FTREIT's unitholders approve assets acquisition, strengthening its leading position as Thailand's leading industrial REIT

Tuesday 21 June 2022 10:11
Frasers Property Industrial REIT Management (Thailand) Company Limited or 'FIRM', as the REIT Manager of Frasers Property Thailand Industrial Freehold & Leasehold REIT or 'FTREIT', announced unitholders' approval for the acquisition of high-quality assets from Frasers Property Thailand Public Company Limited and its subsidiaries at the Extraordinary General Meeting (No.1/2022) held on 20 June 2022. The investment amounts to approximately THB 1,716 million. The assets comprise 13 factory units and 14 warehouse units spanning a total area of 78,615 sqm or 114 rais of land in the Chonburi, Ayutthaya, Pathumthani and Prachinburi provinces.
FTREIT's unitholders approve assets acquisition, strengthening its leading position as Thailand's leading industrial REIT

Mr. Thanarat Boonyakosol, Managing Director of FIRM, said "To drive long-term sustainable growth, a key strategy of FIRM is to invest in high-quality assets that will generate stable returns to the REIT through the loans which were approved by the unitholders at the 2021 Annual General Meeting. Not only would the investment reinforce FTREIT's position as the leading REIT in Thailand, it will also uplift FIRM's portfolio of high-quality assets comprising factories and warehouses located in Thailand's strategic locations, widen the diversity of tenants' profiles and increase its percentage of freehold properties."

FIRM will proceed with the investment as approved and the transfer will be done by September 2022. After completion of the acquisition, FTREIT's assets under management will increase from 641 units on a leasable area of 2.06 million sqm to 668 units on a leasable area of 2.14 million sqm. The occupancy rate is also expected to rise from 86.9% to 87.4%, while its total asset value will increase to around THB 46,249 million from THB 44,528 million.

Source: Frasers Property Thailand