http://www.straitstimes.com/Breaking+News/Singapore/Story/STIStory_361394.html
<TABLE border=0 cellSpacing=0 cellPadding=0 width="100%"><TBODY><TR>New malls offer rent rebates <!--10 min-->
</TR><!-- headline one : end --><TR>Move is in contrast with landlords' refusal to do the same for older malls </TR><!-- Author --><TR><TD class="padlrt8 georgia11 darkgrey bold" colSpan=2>By Lim Wei Chean & Tessa Wong
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When it opens in early June, Orchard Central will be the first new mall in Orchard Road in over 10 years. To attract tenants in this economic downturn, the 213,000 sq ft mall has cut rents by 10 per cent to 30 per cent on a "case-by-case" basis. -- ST PHOTO: SHAHRIYA YAHAYA
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<!-- START OF : div id="storytext"-->ANOTHER new mall is going the tried-and-tested route of getting tenants: Cutting rents.
Orchard Central, slated to open in early June, has cut rents by 10 per cent to 30 per cent for some of its tenants on a 'case-by-case basis'.
It becomes the latest new mall to do so; Ion Orchard last month announced that it would offer rental rebates of up to 30 per cent for stores that are ready for business by the time it throws its doors open in July.
The mall, located at Orchard MRT station, has achieved 80 per cent occupancy.
Orchard Central, which is at Somerset MRT station, currently has 65 per cent occupancy. It hopes to increase this by tweaking rents.
Other new malls which have offered rent cuts or rebates include Tampines 1 and Iluma, at Bugis.
Such moves have shown results.
Tampines 1, which waived rentals for the first month, has enticed 75 per cent of its tenants to open when it begins operations today.
Tenants at the new Iluma mall, which had its soft opening last month, said they were offered the same deal, on condition that they opened on March 28.
Iluma's developer, Jack Investment, did not respond to queries on its occupancy rate on Wednesday. But the mall looked to be about 60 per cent full when The Straits Times visited yesterday. Another 10 per cent of the units were also furnished and looked ready to open soon.
'It's a good incentive, especially with the economy not doing so well. We don't have to worry so much about costs for a while,' said Mr Raphael Lim, the sales and operations executive at Artisan Exchange, a men's boutique at Iluma.
Read the full story in Thursday's edition of The Straits Times.
<TABLE border=0 cellSpacing=0 cellPadding=0 width="100%"><TBODY><TR>New malls offer rent rebates <!--10 min-->
</TR><!-- headline one : end --><TR>Move is in contrast with landlords' refusal to do the same for older malls </TR><!-- Author --><TR><TD class="padlrt8 georgia11 darkgrey bold" colSpan=2>By Lim Wei Chean & Tessa Wong
</TD></TR><!-- show image if available --><TR vAlign=bottom><TD width=330>
</TD><TD width=10> </TD><TD vAlign=bottom>
When it opens in early June, Orchard Central will be the first new mall in Orchard Road in over 10 years. To attract tenants in this economic downturn, the 213,000 sq ft mall has cut rents by 10 per cent to 30 per cent on a "case-by-case" basis. -- ST PHOTO: SHAHRIYA YAHAYA
</TD></TR></TBODY></TABLE>
<!-- START OF : div id="storytext"-->ANOTHER new mall is going the tried-and-tested route of getting tenants: Cutting rents.
Orchard Central, slated to open in early June, has cut rents by 10 per cent to 30 per cent for some of its tenants on a 'case-by-case basis'.
It becomes the latest new mall to do so; Ion Orchard last month announced that it would offer rental rebates of up to 30 per cent for stores that are ready for business by the time it throws its doors open in July.
The mall, located at Orchard MRT station, has achieved 80 per cent occupancy.
Orchard Central, which is at Somerset MRT station, currently has 65 per cent occupancy. It hopes to increase this by tweaking rents.
Other new malls which have offered rent cuts or rebates include Tampines 1 and Iluma, at Bugis.
Such moves have shown results.
Tampines 1, which waived rentals for the first month, has enticed 75 per cent of its tenants to open when it begins operations today.
Tenants at the new Iluma mall, which had its soft opening last month, said they were offered the same deal, on condition that they opened on March 28.
Iluma's developer, Jack Investment, did not respond to queries on its occupancy rate on Wednesday. But the mall looked to be about 60 per cent full when The Straits Times visited yesterday. Another 10 per cent of the units were also furnished and looked ready to open soon.
'It's a good incentive, especially with the economy not doing so well. We don't have to worry so much about costs for a while,' said Mr Raphael Lim, the sales and operations executive at Artisan Exchange, a men's boutique at Iluma.
Read the full story in Thursday's edition of The Straits Times.
