CapitaLand Mall Trust (CMT) has agreed to sell its mall in Sengkang to a private equity fund managed by AEW Asia for $190.5 million.

The 99-year-leasehold Rivervale Mall has a remaining lease of about 81 years.

Completed in 2001, the three-storey shopping mall has a net lettable area of 81,159 sq ft.

It had a committed occupancy of 100 per cent, as at Sept 30.

Its major tenants include FairPrice, Daiso, McDonald's and United Overseas Bank.

Based on the latest independent valuation, as at June 30, the property is valued at $116 million.

CMT will realise a gain of about $72 million from the sale of Rivervale Mall, after taking into account the divestment fee and other divestment-related expenses.

"The optimal option for Rivervale Mall after our evaluation was a sale of the asset, as it would unlock the highest value for our unitholders," said Mr Wilson Tan, chief executive of the real estate investment trust manager.

"As Rivervale Mall makes up only about 1 per cent of CMT's total deposited property value, its divestment presents minimal impact to CMT's financial performance and distribution per unit.

"The net sale proceeds of about $188 million will enhance CMT's financial flexibility," he added.

The sale of of the mall is expected to be completed on Dec 15.

Following this, CMT will own a portfolio of 16 operational shopping malls in Singapore.

CMT units yesterday ended two cents higher at $2.02.