaces economy

    Singapore-based shopping mall investment company CapitaLand Retail China Trust (CRCT) grew its income last year by 10.3 per cent to S$89.2 million ($63 million) from S$80.9 million.

    With China’s economy growing 6.9 per cent last year, the company’s retail sales drew 10.7 per cent of RMB30.1 trillion ($4.58 trillion), reports CRCTML chairman Victor Liew (CRCTML manages CRCT).

    “China’s slower growth is reflective of an economy undergoing transition, but it is expanding from a much larger base now and its growth is still considerably faster than those of most other economies,” says Liew. “CRCT’s family-oriented shopping malls are well-placed to benefit from China’s growing urban population and rising retail sales as domestic consumption becomes the country’s new growth engine.”

    It was the first time CapitaLand China’s gross revenue had crossed the RMB1-billion mark, says CRCTML CEO Tony Tan. “Portfolio occupancy remained high at 95.1 per cent  as at December 31, while rental reversion for the full year was 8.1 per cent.

    “Annual tenants’ sales increased 11.6 per cent and shopper traffic rose 1.8 per cent year-on-year.

    “We continually refresh our mall offerings to stay relevant to our shoppers’ evolving preferences and needs. For example, CapitaMall Xizhimen (pictured) brought in the popular Jing Ge Steamboat to increase the variety of its F&B offerings, while CapitaMall Qibao introduced a water park.

    “To improve sustainability and the shopping experience, CapitaMall Grand Canyon installed energy-saving LED lights in common areas and upgraded its car park with new flooring.

    “CapitaMall Wangjing is carrying out renovation work to rejuvenate its façade, and is on track to unveil its new look by June.

    “We will continue to strengthen our malls’ tenant mix and uplift the shopping experience through continual asset enhancement initiatives.”

    Gross revenue for the year increased RMB17.5 million, or 1.8 per cent, over the previous year. This was attributed mainly to rental growth from the multi-tenanted malls, partially offset by lower revenue fromCapitaMall Minzhongleyuan, which was impacted by road closure for the building of a subway line, and from CapitaMall Wuhu, where tenancy adjustments are being introduced to achieve stronger positioning and better trade mix.

    CRCT is the first China shopping mall real estate investment trust (REIT) in Singapore, with a portfolio of 10 malls. Listed in Singapore in 2006, its objective is to establish long-term investments in a diversified portfolio of real estate used primarily for retail in China, Hong Kong and Macau.

    A significant portion of CapitaLand China’s properties’ tenancies comprises major international and domestic retailers such as the Beijing Hualian Group, Carrefour and Wal-Mart. The anchor tenants are complemented by specialty brands such as BreadTalk, Innisfree, KFC, Nanjing Impressions, Nike,Sephora, Starbucks, Uniqlo, Watsons and Zara.

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  • CapitaLand Retail China reports bumper quarter

    CapitaLand Retail China reports bumper quarter

    CapitaLand Retail China Trust has had a bumper quarter to September, its distributable income rising 14.2 per cent year on year.

    CRCT is the only China shopping mall Real Estate Investment Trust (REIT) based in Singapore, with a portfolio of 10 shopping malls located in Mainland China.

    CapitaLand Retail China Trust Management, which manages CRCT, says it achieved a distributable income of S$22.3 million for the period. Distribution per unit (DPU) was 2.64 cents, an increase of 12.3 per cent over a year ago.

    Chairman Victor Liew said China’s economy expanded 6.9 per cent year on year in both the third quarter and the first nine months of 2015, while retail sales in the first nine months of 2015 increased 10.5 per cent to RMB21.6 trillion.

    “With the Chinese government reiterating its commitment to rebalance its economy by driving domestic consumption, CRCT remains upbeat about China’s retail growth prospects.”

    CEO Tony Tan, CEO of CRCTML, said that during the quarter, the trust’s portfolio of malls registered 9.1 per cent growth in net property income as it benefitted from a favourable exchange rate.

    “Rental reversion for the quarter continued to be strong at 10.9 per cent, with the majority of our malls registering double digit growth. Portfolio occupancy as at 30 September 2015 was 94.8 per cent, while tenants’ sales and shopper traffic for the quarter increased 12.7 per cent and 2.4 per cent respectively year-on year.”

    The trust’s malls are CapitaMall Xizhimen, CapitaMall Wangjing, CapitaMall Grand Canyon, CapitaMall Shuangjing and CapitaMall Anzhen in Beijing; CapitaMall Qibao in Shanghai; CapitaMall Erqi in Zhengzhou, Henan Province; CapitaMall Saihan in Huhhot, Inner Mongolia; CapitaMall Wuhu in Wuhu, Anhui Province; and CapitaMall Minzhongleyuan in Wuhan, Hubei Province.

