Singapore-listed property developer GuocoLand has clarified that it currently has no plans to set up a real estate investment trust (Reit), after a report in The Business Times yesterday said that the developer may be looking at floating two REITs, in the office and retail market, with assets of between $6 billion and $8 billion.
The report said the Reits are now under study and may be floated over the medium term.
However, GuocoLand said the company currently has no plans to establish Reits, but added that it will review any possible strategy to extract value from its property business.
GuocoLand has a large portfolio of investment properties at various stages of development, including about 4.6 million sq ft of retail space, 4 million sq ft GFA of office space and 5,000 car-park lots.
Some analysts said potential Reit flotation could be seen in the next three to five years, given the completion timeline of the projects.