The transaction is part of Lendlease’s capital recycling programme and reflects growing investor confidence in the performance and long-term potential of the Tun Razak Exchange precinct.
KUALA LUMPUR (Dec 22): Lendlease has secured a new capital partner for The Exchange TRX, with a Malaysian family office acquiring stakes worth approximately RM1.1 billion in the retail and office components of the integrated development.
The deal involves the acquisition of a 40% interest in The Exchange TRX retail mall and the full 60% stake in its office asset, according to a statement by Lendlease on Monday.
The transaction is part of Lendlease’s capital recycling programme and reflects growing investor confidence in the performance and long-term potential of the Tun Razak Exchange precinct.
Lendlease will retain a 20% interest in the retail mall and will continue to provide asset and property management services.
The company will also maintain its 60% stake in the residential plots and the completed hotel within the precinct.
The transaction is expected to complete in the second half of FY2026, subject to conditions precedent.
The Exchange TRX retail mall, which opened in 2023, recorded RM2.64 billion in sales and 45 million visitors in its first year of operations.
Key tenants include Apple’s first Malaysian retail store and national debuts of brands such as Gentle Monster, Alo Yoga and Molton Brown.
“The strong performance of The Exchange TRX highlights the quality and appeal of the precinct, and introducing an established Malaysian partner is a strong endorsement of that success,” said Lendlease’s chief executive officer of investment management Justin Gabbani in the statement.“Today’s announcement underscores confidence in the precinct’s long-term potential and growth, and the quality of assets we’ve created. Combining our sector expertise with local investment, we are well positioned to build on the precinct’s momentum and drive even greater value for customers and partners.”
JLL, which advised on the deal, described the precinct as a market-leading address.
“Investor demand remains strong for genuine mixed-use assets that generate diversified income streams and best-in-class environments for occupiers,” said JLL’s CEO of capital markets Asia Pacific Stuart Crow.
“The Exchange TRX has reshaped Kuala Lumpur’s skyline and is now firmly established as Kuala Lumpur’s pre-eminent retail, commercial and entertainment destination. Its position as arguably the market’s most desirable new address is underpinned by its scale, quality and strategic positioning within the TRX precinct.”
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Source: EdgeProp.my
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