Anchorpoint mall in Alexandra Road up for sale at $295m guide price

SINGAPORE – Anchorpoint mall in Alexandra Road is up for sale at a guide price of $295 million via an expression of interest exercise that closes on March 10 at 3pm.

This translates to about $3,751 per sq ft on its existing net lettable area of about 78,636 sq ft, according to its marketing agent CBRE.

The freehold suburban retail mall at 370 Alexandra Road has nearly 60 tenants and comprises a total strata area of 110,373 sq ft across two prime retail levels (entire ground floor and basement), and a basement carpark with 130 parking spaces.

The mall is held by Copperdome, while an adjoining two-storey conservation bungalow in Alexandra Road is held by Copper Hills. Both entities are part of building contractor Jobina Construction, which also owns Cluny Court, a heritage building near Botanic Gardens.

The shopping centre’s previous owner – Frasers Centrepoint Trust – announced in Singapore Exchange filings in December 2020 that it was divesting Anchorpoint for $110 million to unrelated third parties.

Singapore’s retail real estate is increasingly attractive because it combines resilient rent and occupancy with a diversified tenant base and stable consumer demand, said Ms Christine Li, head of research for the Asia-Pacific at Knight Frank. The post-pandemic rebound in leasing activity has underpinned positive rental momentum and improved asset valuations, and this is drawing interest from institutional and high-net-worth individual clients across the Asia-Pacific, she noted.

With near-record tourist arrivals across the region and interest rates having eased in recent quarters, more asset owners are bringing their retail malls to market, she added.

Anchorpoint is connected to The Anchorage, an adjacent 775-unit condominium, and an overhead bridge linking to IKEA across the road. It recently underwent an asset enhancement initiative that upgraded its mechanical and electrical infrastructure and refreshed interiors.

Mr Clemence Lee, executive director of capital markets in Singapore at CBRE, said: “Anchorpoint is the only singly-held mall of substantial footprint within the Alexandra/Queenstown area. This positioning, coupled with its name recognition that is synonymous with the precinct, gives it a competitive edge over neighbouring strata malls and retail spaces.”

He added: “In recent months, the market is witnessing a surge in demand from investors actively acquiring well-located suburban retail assets. This trend is driven by the combination of high yields, strong fundamentals and stable, defensive cash flow these properties deliver.”

Mr Lee pointed to recent transactions such as Piccadilly Galleria, Kinex, Bukit Panjang Plaza, and The Clementi Mall – the last of which traded at $4,132 per sq ft.

Anchorpoint is also well positioned for growth driven by the Government’s ongoing rejuvenation initiatives, including several upcoming residential developments and the upgrading of Alexandra Hospital into a major integrated general hospital, CBRE said.

This transformation is set to provide a massive boost in catchment density and ensure a steady influx of a younger, more vibrant demographic going forward, it added.

Savills Singapore expects sectors including office, retail and properties with redevelopment potential to perform better in 2026, supported by lower financing costs, adjusted pricing expectations and opportunities for asset repositioning.

Mr Alan Cheong, executive director for research and consultancy at Savills Singapore, said: “With interest rates expected to stay low, asking prices having adjusted downwards, and opportunities to refresh tenant mixes through repositioning into newer formats, more assets are now achieving positive carry for prospective buyers.”

If local equity markets continue to perform well, a rise in property company listings can also be anticipated, he said.

“Furthermore, as the existing stock of buildings continues to age, redevelopment activity may gather pace, supported by government incentive schemes that encourage urban renewal and asset rejuvenation,” he added.