1Q 2026 Business Update Conference Call

Good morning everyone, welcome to Fraser CentrePoint Trust's first quarter FY26 business updates call We have announced our first Q business updates last Friday after market close. So with me today I have the management team on the call First of all, we have Mr. Richard Ng our CEO and we have Ms. Annie Kwang our CFO as well as Ms. Pauline Lin our MD for investment and asset management. Without further ado, let me now welcome Richard to kick start the presentation Richard please Hi everybody and thanks Judy for the introduction Happy New Year. I know this is not first or second of January, but if you're still in the month of January And also soon we'll be celebrating Chinese New Year, right? So taking the opportunity to wish all of you ahead of time Can we go on to the first slide please Judy? What we have for you in this business update, I think it's a continuation of what you've seen last year

So in terms of operating metrics are still looking very positive Of course, we are also happy to share with you that the occupancy rate of our malls have gone back up to 99.9% post 31st December because the deal was signed Sometime just after the the closing of the first quarter, right? But nonetheless, we have found two tenants to take over at Century Square and also at Crossway Point So we are back to 99.9% In terms of the shopper traffic has also grown by 1.3% Year-on-year and sales continue to Do pretty well for our portfolio at the growth of 2.7% In terms of our debt management The debt gearing level is slightly marginally above 40% at 40.3% And the first queue cost of debt is at 3.5%

We will also be sharing a little bit about the update on outcome more AI When Pauline takes the session later on Okay, in terms of macroeconomics, I don't think we're gonna spend a lot of time on that but There's a very Couple of quick couple of points. Of course, the GDP grew by a hefty 5.7% year-on-year in Q4 Faster than the 4.3% in the previous quarter, right? So we saw a pretty strong performance overall And we hope that some of this will carry through for the year 2026 CPI again another very important component that we look at seems to have Kind of stabilized pretty much so In terms of retail sales index in November the wider retail sales index grew by 5.8% year-on-year And the FNB So if we look at just for FCT's portfolio for the overall tenant sales, we grew by 4.1% slightly

lower than the Singapore market RSI index number partly I believe because month of November is also where you have a lot of Sales happening your Black Friday your Singles day, etc. So a lot of sales and promotion that was going on in the city center Most so but nonetheless, we also grew by a good 4.1% Our FNB sales was very strong grew by 4.7% year-on-year Far surpass, you know the retail sales index that you see for the whole of Singapore I suppose there's also one reason why you know, there's a bit of Sometimes when people want to compare that, you know FNB are not doing well Overall in Singapore market, but when it comes to prime suburban more, I think there is a differentiator So if you look at our portfolio our FNB operators are still trading very well Retail rents for prime suburban retail rents grew by 1.6% year-on-year

So again, you know if you look at for the full year last year our rental reversion was at 7.8% Okay moving on So next up is the financial highlights. I will hand over to Annie Yeah, hey, good morning, everyone Yeah, let me take you through the financial matrix for the quarter so for this quarter gearing has increased slightly to 40.3% As compared to previous quarter due mainly because of the ongoing AEI cap back set outcome more The interest coverage ratio remains healthy at 3.54 times Because of that it is unchanged from last quarter at 3.5% 81.2% of our debt is fixed as a quarter and this percentage is expected to decrease in the next quarter once the interest rates swap some x-finance. We have approximately $0.9 million on drone facilities as at quarter end and credit rating for MODIS remain unchanged at BA2. Next slide, please.

We have approximately $422 million loans due in this financial year and subsequent to quarter end we have executed loan facilities refinance for the loans that still at the remaining debt still in FY26 will be refinanced in this quarter following that we will have no refinancing risk for FY26. I think that's some previously for this quarter. I will now hand over to Pauline who will go through financial portfolio highlights in the next section. Thank you. Thank you, Amy. Thank you, everyone. I'm actually very excited to share with all of you, you know, the details of our strong operating results. So I'll go into occupancy. You see that in terms of occupancy for retail portfolio at 99.9% with the de-risking of the two cinema spaces. So that's close to full occupancy. And we do see that across most of our malls within the portfolio

as well. So tracking at 100% continuing to perform at a very robust and strong level. Next slide, please. Now, shopper traffic tenants sales, they actually underpins the performance. It's actually the foundation of retail performance. Here we see that in terms of the growth, in terms of shopper traffic as well as tenant sales, that has extended into the new financial year. The other point to note is that the trajectory of growth for tenant sales has actually surpassed shopper traffic. So that kind of like indicates that, you know, it's just not about bringing people to the mall. It's also, you know, driving the sales, the unlocking of sales and the sales conversion to malls. And that's important for the trading health and sustainability of our retailers. Next slide, please. Okay, this slide, we look at the will. Now, the will is important. We see a very

healthy will of close to two years, which is very much in line with the fact that our average lease tenant is three years. The other takeaway is that there is no concentration risk, not just for the immediate year, but also for the medium term. So we are looking at lease expiries of, you know, on average one third for FY27, FY28. And this is evidence of the quality of the investment cash flow that is yielded by our portfolio of very strong moves. The other observation is the leasing traction. We see that for the remaining FY26, in terms of leases to be de-risked, we're looking at only 17.5%. So pretty good traction for the first quarter of this year, which, you know, votes well for the retail sector. Next slide, please. Right, what we wanted to showcase here

is the fact that the Singapore retail scene continues to be very dynamic. We see a lot of new brands as well as concepts that we are bringing into our portfolio. So over the first quarter of this financial year, we have brought 32 new to portfolio. So this is new to portfolio. At the most, the refresh continues, right, as the, you know, individual most change out the tendencies. By portfolio level, we have brought in 32 new tendencies just in the first quarter. And this is not just concentrated in one particular sector per se. It's actually a broad-based refresh across the various trade mix that we have in our most. Okay, next slide, please. Yep. We continue to celebrate with our communities. I think our most are very much entrenched in the lifestyle of the

heartlanders. So over the festive period, this quarter, you know, we've set various celebrations at Christmas, Halloween, and so forth, across the portfolio of most. Next slide, please.

