SINGAPORE (EDGEPROP) - Jelita Shopping Centre, at 293 Holland Road, has been put for sale via expression of interest (EOI) at a guide price of $85 million. According to a press release by JLL, the marketing agent, the price of the two-storey suburban shopping mall translates to about $2,528 psf on the net lettable area.

The shopping mall, which opened in January 1981, sits on a 46,616 sq ft site that is zoned ‘Commercial and Residential’ with a gross plot ratio of 2.2, based on the 2019 Master Plan. The development has a gross floor area of 46,427 sq ft, a net lettable area of 33,621 sq ft, and 57 basement carpark lots. (Find Singapore commercial properties with our commercial directory)

The 999-year leasehold development is nestled in a prime landed residential neighbourhood off Holland Road. The anchor tenant is a 24-hour Cold Storage supermarket, which occupies the entire ground floor of about 20,000 sq ft. Tenants on the second floor include a Starbucks, Delifrance, Guardian and Times Bookstore. Plans are also underway to rebrand the current supermarket in the mall as a CS Fresh outlet.

The property is owned by DFI Retail Group, which also operates the property. JLL says the owners want to divest the asset alongside a long-term leaseback arrangement.  The seller offers two options for the sale and leaseback: DFI to leaseback the ground floor space as per the existing arrangement or DFI to lease back the entire building.

This presents an attractive opportunity to acquire a core retail offering with defensive income at a palatable quantum that a blue-chip anchor tenant backs, says Terry Wong, senior director of capital markets at JLL Singapore. He adds: “Prime suburban retail assets with highly visible road frontage are rarely available for sale and are typically tightly held as these assets have generated resilient cash flows during the pandemic”. The EOI closes on July 18.

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