CapitaLand Malaysia Trust To Buy Three Freehold Industrial Properties In Johor For RM72 Mln Cash

KUALA LUMPUR, Feb 5 (Bernama) -- CapitaLand Malaysia Trust (CLMT) has signed an agreement to acquire three freehold industrial properties in Johor from Gromutual Bhd subsidiary, Rainbow Entity Sdn Bhd (RESB), for RM72 million cash.

In a filing with Bursa Malaysia today, CLMT said the properties are located within Senai Airport City (SAC), a modern industrial and manufacturing hub in the Senai region within the Johor-Singapore Special Economic Zone (Johor-Singapore SEZ).

It said the buildings and factories, now being built by RESB, are scheduled to be completed in the first quarter of 2025. 

CLMT said it will also enter into a seven-year lease with a tenant for one of the three properties, featuring built-in “rent escalations” to ensure income stability. “When fully leased, the three properties are expected to generate RM5.1 million in annual gross rent, with a 7.1 per cent first-year yield, positively impacting CLMT’s income,” it added.

Yong Su-Lin, the chief executive officer of CapitaLand Malaysia REIT Management Sdn Bhd, the manager of CLMT,  said the acquisition of three freehold industrial properties in the Senai, Skudai region marked CLMT’s second foray into the industrial sector in Johor, which is developing into a significant manufacturing hub.

“Over the last six months, we have observed robust leasing interest for industrial assets in Johor. The initial three industrial assets we acquired at Nusajaya Tech Park are fully leased and we are now in the final stages of securing a single tenant lease for one of the properties in our latest acquisition.

“This acquisition is a continuation of our value creation efforts to rejuvenate CLMT’s portfolio with good quality assets that have long-term growth potential as well as income stability and diversification,” she added.

-- BERNAMA