KUALA LUMPUR: Sunway Real Estate Investment Trust is buying an industrial property located at Bukit Tengah Industrial Park in Penang from Best Corridor Venture Sdn Bhd for RM66.8 million.
The acquisition is expected to yield an initial net property income (NPI) of about 7.6 per cent, with the potential leasehold extension premium considered, resulting in an NPI yield of 7.0 per cent.
Sunway REIT plans to finance the acquisition using its current debt facilities,with the deal to be completed in the third quarter of 2024.
Sunway REIT Management Sdn Bhd chief executive officer Clement Chen says the acquisition signifies Sunway REIT’s continuous efforts in expanding its footprint in the industrial segment.
“This marks Sunway REIT’s second proposed acquisition in 2023 and the third industrial property in Sunway REIT’s asset portfolio.
Situated in Bukit Tengah Industrial Park, the land is next to Juru Auto City.
The property is presently 100 per cent occupied by three established and reputable multinational corporation tenants which will provide Sunway REIT with a resilient rental income stream and solid tenant base.
Sunway REIT owns a diversified portfolio of 19 properties comprising 5 retail properties (including a property designated for re-development into a retail-centric tourist destination), sixhotels, five offices, an education property and two industrial properties, with a combined property value of RM8.86 billion as at Sep 30, 2023.