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The mall’s tenants are now facing a ton of uncertainties about their businesses as CapitaLand and City Developments (CDL) completed their acquisition.
With the mall’s popularity fading, shop tenants at Liang Court face a new worry as CapitaLand and City Developments (CDL) completed their acquisition of the mixed-use complex, reported The New Paper.
It was reported in March that CapitaLand and CDL were looking to acquire Liang Court for $400 million.
In a statement CapitaLand and CDL said: “The new owners’ immediate focus is the daily operations of the mall.”
However, The Business Times have also quoted them as saying: “As part of their active asset management strategy, the joint-venture partners will continually explore ways to enhance the value of the asset.”
With this, an air of uncertainty now hangs over the River Valley Road mall. This comes as some of the 80-plus tenants heard that Liang Court will be undergoing major renovations and they would need to move out.
Unsure when they had to leave, some tenants said they are just waiting for the management’s notice.
“I understand the need for relocation and my entire team will go together. I hope the customers will follow us. Business here has been quite stagnant,” said Bryan Lai, the pastry chef at Ma Maison restaurant.
Quek Chwee Chye, an owner of a business inside Liang’s Court, has seen his business suffer and is more worried about losing his customers than looking for a new location.
“Some of my regular customers may not follow me to my new location as it may be inconvenient.”
Meanwhile, some shops already have relocation notices on their entrances.
Books Kinokuniya (Pacific Asia Region) senior store and merchandising director Kenny Chan told The Straits Times last month: “We need to consolidate our resources… so management decided that since the lease is up, it is timely and convenient to close.”
When asked on the possible reason for the mall’s decline, Regina Yeo, adjunct senior lecturer of marketing at the National University of Singapore’s Business School, said: “Liang Court mainly faces competition from nearby shopping malls in the central area such as Plaza Singapura and 313@Somerset, which have a better retail mix and wider dining options.”
The loss of key tenant Kinokuniya may have been another reason for the drop in footfall at the mall.
Victor Kang, Digital Content Specialist at PropertyGuru, edited this story. To contact him about this or other stories, email victorkang@propertyguru
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