We position our most as social hubs. We see our most as living spaces for our community of shoppers. And a lot of our marketing and promotions are centered on not just engaging our shoppers, but exciting and also enriching their lives. And this is, you know, how I think in my earlier slide, I did show that, you know, foodfall has continued to grow. Sales conversion has also continued to grow. So it's a lot of hard work, not just, you know, in terms of curation of leases, but also continuing to, you know, bring that excitement and the engagement to our community. Next slide, please. Okay. I'm happy to show the progress of Algang Mall AEI. You recall that we announced the commencement of Algang Mall AEI sometime in April last year. And to date, it has actually progressed well. We've garnered more than 80% decent commitment. In terms of the ROI

target, when we look at the, you know, the lease fraction, the cost of the, you know, the kickbacks and also the progress of works, we are very much, you know, running ahead on the 7% ROI that we have indicated when we announced this, right. And also again, the focus on refreshing the trade mix remains. We have actually brought 33 new to Algang concepts. And if we look at the leases that have been committed, this actually represents more than 50% of the leases that we have committed to date for the AEI. And wanted to also indicate that, you know, it's not a case of Algang Mall being, you know, in need of, urgent need of AEI. I think a lot of the unlocking of the value requires that looking ahead, looking at the opportunities that can actually be, you know,

unlocked with the cashman. So Algang, I think there are a few key areas of growth that we have actually identified. So in terms of the cashman, it's a very strong cashman. It's also an underserved cashman. We are looking at the retail floor space per capita of 2.4 square feet. But the Singapore average of about eight square feet per capita. There's also a lot of excitement, exciting developments that's coming into this catchment with the, you know, the cross-island line that will enhance the overall accessibility and connectivity. And the implication of that is that the very strong catchment of Algang will also be expanded, right, with these infrastructural developments. There's also more skill that is coming into this catchment, which is important. I mean, as shoppers, we naturally gravitate to malls whereby there is

the choice and also, you know, the diversity of offerings. So that's important, Algang. And we see that coming. So in a way, this AEI is the future proof, the mall for even stronger performance. Next slide, please. So phase one of the AEI was actually launched in November 3-3-5 last year. So just in time for the festive period, Christmas and the year-end celebration. What you see on this slide is a wide range of retail offering, F&B as well as lifestyle offering. And, anecdotally, we do hear that, you know, the local community is very excited about some of these new options that is coming into the community more. Next slide, please. Okay, we are also very proud

to deliver on our commitment and conviction that there's substantial value to unlock from next. You recall that we had announced the potential for a major AEI at next when we acquired the mall, and that is very much part of the value proposition of the acquisition. So I'm very happy to say that, you know, after further feasibility and engagement of the authorities, we are ready to start the AEI in the second quarter of this year. And this entails a conversion of 62,000 square feet of GFA from the car park, which is non-commercial space, to commercial retail as well as office space, and an increase in the NLA of about 44,000 square feet for next. And it's also our ambition to actually solidify next as a key retail hub in the northeast.

Again, you know, next is a very strong performing mall, you know, 100% occupancy. The footfall is tremendous. We're looking at over a million footfall or shoppers going through the mall on a monthly basis, right? But again, we see that there's actually opportunity to further improve the performance of this very strong asset, right? So we are looking at a target ROI of 7% on 19 million KPACs over two years. The works will actually be carried out progressively so the mall will continue to operate. Next slide, please. So again, for next, it's also a case about, you know, looking forward future proving the mall. We do see that there is tremendous growth potential in Sarangoon in terms of its catchment, right? It continues to grow. There is very strong connectivity sitting atop, you know, an interchange line. Two lines, the northeast and also the circle

line, which are, you know, two lines with very strong ridership, right? We will be also, you know, tapping on the diversified catchment of Sarangoon. So there'll be an office component as part of the AEI. And also, you would have read in the papers that the polyclinic, which is just next to the mall, has opened and it's looking at, you know, 1,300 patients every day across different segments of the population. So this is a good source of shopper traffic increase. And again, next sits on the northeast line. So like what I mentioned about Algang Mall earlier, it is an area whereby, you know, it's still largely underserved in terms of retail supply versus the population. And it's also a growing catchment area. All right. So with that, I will hand over to Richard to take us through to,

you know, the next steps for the meet. Thank you, everyone. Yeah, thanks, Paulin. So usually at this time of the year, you know, we talk about, are we focusing on what do we look at, you know, for the rest of the year. So here are a couple of points that we will run through them on point by point. And then we will go a bit of deep dive, right? So there are a couple of strategic priorities and also growth drivers that we are focusing on. First and foremost, we continue to be positive in Singapore, when retail and perhaps the question is why, why so right. So again, it's fundamentally follows a point that supply is going to be limited for suburban malls. When you have strong demand, limited supply, you know, that that's where we, we see we were able to see a pretty strong version, strong sales, etc. So we continue to

be positive on that. And also, I mean, if you have had a chance to look through what is happening with the master plan, right, what's going on in there, you'll find that there's a lot of focus on growth in all over different parts of Singapore. But of course, in particular, there's a lot of emphasis on the now, but generally you expect a huge growth in housing development and that will bring about more population to our catchment market. Household income, again, you know, this fundamentals that underpins the sale and performance of every retail centers, right. So he's talking about traffic, talking about sales is what Ollie has mentioned just now. So we've increased in population and also higher income that will continue to underpin the performance of our malls. New development, we'll talk about this in greater detail in terms of what's the update on RTS, growth opportunities that I briefly mentioned this now. And what are we thinking about for

Crossway Point? And the last point is talking about what we focus on a lot on the hardware, right. So now we are also want to put a bit of emphasis on the software. I mean, it's not that we haven't been doing, but it's just that we haven't been sharing enough with all of you. Right. So maybe we can now go through point by point, Judy. All right. The first one is on positive outlook of demand supply. So this is where I mentioned, if you look at, this is the chart that we have been sharing because there's not a lot of updates. So again, within the next three years, we are looking at about 340,000 square feet of suburban retail space that's coming into the market. And none of them are actually more than a hundred thousand. I believe the largest of surely about 90,000 in one of the mixed development. So by and large, they are smallish spread across the island. So we don't foresee any significant price of burn, more that's

going to come on stream for the next three years. Okay. Next up. Okay. This is where I spoke about the master plan. I mean, these are all information that is publicly available. So we are looking at hundred and thirty eight thousand new housing units of both private and public over the next six to seven years. And this number first that has been, we could see it, you know, in terms of the north region, sub-northeast region and so on, how many of them are coming on stream in this various location. Right. So we're going to expect a growth in our population, especially in the catchment market that we are serving. So that's what is going to give us further strengthening our ability to generate more sales. And at the same time, as mentioned just now, numbers is one, but more importantly is the ability to spend, right, the propensity to spend. So we are expecting the household income to again continue to grow. One of the key reasons, and I've shared this before,

