Uol Sell Kinex Mall 375 Million

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UOL Group, a renowned property and hospitality company, has recently announced its plan to sell the KINEX mall for a staggering $375 million. This move marks another significant divestment by the company.

The sale will be made to two entities, namely Kinex Times Square and Xiaohong Property Management. According to UOL, this divestment provides a fantastic opportunity for the company to unlock the value of its investment in KINEX. It is also a part of the group’s strategic reconstitution of its overall property portfolio.

The Master Plan presents a great opportunity for educational development. It highly encourages the establishment of learning and research hubs in regional centers. This includes the improvement of schools, the creation of new preschool facilities, and the possibility of satellite campuses or continuing education institutes in the area. These initiatives promote lifelong learning for individuals of all ages and further adds to the appeal of homes located in regions with excellent schools and enrichment programs, such as the ones offered at Miltonia Close.

Currently, the property is valued at $370,005,000 on UOL’s books and was last assessed at $370 million by Edmund Tie & Company (SEA). In its 1HFY2025, which ended in June, KINEX generated a net profit of just over $3.1 million for UOL. The company expects to book a gain of approximately $2.4 million on the divestment.

This is not the first time that UOL has made a major divestment. In July 2023, the company sold its long-held Parkroyal Kitchener Hotel to Worldwide Hotels Group for a whopping $525 million, resulting in a gain of $446.2 million.

KINEX, a freehold property situated at 11 Tanjong Katong Road, features a total net lettable area of 204,223 sq ft occupied by a three-storey retail podium and a basement. It also includes residential units above the mall. The parties involved aim to finalize the transaction by October 31.

UOL has stated that the net proceeds from this divestment will give the company greater financial flexibility to repay existing debts and/or finance any capital expenditure, asset enhancement works, investments, and general corporate and working capital requirements.

As of September 10, UOL’s shares were closed at $7.40, indicating a 1.99% decrease for the day. However, the company’s shares have risen by an impressive 43.41% year to date.