Frasers Property (formerly: Frasers Cpt (FCL))

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Hot on the heels of buying a $32 million centre in South Brisbane, the group is now eyeing off Clemton Park Shopping Village, which is under development by Australand Property Group in Sydney’s inner west.

SCA looks to expand in neighbourhood malls
BEN WILMOT THE AUSTRALIAN DECEMBER 02, 2014 12:00AM

SCA looks to expand in malls
Anthony Mellowes says the fragmented market is an opportunity for SCA. Picture: John Feder Source: News Limited

WOOLWORTHS spin-off SCA Property Group is seizing the ­opportunity to become a consolidator in the fragmented neighbourhood shopping centre industry and is eyeing the purchase of more centres.

The group is looking to add to its 78-strong portfolio, with opportunities to buy coming from private developers, supermarket giants Coles and Woolworths and from small investors.

SCA wants to move more deeply into the neighbourhood market, where about 500 of Australia’s 865 centres are in private hands.

Hot on the heels of buying a $32 million centre in South Brisbane, the group is now eyeing off Clemton Park Shopping Village, which is under development by Australand Property Group in Sydney’s inner west.

The neighbourhood centre, to be completed in 2016, will have a 20-year lease to Coles, and is worth $45m-$50m. The sale, being brokered by Stonebridge Property Group, would show a yield in the mid-7 per cent range.

SCA, which has outperformed Woolworths since being spun off in late 2012, has emerged as one of the consolidators in the sector, alongside Charter Hall and, to some extent, Federation Centres, which is cleaning up its syndicate holdings.

“It’s very, very fragmented and that’s the opportunity for us,” SCA chief executive Anthony Mellowes said. The group has already picked up two portfolios on the back of his ties with developers. “I have dealt with a lot of these ­people,” he said.

SCA chief financial officer Mark Fleming added: “We like convenience-based retail centres weighted to non-discretionary segments, so food fits that, and we like long-term leaves to quality anchor tenants.”

Mr Mellowes said small developers were now coming back in the market and the supermarket chains also had centres remaining on balance sheet. Both chains are adapting to a number of forces as stand-alone supermarkets are not always the best use of sites.

Many are now anchoring mixed-use developments and they are also dealing with the emergence of German chain Aldi.

Mr Mellowes predicted a shake-out in the discount department store industry and a rationalisation of department stores, reinforcing the group’s decision to focus on food-based retailers.

SCA has identified more than $100m of development opportunities at 17 of its centres over the next five years, with most comprising small expansions. But in future the group could join the ranks of landlords looking at conversion plays across their portfolios as apartment sales boom.

“There is a number of centres that could have residential plays down the track that we haven’t investigated,” Mr Mellowes said. “Whether it’s the type of location, where they are in the city, next to train stations, etc, there is good opportunities there.”
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http://infopub.sgx.com/Apps?A=COW_CorpAn...H7hyZmwrqA

http://infopub.sgx.com/Apps?A=COW_CorpAn...H7h8pmwrqA

Incorporation of 2 entities, presumably related to frasers hospitality.

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Seems like service residence Capri at Changi City Point could be next in line for injection into Fraser Hospitality Trusts...

(03-12-2014, 06:13 PM)thor666 Wrote: http://infopub.sgx.com/Apps?A=COW_CorpAn...H7hyZmwrqA

http://infopub.sgx.com/Apps?A=COW_CorpAn...H7h8pmwrqA

Incorporation of 2 entities, presumably related to frasers hospitality.

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Some clowns are shorting it to get it at lower price!
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Just wondering! Do you think the strength of the rich and powerful shortists is stronger than the strength of the fundamental of the company or vice visa in marginalizing the final outcome of its share price? Seems like up again then brought down by some shortists
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Marginalizing is materializing instead
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Guru GG

Pls pardon my ignorance. All assets spun to REIT must be preceded by creation of a new Pte Ltd?

(03-12-2014, 09:52 PM)greengiraffe Wrote: Seems like service residence Capri at Changi City Point could be next in line for injection into Fraser Hospitality Trusts...

(03-12-2014, 06:13 PM)thor666 Wrote: http://infopub.sgx.com/Apps?A=COW_CorpAn...H7hyZmwrqA

http://infopub.sgx.com/Apps?A=COW_CorpAn...H7h8pmwrqA

Incorporation of 2 entities, presumably related to frasers hospitality.

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Yo Buddy,

I m heartened by your address. I m just a simpleton, one that remains fearless for time being in the face of invisible unknowns.

If Changi is a hint then it is likely to be linked to Capri by Fraser, Changi City.

I think the entire development is owned by Ascendas Frasers Pte Ltd, a 50-50 JV.

Hence any development along this track appears to be another step towards REIT... my logical deductions...

FCL has been featured in this week's Edge and I think its another summary and interview of management post recent results and the conclusion of purchasing ALZ... I got a sense that Goola, the journalist is a little biased against non T-link developers...

GG

(05-12-2014, 09:19 PM)Contrarian Wrote: Guru GG

Pls pardon my ignorance. All assets spun to REIT must be preceded by creation of a new Pte Ltd?

(03-12-2014, 09:52 PM)greengiraffe Wrote: Seems like service residence Capri at Changi City Point could be next in line for injection into Fraser Hospitality Trusts...

(03-12-2014, 06:13 PM)thor666 Wrote: http://infopub.sgx.com/Apps?A=COW_CorpAn...H7hyZmwrqA

http://infopub.sgx.com/Apps?A=COW_CorpAn...H7h8pmwrqA

Incorporation of 2 entities, presumably related to frasers hospitality.

Sent from my D5503 using Tapatalk
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Went to Eastpoint Mall on Friday. The vacancy rate quite jialat. Big spaces left empty.
Frasers Centrepoint bo cho kang? Supports my view that SG is 'overmall' in short to mid term.


Eastpoint (Chinese: 东福坊) is a small shopping mall located in Simei, Singapore. It is known for its wide selection of tuition and enrichment centres (The Learning Hub Of The East) and its pet shop (The Pet Safari), which was once Asia's largest.

The mall is owned by NTUC Income, and is managed by Frasers Centrepoint Malls.
"... but quitting while you're ahead is not the same as quitting." - Quote from the movie American Gangster
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Eastpoint mall had been known to be much less popular previously. I remembered the old days when they had a cinema, until the cinema closed, and after that, the quality of the shops also went downhill. It is difficult for businesses to be convinced by profitability of opening in this mall.

In any case, the agreement of the management contract may yet be favorable to fraser centrepoint malls.. I do not think frasers would pick up an unprofitable contract.


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