Google to vacate “a portion” of space at FLCT’s Alexandra Technopark

FLCT’s units, at $1.24 on Feb 22, experienced a 0.8% decrease. This came after news of Google’s decision to give up “a portion” of the space rent for its lease at Alexandra Technopark (ATP). This space constitutes 1.7% of FLCT’s gross rental income for the Dec 2022 period.

Despite this development, FLCT has assured that it will not have any impact on its distribution for the year ending Sept 30 2023. The Manager will execute proactive leasing strategies and asset management strategies to maximise the potential of ATP. Any material developments will be further disclosed where necessary.

Google had initially signed a five-year lease for the takeover of 344,000 sq ft at ATP. As per reports from EdgeProp Singapore last December, Google had not moved in, thus leaving the space empty.

However, Google had shifted its operations to the neighbouring The Myst Mapletree Business City II, taking up 680,000 sq ft. The switch was made effective Feb 20 2024.

The US internet giant, like many other tech companies, has been making use of the pandemic years to ramp up its hiring process. In recent months, however, there has been a surge in staff lay-offs.