CapitaLand Integrated Commercial Trust (CICT), the first and largest Singapore-listed REIT, is acquiring a 100% stake in Paragon Mall and medical complex for S$3.9 billion (about $3 billion), according to an announcement on Monday.
CICT said it had entered into an agreement to buy Paragon, a freehold integrated development along Orchard Road comprising retail, office, and medical suites, from entities linked to Temasek-owned Cuscaden Peak. The acquisition is being made at an entry yield of 3.9%.
The REIT’s manager said the transaction is expected to be distribution per unit (DPU) accretive by about 2.1% and will strengthen CICT’s exposure to upscale retail and healthcare-linked income streams.
“Paragon is a rare, premier freehold integrated development… combining sizeable, upscale retail exposure with a defensive medical component,” CEO Tan Choon Siang said, citing structural tailwinds such as an ageing population and rising medical tourism.
CICT plans to fund the acquisition through a combination of debt and proceeds from a private placement expected to raise at least S$600 million, per the announcement.
The acquisition is subject to unitholder approval and is expected to be completed in the second half of 2026.
CICT has a market capitalisation of about S$18.2 billion as of December 2025. It invests primarily in income-generating commercial assets, including retail malls, office buildings, and integrated developments, with a core focus on Singapore and selective overseas markets such as Australia and Europe.
Formed through the merger of CapitaLand Mall Trust and CapitaLand Commercial Trust in 2020, CICT is managed by a unit of CapitaLand Investment, one of Asia’s largest real asset managers.
Its portfolio spans prime assets in key business and shopping districts, positioning the REIT as a proxy for Singapore’s commercial property sector.
CapitaLand Investment Limited earlier announced it had raised $320 million at the final close of its second Asia-Pacific real estate credit fund.
The CapitaLand Asia Pacific Credit Program II (ACP II), CLI’s second regional fund within its flagship real estate credit series, attracted a diverse pool of investors, primarily from Asia, including insurers, financial institutions, and family offices.
