The manager of AIMS APAC REIT (AA REIT) has announced that the REIT’s trustee, HSBC Institutional Trust Services (Singapore) Limited, has entered into a sales and purchase agreement with Crown Worldwide to divest its property located at 3 Toh Tuck Link. The sale consideration is worth $24.388 million, which represents a 32.5% premium to the property’s valuation of $18.4 million as of March 31. The property comprises of a three-storey factory and a five-storey ancillary office building, with a total gross floor area of 12,492.4 sqm.
According to Russell Ng, the CEO of the manager, the net proceeds from the divestment will be reinvested to support AA REIT’s growth initiatives, including potential acquisitions, asset enhancements, or future redevelopment projects. He further adds that this decision is in line with their proactive asset management strategy and efforts to rejuvenate their portfolio, ultimately strengthening the resiliency of AA REIT and delivering sustainable returns for unitholders.
The divestment is expected to be completed in the first half of 2025, subject to approval from JTC Corporation. Upon completion, AA REIT’s portfolio will consist of 27 properties in Singapore and Australia.