CapitaLand Limited, one of Asia's largest real estate groups, announced that it will sell The Star Vista to Rock Productions, the business arm of New Creation Church, for nearly $217 million.
Rock Productions handles business for the 33,000-member New Creation Church, which is led by televangelist Joseph Prince.
Rock Productions already owns The Star Performing Arts Centre located in the same development. The centre is used for church services.
"The divestment of The Star Vista is in line with CapitaLand's active and disciplined asset recycling strategy. Year to date, CapitaLand has divested close to S$5.7 billion worth of assets, exceeding our annual target divestment of $3 billion. The proceeds from these divestments will enhance CapitaLand's financial flexibility to seize new growth opportunities," Jason Leow, president, Singapore & International, CapitaLand Group said in a release on November 20.
A spokesperson for the church said it agreed to the sale because it was worried about ownership of the mall changing hands.
"Given that The Star Vista and The Star PAC are inextricably linked, our immediate objective … is both to protect the interest of the church and to preserve the good experience for all who come to The Star PAC," said New Creation Church council chairman Deacon Young Chee Ram.
The church said it will not be holding a fundraising drive for the purchase, as it already has the money available. The church is also considering the possibility of having CapitaLand run the mall on its behalf.