The 7-Eleven Portfolio
SINGAPORE, 25 April 2018 – JLL on behalf of Dairy Farm Singapore, is proud to present for sale the 7-Eleven Portfolio – a highly sought-after portfolio of 13 prime HDB shophouses and a 999-year leasehold retail shop. The Portfolio features properties located in the following prime mature residential estates and locations: Cityhall, Ang Mo Kio, Bedok Reservoir, Changi Village, Clementi, Hougang, Jurong East, Jurong West, Tampines, Toa Payoh and Yishun.
Each of the HDB retail units are well located in prime and strategic locations in mature residential hubs with highly prominent frontage and high shopper footfall. Most of the units are in close proximity to road junctions, coffee shops, post offices and supermarkets. The portfolio also includes a prime ground floor 999-year leasehold strata retail unit at Peninsula Plaza which occupies a prominent main road frontage.
The portfolio will be offered for sale under three separate clusters:
Cluster 1 features assets that are offered for sale with a long-term sale & leaseback arrangement with 7-Eleven* in place, providing investors with the opportunity to acquire high yielding properties with a strong and established blue-chip tenant in place.
Cluster 2 features assets that are offered for sale with vacant possession, providing owner-occupiers the opportunity to occupy the units located in rarely available locations. Alternatively, investors can have the flexibility of leasing the units to their own preferred tenants.
Cluster 3 features an individual asset located at Bedok Reservoir Road. The unit is offered for sale with existing tenancy, providing the incoming investor with a stable income stream.
* The units will be leased to Cold Storage Singapore (1983) Pte Ltd, a subsidiary of Dairy Farm International Holdings who is the licensee holder of the 7-Eleven brand in Singapore.
Details and guide price of the properties are tabled below:
|||Properties||Total Strata Area||Guide Price|
|Cluster 1: Sale and Leaseback |
|1||Blk 210 Hougang St 21 #01-275||850 sf||$1.98 mil|
|2||Blk 532 Ang Mo Kio Ave 10 #01-2455||2,207 sf||$2.86 mil|
|3||Blk 102 Yishun Ave 5 #01-137||1,160 sf||$4.07 mil|
|4||Blk 339 Ang Mo Kio 1 #01-1579||1,518 sf||$1.98 mil|
|5||Blk 1 Changi Village Road #01-2014||1,421 sf||$1.65 mil|
|6||Blk 501 Jurong West St 51 #01-255||1,518 sf||$4.40 mil|
|7||Blk 291 Yishun St 22 #01-337||1,916 sf||$2.86 mil|
|8||Blk 111 Toa Payoh Lor 1 #01-358||1,528 sf||$1.82 mil|
|Cluster 2: Sale with Vacant Possession |
|9||Blk 727 Clementi West St 2 #01-284||2,196 sf||$3.08 mil|
|10||Blk 130 Jurong East St 13 #01-223||1,335 sf||$3.96 mil|
|11||Blk 139 Tampines St 11 #01-20||1,873 sf||$2.75 mil|
|12||Blk 190 Toa Payoh Lor 6 #01-564||1,033 sf||$9.90 mil|
|13||Peninsula Plaza #01-35||581 sf||$4.95 mil|
|Cluster 3: Sale with Tenancy |
|14||Blk 631 Bedok Reservoir Road #01-934||2,153 sf||$2.53 mil|
The assets can be sold either individually or collectively as a portfolio.
A brief description of the 7-Eleven brand and Dairy Farm International Holdings can be found below.
Dairy Farm International Holdings
Dairy Farm is a leading pan-Asian retailer. The Group operates many well-known brands across different formats - supermarkets, hypermarkets, convenience stores, health and beauty stores, home furnishings and restaurants. In 2017, the Group and its associates and joint ventures operated over 7,100 outlets, employed some 200,000 people and had total annual sales exceeding US$21 billion. The Group aims to provide quality and value to customers in Asia by offering leading brands, a compelling retail experience and great service; all provided through a strong store network supported by efficient supply chains.
Dairy Farm International Holdings Limited is incorporated in Bermuda and has a standard listing on the London Stock Exchange, with secondary listings in Bermuda and Singapore. The Group's businesses are managed from Hong Kong by Dairy Farm Management Services Limited through its regional offices. Dairy Farm is a member of the Jardine Matheson Group.
7-Eleven is a leading global chain of one-stop convenience stores that has approximately 400 stores islandwide in Singapore.
It offers innovative, convenient products and services to customers ranging from ready-to-eat snacks and meals, to a wide variety of convenient services such as bill payment, top-up services, cash withdrawal, courier service, online shopping payment and parcel collection services.
With its effective business development and marketing strategy, the 7-Eleven businesses have achieved and maintained a high level of brand equity with its shoppers and have become one of their favourite brands, receiving numerous accolades in recognition of its service excellence and innovative products and strategy.
Mr. Clemence Lee, Associate Director, Capital Markets, JLL, said: "This is the first time whereby a series of prime 7-Eleven convenience stores situated in long-standing and proven mature residential hubs are being put into the market for sale. Such rarely-available properties are highly sought-after by investors due to its defensive and counter-cyclical nature. We expect strong interest from investors such as boutique real estate funds, local companies, family offices and high-net-worth individuals (HNWIs) who are looking to own a turnkey property with strong tenant covenant and a long term tenancy in place."
"Being located in prime locations, the units which are to be sold with vacant possession will appeal to owner-occupiers looking to locate their businesses in strategic and mature residential hubs with high visibility and shopper footfall."
The 7-Eleven Portfolio will be offered for sale via an open tender process that closes on Tuesday, 5 June 2018, at 3pm.
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Note to editors:
- High-resolution photographs of The 7-Eleven Portfolio are available here.
JLL (NYSE: JLL) is a leading professional services firm that specialises in real estate and investment management. A Fortune 500 company, JLL helps real estate owners, occupiers and investors achieve their business ambitions. In 2017, JLL had revenue of $7.9 billion; managed 4.6 billion square feet, or 423 million square meters; and completed investment sales, acquisitions and finance transactions of approximately $170 billion. At the end of 2017, JLL had nearly 300 corporate offices, operations in over 80 countries and a global workforce of 82,000. As of December 31, 2017, LaSalle had $58.1 billion of real estate assets under management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit www.jll.com
JLL has over 50 years of experience in Asia Pacific, with over 37,000 employees operating in 96 offices in 16 countries across the region. The firm won 23 awards at the International Property Awards Asia Pacific in 2017 and was named number one real estate investment advisory firm in Asia Pacific for the seventh consecutive year by Real Capital Analytics. www.ap.jll.com