CDL’s Singapore Office Portfolio Sees High Committed Occupancy

SINGAPORE – City Developments Ltd (CDL) recorded a robust committed occupancy of 95.2 percent for its office properties here as of the end of December 2022, according to Singapore Exchange (SGX) filings published on Thursday morning (23 February, SGT).

CDL’s committed occupancy surpassed Singapore’s overall average occupancy of 88.7 percent as per the Urban Redevelopment Authority’s (URA) latest statistics.

In particular, 97.6 percent of the office space in Republic Plaza is leased, while King’s Centre is 98.4 percent occupied. Notably, the latter achieved a full-year office rental reversion of 8.9 percent after its Asset Enhancement Initiative (AEI) was completed during the 1st half of 2022.

CDL owns 1.54 million sq ft of office space in Singapore. Its office portfolio here includes a stake in South Beach Tower, but excludes Central Mall Office Tower, Central Mall Conservation Unit and 11 Tampines Concourse.

Aside from that, the company revealed that the redevelopment of Newport Plaza / Newport Residences under the CBD Incentive Scheme is targeted to commence during the 2nd half of 2023. This is after CDL obtained written permission (amendment) in November 2022 and provisional permission in May 2021 to uplift gross floor area (GFA) by 25 percent.

Under the proposed redevelopment, 40 percent of Newport Plaza / Newport Residences will be allocated for commercial space.

Also, the proposed redevelopment of Central Mall & Central Square under the Strategic Development Incentive Scheme is also expected to start during the 2nd half of 2024. This is after CDL received second outline permission advice in May 2022 to uplift the GFA by 67 percent to roughly 735,500 sq ft.

Central Mall & Central Square, is a mixed-use commercial property that consists of a Grade A office building, a 300-unit residential development, and a hospitality-related component.

For the financial year ended 31 December 2022 (FY 2022), CDL announced that it achieved a net profit after tax and noncontrolling interest (PATMI) of S$1.3 billion – the highest since the company’s founding in 1963.