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10 Clarity CapitaRetail China Trust Annual Report 2013
Distributable income
grew 4.9% year-on-year.
Distributable Income
S$70.1m
second quarter of 2014. We have
since received strong interest from
retailers. As at 31 December 2013,
more than 70.0% of the net lettable
area has been secured or are in
advanced negotiations. We will
continue to engage prospective
tenants and look forward to a good
reopening. With its unique building
façade and revamped interior, we
believe CapitaMall Minzhongleyuan
will once again become an iconic
shopping destination in Wuhan.
In July 2013, we announced the
proposed acquisition of our tenth
mall, CapitaMall Grand Canyon
(previously known as Grand Canyon
Mall) in Beijing. This quality addition
will further strengthen our market
presence in the capital city.
Strategically located in the
Fengtai district in the up-and-
coming south region of Beijing,
CapitaMall Grand Canyon is a
pioneer shopping destination
in the region. Fronting the busy
South Third Ring West road, this
leading shopping mall has excellent
connectivity to various modes
of public transport. The mall is a
5-minute walk from the nearest
subway station serving the north-
south main line, and is accessible
by more than 40 bus services.
The major terminal for high-speed
trains, the Beijing South Railway
Station, is only one subway stop
away. Since its opening in August
2010, CapitaMall Grand Canyon
has established its presence within
the local community with a steady
monthly footfall of over 1 million.
Positioned as a one-stop shopping
mall, CapitaMall Grand Canyon
houses many popular brands such
as Sephora, H&M, Poly Cinema and
Carrefour. Since the announcement
of the proposed acquisition in July
2013, we have been co-managing
the mall with the vendor. Through
our extensive leasing network,
we were able to achieve a higher
committed occupancy rate of
95.9% by December 2013, from
92.7% in April 2013. Compared to
preceding leases, newly committed
rentals increased more than 100%.
The acquisition was completed in
December 2013, and the mall will
start contributing to CRCT in 2014.
STRATEGIC CAPITAL
MANAGEMENT
We established the Distribution
Reinvestment Plan (DRP) in March
2013 to provide our Unitholders
with an option to receive their
distributions in units instead of cash.
In August 2013, we offered DRP for
the first time for the distribution
for January 2013 to June 2013. We
received generous support from our
Unitholders, with 24.8% participation.
In November 2013, we launched our
first non-renounceable preferential
offering and successfully raised
S$59.0 million. Based on the total
number of 45,413,704 new units
issued, the preferential offering was
1.8 times subscribed. We are
grateful to our Unitholders for the
confidence and support.
As at 31 December 2013, CRCT’s
total borrowings were S$713.5 million
and gearing was at 32.6%. We
refinanced the S$150.5 million that
was due in June 2013 with extended
maturity to 2016 and beyond. We
have extended our average term
to maturity from 1.39 years at the
beginning of the year to 2.38 years.
61% of our borrowings are fixed, with
an average cost of debt of 2.6%.
GIVING BACK TO THE
COMMUNITY
CRCT is committed to being a
responsible corporate citizen, and
we continue to support charitable
Letter to
Unitholders