COVER STORY creating better places for everyone , and that means putting people at the centre of our decision making .
For LREIT , we tap our sponsor ’ s expertise in placemaking and developing activated spaces . Our sponsor has been operating in Singapore for more than 40 years and isalready one of the forerunners in new experiences and concepts , i . e . first Don Don Donki with a bar at Jem ; IKEA ’ s first small concept store in Southeast Asia at Jem .
We believe in differentiating our retail malls and development projects as lifestyle destinations . With the inclusion of the multifunctional event space , 313 @ somerset ’ s presence in the Somerset area will expand to approximately 330,000 square feet , anchoring the precinct .
The strong government support in rejuvenating Orchard Road is an important consideration for us to invest in the site and create synergy with Discovery Walk , which is linked to 313 @ somerset . We will work with stakeholders and community groups to use the space for a variety of curated events . Locals and tourists will be entertained with experiential and memorable retail , lifestyle and entertainment events that run throughout the year .
The event space aims to offer a first-of-its-kind lifestyle experience along Orchard Road , with multiple dedicated event spaces , an independent cinema , hawker stalls serving local delights and a food and beverage attraction . This will provide a rich array of events and experiences for locals and tourists , especially the millennials .
We are collaborating with Live Nation , the world ’ s leading live entertainment company , to create an exciting calendar of concerts and events , ensuring that the site is active all year round . Live Nation has strong expertise in event management and a portfolio of world-class talents and content to attract fans , followers and footfall .
Q5
How do you see the WFH and return to office trend playing out in the near term and as the pandemic subsides ?
From a corporate occupier perspective , we understand how businesses may want to utilise workspace differently to cater for more flexible work arrangements . In preparation to live with COVID-19 , landlords have to be nimble to support the needs of the occupiers and , at the same time , ensure stable cash flow for investors .
The changes we have observed amid the COVID-19 pandemic will become part of the new normal , but we are confident of our ability to create better places and build vibrant and resilient communities hand-in-hand with our stakeholders while placing people at the centre of our decision-making process .
The three grade-A office buildings of Sky Complex are fully occupied and characterised by large and efficient floor plates to meet the regional needs of global organisations seeking to establish progressive workplaces . Based on our observations on the ground , we are seeing more employees returning to Sky Complex with safe distancing measures in place . We have also received a good number of enquiries on application of season parking in the buildings , which is a positive signal that more people are returning to the office .
A note worth mentioning : Sky Complex is fully leased to Sky Italia for a long lease term till 2032 ( with a break clause option in 2026 ). Comcast Corporation owns sky Italia – one of the largest broadcasting and cable television companies in the world by revenue and rated A3 by Moody ’ s Investors Service . It is a triple net lease structure where Sky Italia will pay for all the operating expenses in the buildings . This minimises operational costs and risks for LREIT . In addition , there is an annual rental step-up based on 75 % of ISTAT consumer price index variation .
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