KUALA LUMPUR, Sept 5 (Bernama) — CapitaLand Malaysia REIT Management Sdn Bhd, being the management company of Capitaland Malaysia Trust, has proposed to dispose of ‘3 Damansara Office Tower’ in Selangor for RM52 million.
In a filing with Bursa Malaysia today, it said MTrustee Bhd, the trustee for CLMT signed an unconditional sale and purchase agreement with Lagenda Harta Sdn Bhd, a wholly owned subsidiary of Lagenda Properties Bhd.
The proposed disposal is in line with Capitaland Malaysia Trust‘s objective to deliver long term and sustainable distribution of income to unitholders by proactively reviewing the best use of each asset, in terms of value and yield, under various market cycles.
It also said it was in line with the manager’s portfolio reconstitution strategy to rejuvenate Capitaland Malaysia Trust’s portfolio and focus on retail and logistics assets.
“The manager is of the view that it is an opportune time to divest the property with the disposal price above valuation.
“The proposed disposal will provide Capitaland Malaysia Trust with financial flexibility to pursue yield accretive investments in the logistics sector,” it said.
Net proceeds from the proposed disposal would be utilised to repay existing borrowings and is expected to be utilised within 12 months from the completion date.
It also said the expected net gain on disposal arising from the proposed disposal is RM400,000 and would have no material impact to the earnings of Capitaland Malaysia Trust for the financial year ending Dec 31, 2023.
Barring any unforeseen circumstances, the proposed disposal is expected to be completed by the first quarter of 2024.
— Bernama