I'll share it again, is this progressive wage model that has been instituted across a vast number of employees around Singapore. We are talking about over hundred and fifty five thousand workers across nine sectors that are already part of this progressive wage model. And for those of you who may not be familiar, maybe I can give you an example. If you are a security officer today, right, or rather back in 2023, a security officer was earning about thousand six. This same security officers is expected to earn about three thousand six come 2028. So we didn't spend a five years. His or her pay is going to double. Right. So there's a significant increase, you know, in terms of the ability for our cash market to spend and by and large, this progressive wage model are targeted at the cashman area or the people that we are serving. Right. So you have an increase in population and increase in spending power. So that's going to underpin the

sales performance of our malls. And of course, not forgetting that the government has also been very constructive in various handouts that they've been given out. Of course, SG 60 was a bumper we are self-experienced. You have your CDC voucher, SG 60 voucher, SG 60 cash and so on. And so far, in 2026, we have already received our first tranche of CDC voucher in January. Believe that perhaps, you know, some other constructive government support is going to be a year. And as we speak, you know, other rebates has been also ongoing, right? You have your GSD rebates, utility rebates that again are targeted at population that resides at our catchment market. Okay. Right. I mentioned that I'll speak a little bit more in detail in the north, the developments in the north region. Again, some of you would have heard this before, but

for the interest of all investors who may or may not be familiar with this. So maybe just a bit of recap for this. So again, just now I mentioned that we are expecting a huge development in terms of housing increase in across the island itself. But in particular, I think the north there's even more that's coming on stream, right? First and foremost, we are looking at 20,000 units within the next six to seven years. But if you extend it longer, 10 to 15 years, we're expecting about 50,000 units of housing that's going to be built in the northern region. And I think the government has made it very clear that the emphasis now is on the northern part of Singapore. Firstly, being the third regional center and also, you know, this is the northern entry point for Singapore. So again, a lot of focus emphasis, not only on building homes, having a larger population, but also a lot of emphasis that's going to put in place in terms of commercial industrial development, which is why about 100 hectares of land has been set aside for such

development. And they are expecting to create about 100,000 jobs in the Woodlands Regional Center. All this is going to benefit a causeway point. Enhanced transportation connection to the north, we all know and some of us are actually experiencing the impact of the construction of the north-south corridor, myself included every day, you know, the roads get diverted because of this construction. So when it's fully completed, this is actually a highway, quite similar to what you experience in KPE, where you directly from the east is very easily accessible all the way to the city center. And now they are building this for easy access from the north to the city center and vice versa. So you can expect more people to also come to the north. While, you know, we talk about the challenge, the challenges that we might potentially face because of Singaporeans going or more Singaporeans going to JB. What we are also experiencing is, of course,

retailers for Malaysia are also coming to Singapore in a bigger way, right? And more and more brands are coming on. We will share with you in the next slide what are some of the brands that are already here and some of them are actually in our malls. Okay, the other point about you know, talking about the RTS, the impact of RTS and so on, right? So we recognize that yes, RTS is going to make commuting easier. But what it also means is potentially more people may come to Singapore for employment and that's actually going to help be very helpful for us and especially if Cosway Point, the retailers may tap onto that, that perhaps can also help them elevate some of the issues or constraints that they have in terms of workforce because we understand the quota formulation workers is different from other nationalities, right? So you have a actually can benefit from that as well. The other point is also today we understand that people are going to JB because of this arbitrage, right? But the price differential, it seems to be

diminishing partly because we expect prices in JB will continue to rise as more Singaporeans shop there. So your rental rate is going to go up, your cost of labour is going to go up, your cost of production is going to go up. So that and at the same time, we are seeing Malaysian Wingate continues to strengthen. I believe it is further strengthened a couple of days ago. So I haven't seen the latest, but I know that it has strengthened beyond the 3.2. So as this Malaysian Wingate continue to strengthen, the arbitrage that the Singaporeans are enjoying will continue to narrow. Maybe you can share the next slide. So on our part, we are also pretty much concerned with what is happening in the northern part, with the RTS. We work with a consultant, our team of asset managers and property managers have gone to Hong Kong and together with the consultants to understand

what happened there, what was happening before and after, what are the impact and how some of the mall operators are also changing their trade mix, we're looking at their new strategy and so on. So we have done surveys to understand what are people buying, when do they go to JB, which are the larger public or the groups that are going there and typically what do they do there. And also we have interviews or surveys on those who actually don't go there and what are the reasons. So you can see some of the key reasons for people going there. They typically go on weekends, we understand so most of them are either singles or couples without children and then they typically shop in FNB, health and beauty, electrical, electronic trade categories. Usually on the lower value goods, they spend between 50 to 100 Singapore dollars.

Pick out international brands. Why? Because typically for international brands, there's price equalization. So if you take an example of Uniqlo, you can see if the price tag is really there, even though you shop in Singapore, they show you the price tag in Singapore dollars, they show you the price tag in relation we get. And when you do the conversion, again, depending on the forex at that point in time, the average price or the differences is very little. But in terms of the product range that comes to Singapore will be the latest launch will come first, right, instead of JVJV will come after. And we also understand recently from a very popular Singapore brand shoes that has gone international. So we were a bit surprised when they told us that for their shoes, it's actually cheaper in Singapore than Malaysia. So actually Malaysians do come to Singapore to buy their shoes. So again, point differentiation, the arbitrage

may diminish over time, you know, and we'll have another state of stabilization again. Right. So why do people don't go to JVJV? Safety is cleanliness, convenience, shopping experience. And also, I think Singapore brands or Singapore retailers have this better trust mark, right. So when you shop, say for a jewelry, for a higher value item, you tend to want to continue to do that in Singapore. And of course, if you're talking about basic necessities that you need on a daily basis, actually go to JV, but you can do it anytime, all the time, right in Singapore. So I talked about some of the brands that have really moved from or has come from JV across the course way to Singapore. KKV, we have them in our malls now, Orantecope also at NEX. Also, most of we had it in our mall. So more and more such brands, not all of them are actually directly

from Malaysia, but some of them have established footprint in Malaysia first before coming to Singapore. And we expect this list to continue to grow because as far as the retailers are concerned, the market is big enough, right. So they could inherit sales from both across the course way and why not, right. So in terms of our shoppers, like what I say, they don't have to wait for the weekend to have their Orantecope, they can have it anytime, any day, right in Singapore. And I spoke about transforming course way point into a regional mall, right. With the growth in the catchment market, both in terms of residential and commercial catchment market. We are now looking at fine tuning, doing some work, AEI work on course way point to pretty much position it more original, more rather than just a big suburban mall that serve the Williams area because the catchment market is going to expand. So our trade mix would be such that it can attract a wider

market and population as well. And at the same time leveraging on the fact that Woodlands MRT station is an interchange of North South and TEL line, right. So again, with an interchange and especially for those leaving a South train line, if you want to go to RTS, you actually have to stop here to change the train and then before you get to RTS. So we expect traffic again, you know, to increase for course way point and we will want to position course way point as a regional mall. We are starting to work on it. So hopefully, either by two quarters after we can share some of the plans that we have in mind, it's going to be very exciting. We are very excited by the opportunities that we have for this mall. Next please. So I believe I've shared quite a bit on what we are doing, expecting from the market, what we are seeing in the North region.

