CapitaLand Ascendas REIT to divest 7-storey industrial building

KA Place is up for sale for $35.58m

CapitaLand Ascendas REIT (CLAR) is divesting the seven-storey industrial building KA Place to KA Place SPV 1 with a sale consideration of $35.38m.

In a statement, the REIT’s manager said the move is in line with its asset management strategy to enhance the quality of CLAR’s portfolio and optimise the returns for the shareholders.

The property at 159 Kampong Ampant covers a total gross floor area of 10,163 square metres and a remaining land lease tenure of about 35 years.

The sale consideration is a 219% premium to the original premium to the original purchase price of $11.1m in March 2005 and a 55% premium to the property’s market valuation as of 31 December 2022 at $22.8m.

The divestment proposal is expected to be completed in the second quarter of 2023, bringing CLAR’s total properties to 229, of which 96 are in Singapore, 36 in Australia, 48 in the US, and 49 in the UK/Europe.

Net proceeds after divestment costs are seen to be $30.65m.

Assuming the transaction was completed on 1 January 2022, the proforma impact on CLAR’s net property income by the end of 2022 would have been decreased by $0.92m and distribution per unit by 0.005 cents.

Follow the link for more news on

CapitaLand

Also Read

Office space stock drops 41,000 sqm in 1Q24

Industrial prices mark first drop since 3Q20

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit