Axis REIT to acquire two properties in Klang for RM351.8mil

Axis Facility 2 @ Bukit Raja

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.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

Axis REIT , acquisition


Next In Business News

Trading ideas: TNB, Lagenda, Apollo, George Kent, Magma, Advancecon, Hong Seng, Pos, TSR, Sunway
Blistering solar growth runs into grid blocks
Opportunities in Kazakhstan and Uzbekistan
Hot-pot chain eyes global growth after strong US debut
Cocoa falls as better African weather eases supply concerns
UK central bank warns markets of change
Mega First sees better earnings for core ops
Krugman says he’s ‘fanatically confused’ on where rates are going
Fund says Indian bonds underpricing index move
India’s mid-tier firms gain share

Others Also Read