The other part that I wanted to share is also on this software, right. We have been always talking a lot about hardware, but I think sometimes as a mall, as a kind of social hub as Pauline shared, we have to also focus a lot on the software. That's why we are positioning our mall with the idea that it can be a second place for a lot of our catchment people, residents living around our mall can really use our mall as a second place. What do we mean by that? So we mean that for a start, we know one in four of our population is going to be 65 and above. As some of those people working, they retire, they want to have a place to be, they want to have a place to go. So we want to make sure that we do capitalise and capture this group of seniors because they do have the ability to spend,

they do have the propensity to spend, and they want to have a place to be just at community centre. So we want to position our malls as a second place for them. Similarly, even for the younger crowd, right. I mean, we are seeing, for example, in what a way point because of its proximity to SIT, we do see more the students actually spending more time at the mall. But in order to be the second place, I think what we need to do is understand what is required, what are the amenities that we need to provide, what are the areas that we need to improve, right, in order for people to want to spend more time or they want to come here more often and at the same time, like what I said, spend more time as well, right. So this is our plan and our strategy is to make our malls a social hub, a second place for our shoppers. Inclusive spaces, again, is something that we have been doing, but maybe perhaps not sharing it publicly a lot. We are talking about making our places safe, inclusive, so that people with disabilities, with dementia, they feel safe and

comfortable coming to our malls, right. For a start, not sure whether you guys are aware that across our portfolio, we have over 100 dementia go-to points, right. What do I mean by that? Firstly, all our customer information counters are dementia go-to points, meaning that if somebody is lost, some seniors are lost as a result of that, our staff are able to identify all we have already worked with, that's why I said more than 100 of them, have their staff trained to identify people who may be suffering from dementia, may need assistance so they can actually help them and direct them or bring them to the customer service counter or they within their premises, they also have space to for these people to rest, find out a little bit about them, call their family and so on, and then help them to get back to where they're supposed to, right. So we also have come hours, our malls

are universally designed, accessibility is no longer an issue for people in wheelchairs and so on. So again, we are putting in a lot of focus and attention into this inclusive spaces as well as Singapore, again, you know, aging population and also we are a lot more focused now on inclusivity, right. The third point is about unifying our brands, right. Today, you go to our portfolio, our malls, right, you don't sometimes hard to identify that, oh wow, this is actually a phases, uh, center point mall because we don't really have a identity that cuts across the portfolio. But with this, uh, unifying of brands, uh, then you can see that perhaps, um, Judy can go to the next slide in terms of branding, it's easier for what happens to identify our portfolio. And one of the key reasons we want to do this is also we want to ramp up our loyalty program because if you know what are the malls that accept our

loyalty program, then the, then the value of our loyalty points becomes more, right. So you can see on this slide, uh, this is the unifying of the brand. So all our brands will have a same, uh, color tone. We'll have the same fonts, for example, and carries the phrase of phrases experience. So when you are in one of this mall, you will know that it is actually part of the portfolio. What we have also done is, uh, changing out, you know, the typical concierge counters that's bulky, very big. We reduce them in size. We make it mobile. The, um, our concierge can actually be more interactive with our shoppers. And we also asking them to move around the mall to help our shoppers as well. So again, we are increasing the effort on providing better service to our community while we also improve on the amenities at the same time. Right. So I've shared about what we see, you know, uh, going ahead for this year, that again, it's going to be a very busy year for us.

We are going to continue with our account. AI, uh, will complete by September. And then we're going to kickstart next AI, which is actually a pretty massive program that we are looking at very exciting, very interesting. And as Pauline has shared, you know, we are expecting a good response and also we have a pretty good target ROI to achieve that will further strengthen next if it's not already a very, very strong mall, right. Um, based on the numbers we are seeing, based on the numbers that we are expecting, we're going to see resilient demand for suburban retail space. Again, as I mentioned, population growth, income growth, uh, what are the factors that's going to underpin, you know, the performance of prime suburban retail. And this is where we will continue to enjoy, um, our growth coming from, uh, underpinning factors such as those two, as I mentioned, drive, shopper traffic, drive sales, create, uh, place making activities,

create opportunities for people to come more regularly, spending more time at our malls. That's again, top of mind because the more frequency they come, more people coming, tendency is they will be able to spend more and more as well. And of course, in terms of capital management, that's something that we are always very focused on, um, to have a prudent capital management, uh, in place and also try to help, you know, in terms of, uh, our cost of fund as well, right. So as we shared before, for this year, we attacked 3.4% cost of funds. So we are working very hard towards that. Um, with that, I'll end my, my presentation. Thank you. We are open for questions now. Thank you, Richard. Back to you, Judy. Thank you, Richard, for the comprehensive presentation. We've got a few analysts who have, you know, put up their heads to ask questions. I'll first invite Terrence from JP Morgan. So please unmute yourself to ask a question, please. Thank you. Thanks, Judy. A happy new year,

Richard and team. Hey, congrats on, uh, the good announcement. Uh, just maybe a first-line questions from you on, on, uh, the new cinema tenants. Um, maybe could you share on what's your, what's the timeline for income contribution, uh, for these, uh, tenants and, um, could you share on the thinking of, uh, uh, having more cinema tenants versus, uh, perhaps a change of use for the cinema space. Yeah. Okay. So you know, we had two, um, one in century square and one in concert point. So maybe if I may speak about the century square one first, right. So when we were looking at options available, right, whether it be, uh, we purpose seeing the cinema or find one for one replacement, um, said as we continue that journey, you know, we, we, we actually had a few options to do that. But when GV came to us and said that they are interested to take that space,

take over that space and operate, our immediate response is why would you want to do that? You have a cinema next door, right? But the fact that they are confident of, of, uh, taking the space means that firstly, they understand the market very well, right? Because they have been there for a very long time at Anthony small. And secondly, when they share the idea of what they want to position the cinema, it's quite exciting. Besides the traditional, uh, movies that you see in across what, uh, what they are showing now at them in this model, they also want to bring in, uh, houses films, uh, that is again, gaining quite a bit of traction. They are bringing more anime. They are also bringing K-pop concerts, right? Which they are not doing it at, uh, temple small. So besides all the other usual films, they are actually going to bring in other products. So we thought that was actually quite exciting. And the fact that it's, it's, it's DV, right? Because the fact that they are operating next door, meaning they are very

familiar with the market. They know what to expect. They know what's the demand that they can get from the market. And, uh, so which is why we have confident in them to take a one for one. Well, we look at repositioning sometime in the future, definitely we review again as we progress and see how they deliver and how they perform. They have taken over the space. So they should be starting to contribute, I believe in February, if I'm, if I'm not mistaken, February, March, when they start operating. So, so that's for century square. The one that we have point, um, it is more a gap filler for now because we have big plans for cost way point, which unfortunately I'm not able to share now, but it's very, they are very exciting, interesting plans to transform the mall. So they are space filler for now, right? So we're looking at a short term from now until probably end of the year or probably up to beginning of next year. This is a specialized cinema operator. Um, they operated by a people who distribute

