CDL to extend rental rebates for tenants
CDL is latest to enhance rental relief for tenants affected by extension of circuit breaker period
Following the announcement of the extension of the circuit breaker period to June 1 and the tightening of rules on essential services, malls have extended their rental rebates for tenants whose businesses have been affected.
In a statement yesterday, City Developments Limited (CDL), which operates City Square Mall in Farrer Park and Central Mall in Clarke Quay, said it would enhance its rental relief for retail tenants in Singapore from $17 million to over $23 million.
Retail tenants will receive 100 per cent rental rebates this month and next month, 50 per cent in June and 30 per cent in July.
CDL said that about 80 per cent of its retail tenants are not operating following the new curbs on services allowed to remain open over the circuit breaker period.
This means that most CDL tenants will receive more than 2.8 months of gross rental rebates in all, of which an average of two months will be funded by the mall operator.
Additionally, CDL will allow tenants to offset rent using part of their security deposit.
STAND UNITED
The chief executive of CDL's commercial division, Ms Yvonne Ong, said: "During such challenging times, CDL stands united alongside our tenants, and we will strive to support them with their immediate and urgent needs."
Other mall operators, including CapitaLand, SPH Reit and Mapletree Commercial Trust, have also announced support for tenants.
For tenants under CapitaLand, which runs malls such as Ion Orchard, Funan and Junction 8, the operator announced last month that it is effectively granting 100 per cent rental rebates this month and next month for almost all tenants.
Eligible tenants could also use their security deposit to offset rent for last month.
An additional rental rebate was also granted from March 27 to March 31 for tenants ordered to close their premises from March 27.
SPH Reit, which manages malls such as Paragon and The Clementi Mall, granted rental rebates for February and last month.
Additionally, the SPH Reit manager's board of directors would take a 10 per cent cut of their directors' fees from this month to show solidarity with the community.
Mapletree Commercial Trust last month said it would commit an additional $18 million to its $11 million retail support package to help its retail tenants at malls such as VivoCity and Alexandra Retail Centre.
It also offered deferment for fixed rent this month.
All four mall operators have said that the full amount of the Government's enhanced property tax rebate, part of the supplementary budget, will be passed on to tenants.
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