CapitaLand Trust Acquires Paragon Mall for $3.9B, Sells Asia Square Tower 2 for $2.5B

Gate News message, April 20 — CapitaLand Integrated Commercial Trust (CICT) is reshaping its portfolio by acquiring Paragon, a freehold retail and medical complex on Singapore's Orchard Road, for approximately $3.9 billion, while selling Asia Square Tower 2, a Grade A office building in the Marina Bay financial district, to Malaysia's IOI Properties for $2.5 billion.

The sale of Asia Square Tower 2 represents a 9.9% premium to its market valuation as of December 31, 2025, and is expected to complete in the second half of 2026. The transaction is projected to increase investor payouts by approximately 2.1%, from 11.58 cents per share to 11.83 cents per share. Two independent valuers assessed Paragon's value at between $3.895 billion and $3.905 billion as of March 31.

Paragon is fully occupied with over 190 retail brands and offers access to medical facilities with stable income streams, supported by long-term trends including an aging population and rising medical tourism. Its proximity to the Mount Elizabeth medical cluster strengthens its value proposition. The acquisition will anchor CICT's presence across multiple MRT stations from Orchard Road through City Hall.