was one of the main distributor for Tamil films in Singapore, but they also do show mainstream movies as well. Right. Um, so this is a space that we will be repurposing. Right. So it's a slightly different strategy for both and they have already taken over the space as well. Okay. So they are, they are already contributing for cost way point. And, uh, okay. And if I could ask on, uh, how can, uh, how can mall AI, I mean, they reposition the mall. Um, you do have a big integrated development, uh, understand that tender was, uh, was awarded earlier earlier this year, earlier this month. Uh, so maybe you, can you give us an understanding of, you know, how, how can mall will position versus the big, integrated mall coming up? Sure. Um, we knew that the site is there, right? It has always been a question of when not if, uh, so we will be surprised that it came up so much longer than

what we originally expected. So when we look at our account area, as Pauline mentioned, is, is, has got one of the lowest, uh, square feet per capita 2.4. Right. And if you look at the population of our account today, it's about 227,000. If you compare that with Eshun, it's about 229,000 and Eshun today already we, you know, North Point city itself is 530 over a thousand square feet. So we always look at it and believe that this area can accommodate a much larger, right? So if you take our 165,000 plus potentially 300,000 more coming up, we are looking about 460 over thousand. That's not very far from crossway point and we have a population of 227,000. We believe that, um, it definitely can accommodate that size, which is why we, we went ahead with your AI. We want to reposition, we want to

upgrade the mall so that when this new space is done, we don't look like we are, you know, the, the very old outdated mall. So that's been the focus and we knew we could, uh, our sponsor may win it. We may not win it, but nonetheless, we want to reposition ourselves, strengthen our core anchor tenants, uh, in a mall, um, make sure that we have them on board like the library, like the, the large footprint of NTUC and so on. So for us is a case of, uh, again, um, being in a, in a bigger, uh, in a large catchment market is something that we believe, uh, can accommodate that space. Okay. Thanks Richard. That's all I have for now. Thanks Richard and Terrence. Next up we've got Geridyn from DBS. Geridyn, can you unmute yourself please? Hi, hi Richard and Tina. Thank you for the exciting news. Yeah, maybe just a few, uh, two, two flop questions. Uh, for how come more with the second phase of AI complete, where do you actually see a passing

rate stabilizing? Yeah. Also want to get a sense of what's that new Hakan central site.

Um, okay. So two things that we, we shared the return for our account, it's going to be about 7%. So, um, I can't give you the exact, uh, rent, but even after we complete our AI, um, if we were to compare with the tender pricing for the new site and some of the information has become, uh, publicly available, there's still a gap right between our rent and what we are expecting from the new site. So which is why, uh, we are pretty comfortable. Uh, we are AI works, AI plan, the talent trade mix that we have. Um, again, as I mentioned and shared with, uh, Terrence just now that this whole area can accommodate, you know, the 400 plus thousand square feet of space in total between ourselves and also the new site. So, um, they having a bigger site, probably, uh,

different trade mix. Um, for us, we will again be focusing on complimenting what, you know, uh, that space requires. Thank you Richard. That's kind of a two, two, yeah, two in one answers. Okay. Yeah. I'll calculate that. Uh, yeah, just on next, uh, the 44,000 extra NLE, uh, what, what place do you have around it and just a sense whether you can share, uh, for the department store that is a ton, when's a good time for them to, uh, any place for them to return space and a right size. Oh, okay. So I will take the easy part and then I'll pass over to Pauline to, to shame more. Is it a, uh, exiting the mall or exited the mall. Uh, so there's space will be written and we have, uh, plans for, uh, repurposing that entire space by bringing in some stronger, uh, mini anchors and also more brands to occupy that space as well. Pauline, you want to take this? Yeah, I don't

know. You've largely answered the question, right? So it's, it's, uh, no, but she wants to know the 44,000. She wants to know the 44,000 square feet of space. What are we using? How are we going to deploy that space? Okay. Yep. So I think, uh, when we are under, uh, under wrote the, the acquisition, right? For next we realized that actually there is that, uh, some of that value that can be unlocked, right? So I think some of the traits that we are looking at and hunting, uh, in terms of maybe not on average size, but, uh, in terms of the, you know, the diversity, the variety of offering and also trade that would give uplift, uh, in terms of the render, right? To support the returns of the AI. So some of the traits would include say, for example, FMB, right? So as a proportion, uh, the current FMB as a proportion of the mall, compared to what we have in some of our malls, we believe that there is still room to, to improve,

but there are also segments like, for example, uh, enrichment education, uh, that we are looking at enhancing, um, with the exit of the, uh, department stores, I think there would be also certain gaps, uh, that we can fill, uh, with specialty tenants. So for example, case in point would be, you know, the beauty traits, right? The cosmetics, uh, and so forth. So these are some of the areas that, uh, or some of the plans that we have, uh, to actually uplift, uh, the offering at, uh, next. So I hope I've answered your question. Thank you so much, Polly. Yeah, Richard for the color. Yeah. Thank you. Thanks, Jerrodin. Next up, we've got Vijay from, uh, RHP. Vijay, can you unmute yourself? So ask your questions. Thanks. Hi, morning. Congrats on the results. A couple of questions for me. Firstly, is there any revised guidance for FY26 interest cost?

Hi Vijay, um, you're from the cause of that, right? Yes. Yeah. Hi. Um, yeah, we, our guidance remain unchanged, which, um, is around 3.3, 3.3, 3.4% percent. Okay. Uh, in terms of this next AEI, uh, would there be any occupancy disruption during this accreditation? And should we expect some loss of income from them all? Uh, what would that be?

Vijay, as we have always been articulating the fact that when we do AEI, um, whatever loss of income that resulted from the AEI will be patched back with ANPs, right? So again, it's a two years, uh, kind of, uh, AEI. So we can expect there'll be disruption, uh, as, and because we are doing it in phases, but there will be, um, covered by ANC during this period so that the unit holders would not be worse off during the AEI period, but enjoy the uplift when it's fully completed. So I will ask question, any opportunities in terms of increasing stake in Nix or Watervy Point, based on your discussions with your partners at this point of time? Sorry, Ian? Um, ongoing, um, yeah, it's, it's an ongoing discussion we have for both

our partners. Um, we, we feel that at some point in time, probably there's opportunity for us to do that, but nothing to update at this point in time. Okay. Thank you. That's all I have. Thanks Vijay. Next up we've got Raison from HSBC. Hi, Raison. Hi, morning, morning, Richard and team. Just three quick questions. Uh, firstly, can you share, uh, how much reversion is actually on the CIMA space? Is it in line with your portfolio? Uh, secondly, um, I believe there's some AEI potential at North Point as well. Uh, if we are just looking at Crossway Point versus North Point, which one would probably take precedence? And then lastly, uh, since some of our peers have participated in development projects, uh, and your sponsor has some potential as well, would you actually consider doing a development as well? Thanks. Yeah, Raison, so maybe I will answer the one and three, but I somehow I missed a second. So the first question is in terms of rental, uh, for the, the tenants that's taking over the cinema space. So if I look at, uh,

