Ascendas Funds Management sells Changi warehouse

Ascendas Funds Management, the manager of Ascendas REIT, has entered into a sale and purchase agreement with Hao Mart Pte for the sale of No. 25 Changi South Street 1 in Singapore for S$20.3 million ($14.5 million).

This divestment is in line with the manager’s proactive asset management strategy to improve the quality of Ascendas REIT’s portfolio and optimize returns for unit holders. The manager evaluated various options and decided it is an opportune time to divest the property and redeploy the capital.

The proposed sale price of S$20.3 million ($14.5 million) is 14 percent higher than the original purchase price of S$17.8 million ($12.7 million) and 2 percent higher than the market valuation of the property of S$19.9 million ($14.2 million).

The proposed divestment is expected to complete within first quarter 2020, following which Ascendas REIT will own 96 properties in Singapore, 35 properties in Australia, 38 properties in the United Kingdom and 28 pr