OBJECTIVE
The objective for Lot One Shoppers’ Mall (Lot One) is to continuously optimise its financial performance and strengthen its position as a one-stop family shopping destination in the north-western region of Singapore.

MALL DESCRIPTION
Lot One is situated in the heart of Choa Chu Kang housing estate. The mall is well connected by major arterial roads and is in close proximity to the Choa Chu Kang MRT train station, bus interchange and LRT station. The six-storey retail mall enjoys a large shopper catchment area, catering to residents in Choa Chu Kang, Bukit Panjang, Bukit Batok and Upper Bukit Timah. Positioned to appeal to the middle-income families, Lot One attracts not only residents living in the surrounding housing estates, but also uniformed personnel from military camps in the vicinity and students from nearby schools.

ASSET ENHANCEMENT INITIATIVES
Asset enhancement work to create a four-storey retail extension block measuring over 16,500 sq ft in NLA is in progress. As at 31 December 2007, approximately 59.0% or S$4.1 million of the S$6.9 million projected increase in rental revenue per annum has been committed on a stabilised basis.

As part of the enhancement initiatives, the existing food offerings on Basement 1 will be expanded. Basement 1 will be reconfigured to add another 13 food kiosks, with seating areas provided for some tenants. Levels 1 and 2 will be dedicated to fashion, ranging from casual to executive wear. Level 3 will be converted into a dedicated retail floor for home and lifestyle products, as well as specialty gift shops. Level 4 will be reconfigured to house anchor tenants Food Junction, the National Library, and trades which appeal to youths, such as hobbies and collectibles. Level 5 will be transformed into a leisure and entertainment level, comprising Shaw Theatres, a game arcade and a rooftop landscaped plaza. The plaza will house a playground, complete with a water play area with interactive features for children, a television corner, and a mini amphitheatre for public performances.

The works, which commenced in July 2007, are on track to be completed by Fourth Quarter1 2008. The project is expected to incur a capital expenditure of S$51.7 million and generate additional NPI of S$5.2 million per annum to achieve an ungeared ROI of 10.0%.

TENANCY MIX
Anchor tenants such as BHG, NTUC Fairprice, Food Junction, National Library, Shaw Theatres and Popular have drawn regular crowd to Lot One. To attract a wider spectrum of shoppers, Lot One has strengthened its fashion appeal with brands like Echo, Mondo and Couple Lab. Other new tenants introduced in 2007 include Pastamania, Wan Chai Hong Kong Tea Room, Sea Horse and ZiNC. The asset enhancement initiatives currently undertaken, which will create more NLA at the mall, provide an excellent opportunity for tenancy remixing that will enhance Lot One’s fashion and F&B offerings.