Crossway Point, uh, it is lower than the outgoing partly also because as I mentioned is actually a short term lease, right? Because we have bigger plans for Crossway Point. Um, for the one at Century Square, I will look at it. The effective rent is not very far from what was, uh, the previous effective rent that was paid by CATT. Right. So hopefully that takes care of the first question. The third question was on development project. Um, I think this is something that we are open to. Um, it again depends on at that point in time, if, if it depends on our position or balance sheet, whether we have the capability to participate, um, how's the market condition is, but definitely that's something that we have looked at. Um, of course, if you look at our size and the size of our peers, it's very different, right? Uh, the capability that they could do, uh, and, and this,

and what we could do is, is different, but we will be, we will be happy to participate in some form or ways if we, if we have the capability to do so at that point in time. Right, right. Thanks Richard. Um, uh, the second question, reason I, I missed the second question. Yeah. It's just a quick one on, on whether the North Point AI would be like a back burner since you have quite a number of AI's, uh, cause way point next, uh, on the pipeline. Okay. The North Point AI, there are a few parts to that. So one of which is actually, uh, kind of re, uh, what I could re-site is in some of the things that will be ongoing as the leases comes up, uh, for renewal. Um, if you're talking about some of the slightly bigger ticket item, it takes a little bit longer because we need to work with the various authorities and so on to, to get some of the plans out before we could embark on it. So the gestation period for North Point City could be a bit longer.

All the approvals we've done and complete our, uh, feasibility study, we will see whether it fits in or not, you know, uh, it's not going to be a very, very large AI level. We're expecting for next or even cause way point. So if, uh, if it permits, we can still go ahead to do it. It depends on the extent, the impact onto the, the income stream that we expecting, uh, to be impacted. Right. Thanks Richard for the color. Uh, look forward to the exciting times. Thank you. Thanks Jason. Um, next up we've got Derek Chan from Morgan Steny. Derek, can you unmute yourself to ask questions? Thanks. Hi morning. Can you hear me? Yeah. Good. Good morning. Just want to ask a couple of quick questions. Um, just on, uh, next AI, the $90 million is that, are you fully paying for that or is your JV also contributing to that amount? Um, Derek, it's a 50 50,

but what happens is the, the, uh, holding code itself actually will be funding it. So we are not expecting to have to inject any equity to be funded through the, the joint venture company. Right. So 90 split both ways, uh, fund it through the holding company. Yeah. Yeah. I mean, effectively both ways that because it's, it's, there's a joint venture. Got it. Okay, cool. Thanks. And, um, just for, um, I guess cause cause we point, uh, I know we can't share specifics, but is the quantum, uh, expected to be north of what, uh, nexus nexus like, um, we are still working through the plans, but I would imagine it would be something like that, right? If not, uh, slightly more than that. But again, it's very much depending on what kind of approval we are going to get, what kind of work, uh, we can do right for, for that. Right. So maybe perhaps, uh, all the horses, uh, we should be able to share something more concrete

come next quarter, if not the quarter after. Got it. No, I mean, that's helpful just to get a sense of the, uh, the scale of, of the AI. Um, there'll be a pretty significant one because I think we want to take the opportunity since, uh, cause we point also have not gone through AI for quite a while. It's quite, um, uh, if you look at the more itself, it's a bit higher, right? Uh, so we want to split. We saw opportunities from the, uh, cinema space and so on. So I think it's a very exciting opportunity for us to, to benefit from and take advantage of. Got it. And I wrote, direct, I can add on, right. So for causeway point, the AI will be in terms of quantity more, but it's going to be significantly impactful as well, because there is, uh, quite, uh, you know, a lot of value that we can unlock from the mall, um, as is, and also given what's happening in

this catchment, right? So a lot of the developments in the north, uh, as far as, you know, even, you know, that cross border policy, which, uh, Richard spoke about earlier. So I just wanted to provide that perspective. Got it. Thanks for that. Um, yeah, I just made a decision to track to, um, North Point. I think Richard, you may have mentioned that this will probably take place after next. So can we assume that this will be, you know, two years later? Oh, um, I, I spoke about North Point city, uh, potential that we have articulated when we acquired. So there are a few parts to that, right? Some of them are ongoing as the leases for the major anchor tenants, uh, comes up for renewal. We'll be looking at resizing some of them. So this can take place, uh, without having to wait. So there are some, uh, works that may require, um, capital expenditure and also disruption to the operation

or the more we will review it and see whether we can fit in while we are still, we are doing the AI for say, for example, for next, because the scale is, is, is different. It's not going to be as significant as next or cause way point, but then it requires a lot of, uh, authorities approvals, uh, before we can get to that level. So it very much depending on the scale, the timing, the size of the AI. And so if all these, uh, AI pipeline, um, is the fourth strategy more AI centered, uh, meaning where acquisitions take more of a back burner?

No, I think acquisition is not within our control. Acquisition, as I said, is always opportunistic. Uh, when the mall comes out to the market, we were evaluated. I mean, the question is whether can we afford that kind of pricing? Do we have the capability to, to do it? So it's, it's a, it's a separate, uh, position making altogether. We always talk about AI as a value proposition, right? Besides your organic growth, AI is the one that going to give you additional boost, you know, in terms of your income. If you look at, for example, the returns that we have been sharing, right? Um, companies, one, we achieve 8% return outcome. We are on track to achieve a 7% and also for next 7%. And if you add all this together, we are looking at probably, um, 90, 50, 30 is almost close to 200 million. So when, when the AI comes together, it's pretty sizable. It's almost like buying a mall, but you're getting about 7% return, which is a very, very good return. So a lot of investors

always, or analysts always ask, when's the next deal? When's the next deal? But if you're buying an asset, say for example, Clementine mall at a low four, how does that compare with a 7% return that you're getting from AI? So don't discount AI. So AI is something that we continue to work on to churn out new opportunities because we still see a lot of value that we can harness from our portfolio. So it's a question of doing it one at a time, if possible, so that we won't have major disruption to our income flow. But AI is definitely a very good way for us to increase the value, increase the income. I'm not sure a lot of our peers still have AI up their sleeves. Some of them will probably have done many, many rounds already. So I'm not sure how do they have, but within our portfolio, you know, we shared with you, right? We are doing our come now. Next is coming on. We have big plans for Crossway Point already. Next, North Point CD is also one, but smallish. We still have other malls that we are working on the AI

