MI-REIT on spending spree

MACARTHURCOOK Industrial REIT has spent $S228.9 million to buy eight properties in Singapore.

MacarthurCook’s managing director Craig Dunstan said the recent acquisitions provide enhanced income diversification for the trust and further strengthen its position in the high growth Singapore market.

Over the last three months, the trust has bought an office building at the International Business Park from Nova Engineering & Logistics for $S18.3 million at an initial yield of 7.7%.

The other office/warehouse property acquisitions include 541 Yishun Industrial Park A; 11 Changi South Street 3; the Axis Industrial Building at 15 Tai Seng Drive; 61 Yishun Industrial Park A; 103 Defu Lane; and at 1 Kallang Way 2A.

“Our investment strategy of focusing on the high growth industrial sector in Asia is proving very successful. These acquisitions are in line with our strategy to heavily weight MI-REIT’s portfolio to Singapore assets, and they further enhance MI-REIT’s capital growth, asset quality and more importantly, value for unitholders.

“We will continue to identify acquisition opportunities in Singapore, as well as in Hong Kong, China, India, Japan and Malaysia,” he added.

Dunstan said together with an upward revision of $S47.6 million in the values of MI-REIT’s initial 12 properties following annual revaluations, the acquisitions increase the value of MI-REIT’s investments by $S276.5 million to $S592.7 million across 20 industrial assets across Singapore.

Australian Property Journal