Lendlease REIT to Acquire 70% of PLQ Mall to Expand its Suburban Retail Portfolio in Singapore

Key Highlights

• Following the acquisition, Singapore will represent 89% of the portfolio – reinforcing geographic focus while enhancing income stability and portfolio resilience.
• Prime location with excellent connectivity to support long-term income growth.
• Agreed property value of S$885.0 million represents approximately 2.1% discount on its latest valuation.
• Post acquisition, gearing will be 38.3% on a pro forma basis.
• Distribution per unit to increase by 2.5% on a pro forma basis.
  
  

SINGAPORE, Nov. 05, 2025 (GLOBE NEWSWIRE) -- Lendlease Global Commercial Trust Management Pte. Ltd. (the “Manager”), the manager of Lendlease Global Commercial REIT (“Lendlease REIT”), is pleased to announce that DBS Trustee Limited, in its capacity as trustee of Lendlease REIT (the “Trustee”), has entered into (a) a unit purchase agreement with an unrelated third-party (the “Seller”) to acquire 70% indirect interest in PLQ Mall (the “Property”) via the acquisition of 70% of the total issued units in PLQM Trust, which holds an approximately 100% interest in the Property; and (b) a share purchase agreement with the Seller to acquire a 70% interest in the trustee-manager of PLQM Trust.

Upon completion of the transaction, Lendlease REIT’s total asset value will increase to S$3.9 billion (post completion of the Jem Office Divestment by 12 November 2025) with Singapore representing 89% of the portfolio. This reflects the continued execution of Lendlease REIT’s Singapore-focused growth strategy to acquire higher-yielding assets with long-term income growth potential.

The enlarged portfolio will be well-positioned to deliver consistent growth, with the proportion of essential services expected to rise from approximately 57.7% to 59.9% of the retail gross rental income. Trade sector mix by gross rental income will be more balanced, reducing tenant concentration risks. In addition, the suburban retail component will expand to 62.7%, supported by consumer demand for essential services and the stable, recurring income generated by well-located suburban malls.

Mr. Guy Cawthra, Chief Executive Officer of the Manager, said, “This acquisition marks a strategic step forward in strengthening our resilient suburban retail portfolio in Singapore. It offers immediate DPU accretion for Lendlease REIT’s unitholders, underpinned by an attractive entry valuation. With gearing expected to be approximately 38%, we continue to deliver sustainable growth while maintaining financial prudence.”

Agreed Property Value and Net Property Income (“NPI”) Yield

The agreed property value was arrived on a willing-buyer and willing-seller basis after taking into account the appraised value by Knight Frank Pte Ltd as at 31 October 2025. The agreed property value of S$885.0 million is approximately 2.1% or S$19.0 million discount to the appraised value. The agreed property value is determined on the basis of a 100% interest in the Property. The NPI yield is 4.5%¹ based on the agreed property value.

Method of Financing

The total cost of the acquisition is approximately S$246.8 million, comprising (a) S$234.3 million for the sale of units consideration and sale of shares consideration; (b) the acquisition fee payable to the Manager of approximately S$6.2 million; and (c) other acquisition-related fees and expenses of approximately S$6.3 million.

The Manager intends to finance the total cost of the acquisition from the proceeds of the private placement offering of no less than S$270.0 million² launched on 5 November 2025.

The transaction is not subject to unitholders’ approval under Rule 1014(3) of the Listing Manual.

This press release is to be read in conjunction with the announcement on “Acquisition of (I) 70% Stake in PLQ Mall via the Acquisition of Units in PLQM Trust; and (II) 70% of the Trustee-manager of PLQM Trust” dated 5 November 2025.

About the Property

PLQ Mall, located in the heart of Paya Lebar, is a vibrant urban lifestyle destination that anchors the larger Paya Lebar Quarter mixed-use development. Opened in 2019, it features over 200 retail, dining and entertainment outlets, offering a curated mix of international brands and local favourites. Key tenants include Haidilao, Uniqlo, Shaw Theatres and Starbucks Reserve.

Conveniently located at the Paya Lebar MRT interchange – serving both the East-West and Circle lines – PLQ Mall enjoys outstanding accessibility. The mall sits close to the Pan-Island Expressway (5-minute drive), Kallang-Paya Lebar Expressway (8-minute drive) and East Coast Parkway (10-minute drive) and has immediate north-south access provided by Paya Lebar Road and east-west access by Sims Avenue.

Its location within Singapore’s established inner-eastern suburban, surrounded by a mix of private and public housing, makes it a popular destination for families and office crowds.

