Hey savvy investors, today we’re diving into a key issue looming over Frasers Centrepoint Trust (FCT): the upcoming Rapid Transit System or RTS Link connecting Singapore to Johor Bahru. With Causeway Point being FCT’s crown jewel, investors are wondering: Will this cross-border connection take a chunk out of Causeway Point’s footfall and tenant sales?
The RTS Link, set to be completed by 2026, is a 4km cross-border rail system that will link Woodlands North MRT station in Singapore to Bukit Chagar in Johor Bahru. With travel times expected to be around 15 minutes, the RTS aims to make cross-border commutes faster and easier, offering a compelling alternative to the heavily congested Causeway.
Over the past three months, the CSOP iEdge S-REIT Leaders ETF has climbed 9.5%, but FCT’s share price has lagged, rising just 3.7%. This suggests investors are growing cautious about FCT, perhaps concerned about how the RTS might affect its crown jewel, Causeway Point.
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