CGS-CIMB Research analysts Eing Kar Mei and Lock Mun Yee are positive on ESR-REIT’s recent announcement in relation to acquisitions and asset enhancement initiatives (AEIs), as well as a fundraising exercise.
The REIT is acquiring a modern ramp-up logistics facility in Singapore for a total cost of $124.7 million, representing an initial yield of 5.7% per annum. It also intends to carry out AEIs at two high-specification properties in Singapore at 16 Tai Seng Avenue and 7000 Ang Mo Kio Avenue 5 for $25.9 million and $53.3 million respectively.
