Singapore, 17 February 2003 - Following CapitaLand Limiteds FY2002 results announcement, the company is pleased to announce that its wholly-owned subsidiary, CapitaLand Commercial Limited (CCL), has completed a preliminary concept for the new Clarke Quay as part of its plan to create value through intensive asset enhancement. CCL completed the preliminary concept based on market research and has appointed world-renowned UK architectural firm, Alsop Architects, to further develop this concept.

CapitaLand will leverage on its core competencies in real estate to create value through asset enhancements. Its vision is to create Singapores premier food, fashion and leisure precinct at Clarke Quay. Bold and creative ideas are currently being explored. The new retail concept, coupled with Clarke Quays unique historical heritage, prime Singapore River frontage and proximity to the new MRT station will make it an iconic development in South East Asia. Resolution of the retail concept plan has just completed and work is targeted to start in the second half of 2003 and will take about 18 months.

Mr Pua Seck Guan, Retail Managing Director, CapitaLand Commercial said : Before starting on the revamp we want to secure at least 30% commitment in leases based on the new retail concept. We could spend between $50 - $100 million in the redevelopment work. Feasibility studies are underway and the work for each phase will only begin after we are convinced that it can generate our target returns. The net lettable area for Clarke Quay will also be maximized and will increase from 230,000 sq ft to 270,000 sq ft. Subject to the approval of the authorities, we also plan to build a bridge across the Singapore River to the new Clarke Quay MRT station. We target to bring the net property yield of Clarke Quay up to a range of 6 7%.

Other properties which CCL had enhanced include office buildings like Six Battery Road, Hitachi Tower and Caltex House. Redevelopment work at One George Street (the former Pidemco Centre) is currently underway and targeted to complete by end 2004.

CapitaLand Commercial is the largest manager of office and retail space in Singapore with interests in the gateway cities of London, Shanghai, Hong Kong, Japan and Kuala Lumpur. Its vision is to move beyond building mere concrete structures to create living, vibrant and integrated communities where people love to work, shop and entertain.

In Singapore, the company manages seven prime retail properties : Plaza Singapura and Scotts Shopping Centre along the prime Orchard Road/Scotts Road shopping belt; Junction 8 and Tampines Mall located in densely populated suburban centres; Liang Court, popular with the Japanese community; Clarke Quay, Singapores first festival village by the Singapore River; as well as specialist mall Funan The IT Mall.

CapitaLand Commercial is the commercial property business unit of CapitaLand, one of the largest listed real estate companies in Asia.

CapitaLand is one of the largest listed property companies in Asia. Headquartered in Singapore, the multi-national company has property and property-related services focused in select gateway cities in China, Australia and the UK. The Company's hospitality businesses, in hotels and serviced residences, span more than 50 cities around the world.

Its business interests cover commercial and industrial buildings, residential properties, property funds, real estate financials and property services, besides hotels and serviced residences. CapitaLand also leverages on its significant real estate asset base and market knowledge to develop fee-based products and services.

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