    “We continue to refresh and improve the trade mix within our multi-tenanted malls,” said Tan.

    “CapitaMall Xizhimen is adding more children-related products and services to cater to growing demand from young families with children. A section of the mall’s Level 3 will be reconfigured into a vibrant kids’ zone and new tenants catering to the varied needs of children, such as apparel stores and enrichment schools, will be added.

    “On the asset enhancement front, CapitaMall Wangjing will be commencing upgrading works to its façade in the coming months, and CapitaMall Grand Canyon is currently undertaking renovation works to improve its common amenities. All these initiatives will further enhance the overall appeal and shopping experience at our malls.”

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  • CapitaLand China malls post solid growth

    CapitaLand China malls post solid growth

    CapitaLand is making the most of China’s retail sales growth, its mall portfolio posting growth of 6.1 per cent in net property income.

    In results released this morning, CapitaLand Retail China Trust Management Limited (CRCTML), the manager of CapitaLand Retail China Trust (CRCT), announced distributable income of S$45.1 million for the first half of this year, an increase of 10.3 per cent over the S$40.9 million for the same period last year – a percentage rate coincidentally matching China’s 2015 retail sales growth.

    CRCT owns 10 quality shopping malls six Chinese cities: CapitaMall Xizhimen, CapitaMall Wangjing, CapitaMall Grand Canyon, CapitaMall Shuangjing and CapitaMall Anzhen in Beijing; CapitaMall Qibao in Shanghai; CapitaMall Erqi in Zhengzhou, Henan Province; CapitaMall Saihan in Huhhot, Inner Mongolia; CapitaMall Wuhu in Wuhu, Anhui Province; and CapitaMall Minzhongleyuan in Wuhan, Hubei Province. As at 30 June 2015, the total asset size of CRCT is approximately S$2.5 billion.

    Tony Tan, CRCTML CEO, said the portfolio of malls ended the period 95 per cent leased and achieved 6.1 per cent growth in net property income. Rental reversions of 4.6 per cent (excluding CapitaMall Minzhongleyuan, which reopened in May last year after refurbishment).

    “Tenants’ sales at our multi-tenanted malls increased 17.8 per cent year on year, while shopper traffic grew two per cent.

    “As part of our proactive mall management strategy to keep abreast of the latest retail trends, we continue to upgrade and refresh the tenant mix at our malls. CapitaMall Xizhimen enriched its F&B offerings on Level 1 with a popular restaurant Bellagio.

    “CapitaMall Wangjing signed popular international brands including Tommy Hilfiger and New Balance, while key tenant Le-Wellness Gym reopened after renovations with improved facilities and an enhanced image that strengthened CapitaMall Wangjing’s position as a one-stop family and lifestyle mall in the affluent Wangjing District.

    “CapitaMall Grand Canyon continued to enhance its fashion and beauty offerings by bringing in well-known brands such as British fast-fashion retailer New Look; and Korean cosmetic and skincare brands Etude House and Innisfree.

    “At CapitaMall Qibao, we reconfigured the space formerly occupied by a gym tenant on Level 3 and brought in Rucker Park to maximise the outdoor space for popular sporting activities such as street soccer, basketball and badminton.

    “At CapitaMall Saihan, we strengthened the sports brand offerings with Nike, New Balance and Fila, which helped to diversify the mall’s overall fashion offerings. We will continue to optimise the retail mix in our malls and increase their appeal to shoppers to further enhance unitholder value, while continuing to be on the lookout for suitable acquisition opportunities to drive our next phase of growth.”

    Victor Liew, CRCTML chairman, said in the first half of 2015, China’s economy surpassed expectations and expanded seven per cent year on year, while the country’s retail sales grew 10.4 per cent year on year to RMB14.2 trillion.

    “Notably, consumption accounted for a record 60 per cent of China’s Gross Domestic Product in the first half of the year. As the Chinese government has identified domestic consumption as a key driver of economic growth, this should augur well for our malls.”

    All the CRCT malls in the portfolio are positioned as one-stop family-oriented shopping, dining and entertainment destinations for sizeable population catchment areas. A significant portion of the properties’ tenancies consists of major international and domestic retailers such as Beijing Hualian Group and Carrefour under master leases or long-term leases. Anchor tenants are complemented by popular specialty brands such as KFC, Paris Baguette, Pizza Hut, Sephora, Uniqlo, Vero Moda, Watsons and Zara.