SG Property Intelligence

Research evidence excerpt

SG Property Intelligence

J P M O R G A N Asia Pacific Equity Research

21 July 2026

Metro will transition away from large-format department

stores.

Metro will stop operating its large-format department stores at Metro Singapore/ASEAN Property and

Paragon and Metro Causeway Point when the current leases end, as it transitions REITs

its retail business toward a more flexible multi-concept format focused on Terence M Khi AC

customer engagement and specialized concepts. CICT said it is undertaking (65) 6882-1518

feasibility studies to reconfigure parts of Paragon, including the Metro space, as it terence.ml.khi@jpmorgan.com

seeks to strengthen tenant mix and introduce new concepts, with Metro indicating Mervin Song, CFA AC

interest to remain under new retail concept stores. (Source: Metro Holdings, The (65) 6882-7829

Business Times) JPM view: We see a positive readthrough for CICT (Paragon, mervin.song@jpmorgan.com

J.P. Morgan Securities Singapore Private Limited/

Metro occupies ~15% of retail NLA) and FCT (Causeway Point) as department J.P. Morgan Securities (Asia Pacific) Limited/ J.P.

store exits typically free up large low productivity space that landlords can Morgan Broking (Hong Kong) Limited

reconfigure into higher sales density specialty retail, F&B and experiential

concepts, which can support stronger rental reversion and uplift in portfolio

quality over time, subject to AEI downtime and capex.

A Frasers Property-led consortium has won the Bayshore Drive mixed-use

tender at S$2.1 bn (S$1,323 psf ppr). FCT’s vehicle, comprising FCT (50%),

Sunway (30%) and Sekisui House (20%), will develop and fully retain the

commercial component while partners develop the residential units for sale. The

99-year site is 57,460.6 sqm with max GFA 149,398 sqm, including 22,500 sqm