PETALING JAYA: Axis Real Estate Investment Trust
(Axis-REIT) is proposing to acquire an industrial complex and an open storage yard in Klang, Selangor from Amsteel Mills Sdn Bhd (AMSB) for RM351.8mil.
In a filing with Bursa Malaysia, Axis-REIT said it had entered into two sale and purchase agreements with AMSB) for the acquisition of the industrial complex (property 1) and open storage yard (property 2).
Axis-REIT said the proposed acquisition of the properties is in line with the fund’s investment objectives and its growth strategy to provide the unitholders with stable income distribution and to achieve growth in the net asset value per unit of Axis-REIT, by acquiring high quality, earnings accretive properties with strong recurring rental income.
“The properties are located within the prime industrial area of Kawasan Perindustrian Bukit Raja, facilitated by a comprehensive transportation network with accessibility to major highways like Federal Highway, Shapadu Highway, North Klang Valley Expressway and the West Coast Expressway.”
With the completion of the proposed acquisition of the properties, Axis-REIT said it will have a significant presence within Bukit Raja with properties sitting on a total land area of 119.12 acres.
“The proposed acquisition of property 1 is expected to contribute positively to the earnings of the fund for the financial year ending Dec 31, 2024.
“Acquisition of property 2 is not expected to have material impact to the earnings of the fund for the financial year ending Dec 31, 2024.
Axis-REIT added that property 2 is only expected to contribute rental income towards the end of 2025.
