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CapitaRetail
China Trust
31 December 2013, the total asset
size of CRCT was approximately
S$2.2 billion.
All the malls in the portfolio
are positioned as one-stop
family-oriented shopping, dining
and entertainment destinations
for the sizeable population
catchment areas in which they
are located, and are accessible
via major transportation routes or
access points. A significant portion
of the properties’ tenancies consists
of major international and domestic
retailers such as Wal-Mart, Carrefour
and Beijing Hualian Group under
master leases or long-term leases,
which provide CRCT unitholders
with stable and sustainable
returns. The anchor tenants are
complemented by popular specialty
brands such as UNIQLO, ZARA,
Vero Moda, Sephora, Watsons,
KFC, Pizza Hut and BreadTalk.
CRCT has long-term growth
potential from its right of first
refusal arrangements to acquire
assets held by CapitaMalls Asia
Limited (CMA) sponsored private
funds, CapitaMalls China Income
Fund, CapitaMalls China Income
Fund II (previously known as
CapitaMalls China Incubator Fund),
CapitaMalls China Income Fund III
(previously known as CapitaMalls
China Development Fund II),
CapitaMalls China Development
Fund III, as well as CMA, one of
the largest listed shopping mall
developers, owners and
managers in Asia.
In July 2013, CMA secured
CapitaMall Grand Canyon
through a public tender and
CRCT exercised its right of
first refusal to acquire it.
CRCT completed the acquisition
on 30 December 2013. With
the enlarged portfolio of quality
malls, CRCT is well positioned
to tap on the growing consumption
trend in China.
CRCT delivered a strong set
of results for the financial year
2013 (FY 2013). Gross revenue
and net property income were
RMB795.0 million (S$160.1 million)
and RMB511.7 million (S$103.0
million), up 3.5% and 2.0%
respectively from that for financial
year 2012. Distributable income
grew 4.9% year-on-year to
S$70.1 million. Distribution per
unit (DPU) in FY 2013 was 9.02
Singapore cents. Shopper traffic
and tenants’ sales at CRCT’s malls
grew 5.4% 1 and 9.2% 1 respectively
compared to the previous year.
Across the portfolio, CRCT achieved
strong rental reversion of 13.8% 2
and operated at a high occupancy
rate of 98.2%.
CMT holds 122.7 million units in
CapitaRetail China Trust (CRCT),
which translates to an approximate
15.28% stake as at 31 December
2013. The fair value of CMT’s
investment in CRCT represents
1.6% of CMT and its subsidiaries’
(CMT Group) total asset size as
at 31 December 2013. Through
its investment in CRCT, CMT’s
Unitholders are provided with an
opportunity to enjoy the upside
from China’s growth potential
without CMT’s risk profile being
significantly altered.
CRCT is the first and only China
shopping mall REIT listed in
Singapore, with a portfolio of
10 income-producing shopping
malls. Listed on the Singapore
Exchange Securities Trading
Limited (SGX-ST) on 8 December
2006, it is established with
the objective of investing in a
diversified portfolio of income-
producing real estate used
primarily for retail purposes and
located primarily in China,
Hong Kong and Macau.
CRCT’s geographically diversified
portfolio of quality shopping malls
is located in six cities in China.
The 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. As at
1 Includes multi-tenanted malls except CapitaMall Minzhongleyuan, which is undergoing asset enhancement works and CapitaMall Grand Canyon as
the acquisition was completed on 30 December 2013.
2 Excludes CapitaMall Grand Canyon as the acquisition was completed on 30 December 2013.
Clarity 142 CapitaMall Trust Annual Report 2013