as we speak now. Acquisition is always again, one of the key drivers for growth, but that is something that we can't control. When it comes out, it's available in the market. We will evaluate it at that point in time. Got it. Thank you. Richard, hi, sorry. If you don't mind, maybe I should have done it earlier when I spoke about next, right? I mean, elaborating on what the ROI or the value enhancement entails for asset for AI projects, right? So if you look at the 7% ROI effectively for, you know, every dollar that you're putting in, you're getting that 7% return on the income. So it's actually a 7% NPI on every dollar that you spend, right? So if you look at, you know, the new of our retail assets, that 7% is actually a very attractive year. And on top of that, there's also that, you know, unlocking the valuation, right? So the AI also brings about an increase

in the valuation. And we are looking at a, I would say a revaluation gain, right? Because the capital multiplier is actually more than one, right? So you spend $1, you get more than $1 in terms of the value enhancement of the property. So that is, you know, where we see, you know, the merits of undertaking asset enhancement for our projects, right? It's not just driving the income returns. It's also enhancing the valuation and getting that, you know, revaluation gain through the, you know, the capital, the keynotes that we are investing in the property. So I hope I've given a little bit more color or context into why we think, you know, AEI is very important for us. I think the other thing is also, I can understand, you know, the

question about North Point City, right? So when we undertook the acquisition of North Point City, we actually verbalized various value enhancement. The AEI is just one aspect of value enhancement. It's not just about AEI. In fact, you know, the next day after we acquire, we work very hard to drive some of the value that we have committed to our investors, right? So the other areas would be, you know, improving the operating efficiency of the mall. Again, that will enhance the, you know, the returns of the asset, right? And also in terms of, you know, getting that higher space productivity, rental productivity, it's not relying on just one major AEI, one major kickback exercise to unlock the value. That's how the leases come up. And some of these spaces are anchor spaces, big spaces, whereby we see, you know, there are merits to either,

you know, change out the tenants or even subdivide right sides to drive the rental productivity. So the point that I'm trying to make is that it's a progressive thing, it's a progressive unlocking of value rather than just relying on one big AEI, which definitely, you know, we are still working very hard on the feasibility, but it takes time because it entails, you know, it's quite multi-faceted in terms of what we need to do, the financial feasibility, the retail feasibility, and also engaging the authorities. Okay, so just a little bit more color on that. Thanks, Pauline and Richard. Next up we have Rachel from Enquiry. Sorry to make you wait a bit. Hello, hi, good morning. Hi, can you hear me? Yes, all good. Okay, great. Yeah, hi, good morning, Richard and Tim. Thanks for the call. Maybe just very quickly. Hello, hi. Yeah, we can hear you well. Yeah, okay, great. Yes, we can. Sorry. I think maybe just to follow up on the AEI question.

Can you give us a sense in terms of your schedule AEI for next, when would be your biggest impact to your earnings or biggest impact to the loss of income? And then because you are probably looking to announce something on the cosplay point as well AEI, so will that overlap with your next AEI? Can I safely assume that your FY27 would be the biggest impact in terms of the two AEIs coming together at once? Okay, so one it's about trying to work out the schedule. Maybe Pauline can give a bit of color. So one thing that we have again, make it quite clear is that don't worry about the impact because we will be using other means to support the impact to the income while we are doing work. This is something that we have been doing. We have articulated and we have applied

when Tim Prince One was doing and Alkang Mo was also ongoing. No different. Of course, we'll be looking out as much as possible to broaden the work when there'll be certain crossover and perhaps happening at the same time. But don't forget that next is 50%, next is not 100%. While we talk about 90 million, we talk about the impact, we also have to remember that it's half. So if you take half 50%, then maybe the impact is not as significant as what you think because if you look at Alkang Mo, the AEI is 51 million. So we can manage it. Of course, we are mindful with our cashflow position, gearing, and so on. We are mindful of all that and we try to see whether there is opportunity as much as possible. But there will be instances definitely when certain work has to be done

because the faster you complete certain section, you also get the income coming through earlier, faster, and any uplift will also come through as well. So sometimes it's a case of trying to get things done faster so that again, the more can be returned in a much better position as soon as possible. So all this we will bear in mind. But as we mentioned just now that in terms of impact to the bottom line is something that we are mindful, but we already articulated how we're going to make that get even when it happens. Okay, so Richard, you want me to talk about the time for the two AEIs? Yeah, I think for all our AEIs, we almost continue to operate and we will stage out the works as well. So even on an individual asset level, we are very mindful about the

disruption. But I think if I talk about the next AEI, we are looking at the GFA, right? Actually building new floor sensors as well, right? So some of that disruption resulting from that would be, I would say the fringe count disruption, right? For the East Eitan space, it's a matter of the tenant exiting and that is also a lower yielding space because it's an anchor. So on average, I mean the rents for my anchor tenant compared to the average rent would be lower. So that kind of puts it to perspective, what is the impact to the income as we undertake the works, right? But I think over here we are looking at not just one more undertaking AEI, but potentially maybe over the, you know, towards the end of FY27 or FY28 itself,

there'll be more than one more undergoing AEI. But at that point in time, firstly, Algang more will be coming back in a stronger way, right? Secondly, when we look at the staging of the works, we don't just look at one more, we look at the intensity for across both assets itself, right? So as a next actually goes through the AEI, we will also be pacing with what we are doing potentially at causeway point as well. So it's actually a stage thing. And I think like what Richard mentioned earlier also that, you know, there is that AM fees that will protect the DPU of the for the investors. Yeah. Okay, thank you. So I think in short, we are very mindful about the disruption. We always look at minimizing the disruption as much as possible, and also staging out the works, not just across one single more, but across the, you know, the one or two more that

we are undertaking the asset announcement. Yeah. Okay, thank you. Just two follow-up questions. Can you give us the same when is the Isetan lease coming up for expiry? And then the second one is just for next small, is the contribution 100% DV out to the partners or what's the percentage that's been DV out to the partners at the moment? Okay, so maybe I'll take that question on Isetan. So in terms of timing, it's very much aligned to when we are commencing the AEI for next, right? So they'll be coming out in April. We are looking at starting the AEI works for that space sometime in May or June. Right. So again, it all goes back to the part about minimizing the downtime. Yeah. Annie, you want to take the question? Yeah, so Rachel is for next season or close to 100%. Okay, thank you. And thanks for all the color. That's very helpful. Maybe my next question is on

how come more now that the AEI is the most complete, you're doing well, it's a brand new mall. Would you look to sell the mall now that you have a competitor coming in with another mall?

