CapitaLand Ascendas REIT (CLAR) is acquiring 5 Tuas Avenue 5 in Singapore, for a purchase consideration of S$133.9 million ($104 million) from Hup Hin Transport Co. The property is a modern ramp-up logistics asset that was completed in 2021.
“Our acquisition of 5 Tuas Avenue 5 builds on our strong growth momentum in Singapore and will further diversify CLAR’s portfolio with another DPU-accretive acquisition of a well-located logistics property. 5 Tuas Avenue 5 will enhance our presence in western Singapore, which continues to benefit from structural demand drivers, including the expansion of Tuas Mega Port and supporting infrastructure. The long five-year lease term provides CLAR with income visibility and stable cash flows, underpinned by the fixed annual rental escalation,” said William Tay, CEO and executive director of CapitaLand Ascendas REIT Management.
