Sale of Shareholding Interest in Associated Company, Rodamco Insa Co., Ltd

The Company announces, pursuant to rule 704(16)(c) of the Listing Manual of the Singapore Exchange Securities Trading Ltd, that its wholly-owned subsidiary, Centrepoint Properties Limited has through, CPL (Korea) Pte Ltd, disposed of all of its 25% shareholding interest (together with its shareholders' loans) in Rodamco Insa Co., Ltd (" Rodamco Insa ") for a consideration (" Consideration ") of Korean Won 15,157,555,000 (approximately, S$24.4 million) (the " Sale ").

Rodamco Insa is the owner of the serviced apartment building "Fraser Suites, Rodamco Plaza" (" Serviced Apartments ") at Nakwon-dong, Jongno-gu Seoul, Korea which is managed by the Company's other wholly-owned subsidiary, Fraser Serviced Residences Pte Ltd (" FSR "). Following the Sale, FSR will continue to manage the Serviced Apartments in accordance with its management agreement with Rodamco Insa.

The Consideration is arrived at on a willing buyer willing seller basis and the Company derives a gain over the carrying value of the investment from the Sale. The Sale is in line with the Company's asset-light strategy to rationalise, if the opportunity arises, its equity interests in the serviced apartment projects managed by FSR.

The Sale, however, is not expected to have a material effect on the net tangible assets per share or earnings per share of the Company or the Group for the current financial year.

None of the Directors or substantial shareholders of the Company has any interest, direct or indirect, in the Sale.

Anthony Cheong
Group Company Secretary
13 July 2005