I think we do get divestment because we have a competitor mall coming up. It's more whether is there any further value we can harness from the mall has the mall which is optimum before we will consider that more maybe perhaps not much of a value going further. And also what do we use if we were to divest a mall? What is it that we if we recycle this mall, can we find better alternative? Can we find a better mall that can improve the overall portfolio? I mean, we have done over the years, divesting assets because those are assets that as I mentioned, it either doesn't fit into a portfolio. It's not there are not malls that we think we can continue to drive value. And certainly, we are we were able to bring in more that can and strengthen the portfolio. So again, these are considerations, right? We when we do AI works, when we have a mall, we are always mindful

that what potentially could come on. So like what I said, you know, when I was answering, I think, was was it Terrence question, the site here is nothing new, we all knew that there's going to be a massive development, a significant development. And it's a question, it's always been a question of when they're going to launch did not eat. So when we look at our own position, we are always on the basis that that mall could be a mall that I'll put the other side potentially our sponsor could win or somebody else will win. And what happens when somebody wins? And it's always been done on a basis that we don't get that mall, right? Our first point of FS is always been on a basis that we don't mean them or what do we do? And so this is no different. Okay, thanks, Richard. Just one last bookkeeping question. I think that tendencies have been quite strong this quarter. I think mostly led by November. I just wondering whether you can give any color at any specific malls that stand out stand out to you in terms of tendencies and how is it looking?

I know it's a bit early, how's it looking at the, you know, the January month? Do you think it will sustain that this kind of. Yeah. Yeah. But what we are saying is again, we're pretty happy. Actually, the numbers came through like 2.7% growth in the first quarter and our first quarter, incidentally, you're talking about the holiday season, November, December school halls, when a lot of people are deemed to be traveling a lot of outbound. So we are actually quite happy with the result that we achieved. So we are hopeful that this trend will continue. And again, like what I said,

PM and finance minister is going to have his budget soon, right? So again, fingers crossed. I think we are also all looking forward in a hopefully that more and outs that that is coming our way. And that will again, help to maintain or boost the sale. So, but overall, we've all that we are seeing, you know, increase in population that's coming in. There's a lot of activities that's going on, which is actually good for us. And that kind of give us, you know, which is why we said that we are positive. We're still very positive on this sector. Yeah. So Rachel, to answer your question on which ball is doing better, I think we do see that, you know, this trend is actually brought base across our portfolio. Well, of course, definitely, you know, with that heightened watch on the North, right? The RTS and so forth. We're also watching our northern malls very closely. But actually,

in terms of the growth in football, and in terms of the growth in sales, it's also very strong for the likes of our northern malls like Crossway Point and North Point City itself. Yeah. Okay. Just to add on to that a little bit. Again, you know, talking about the North region malls. In fact, last year, I mean, at the fourth queue, we shared the re-wrenching for every one of the mall. If you look at Crossway Point, if I recall correctly, it was 8.0% higher than our average occupancy. Now that, you know, the cinema space is back here is 100%. So, we question, you know, RTS impact, but certainly the retailers themselves know that RTS is coming. They have confidence and the question is why do they have confidence? Because they have been operating in this mall for a very, very long time, some of them. They know the market, they know the catchment, they know the spending ability, and they know what they are doing.

Right. So, I think while you may be, you know, listening to us and wondering why we are drumming out, but it's not really the case because, you know, it's proven that even our retailers have a lot of confidence in the mall and they are renewing it for three years. They're not renewing it for a year. So, why would they want to renew, you know, in a space of three years if they don't have that confidence, right? By now, you should expect the occupancy for Crossway Point to be, you know, on a downward trend if what we are saying is true, right? And what we think is going to happen and the retailers are losing confidence and so on. But we are not saying that we are still seeing very strong reversion. We are still seeing very strong take up rate and demand for space in Crossway Point. It's just that now because we're going to start planning our work. So, you said to be mindful that whatever tenants we take in, you know, they may not have the full length of tenure. So, this is something that we need to work on as a team, right? But other than that, that's the testament of the confidence that the retailers

have in our mall. Okay, thanks for the color. Let's hope for the best for the northern mall. Okay, thank you. Thanks, thanks, Rachel. And next up is Scott Brendan from C. Morning, good morning. Hey, morning, morning, which is just a quick one, right? Can you just show us whether there's been any payment that's made back to you for the cat days, right? I think previously you would say that you were expecting something. We have submitted a statutory demand, but because they are currently under liquidation, right? So, there's a moratorium of four months starting in sometime in mid-December. So, as of now, everything is frozen, right? So, we just have to wait out and see what happens after that four months. But prior to that, we also did share that we did recover money through our security deposits and so on. So, we did recover some money along the way, but we have also put in a statutory demand, which is a public of 3.3 million.

Okay, okay. Just one more question on my side, right? Just want to hear your thought process on the CWP on the major AEI, right? So, when you look at this, you actually factor in some of the potential major sites that could come out around you. So, if you look at the GLS sites, there's actually a pretty decent sizable website, just beside Causeway Point. So, very similar to what we saw with the outcome site, right? So, what if let's say tomorrow it gets triggered, you know, somebody else takes it as a site with FPL, right? So, do you actually factor all this in? We do. We are conscious of the site. I mean, we have evaluated the site as well. I suppose for those who have looked into that, you know that the retail space is about 200 plus thousand, significantly smaller than Causeway Point. And there's also a requirement for quite a lot of the site to be for office use, right? So,

I guess that's what they're trying to develop in that area. And that is also one of the key reasons why, you know, most developers are shying away from the site. But when we look at our AEI, we do factor that into consideration. And what we are saying is that also before AEI potentially, we can also increase our NLA as a result of some works that we are planning for. So, again, that will further strengthen. If you're looking at from the position of strength, we will be strengthening ourselves. You're looking at positioning as an opportunity. Again, there is something that we will have to work together with our sponsors, you know, for a site like that. So, we will try and see whether it is an opportunity for us to kind of include any potential retail space that's coming out there. Okay. Thanks. Thanks, Jiexin. Thanks, Brendan. We'll ask questions from Tanshin. Hi, morning. I just wanted to follow up on the cinema lease, right? So, given that one is flat

and the other seems negative in terms of reversion, will these two reversion both flow into the first half number to be reported and any change to FOIA guidance of mid-single-digit?

Yeah. Okay. So, normally for,

definitely for cross-way point, it will not impact the rental reversion because it's a term lease, it's a short-term lease. I believe the century square may or may not be because it's a preterm case of falling. I can't remember the term. Yeah, it's a preterm case, but then if we are looking at cash flow, right? So, I think on what's more important would also be how the cash flow would be with this lease. So, I think Richard shared earlier that, you know, effective rent-wise is quite similar to the outgoing for cash-tape. Yeah. How short is the lease at cross-way point? Actually, 11 months, but then we do have, we've actually paid that for a lot of flexibility to recover the space because we are working on the, you know, the bigger transformational plans. So, we want to retain as much flexibility as possible. Okay. Got it. Thank you. That's all from me. Thanks, Nanshi. Thanks everyone for all your

questions and participation. I think we have come to the end of the Q&A as well as the first quarter business update. If there are any further questions, feel free to, you know, contact me. Yeah. Okay. Wishing everyone a good day ahead. Thank you.