KUALA LUMPUR: Axis Real Estate Investment Trust (Axis-REIT) is acquiring an industrial facility presently built upon a 268,581 sq ft freehold land in Klang from Jemaramas Jaya Sdn Bhd for RM41mil cash.
In a statement, Axis-REIT said its trustee, RHB Trustees Bhd has entered into a sale and purchase agreement for the acquisition.
The said industrial facility comprises a 3-storey annexed office building and two warehouses with a total gross floor area of 193,015 sq. ft.
The proposed acquisition is targeted to be completed by the fourth quarter of 2022.
Upon completion of the acquisition, the facility will be leased back to Jemaramas for three years.
Axis-Reit said the acquisition consideration was based on the market value of RM41mil, as appraised by an independent registered valuer, CBRE WTW Valuation & Advisory Sdn Bhd, in its valuation report dated Aug 25.
It added that the acquisition would be funded by existing bank financing.
Axis REIT Managers Bhd chief executive officer/ executive director Leong Kit May said it would continue to grow its portfolio with acquisitions of quality properties which deliver good returns to unitholders.
“For the current financial year to date, Axis-REIT’s completed acquisitions total up to RM438.3mil.
“With the targeted completion of this property by the close of the year, we are pleased to add on another industrial facility that is strategically located within Klang Valley to our existing portfolio of 61 assets,” she added.