Paragon REIT finalises sale of Figtree Grove Shopping Centre

A deposit of approximately A$9.6m has already been paid by the purchaser.

PARAGON REIT Management Pte. Ltd. has announced the successful exercise of a call option for the divestment of the Figtree Grove Shopping Centre.

This follows the earlier announcement on 22 November 2024, regarding the entry into a Put and Call Option Deed for the proposed sale.

In line with the Option Deed terms, DBS Trustee Limited, acting as trustee of PARAGON REIT through its 85%-owned Figtree Trust, has finalised a sale and purchase agreement (SPA) with an unrelated third-party buyer. The agreement facilitates the divestment of the Figtree Grove property without requiring additional conditions precedent.

A deposit of approximately A$9.6m, representing 5% of the divestment consideration, has already been paid by the purchaser. The remaining balance will be settled in cash upon the completion of the transaction, which is anticipated in the first quarter of FY2025. The agreement includes standard terms, including warranties and limits on the vendor’s liabilities.

No directors or controlling unitholders of the manager, aside from their existing interests in PARAGON REIT, are involved in the transaction.

The divestment aligns with PARAGON REIT’s strategy to optimise its property portfolio.