Beyond retail, PLQ Mall is part of a S$3.6 billion development that blends modern architecture with cultural heritage, drawing design inspiration from traditional Malay Songket fabric. It also reflects Lendlease Group’s commitment towards sustainability and community-centric design, and has been awarded the BCA Green Mark Platinum certification.

About Lendlease Global Commercial REIT

Listed on 2 October 2019, Lendlease Global Commercial REIT (“Lendlease REIT”) is established with the principal investment strategy of investing, directly or indirectly, in a diversified portfolio of stabilised income-producing real estate assets located globally, which are used primarily for retail and/or office purposes.

Its portfolio comprises leasehold properties in Singapore namely Jem (a suburban retail property) and 313@somerset (a prime retail property) as well as freehold interest in three Grade A commercial buildings in Milan. These four properties have a total net lettable area of approximately 2.0 million square feet, with an appraised value of S$3.76 billion⁴ as at 30 June 2025. Other investments include a stake in Parkway Parade (an office and retail property) and development of a multifunctional event space on a site adjacent to 313@somerset.

Lendlease REIT is managed by Lendlease Global Commercial Trust Management Pte. Ltd., an indirect wholly-owned subsidiary of Lendlease Corporation Limited. Its key objectives are to provide unitholders with regular and stable distributions, achieve long-term growth in distribution per unit and net asset value per unit, and maintain an appropriate capital structure.

About the Sponsor – Lendlease Corporation Limited

Lendlease Corporation Limited is a market-leading Australian integrated real estate group. Headquartered in Sydney, it is listed on the Australian Securities Exchange.

Its core capabilities are reflected in its operating segments of Investments, Development and Construction. The combination of these three segments provides them with a sustainable competitive advantage in delivering innovative integrated solutions for its customers. For more information, please visit: www.lendlease.com.

For more information on Lendlease REIT, please contact Investor Relations:

Lendlease Global Commercial Trust Management Pte. Ltd.
Ling Bee Lin
enquiry@lendleaseglobalcommercialreit.com
Tel: +65 6671 7374

Important Notice

This press release is for information purposes only and does not constitute or form part of an offer, invitation or solicitation of any offer to purchase or subscribe for any securities of Lendlease Global Commercial REIT (“Lendlease REIT”) in Singapore or any other jurisdiction nor should it or any part of it form the basis of, or be relied upon in connection with, any contract or commitment whatsoever.

The value of units in Lendlease REIT (the “Units”) and the income derived from them may fall as well as rise. Units are not obligations of, deposits in, or guaranteed by Lendlease Global Commercial Trust Management Pte. Ltd. (the “Manager”), DBS Trustee Limited (as trustee of Lendlease REIT) or any of their affiliates.

This press release may contain forward-looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, competition from similar developments, shifts in expected levels of property rental income, changes in operating expenses, (including employee wages, benefits and training costs), property expenses and governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support future business.

You are cautioned not to place undue reliance on these forward-looking statements, which are based on the current view of management regarding future events. No representation or warranty express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this news release. Neither the Manager nor any of its affiliates, advisers or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising, whether directly or indirectly, from any use of, reliance on or distribution of this news release or its contents or otherwise arising in connection with this news release.

An investment in Units is subject to investment risks, including the possible loss of the principal amount invested. Holders of Units (“Unitholder”) have no right to request the Manager to redeem or purchase their Units while the Units are listed. It is intended that Unitholders may only deal in their Units through trading on Singapore Exchange Securities Trading Limited (“SGX-ST”). Listing of the Units on SGX-ST does not guarantee a liquid market for the Units. The value of the Units and the income derived from them may fall as well as rise. Units are not obligations of, deposits in, or guaranteed by, the Manager.

This press release is not to be distributed or circulated outside of Singapore. Any failure to comply with this restriction may constitute a violation of United State securities laws or the laws of any other jurisdiction.

The past performance of Lendlease REIT is not necessarily indicative of its future performance.

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¹ Projected NPI for calendar year ended 31 December 2026 as a proxy for the first year of ownership.
² Please refer to announcement “Launch of Private Placement to Raise Gross Proceeds of No Less Than S$270.0 Million” dated 5 November 2025 for details.
³ Based on the Capitalisation Method, Discounted Cash Flow Analysis and Direct Comparison Method of valuation.
⁴ Includes Jem office.

A photo accompanying this announcement is available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/cd7ea0d6-00df-4472-9f0e-eef4570fd5c7

PLQ Mall

10 Paya Lebar Rd, Singapore 409057 and Level 1 Retail Shops at 2 Paya Lebar Road, Singapore 409053

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