Month: September 2007
MI-REIT – BT
MacarthurCook Reit portfolio value up $30.6m on revaluation
MACARTHURCOOK Industrial Reit (MI-Reit) said independent revaluations of six of its properties have resulted in the total value of its initial portfolio of 12 properties standing now at $346.8 million, a rise of $30.6 million or 9.7 per cent.
MacarthurCook Investment Managers (Asia), the manager of MI-Reit, has a policy of revaluing properties in the portfolio on a rolling basis throughout the financial year and in accordance with the property fund guidelines.
The initial portfolio of the real estate investment trust, which was listed on April 19 this year, comprises 12 industrial assets across Singapore with a combined value of $316.2 million at the date of listing.
The largest rise in valuation came from UE Technology Park – MI-Reit’s largest property by value – which saw a revaluation gain of $23.9 million, or 21 per cent. The revaluations of all the six properties were conducted by CB Richard Ellis.
Just last month, Singapore’s fourth listed industrial Reit said it was extending its investments into offices and technology parks by agreeing to buy Plot 4A, International Business Park from Eurochem Corporation (a member of Tolaram Group), for $91 million.
MI-Reit invests primarily in industrial real estate assets in Singapore, Japan, Hong Kong, Malaysia and China.
Last month, the Reit reported a distributable income of $3.9 million for its first quarter ended June 30. Distribution per unit (DPU) was 1.52 cents, which, was 3 per cent higher than the forecast DPU of 1.47 cents.
Cambridge – SGX
APPROVAL IN-PRINCIPLE FOR THE LISTING OF NEW UNITS
Cambridge Industrial Trust Management Limited, as manager of Cambridge Industrial
Trust (“CIT”, and manager of CIT, the “Manager”), is pleased to announce that approval in-principle has been obtained from the Singapore Exchange Securities Trading Limited (the “SGX-ST”) on 4 September 2007 for the listing and quotation of up to 285,119,729 new units in CIT (the “New Units”) on the Main Board of the SGX-ST which are proposed to be issued under an equity fund raising which is proposed to be carried out by CIT (the “Equity Fund Raising”).
The purpose of the Equity Fund Raising is to raise gross proceeds of up to approximately S$193.9 million to finance the acquisition of six properties, namely, 1 Tuas Avenue 3, 7 Ubi Close, 9 Bukit Batok Street 22, 120 Pioneer Road, Enterprise Hub(1), 23 Woodlands Terrace (including costs associated with such acquisitions) and to potentially retire part of CIT’s existing debt obligations, with the balance of the proceeds to be utilised for general corporate and working capital purposes.
The SGX-ST’s approval in-principle is not an indication of the merits of the Equity Fund Raising, the New Units or CIT.
Details of the Equity Fund Raising will be set out in a circular (the “Unitholders Circular”) which will be dispatched to the unitholders of CIT shortly for the purpose of seeking their approval for the proposed acquisition and lease of 1 Tuas Avenue 3, the proposed issue of New Units under the Equity Fund Raising, the proposed placement of New Units to the directors of the Manager and the proposed general mandate for the issue of new Units.
Source : SGX
Parkway Life – SGX
STABILISING ACTION
UBS AG, acting through its business group, UBS Investment Bank, as stabilising manager designated in connection with the Offering, wishes to announce that it has purchased a total of,
- 2,458,000 Units at a price range of S$1.23 to S$1.24 per Unit on 03 September, 2007. Source : SGX
- 4,011,000 Units at a price of S$1.21 per Unit on 31 August, 2007. Source : SGX
- 1,000,000 Units at a price of S$1.20 per Unit on 30 August, 2007. Source : SGX
- 3,000,000 Units at a price range of S$1.18 to S$1.19 per Unit on 29 August, 2007. Source : SGX
- 1,731,000 Units at a price of S$1.19 per Unit on 28 August, 2007. Source : SGX
- 6,000,000 Units at a price range of S$1.18 to S$1.19 per Unit on 24 August, 2007. Source : SGX
- 13,032,000 Units at a price range of S$1.19 to S$1.27 per Unit on 23 August, 2007.
Source : SGX
Note : 43,329,000 Shares Available for Stabilising Action (for 1 mth)
MI-REIT – SGX
MACARTHURCOOK INDUSTRIAL REIT’s PORTFOLIO VALUE INCREASES BY S$30.6 MILLION FOLLOWING ANNUAL REVALUATIONS
MacarthurCook Investment Managers (Asia) Limited (“MCKIM Asia”), the Manager of SGXST
listed MacarthurCook Industrial REIT (“MI-REIT”), is pleased to announce today that
independent annual revaluations1 for six of MI-REIT’s properties (the ”Properties”) have been completed.
The revaluations have resulted in an increase of S$30.6 million to MI-REIT’s book value, representing a 9.7% gain over the appraised value2 of the Properties as at the Listing Date of 19 April 2007. The revaluations, which have been completed in accordance with the relevant accounting standard, Financial Reporting Standard 40 Investment Property, and the Property Fund Guidelines, have raised MI-REIT’s total portfolio value to S$346,800,000.
The largest rise in valuation came from MI-REIT’s largest property by value, UE Technology Park, which saw a revaluation gain of S$23.9 million, or 21.0%.
2 Appraised value of total portfolio is S$316.2 million, as at Listing Date on 19 April 2007. Valuations were issued on 15 November 2006.
Source : SGX
MI-REIT – BT
MI-Reit to buy warehouse for $18.3m
MACARTHURCOOK Industrial Reit (MI-Reit) has signed a conditional put and call option agreement to acquire a four-storey office and warehouse facility at 7 Clementi Loop for $18.3 million.
The vendor of the facility, Nova Engineering and Logistics, will lease back the property for five years, with the option to extend the lease for another five years. The lease will start after refurbishment to the building is completed by Nov 30, which is when MI-Reit’s acquisition of the property is expected to be completed.
Based on this scheduled completion date, the pro forma financial effect on MI-Reit’s distribution per unit (DPU) for the financial year ended March 31, 2008 is an additional 0.20 cents per unit on an annualised basis. This represents an increase of 2.7 per cent from the forecasted FY2008 DPU of 7.41 per cent per unit.
For FY2009, the pro forma effect of the acquisition is an additional 0.23 cents a unit, representing an increase of 3 per cent over the forecasted DPU of 7.59 cents a unit.
Chris Calvert, CEO of the Reit manager MacarthurCook Investment Managers (Asia), said that apart from the yield accretion derived from the deal, the property will provide greater geographic diversification to the Reit’s portfolio and provide exposure to the growing logistics and warehousing property sub-sector here.
‘MI-Reit will benefit from firm rentals and capital values in this sub-sector as a result of the strong demand for high quality and strategically located warehousing and logistics property, arising from the growing outsourcing trend in high value-added industries,’ said Mr Calvert.
The acquisition will reduce MI-Reit’s exposure to UE Tech Park, the Reit’s largest property by value, from 36.1 per cent to 34.1 per cent of total portfolio value. In terms of income source, exposure to UE Tech Park is reduced from 33.2 per cent to 31.3 per cent.
The purchase of 7 Clementi Loop is also the first of a series of acquisitions worth a total of $500 million that MI-Reit intends to complete by March 31, 2008.