CapitaLand Retail Limited, a subsidiary of CapitaLand Ltd, Southeast Asia's biggest developer, has acquired a 50- percent stake in a Shanghai shopping mall from Summit Property Development Co.
In the latest move by the Singapore property developer to further expand its local portfolio, CapitaLand will operate the Cloud Nine Shopping Mall in western Zhongshan Park area after the purchase, Shanghai Securities News reported yesterday, citing Lu Shiqing, general manager of Shanghai Summit Property Development Co Ltd, developer of the complex.
Officials from CapitaLand Retail could not be reached for comment.
In addition, the two parties will also join forces in another Summit project in the city's Hongkou Stadium area, Lu said. Summit acquired the 28,695-square-meter land plot - designated for retail, office and hotel development - in September for approximately 1.5 billion yuan (US$203.2 million).
CapitaLand Retail has been expanding its China business over the past few months.
On July 30, CapitaLand said in a statement to the Singapore Exchange that it has established a US$600 million CapitaRetail China Development Fund II, which, like the CapitaRetail China I, will invest in retail mall development projects on the Chinese mainland. The new fund will also invest in retail assets from CapitaLand's joint ventures in China.