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The light industrial building will be sold with vacant possession, following the lease expiry of its sole tenant. (Photo: Ascendas Reit)
Ascendas Real Estate Investment Trust (Reit) has entered into a sale and purchase agreement with Sengkang Import & Export Pte Ltd for the S$19.28 million sale of 10 Woodlands Link.
In an SGX filing, the Reit’s manager said the sale was in line with its proactive asset management strategy to optimise returns for unitholders and redeploy capital.
It noted that the proposed sale price is 60.7 percent higher compared to its S$12 million original purchase price in 2005.
It also revealed that the S$18.9 million net proceeds “may be recycled to fund committed investments, used to repay existing indebtedness, extend loans to subsidiaries, and/or fund general corporate and working capital needs”.
Located within the Woodlands East Industrial Estate, the three-storey warehouse is around 19.2 years old. It has a gross floor area of 11,537 sq m and a remaining land lease tenure of around 38.7 years.
The light industrial building will be sold with vacant possession, following the lease expiry of its sole tenant.
The completion of the transaction, possibly by Q3 2017, will see Ascendas Reit owning 29 properties in Australia and 102 properties in Singapore.
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